Today safety and security is every person’s motto. In the unpredictability of today’s day and age, security is a needed addendum for any life goal. This addendum can be anywhere from an insurance to a bank deposit or a fixed deposit that you can avail of in times of difficulty. Looking back at these preparations and what the world faces today, it seems like the right choice.
This unpredictable nature of the world and the need for a back up is further emphasized by the problems the world faces today from poverty to tragic incidents that can shatter livelihoods in minutes. The best option to counter all these problems is insurance. But it’s difficult to choose one that subscribes to everyone’s needs and tastes. It’s even more difficult to find something that fits one’s pockets. At this stage, the only rescue model is a premium calculator, especially an LIC premium calculator.
What is a Premium?
Buying insurance is a necessity as it is your addendum to any problems that you may come across in life. This necessity opens up your doors and windows to various insurance service providers. These providers will show you different plans and discuss each one of their plans at length with you.
These plans can either be term plans or insurance plans. Once again, insurance plans can be anywhere from health insurance plans to travel insurance plans. You as a person best knowing yourself would have to choose the plan that would best represent you.
This plan would require you to pay a premium, which is basically the monthly, quarterly, half-yearly or annual amount that you would pay towards your policy. This amount depends on the insurance that you’ve chosen and the plan that you’ve specifically selected.
What is a Premium Calculator?
A premium calculator is basically a calculator that helps you calculate various aspects of a policy plan based on the amount that you’ve incidentally decided to invest. This amount is divided and made viable based on various aspects like amount invested, term of the plan, expected returns, age, etc.
All these aspects help in contributing to selecting a plan that is useful to you and works in your favour.
Benefits of a Premium Calculator
A premium calculator helps you check into a plethora of benefits, though the LIC calculator seems the best. Some of these benefits include:
- Effectiveness of Cost: This helps you optimize your cost with added benefits.
- Various plans on display can be compared effectively without any hindrance and at the ease of the to-be-customer.
- This time-saving technique enables you to calculate your premium in a minute.
The LIC calculator was the first of the kind introduced in the market and was a great help that tripled the sales for LIC and helped prospective buyers peruse plans at ease. This calculator helps people estimate the premium without any added extra costs right to the minutest details.
Aspects in Calculating While Using the LIC Calculator
While using the LIC calculator certain aspects of the policy are taken into account while calculating the approximate premium to be paid by a prospective policyholder. These include:
- Age of the policyholder
- Title of the plan
- Assured Sum
- Tenure of the plan
- Frequency of the Premium
- Additional riders to the plan
It takes a few seconds to fill in these details, following which the premium is calculated, and the policyholder can decide if the policy is the one that is appropriate for him.
Aspects that may Affect Premium Rates while Using LIC Calculator
While calculating the rate of your premium while using the LIC calculator certain aspects may affect the rate. These include:
- Health history (past and current) of the applicant
- Habits of the applicant (intake habits)
- Applicant’s age
- Policy tenure
- Sum assured for the policy
- Other such conditions
How to Use the LIC Calculator
Using the LIC calculator is easy just follow these steps given below:
- Select the Premium Calculator tab on the Customer Services page
- Select a plan from the Drop Down List
- Select the Age
- Select the Term
- Enter the sum assured
- Check the Accident benefit box if you need an accident benefit cover
- Select the Calculate option
You can change the age and the term plan as per your convenience. Remember the bars also change depending on the plan you choose. These options are not limited to one plan. Some plans may have only a few aspects that you can choose from. Remember to choose wisely and as per your needs.