Mumbai is the capital of Maharashtra and the most populous city in India as well. With a large population of 20.5 million, Mumbai stands fourth in the population wise ranking of cities in the world. Also known as the ‘city of dreams’, Mumbai has different contrasts and welcomes everyone with warmth and love.

Mumbai is a union of seven islands, which were held together over a period to build a magnificent and beautiful city. Situated on the Western Coast of India, Mumbai faces the Arabian Sea and hosts one of the most famous harbours in India. Mumbai was first ruled by the Hindu Dynasties, then by the Mughals, and in the end by the Portuguese. Then it was handed over to the East India Company in the year 1668. From there, Mumbai started growing as a mega industrial hub, leaving all another metropolis behind. Mumbai has the highest economy as compared to any city in India. Also, it has the highest GDP rate in South Asia and is listed in the world’s top ten commercial centres concerning global financial flow.

Mumbai is a manufacturing hub of industries like healthcare, diamond polishing, and shipbuilding. It has the largest cotton textile industry and the largest stock exchange in the country. It is also the leading oil and natural Gas provider in India. Mumbai, the entertainment capital of India, is the home to Bollywood, which is one of the most prolific centres of film production in India.

Public transport is considered the best way to go around this megacity. BEST and local trains are the most preferred means of transportation here. Approx 80% of people commute by these means and use them to go to work and come back. Due to the enormous population and poor condition of roads, Mumbai always sees heavy traffic and congestion. However, you will find latest SUV’s, sedan and sports cars in abundance, zooming away on the streets of Mumbai. People are exceptionally affluent in Mumbai, and a significant chunk of crowd owns more than one car for their private use. Hence, it is obvious that you will be surrounded by a wide variety of vehicles and people in Mumbai.

Concerning the recent Motor Vehicle Act amendment by the Indian government, car insurance is now mandatory in India. A comprehensive car insurance policy protects your car against the damages caused due to accidents, natural disaster, theft or burglary. It also protects you from personal liability in case of third-party damages.

At Reliance General Insurance, we offer a comprehensive car insurance policy. You can even buy car insurance online in few easy steps. Avail several benefits like 24*7 roadside assistance, a cashless facility at more than 3800 garages across India, instant policy issuance, and much more.

Here is a list of garages that offer cashless facilities across Mumbai in service of your motor insurance policy

In order to save or borrow money with a bank, it is necessary to have a savings account. Similarly, to invest in the stock market, you may open a dematerialization account.

Understanding dematerialization [Demat] account

A dematerialization account, also known as a demat account, holds shares in an electronic format. It holds certificates of financial instruments that you have invested in, such as mutual funds, government securities, shares, and Exchange Traded Funds [ETFs], among others.

Benefits of having a dematerialization [Demat] account

You may open a demat account and enjoy the numerous benefits it has to offer. Following are five major advantages of holding shares in the dematerialized form.

1. Through such an account, you may hold all your investments in a single account. It, therefore, acts as a common bank for your investments.
2. Another major benefit is the automatic update facility. Since it is a common account, it eliminates the need to give out your personal details every time you make a transaction. Your personal information will automatically be made available to the companies you are transacting with.
3. Holding shares in a physical format makes it susceptible to risks such as theft, loss of share certificates, or fake shares. Dematerialization, however, eliminates such risks. Upon approval of your trade, the securities get credited to your online demat account. Your securities are, therefore, safe and free from risks.
4. Traditionally, it was necessary to pay stamp duty while transferring securities. This cost is eliminated while transacting through your dematerialization account.

You may, therefore, avail of the above-mentioned benefits of a dematerialization account.

Procedure of opening a dematerialization account

Quite contrary to the popular belief that the process of demat account opening is a cumbersome task, the same is not true.

You may follow the below-mentioned steps and open an account easily and quickly.

1. The first step is to choose a Depository Participant (DP) of your choice.
2. You may then submit a duly-filled application form in the prescribed format. Along with the application, it is mandated to provide supporting documents such as proof of identity, proof of address, and PAN card copy, among others.
3. The next step is to sign an agreement on a stamp paper provided by your Depository Participant.
4. Upon successful opening of a demat account online, you will be allocated a unique beneficial owner identification number. This number is to be used as a reference in all your future transactions.
5. Once your dematerialization account is opened with the Central Depository Services (India) Ltd [CDSL], you may then trade securities using your unique demat account

A dematerialization account offers numerous benefits to traders who buy and sell securities on a regular basis. You may open such an account or even multiple accounts with the same DP or with different DPs. By doing so, you may execute transactions easily, and have full control over the transaction being executed.

Generally, your investment decisions are based on your personal needs and experiences. Proper planning is crucial for the financial security of you and your family.

There are several investment products to choose from. Making an accurate choice may be difficult and require enough time to conduct adequate research. Here are five financial decisions you must never delay to avoid issues in the future.

1. Investing a small amount

If you are like most young adults, you would prefer spending your income rather than thinking about savings for the future. You may think that financial goals, such as retirement are far away and planning early for them is not important. However, the consequences of such a delay may be catastrophic.

When you delay your investment decision, you lose out on the opportunity of accumulating a huge corpus through the power of compounding. The amount you invest earns certain returns depending on the type of investing. This income earns additional returns through compounding, thereby helping you accumulate a huge corpus over the long term.

When you are young and at the start of your career, your income may not be high. Therefore, you may not have a huge disposable amount for saving. The smaller amount may discourage you from investing; however, you must remember that through compounding, even a small amount accumulates to a larger sum.

2. Availing of life cover

A life insurance policy is important to ensure the financial security of your family in your absence. The life cover will pay the policy benefits to your beneficiaries in case of your premature demise. This money is able to ensure they are able to meet their expenses and sustain their lifestyle even in your absence.

It is recommended you avail of a coverage of at least six to seven times your annual income. However, you must not only consider your family’s financial needs but also take into account the outstanding loans while determining the insurance cover. When you consider life cover, consider certain goals, such as children’s education and marriage. A term insurance plan is an excellent way to procure higher coverage at an affordable premium.

You must not delay availing of life coverage because as you grow older, the risk of suffering from ailments increases. As a result, the premium on your policy also increases. It is recommended you compare different plans offered by various insurers to choose the best term insurance plan that suits your requirements.

3. Appointing nominees

This is a commonly overlooked financial decision that many people put off. However, you must appoint nominees when you invest in financial products, buy an insurance policy or open a bank account. This ensures your family does not have to deal with the stress of distributing your assets in case of your demise at a time when they are already dealing with emotional trauma.

4. Purchase critical illness coverage

You may be able to meet the fund requirements for a hospitalization or a surgery. However, if you are diagnosed with a critical illness, the treatment may take a long time and may be expensive. Therefore, you must purchase a critical illness cover in addition to your life and health insurance plan.

5. Estate planning

Life is uncertain, and therefore, it is recommended you make a will to avoid any issues after your demise. You must also list down all your assets, liabilities, and investments. It is recommended you include important information, such as maturity dates, starting date, premium payment dates, and maturity benefits for your various investments. You must keep your family informed about this information, which must be safely stored.

Financial decisions are important to provide security. It is, therefore, crucial that you never delay such decisions to avoid complications in the future.