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Tips When Buying A Home Sunday, 14 April 2013

It can be very exciting when you are about to make your move in purchasing your very own home. There are of course some factors that would have to be considered before you make your move. This is a huge investment and like all other investments, you need to check and review the details of the home you have your eye on. The very first thing is to assure that you are offered the market price. This means that you would have to do your own research in order to find whether you are getting a fair price on your home. Check the going rates of the other homes in that area that is comparable to the ones you are trying to get. There are third party websites that would help you do this easier.

This time you need to make sure that you are aware of how much you can actually afford. Rarely do we find homeowners who would acquire their home in cash or immediately make full payment. You can start off my determining your own disposable income. This may be tedious if you think about it but it will definitely help you decide on how high you can go if you do make an offer for the house. It would also help if you can include into the computation the other costs that will come with the purchase of the house. This would usually include the insurance, tax and others. This should give you the final numbers on what you can expect to spend on a monthly basis. This will then be easier to set against your monthly income. It would also be best if you can take advantage of mortgage insurance. I understand that it costs more but it will save you from losing your home in case you lose your source of income along the way. Do not forget that this is going to be a longer term commitment and you may not know what could happen along the way.

The common tip is to allocate around 27% to 29% of your monthly income into the home cost. If you go beyond this then you are risking you are very own cash flow in a monthly basis. It is not like you can just suck it up because as mentioned, this can go for a couple of years and you might risk losing more than the home if you are not careful. If you are not really well versed with the entirety of realty and its dynamics, feel free to talk to a real-estate agent. They do this for a living so they pretty much know whatever there is to know about the decision you are going to make. We all know that this can be a great investment but you have to look into the other possible costs that you may incur. Provided that you are able to set aside enough money for the house maintenance but in the long run you may encounter some costs you have not come prepared for like repairs and what not. You have to make sure that you evaluate your decision thoroughly.

Advantages In Protecting Your Home Through Insurance

You won’t really know what could happen in the near future. You should at least have an idea of how to go about protecting your precious investment… your home. The only way to go about this is your homeowners insurance. If you just got your home through mortgage or a loan, you may be required to take advantage of the loan right off the bat. This is usually the case for most people that they only think of insurance when they are driven to the wall. This should not be the case because this is a form of protection that we all get in case something undesirable happens. Trying to get a house repair underway no matter how small it is will definitely be expensive.


Getting homeowners insurance quotes for your home depending on your coverage should save you hundreds or even thousands of dollars if you get the right coverage for your home. You would of course need to make an effort to study the things that could possibly affect your home so you do not really go over the line by going for the most comprehensive policy (unless you can afford it of course). For the most basic type of HOI, it will already cover the more basic perils that you home may encounter. It would be important to make sure that you do some research on your end on what you are going to need. We may not know what is going to happen but at least we can work out the things that are more likely to happen. For instance, we may not really require coverage against winter damage when we live in Florida.
If you require something a bit more comprehensive then you can check out those that go higher beyond HOI1. It will all boil down to the company you have your eye on and the budget you are willing to spend on a monthly basis. This is why it is important to evaluate your disposable income so you can come up with the more appropriate coverage for your insurance needs for your home. This is not really rocket science. All you have to do is know what you want or need. You can then set this against your budget and you have your homeowners insurance.

The usual step is to make sure that you start your search with the bigger names in insurance. This way you would be able to secure the name as part of your investment. It is a common story for a company to go under and leave their policy holders high and dry. I am sure you would not want to be a part of a bad statistic that is why it is imperative that you actually find one that has experience to work to your advantage. On the other hand, it would also help if you can also look into smaller private companies that would be able to provide you with the coverage which are more flexible. All you have to do then is decide which one is more important for you.

Home Insurance

Do you need cheap home insurance? Receive affordable quotes from the best home insurance companies by entering your zip code into the comparison tool at the top.
If new homeowners are not required by their mortgage companies to purchase home insurance, they may feel that this purchase is a little burdensome. Although it’s not likely that people will need to rebuild their homes, homeowners insurance is something that people will be extremely happy that they have if they ever need to file a claim. For example, their insurance policies will rebuild their homes if these structures are ever destroyed by a covered peril. Without an insurance policy, homeowners would need to cover this expense on their own.

The Liability Portion of a Home Insurance Policy

Home insurance covers people in many other circumstances than just the above-mentioned scenario. For example, if guests to the property are injured, they will have the right to sue the homeowners for payment of their medical bills. Homeowners can add liability coverage to their home insurance policies for instances such as the one described here.
Liability coverage will apply in the event that the homeowners are found to be liable for the guests’ injuries. They will be able to access their coverage to help them pay their legal bills as well as the amount of money they will be required to pay the injured parties.

Other Structures Included in the Policy

As was mentioned above, part of a homeowners insurance policy is designated toward the physical structure of the house. If there are other buildings on the property, such as a barn or a detached garage, homeowners can also ensure that their policies cover these structures as well.

The Actual Cash Value or the Replacement Value

When homeowners purchase their policies, they will be able to decide between the actual cash value and the replacement value. The actual cash value takes depreciation into consideration. If homeowners choose to accept the actual cash value, the company will subtract the depreciation from the amount of money that the property was worth.
If, on the other hand, homeowners choose the replacement value, the company will not subtract the depreciation. They will receive the amount of money they will need to rebuild the house as it was before it was destroyed. However, choosing the replacement value will mean that the policy will be more expensive.

Liability, Property and Contents in One Policy

The homeowners insurance policy can also cover items within the home. These items include the furniture, the appliances, the homeowners’ clothing and other personal possessions. Luckily, the best home insurance companies offer all three types of home insurance coverage in one policy.

What Determines the Cost of a Home Insurance Policy?

The cost of a homeowners insurance policy will depend on how much coverage homeowners decide to purchase. For example, they may need their liability limits to be very high if they are at a particularly high risk of being the subject of a lawsuit. However, insurance companies also set their clients’ rates based on the area in which these homeowners live. Homeowners who live in an area where there have been many claims filed due to a natural disaster that often occurs will be charged a higher premium for their coverage.

How Homeowners Can Lower Their Rates

The losses described above are possibilities for every homeowner, so it is clear that homeowners insurance is a wise choice for people to make even if they are not being forced to purchase it. Increasing the limits and buying a maximum amount of coverage may also be a good idea for homeowners, but purchasing extra coverage at higher limits makes the policy more expensive.
In the event that homeowners need to increase their coverage, they would do themselves a disservice if they did not perform a home insurance rates comparison. This strategy is also a very good idea for those who need minimal coverage because no one needs to pay more for their home insurance coverage than they have to. Obtaining several home insurance quotes ensures that this will not be necessary.

Why Online Comparison Is the Best

Shopping around definitely helps people save money, but people neglect to do this because it is so time-consuming. This will only be the case if they are not obtaining their home insurance quotes online. An online home insurance rates comparison makes it so much easier because homeowners don’t have to contact each company individually before they receive a rate quote.
An online search offers them several quotes from several different companies in a matter of minutes. If they were to search manually or ask all of their family and friends for recommendations, they could never complete this work in minutes. Rather, it would take them several days, if not weeks.

Other Ways to Lower Home Insurance Premiums

Higher deductibles lower the insurance company’s risk, and they entitle the homeowners to lower premiums. If your house is able to withstand a natural disaster without incurring an extreme amount of damage, the insurance companies are more likely to lower the premiums. Installing devices such as smoke detectors, sprinklers and dead bolts will reduce the damage from a fire, prevent break-ins and lower the cost of insurance.

Typical Discounts for Home Insurance Customers

Just like with auto insurance, companies offer discounts to their clients for their homeowners insurance coverage. If they purchase their auto insurance from the same company that they have their home insurance policies, they will receive a multi-policy discount. Retired people can receive a discount because they are home more often and are less likely to be burglarized. Those who are working for companies that are offering group coverage will be able to obtain a discount for being part of the group.
Home insurance is important for every homeowner as well as those who are renting. To keep the cost of this valuable coverage from being exorbitant, homeowners can begin with comparing the quotes they receive from several insurance companies. When they perform this search online, they don’t have to do any of the work. The comparison tool does it all for them, and they find home insurance for the most advantageous rates.

SBI Life Annuity Plus | Features | Benefits Saturday, 13 April 2013

SBI Life Annuity Plus | Features | Benefits

SBI Life Annuity Plus: A traditional, non-participating immediate annuity plan, which offers a range of annuity options along with inbuilt flexibilities. It provides an opportunity to you to maintain your standard of living.
SBI LIfe Annuity Plan= Tradional + Non-participating immediate Annuity + Annuity Options + Rider + Tax Benefit



Parameters of SBI Life Annuity Plus:

Age Limits* Minimum age at entry : 40 years                
Maximum age at entry: 80 years
Annuity Payout
(per installment)
Minimum :  Monthly: Rs.200, Quarterly: Rs.600,
Half-yearly: Rs.1,200, Yearly: Rs.2,400 
Maximum: 
No limit
Annuity payout mode Monthly, Quarterly, Half-yearly or Yearly
Premium Amounts  Minimum. : Such that the minimum annuity installment can be paid
Maximum.: No Limit

 Features of SBI Life Annuity Plus:

  • Option to choose from range of Annuity options
  • Enjoy a regular income from an early age of 40 years
  • You have an option to have Lifetime Annuity payout for you as well as a family member
  • Flexibility to choose frequency of annuity payouts – Monthly, Quarterly, Half-yearly or Yearly
  • Incentives of higher annuity rates for large premiums
  • Option of availing SBI Life- Accidental Death Benefit Rider
  • Flexibility to advance your Annuity payouts
  • Return of premium options

Benefits of SBI Life Annuity Plus:

  • Annuity payable as option chosen
  • regular income
  • tax benefit
  • Accidental Death Benefit Rider

Low cost Life Insurance

Life Insurance is a huge sector & fastest growing organization that posses people from different background & needs. Some people want a fully fledged insurance plan providing maximum possible benefits (irrespective of premium value amount) but other wants just a low budget Life Insurance to secure their future.
Therefore according to the needs of customer, pans are generated and there are a lot of cheap and low cost life insurances provided by leading insurance companies in India.

Do you want a Low cost Life Insurance?
  1. Go for Term Insurance instead of whole life insurance. Term Insurance also saves a lot of taxes.
  2. Do not buy too much cover or bigger payout and long duration term insurance.
  3. Go for guaranteed premiums & not for reviewable- It will lead to cheaper insurance policy.
  4. Opt for joint Life Insurance policy as a single joint life insurance is cheaper than two single policies.
Some popular low cost Life Insurance in India
1.       SBI Life- Saral Shield
Affordable cost Life Insurance cover for your family to provide wide varieties of plan options for plan flexibility.
 2.       SBI Life- Smart Income Shield Insurance
A plan that provides insurance cover against death & critical illness to your family along with an income benefit to fulfill family needs.
 3.       SBI Life- Swadhan
It is a protection plan developed to provide safety to your family at a low cost as well as guaranteed repayment of partial/full basic premium at the maturity of policy to policy holder.
 4.       SBI Life- Grameen Bima
Very low premium based policy, especially developed for socially deprived & financially weaker section of society to secure their future & fulfill their needs.
 5.       Birla Sun Life Insurance premium back term plan
It provides Life Insurance cover at marginal premiums & secures future of your family.

SBI Life eShield Online Term Plan | Benefits | Features | Tax Benefits

BI Life eShield is an Individual, Non Linked, Non Participating pure term plan, with options and benefits specially tailored for those who want the best financial protection at an affordable cost.

Key Features of EShield Online Term plan:

  • Security for your family at an affordable premium.
  • Easy and seamless online process for securing life cover.
  • Rewards you for maintaining a healthy lifestyle.
  • Wide variety of plan options, which has level and increasing cover.
  • Additional benefit of Accidental Death Benefit.
  • Tax benefits# u/s 80C and 10(10D) of Income Tax Law, 1961.

etails of Eshield SBI Online Term Plan

Product Snapshot
Plan Options
Level Cover
Level Cover with Accidental Death Benefit
Increasing Cover
Increasing Cover with Accidental Death Benefit
Age^ at Entry Min: 18 years Max: For Level Cover & Level Cover with Accidental Death Benefit: 65 yearsFor Increasing Cover & Increasing Cover with Accidental Death Benefit: 60 years
Maximum Age^ at Maturity 70 years
Basic Sum Assured Min: Rs. 20,00,000/- Sum Assured would be in multiples of Rs.1, 00,000 only. Max: No Limit (Subject to underwriting)
Policy Term Min: For Level Cover & Level Cover with Accidental Death Benefit: 5 yearsFor Increasing Cover & Increasing Cover with Accidental Death Benefit: 10 years Max: 30 years
Premium Frequency Yearly
Premium Payment term Same as Policy term
Premium Amount Min: Rs. 3,500 Max: No Limit
^ All the references to age are age as on last birthday.
Effective Sum Assured:
Level Cover and Level Cover with Accidental Death Benefit: Effective Sum Assured on any day is equal to the Basic Sum Assured.
Increasing Cover and Increasing Cover with Accidental Death Benefit : Effective Sum Assured on any day will be the Basic sum assured increased at the rate of 10% simple interest after every 5th policy year without increasing the premium.

Benefits:

On Death:

Depending upon the Plan option chosen, the nominee will receive the Effective sum assured at the time of death.

Death benefit will be paid provided all regular premiums are paid and the policy is in force as on the date of claim.
On Maturity: No survival benefit available at the end of the term.
Other Benefits:

Accidental Death Benefit: Inbuilt under plan options – Level Cover with Accidental Death Benefit and Increasing Cover with Accidental Death Benefit.

In case one of the above plan options is chosen, then in case of death of the life assured due to accident during the policy term, Accidental Death Benefit will be paid to the beneficiary in addition to the effective sum assured at the time of death.

The Accidental Death Benefit will be equal to the Basic sum assured or Rs. 50 Lakhs whichever is lower.
Tax Benefits:

Tax deduction under Section 80(C) is available. However in case the premium paid during the financial year, exceeds 10% of the sum assured, the benefit will be limited up to 10% of the sum assured.

Tax exemption under Section 10(10D) is available, subject to the premium not exceeding 10% of the sum assured in any of the years during the term of the policy.
* Tax benefits are as per the Income Tax laws & are subject to change from time to time. Please consult your tax advisor for details. These are only the brief features of the plan. For more details on risk factors, terms and conditions please read the sales brochure carefully.


Compare Best Life Insurance Policies in India

Life insurance policy provides you assurance that your family will get financial security and support even when you are not around. This is the best way where the insured person can save his family from financial crisis at the time of any mishappening or after death, but prior to this it’s necessary to compare best life insurance policies offered by different companies, necessary compare contract terms, cost, premium quotes, limitations and benefits.

With a population of over one Billion, only 35 million people in India are covered with life insurance. There are so many reasons behind this low penetration of life insurance. Undoubtedly, ignorance about insurance, lack of knowledge about facilities and cost efficiency of insurance - are some of the reasons.