You may have heard several experts endorsing the concept of multiple insurance policies for maximum coverage for the tiniest of financial losses. But how do you plan to manage these policies, their premium due dates, documents, etc.? How can you keep a track record of every policy, its status, and tenure? Just like how multiple credit cards are tricky to manage, multiple insurance policies also bring their own set of troubles alongside a promise to provide financial aid as and when required.
This is when financial advisors recommend people to opt for an e-insurance account. This is like a virtual repository to manage your life insurance, health insurance, and other policies in one place. Policies stores in an e-insurance are referred to as e-insurance policies, which act as a backstop if the policy documents get misplaced.
“E-insurance account helps maintain all your insurance policies in one place – online. There is no need to have physical copies. It is therefore easy to maintain and refer to when needed. There is no loss of physical documentation etc. It’s like maintaining a Demat account for insurance policies,” said Shweta Jain, CFP and founder at Investography.
Now, all your insurance policies from different companies can be accessed with a single account so there is no way that a policy is lost, she added.
Apart from safety benefits, an E-insurance account allows you to buy a new policy without submitting KYC documents. Your E-insurance account number substitutes for these documents. Paying your premiums also becomes easy as you can do it online through your online account. You don’t have to physically go to insurance company and pay it in cash/cheque.
The tracking feature offered by E-insurance accounts is arguably the biggest blessing for policyholders. It sends annual statement of your account with details of all the current insurance policies held by you. The online repository makes it easier for the insured person to monitor their insurance policies and decide on increasing the coverage as per the needs.
How to open an e-insurance account?
Opening an e-insurance account is an easy process. Just download an E-Insurance Account opening form of the preferred Insurance Repository such as NSDL Database Management Limited, CAMS Repository Services Limited, Central insurance repository Limited, etc. Fill it and attach a self-attested copy of the required KYC documents. These include identity proof (voter ID, PAN, or Aadhaar card), address proof (ration card, driving license, etc.), date of birth certificate, and domicile certificate.
Submit the form along with self-attested documents to your preferred insurance repository to open the account. You’ll receive an E-insurance account number along with your username and password. These credentials will be used for any further transactions hereafter.
So you’re looking for ways to manage your insurance policies efficiently, take the digital pathway, and get yourself an E-insurance account today.
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