Doubling there number in just ten years, the number of two-wheelers sold in India crossed a figure of 20 million units. A whopping number of a category of vehicles which includes scooters, mopeds, and bikes.

As rose the number of two wheelers in use, there increased the number of accidents. The prime reasons established for collision include speeding bikes and no use of helmets. More than the loss of the two wheelers, the value of life lost in an accident is considered more precious.

Also, the new amendment in the Motor vehicle act made applicable from 1st Sept-2019, which increased the traffic penalty by a huge amount.

All above reasons made people buying Two-wheeler Insurance to protect from financial burdens, third party liabilities and avoid heavy traffic fines. Also, the digital insurance companies like Digit Insurance has made the overall process of buying Two Wheeler Insurance Online very easy and simple.

Before buying the two-wheeler policy, understanding the type of insurance is very important as it becomes complex for common people sometimes. Let’s discuss what are these.

What is Comprehensive Two Wheeler Insurance?

A Comprehensive Two Wheeler Insurance policy is the widest possible cover available for a vehicle.  This type of insurance policy is said to offer two types of covers; one is Own Damage and the second one is Third-Party Liability. You can seek compensation in any of the following cases:

1. For the own damage, that is, any kind of repairs needed in the two wheeler after a collision.
2. For own damage that may arise due to natural calamities like floods, fire, or falling objects.
3. For total loss of the vehicle which may happen due to theft of the two wheeler.
4. For Third-Party Liability that arises if you happen to damage someone else’s property or body.

What is Third-Party Liability Insurance?

As per the Motor Vehicle Act,2019, the Third Party Two Wheeler Insurance policy has been made mandatory by the Government. Anyone using their two wheeler on the road should have the TP Liability policy. Failing to do so, the driver will have to pay a penalty and face imprisonment. TP Liability insurance will take care of your legal liability to pay for the losses caused because of you. To put it in simple words, the third-party liability policy will pay for you when you are held legally liable for bodily injury or property damage.

If you are still not sure of which cover is sufficient for your two wheeler, then you must know the difference between the two types of insurance policies. Here is how you can distinguish the two.

Difference between the Comprehensive and Third Part Two Wheeler Insurance Policy

Which is better?

Comprehensive two wheeler Insurance Cover offers dual protection to you that includes Own Damage and Third-Party Liability. Getting two covers is always beneficial as it will save your money in case of damages. Imagine you were taking a U-turn on your bike when the traffic from your opposite left side was flowing. You were in a hurry because of which you hit another biker. It was your mistake as you should have waited for the traffic to stop from the opposite end.

Both you and the other biker fell. Your bikes were damaged. It was your driving mistake and you were held responsible for the loss. But you had taken a Comprehensive Cover so your insurance company paid for both own damages as well as third-party liability losses. Hence, we can say buying Comprehensive is better than Third-Party Liability alone.

Only if your bike is very old then there is no point buying a Comprehensive Cover for it because then you can afford the cost of repairs.

Comprehensive Insurance Policy will pay for your personal damage which is not possible with the Third-Party Liability Policy.

The affordable pricing and the high death benefit have made term insurance policy a very popular option in India. It also comes with death benefits. For these reasons, many people are opting for term insurance policies. As a Non-Resident Indian [NRI], you might have some doubts regarding buying and what is term insurance in India. Firstly, if you are wondering if it is allowed to buy one then the answer is ‘yes.’

Here are some important questions related to NRI insurance that can make things clearer for you:

Is an NRI required in India to buy term insurance?

You do not have to be present in India to buy a term plan from here. All you need is a written communication with the insurance company of your choice. However, the insurer might not provide free medical examinations in the country where you are based. You have to pay for that from your pocket and send the required reports to India.

What is the procedure to pay the premium for NRIs?

The premium for term insurance for NRIs can be paid many different methods:

• Payment in foreign money
• Foreign Currency Non-Resident [FCNR] /Non-Resident External [NRE] account
• Non-Resident Ordinary account

The NRE or FCNR bank account is used when the policyholder is paying the premium in foreign currency. If you want to pay the premium in Indian Rupees [INR],   you can use an NRO account.

Factors to consider before you buy the term policy in India

You need to consider various factors before you can decide which policy to buy. Here are some points that you must remember:

• Price of the plan

The price of the policy might be different from insurer to insurer. It will also be different between India and the country of your residence. So, you can research the online term plan for NRI and compare the costs to decide which policy is more profitable for you.

• Tax regulations

NRI insurance plans offer different tax benefits and regulations in different countries. For example, the term policy in India comes with tax relaxation on death benefit and the yearly premium. However, in the USA, the death benefit is not completely tax-free. Once you compare the tax regulations of your residing country with India, you will be able to decide which one benefits you the most.

• Claim settlement ratio

The claim settlement ratio is another very important aspect that you need to take into consideration. It is the ratio between the number of claims an insurer receives every year and the number of claims settled by them. This ratio will give you an idea about how trustworthy your insurance company is.

Buying the online term plan can help you as an NRI to avail of death and tax benefits. However, remember to make sure that you spend some time researching about different policies and buy the one that is most suitable for you.

Purchasing a home is a major financial decision and thus, you would require the help of a real estate agent to help you browse through the various property options. A real estate agent has access to lists of properties for sale and also has a better understanding of the local real estate market. Therefore, taking the help of a real estate agent can be beneficial in your property search. However, before you select an estate agent, you should consider choosing a loan officer.

Since purchasing a home requires a substantial amount of money, a loan officer or a loan broker, can help you make sound financial decisions and obtain a home loan. A loan officer can help you in comparing loan products from different financial institutions, thereby ensuring you’re getting the best rates and fair fees.

If you are looking forward to purchasing a house, you would require the help of both a real estate agent [realtor] and a loan officer. However, it is advisable to choose a loan officer before you choose a realtor.

Here are a few reasons why you should choose a loan officer before you choose a Realtor

• When buying a home, you should be aware of the budget you have for the same. A loan officer can help you evaluate your finances and give you a better understanding of how much you can spend in buying a property
• Your loan officer can also help you find an honest and experienced real estate agent.
• Your loan officer can give you valuable suggestions regarding what locations should you prioritize while purchasing a property for yourself and other details like calculation of EMI, benefits of pre-payment of home loan, gst on home loan and more.

How to find a loan officer?

• You can find loan officers online on the internet or at your local bank.
• While choosing a loan officer, make sure to interview at least a couple before deciding which one to work with.
• Since availing a home loan is one of the most important aspects while buying a property, you should choose a loan officer that you are comfortable working with and who has prior experience.

Things to consider while choosing a loan officer

• Make sure that the loan officer works with several lenders. This will give you more options.
• Search for a loan officer with prior experience and contacts with the type of loan you are looking for.
• Originating a loan also involves using complex software program. Therefore, it is advisable to choose a loan officer who is technically sound.
• Lastly, before making your final choice, make sure you are comfortable working with your loan officer.

Now that you are well aware of the importance of loan agents while availing a loan, make sure that you do proper research and choose the best loan agent for yourself. In case of home loan, it is very important to understand each and every minute details of the loan before availing it. A loan officer can help you understand all the terms and conditions of your home loan so that you get the best deal. This can help you avoid any inconvenience in the later stage.

Credit card is a payment card that is issued by card issuers, which is mostly a bank to enable a cardholder to buy merchant goods and service. The cardholder has to pay the bank issuer the amount along with other agreed charges.

The importance of credit cards has not gone done with the entry of payment apps. It is still one of the most preferred choices to raise short term capital. While the mobile payment apps have been gaining a lot of traction through offers and deals, the credit cards have lots of benefits.

Many do not know that if appropriately used a credit card can help in saving money.

Here are some of the ways a credit card can save your money:

Deals on online commercial portals

It is the first and the easiest way of saving money through a credit card. If you have more than one credit cards, use it judiciously, so that you can get good discounts. Most e-commerce companies have tie-ups with credit card companies. You can get discounts, free EMI’s, or any such offers if you are holding a particular credit card.

So, before using the online e-commerce portal, do check out if there is any discounts or offers available on your credit card or not.

Reward points

Every credit card company has a reward program, and each reward point has value. Some credit card issuers allow converting the reward points into cash. While others provide coupons instead.

So always do research and find out the reward structure of the credit card and whether the credit card issuers allow converting reward points into cash.

Co-branded credit card

If you frequently use services like going to a supermarket, air travel than Co-branded credit cards are very beneficial for you. It helps you to earn reward points which can be used to settle bills at the co-branded partner.

Co-branded credit cards come with additional benefits like additional discounts and insurances. But it does not provide other major benefits other than transacting at the co-branding partner.

Cashback

Providing cashback is kept as an alternative to the reward points driven credit cards.

It is beneficial for those who have limited money because of some of the focus on cashback on utility bills like electricity bills etc. The main focus of cashback is at enlisted partners such as super-stores, food courts and e-retailors.

However, there is a long list of terms and conditions attached to the cashback.

Building credit card rating

A credit score shows the history of loan repayments of an individual. The number stands between 300 and 900. A high number means responsible use of credit in the past and most lenders do prefer to lend to individuals with a high credit score.

Credit card are nothing but short term loan facility and timely repayment of credit card bills ensure good credit score. A high credit score attracts the lender, and you can negotiate a good deal on your future loans.