September 22, 2023
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Featured Finance

4 myths about online ULIP plans and the truth behind them

In the past fewdecades, Unit Linked Insurance Plan (ULIP) garnered attention for all the wrong reasons. ULIP plans have been in the spotlight for a long time due to their high charges. However, it is no longer the case anymore after the Insurance Development and Regulatory Authority of India (IRDAI) has turned ULIP Plans into an investor-friendly product. In spite of the IRDAI regulations, there are certain myths regarding a ULIP policy, which don’t let you make the most of a ULIP Investment.

To provide you with easy access to ULIPs, many insurance companies have introduced online ULIP plans. However, there are untrue myths about online ULIPs, which people falsely believe. Before purchasing a ULIP plan, go through these four myths about online policies and the untold truth behind them:

4 myths about online ULIP Plans:

Myth 1: Online ULIPs offer limited options

The common misconception made about online ULIPs is that it doesn’t offer too many options to select from. However, this is not the case since you can easily compare multiple options and explore the different products available online. Moreover, several aggregator websites will allow you to make a comparison between features, benefits, and premiums of different ULIPs available online. Hence, always look for a ULIP plan that will help you achieve your Life Goals.

Myth 2: Purchasing a ULIP Policy is difficult

Contrary to the myth about online plans, purchasing an online ULIP Policy is comparatively easy. All you have to do is follow the necessary steps, and you’re done in no time. The following are the steps mentioned below:

Step 1: Sign-up/Login to the online website of your insurance company.

Step 2: Select a policy based on your needs.

Step 3: Fill in your personal details.

Step 4: Pay the premiums online.

You can also get immediate assistance to purchase your policy online from the company representatives incase required. There are companies that provide for end to end assistance in your buy journey.

Myth 3: Online ULIPs are expensive

Unlike the old ULIPs, the new-age ULIPs are cost-effective. When you purchase a ULIP plan online, the overall cost of the policy is reduced due to multiple factors. Moreover, you can also determine the premium value of a ULIP policy beforehand. You can do so by utilizing an online calculator to know your potential ULIP returns. You can also consult a financial advisor or the respective company representative to understand the details of the policy.

Myth 4: Sharing private information over the internet is risky

The advent of technology has paved way for successful online stories. Whether it is sharing your personal details or making an online payment, the internet has become a safe place. When you share your personal information while purchasing a ULIP Policy, you need not have to worry about frauds. All the insurance-based websites are Secure Sockets Layer (SSL) certified servers, which cannot be hacked easily. SSL is a networking protocol specially designed to protect connections between the clientele and businesses over the internet.

In a nutshell, these myths are nothing but false beliefs followed by people without knowing the facts. Therefore, see to it that you don’t fall prey to such notions, which are untrue. These myths about a ULIP Policy will stop you from making the most out of the excellent benefits offered by an insurance company.

An online ULIP Plan is convenient, time-saving, and an affordable pick. Moreover, the new-age online ULIPs offer not only low charges but also provide additional benefits. Therefore, invest in online plans, monitor your ULIP performance regularly to make your life simpler and hassle-free.