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The report has been confirmed by Insurance Experts yesterday in Delhi, the leading network of finance bloggers. A set of benefits offered by standard home insurance plans has elevated its status among insurance advisors and critics. The mortgage recovery plan does not provide a comprehensive protection cover when compared to a standard home insurance plan.According to a report by head of retail assets and strategic alliance, Development Credit Bank, “home insurance India as a product is more important for the customer than the bank. Banks have the collateral as security. The plan works like a cushion”. He also maintained that a mortgage recovery plan acts as the best protection source for a customer.
However, it is crucial to understand that the policy is a third-party product. A financial institution will earn a commission on each sale of plan. Therefore situations may arise when the individual doesn't need home loan insurance. Sometimes, it is sold as an integral part of the procedure.
In a nutshell, the home insurance India or mortgage redemption insurance is similar to any other term plan sold in the country. The only difference is that the company will not pay nominee. The insurer will settle the claim with the bank. As a result, the loan taken by the policyholder will be closed. On the other hand, in a term cover, the payment is offered to the nominee. The nominee should now settle the bank loan.
Now this means if an adequate sum guaranteed under a term cover, there is no need to buy a mortgage redemption plan. The home insurance term insurance cover will cover for home loan replacement and is a better option in any case.
“It is vital to research one’s options and ensure that the home insurance India policy bought offers adequate cover to home and its contents. Home insurance premium calculator is a handy tool that offers potential a helping hand in this respect” recommends Insurance Experts.
Contact Info:
Name: Devika Pandit
Email: Send Email
Organization: Insurance Expert
Address: Janak Puri
Phone: 01142138468
Website: http://www.insuranceexperts.in
Release ID: 11518
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