In this uncertain and unanticipated journey of life, uncertain events keep happening. In this life, inconveniences and difficulties can come at any time. From complex finance-related issues to abrupt situations or devastating events, life is stacked with several problems and issues. In such unpredictable conditions, having Insurance transforms into a lifesaver.
And what is better than safety is more safety. That is why having multiple Insurance is always better than having a single insurance as it safeguards you and your belongings more. This blog underlines can a person can have multiple insurances or not. And how many insurance can a person have? So, now let’ see it.
Which Insurance do you need?
Insurance helps to ease the burden of various problems and situations like going to the doctor, rebuilding the house, repairing the car, taking care of pets, paying for medical bills, etc.
But it is crucial and confusing to decide what kind of insurance you need. The type of Insurance required, the necessary amount of coverage, etc., all depend on some essential things and factors, such as What type of insurance you need.
From whom do you want to buy Insurance? What are your priorities in life? Whether it's health insurance, car insurance, life insurance, business insurance, or home insurance. Can you buy more than one life insurance policy?
It also depends on your current financial situation, your long-term goals and plans, your everyday life stage, your way of living, your living standards, any anticipated risks in your life, etc.
If you are a family man, you will be more inclined towards investing in your family’s financial future and will opt for family life insurance. If you are a health maniac, you want to purchase health insurance. Living in a danger-prone area will lead you to be a Home Insurance. So, different circumstances and situations lead to other Insurance policies.
How many Insurance can a person have?
Now, once you have analyzed all your needs and wants, it’s time to prioritize them. For instance, If you are a family person who owns a business and is a health freak also. Then, you have to prioritize which thing comes first for you. Let us say family is the most important thing, then you will first focus on buying family life insurance, business insurance, and health insurance.
Here, this question comes into play: can’t you buy more than one insurance? Or how many insurance can a person have?
So, the answer is “you can”. But you should choose them carefully, they should be purchased according to your priority list, and then you have to consider some important factors like your salary, the premium amounts you will be able to pay in a budget-friendly manner, etc.
You can have as many Insurance policies as you can afford without creating a monetary stress situation for yourselves. Well-earning individuals are allowed to purchase insurance benefits and policies that are about 25 times their annual salary.
The insurance companies are not concerned with the number of insurance policies you purchase. But the total amount of coverage you are purchasing.
In our country, buying more than one Insurance policy from the same Insurance company or different Insurance companies is legal. But if you repeatedly buy more coverage, the insurer will start analyzing your thoughts and motives behind that.
The government also promotes buying Insurance through various schemes such as PMJJBY( Pradhan Mantri Jeevan Jyoti Beema Yojana ). Some companies that are aligned with the government to provide PMJJBY are:-
- Tata AIA Life Insurance Co. Ltd.
- ICICI Prudential Life Insurance Co. Ltd
- HDFC Standard Life Insurance Co. Ltd
- SBI Life Insurance Co. Ltd
- Max Life Insurance Co. Ltd
- India First Life Insurance Co. Ltd
- Life Insurance Corporation of India
- Star Union Dai-ichi Life Insurance Co. Ltd
- Shriram Life Insurance Co. Ltd
Buying or selling Insurance policies must follow some standard rules and regulations by IRDAI( Insurance Regularity and Development Authority of India)( You can visit the following website to read and understand properly about those regulations https://irdai.gov.in/life3 ). These are mandatory to be provided. From here, you can clarify the question of how many insurance a person can have.
The Insurance Regularity and Development Authority of India has not stopped Life insurance companies from issuing multiple insurance policies to the same person or to a person who already holds a life insurance policy or multiple life insurance policies from any other insurance company.
In case of any misfortunate unanticipated event of demise, the beneficiaries can claim from all the life insurance policies taken by the no longer alive policyholder. However, the person must provide the complete details of previously brought policies to the insurance company. Not doing so can result in confusion and trustlessness, which can be a basis for rejection of a life insurance death claim.
It can be read in section 45 of the Insurance Act, 1938 which contains a provision on policy not to be called in question on grounds of misstatement.
Pros of having multiple insurances
Now that we have answered the question: pros of having multiple insurance. Now let us see some of the pros of having multiple insurance:
- Greater Inclusion: Having numerous term Insurance plans can give a more significant amount in general inclusion. While this may make it more costly than a single insurance arrangement, it guarantees that your family is safeguarded monetarily. It provides a more financially solid base.
- Enhancement: If you want a significant insurance inclusion ( let us say ₹1 crore or more), dividing between different insurers is a smart and wise move. Various organizations have shifted endorsing policies; some might settle guarantees quicker for more modest sums.
- Customization: Every insurance policy provider offers various features, advantages, and considerations. By choosing separate organizations for discrete plans, you can fit your inclusion to your particular requirements which can specifically cater to your individual needs as it will be a sum of various good features.
- Adaptability: If you find it troublesome to pay charges for every one of your arrangements or, on the other hand, if you never again need a high content by a particular age, you can give up, ie. surrender a couple of plans without losing the whole term protection support. The rules for surrendering an Insurance plan are also mentioned by IRDAI.
- Keeps Mentally Relaxed: When you are more financially stable, monetarily supported, and backed up strongly, it provides a great sense of relaxation and peace of mind.
These pros indeed show that having multiple insurance policies is a great asset to have and is surely a remarkable assertion and answer to “ how many insurance can a person have?”
Which is no.1 Insurance Company in India?
You can have the same type of Insurance in multiples or you can have a combination of Insurance. So, here is a listing of a few leading companies which provide different types of insurance.
Life Insurance
Here are the best term insurance companies in India are:
- Life Insurance Corporation of India (LIC)
- ICICI Prudential Life Insurance
- HDFC Life Insurance
- SBI Life Insurance
- Max Life Insurance
- Kotak Mahindra Life Insurance
General Insurance
Some of the best general insurance companies in India are:
- United India Insurance Company Limited
- National Insurance Company Limited
- Oriental Insurance Company Limited
- ICICI Lombard General Insurance Company Limited
Health Insurance
Here are some of the best health insurance companies:
- Apollo Munich Health Insurance (which is now known as HDFC ERGO Health Insurance)
- Max Bupa Health Insurance
- ICICI Lombard General Insurance
- Star Health and Allied Insurance
- New India Assurance Company
- Religare Health Insurance (Now Care Health Insurance)
So, now you can buy multiple insurances and safeguard yourself by multiple times.
