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5 Best Travel Insurance in India

General Insurance

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August 29, 2017

Travel Insurance is least known terms in India. Many people don’t know about travel insurance in India. They generally avoid it. However, during an unfrozen event at abroad, they search for the help. In this post, I will cover travel insurance in detail. A travel insurance policy will assist you in taking care of unexpected event during a journey. Travel Insurance Policy help you in a situation like theft of language, loss of valuable, financial losses due to a delayed flight and much more. Travel insurance can be easily purchased online with a click of a button. Purchase travel insurance and travel tension free around the world. Take a look at key features of Travel insurance that can help you during emergency situation overseas.

Key Features of Travel Insurance

Cover Medical Emergencies

A travel insurance covers all types of medical emergencies. Imagine being stuck with your family in a foreign land with such situation. Travel insurance takes care of all such medical expenses abroad up to insurance limit. Some travel insurance also takes care of OPD expenses.

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Loss of checked baggage and loss of passport

Imagine you land up in the situation where you lost your baggage or passport in transit. It will be a nightmare. You will be totally confused what to do in such situation. Travel insurance can come to rescue you in such tensed situation.

Cover against Personal Accident

Travel insurance also provides coverage for a personal accident. You will be covered against injury or death by this insurance.

Flight delay or Trip Cancellation

Imagine a situation where your flight is delayed or trip is canceled and you end up making financial losses. Travel insurance also covers you with financial losses due to flight delay or trip cancellation.

Theft of language

Any type of language loss or theft during your travel is covered by this policy. You will be reimbursed with the amount equivalent to language.

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Legal Liability & Expense

This policy also covers any legal liabilities and corresponding legal expense during travel.

Best Travel Insurance In India

Based on several parameters best travel insurance in India is given below.

SBI Travel Insurance

SBI Travel Insurance is first on the list of best travel insurance in India. This plan is available up to 70 years of age. A medical checkup is not required before purchasing this plan. The maximum medical coverage limit of this plan is $50000. This plan provides accidental coverage up to 10% of coverage limit. This policy also covers loss of passport, baggage, and covers against hijack. However, this plan does not cover any injuries arising from adventurous activities like mountain climbing, car racing or professional sport.

Tata AIG Travel Insurance

Tata AIG is the second policy in the list. Tata AIG policy can be taken up to 70 years of age. This policy covers accidental & medical expenses, checked baggage loss, loss of passport, personal liability, flight delay, accidental death and dental expenses. This policy does not cover claim arising from a war or life-threatening sports.

Bajaj Allianz Travel Insurance

There are multiple types of Bajaj Allianz Travel Insurance policies like individual travel insurance, family travel insurance, senior citizen travel and student travel insurance. One unique feature of this policy is it provides you emergency cash during a foreign visit.

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HDFC ERGO Travel Insurance

HDFC ERGO is next in the list. HDFC ERGO Travel insurance covers medical expense, personal accident, flight delay and other emergencies. A unique feature of this plan is it provides emergency cash facility.

Bharti AXA Travel Insurance

Bharti AXA Travel Insurance is next choice. This plan is available from 3 months to 60 years of age. This plan is available for individual as well as family. This plan does not cover any injuries arising from fatal sports activities. Any pre-existing medical conditions are excluded in this plan.

Important Points to consider before buying at Travel Insurance Policy

Invest Time – You invest a lot of time in selecting a destination for travel. Similar to that you need to invest considerable time in order to find out best travel insurance policy.

Evaluate – Make sure to evaluate all available travel insurance policy before reaching to any conclusion.

Health Checkup – There are many policies that keep the condition of undergoing a health checkup. Kindly consider time and money required for undergoing a health checkup.

Analyze the Activities – There are many policies that do not cover the risk associated with adventurous/risky activities that you are likely to do during your travel.

Type of Plan – The liability of plan ends with end of your travel. If you are frequent traveler it is recommended to take annual travel insurance policy.

Over to you –

If you are visiting an unknown country for the first time it is always advisable to buy travel insurance.

Do you purchase Travel Insurance Policy when you travel outside?

Which one is best travel insurance in India as per you?

Credit Card Loan or Personal Loan – It’s your choice

Personal Loan

Shitanshu Kapadia

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August 25, 2017

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Personal Loans and Credit Card Loans are quick and easy loan options nowadays. My friend had recently purchased a flat. After exhausting his home loan limit he was looking for an extra 3 Lakh to complete the interior of his home. The only option left in front of him was to opt for another loan. He approached the bank and described his problem. The bank manager gave him two options. (1) Personal Loan of 6 Lakh on flat interest (2) Credit card loan of 3 Lakh. He was confused and looking for an answer which one should he opt for credit card loan or a personal loan? If you are also in a similar situation here is an answer to your question.

Credit Card Loan or Personal Loan – It’s your choice

What is a Credit Card Loan?

A credit Card Loan is an unsecured loan offered in terms of cash advance, balance transfer, or purchase. This loan is offered to credit card holders. You need to pay back the loan amount in the future by the due date. In this option, you can borrow cash against your credit limit. You can typically access the funds via an ATM, a bank withdrawal, or even by writing a convenience check.

Pros of Credit Card Loans

Instant Access: Get cash quickly without a lengthy approval process.
Flexible Repayment: Minimum monthly payments can help you manage your cash flow.
No Collateral Required: Unsecured, so you don’t risk losing assets.

Cons of Credit Card Loans

High Interest Rates: Typically higher than personal loans, sometimes astronomical.
Fees: Cash advance fees can be steep, often around 3-5% of the amount borrowed.
Impact on Credit Score: High utilization can negatively affect your credit score.

What is Personal Loan?

A personal Loan is a loan given to an individual based on credit history, income, and repayment capacity. Repayment in the case of a personal loan is through fixed amount installment over a fixed term.

Pros of Personal Loans

Lower Interest Rates: Generally more favorable than credit card loans.
Predictable Payments: Fixed monthly payments make budgeting easier.
Larger Loan Amounts: Often, you can borrow more money than with a credit card.

Cons of Personal Loans

Approval Process: Can be lengthy, involving credit checks and documentation.
Fixed Terms: Less flexibility in repayment schedules.
Potential Fees: Origination fees, late fees, and prepayment penalties can add up.

How to select between a Credit Card Loan and a Personal Loan?

It is difficult to make a choice between credit card loans and personal loans as both of them sound similar. However, the following points will help you in making the correct decision.

Application Process – The application process for both loans is different. Credit card loans are available easily. You just need to walk into your bank and opt for this loan. In the case of a Personal loan, you need to submit Form 16, a bank statement, income proof, and a KYC document for a loan application. Processing time in the case of personal loans is longer compared to credit card loans.

Processing fee and pre-closure charges – Processing fees in both personal loans and credit card loan are the same. It is generally in the range of 0.5-1%. The pre-closure charges in both cases would be in the range of 2-5%. In a credit card loan you can lower the tenure of a loan by making a pre-payment. However, the personal loan comes with a fixed duration of 12-24 months.

Read – Personal loan or Gold loan which is best option?

Loan Amount – A Personal loan is more suitable for a higher amount. If you are looking for a small amount credit card loan could be a suitable option. In this loan, you will get an amount up to your credit limit.

Interest Rate – Interest rate plays a crucial role in the comparison. A personal loan is offered at the interest rate of 13-22%, however, credit card loans are offered at 12-15%. The rate of interest depends upon the bank. Personal loans are offered in two variants flat and reducing balance rate. In a flat rate, the interest amount is calculated flat on the entire principal. On the other hand, in reducing the balance rate interest amount will be calculated on reduced principal.

When to Choose a Credit Card Loan

Credit card loans might be your best bet in certain situations. Here are a few scenarios where they shine:

Emergency Situations

When you need cash ASAP and can’t wait for a loan approval process, credit card loans can be a lifesaver. Whether it’s a medical emergency or a sudden car repair, quick access to funds is crucial.

Short-Term Needs

If you need money for a short period and are confident you can pay it back quickly, the high interest might not be a deal-breaker. Think about using it to cover a gap until your next paycheck.

No Collateral Available

Since credit card loans are unsecured, you don’t have to worry about putting up collateral. This can be a big plus if you don’t have valuable assets to pledge.

When to Choose a Personal Loan

Personal loans can be the way to go in different circumstances. Here’s when they make sense:

Debt Consolidation

Got multiple high-interest debts? Consolidating them into a single personal loan with a lower interest rate can save you money and simplify your finances.

Large Purchases

Planning a home renovation or buying a new car? Personal loans often offer higher borrowing limits, making them suitable for significant expenses.

Predictable Repayment

If you prefer knowing exactly what your payments will be each month, the fixed repayment schedule of a personal loan is ideal. It helps with budgeting and avoids the risk of rising interest rates.

After making a comparison of both loan options my friend decided to opt for a credit card loan. As his requirement for a loan was less he was in a position to repay this money in less than 6 months.

Given a choice which loan you prefer Credit Card Loan or Personal Loan and why?

Health Insurance Plans for NRI in India

Health Insurance

Shitanshu Kapadia

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August 16, 2017

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I recently received an email query about Health insurance Plans for NRI in India. The query was very simple, I am an NRI living in Bahrain and looking for the Best health insurance plan in India. Kindly suggest a suitable family cover plan covering basic and critical illnesses.

Can NRI get a health insurance policy in India? Can NRI travel to India for treatment and claim? What does NRI need to know before buying health insurance in India? These are the most common questions asked by NRI. In this post, I will try to answer these questions.

Also Read – Best Health Insurance Plans in India

Health Insurance Plans for NRI in India

Can NRI Buy a health insurance policy in India?

Yes, NRI can purchase a health insurance policy in India. They can buy a policy whenever they visit India as they may need to undergo a medical checkup. All procedures for purchasing health insurance should be completed during their period of stay in India. NRI needs to submit residence proof, passport copy, and PAN card while applying for health insurance in India. If NRI cannot produce these documents they are not eligible to buy health insurance in India. The payment of the premium should be made from the NRE account. NRI can travel to India for treatment and claim.

In the first instance, health insurance by NRI in India seems to be a lucrative option. The cost of medical treatment and premiums in India is very low compared to the USA, UK, and other foreign countries. However, one needs to be careful about the geographical coverage offered by the Insurance Company. Most of the companies restrict coverage to the geographical boundary of India. That means any medical expense done outside India, will not be covered under this policy.

Which Health Insurance Options are available for NRI in India?

As such treatment outside India is, not covered by the majority of health insurance policies. However, a few policies such as HDFC ERGO Optima Secure Global provide global coverage. This policy is available with a sum assured of 1 Cr and above.

One can buy appropriate health insurance policy coverage as per need based on premiums, benefits, and features. It is recommended to buy a family floater plan with built-in critical illness, hospitalization, and pre and post-hospitalization cover.

A few recommended Health Insurance options are –

HDFC ERGO Optima Secure Global
ACKO Health Insurance
Tata AIA Health Insurance

What does NRI need to know before buying health insurance in India?

The first point is geographical coverage by health insurance policy. Most of the policies place restrictions that the benefits and expenses covered under the plan are limited only to treatment in India.
NRI must understand that as per FEMA rules claim payout can be repatriated out of India to the extent of the premium paid in foreign currency.
NRI can avail of Tax benefits as per section 80 D. The benefit under section 80 D is to decrease tax liability on taxable income in India.

Why should NRIs Buy Health Insurance in India?

Medical Coverage in India

The cost of medical treatment abroad is growing. If you are planning to visit India and your current health insurance policy purchase abroad has a geographical limitation, it is a good idea to get medical coverage in India with a health insurance policy.

Medical Insurance in India is cheaper

Medical insurance and medical treatment in India is comparatively cheaper. This means you need to pay a very low insurance premium in India. So, it makes sense to purchase medical insurance in India.

Easy and Fast Claim Settlement

Health insurance claims for the medical treatment taken in India are easy to settle with Indian insurance companies. Most of the company provide cashless insurance coverage. On the other hand foreign policy offering global coverage also takes a lot of time for the claim settlements.

Waiting Period Benefits

If you are NRI and planning to take benefits of a pre-existing disease, then buying a health insurance policy in India today can be more beneficial as most health insurance plans in India have 2-4 years of waiting period for the pre-existing disease. So, if you have purchased the policy well in advance before shifting to India you will get the benefit.

When should NRI buy health insurance in India?

NRI should buy health insurance in India if any of the following conditions is true.

Currently, you are NRI but if you are planning to return to India in the next 2-3 years.
If you are residing abroad but your family is residing in India.
If you wish to avail of medical tour benefits in India.
If you want to avail Income Tax benefit of 80D.
If you are visiting India very often.

When should NRI not buy health insurance in India?

NRI should buy health insurance in India only –

If you are not visiting India very often.
If you are not planning to return to India in the next 2-3 years.
If you are already holding other health insurance policies in the country you live.

Conclusion

It is clear that NRIs have the freedom to buy health insurance in India and utilize medical benefits while staying or visiting. You can easily locate some of the top medical insurance options in India for NRIs on the internet as well.

Insurance companies in India, both general and life, have made significant progress by incorporating digital processes. This enables you to buy insurance plans and submit claims easily with minimal paperwork, all done with just a few clicks!

I hope all my NRI friends has now good clarity about Health insurance plans for NRI in India.

Top 20 Best Business Ideas for Beginners

Business Ideas

Shitanshu Kapadia

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August 14, 2017

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Business Ideas for Beginners – Do you want to enter in the world of business for the first time? If yes, here is 20 Business Ideas for Beginners in India. Starting a business is very challenging for beginners. Beginners are not aware of legal, commercial, managerial and other aspects of the business. They always seek guidance from experts for a starting business.

Starting off business with low investment protects the beginners from major monetary risks. Here are 20 Top Best business ideas for beginners in India. These business ideas are easy to start and require low investment.

Top 20 Business Ideas for Beginners

1. Advertising

A small digital marketing or advertisement agency requires a small setup and less investment. You can start it from home also. The main work of advertising agency is to create, plan and handle advertisement and promotional requirement of client. Agency needs to arrange placement for the advertisement on a commission basis. Advertisement agency is one of the best business ideas for the beginners in India.

2. Courier or Delivery Services

Courier or Delivery service is next business idea for the beginners. The task of courier company is to deliver things on time at the different destination. This business idea requires investment in a range of 1 Lakh to 5 Lakh. You can tie up with reputed courier company to start with.

3. Home Cleaning

Home cleaning is considered as one of the easy business ideas for the beginner. In this business idea, you need to take a contract of house cleaning and arrange manpower for the same. This idea requires a skill for people management.

4. Blogging

Blogging is part time easy to implement low investment business idea for the beginner. You just need to have technical knowledge and skill to express yourself. You can earn a lot of money by direct advertisement from your blog.

5. Photography

If you are good at taking photographs this business could for you. You just need a good camera and few contacts in order to start this business. A success of this business depends on your capability and creativity to deliver the desired result.

Also Read – 20 Profitable Small Business Industries Ideas

6. Tuition Class

Tuition class is next business idea for the beginners. This business can be started from home with minimum or no investment. You should be very good at teaching and learning in order to start your own tuition class.

7. Freelancer

A freelancer is a person that bids for the project and complete it within given timeline for money. Freelancer usually accepts project related to Information technology and work online. They get work from a various site offering freelance work.

8. Child Care services

The next business idea for the beginners is child care services. In a metro city, this types of services are always in demand. You need proper place and toys in order to start this business. It is one of the best business ideas for the beginners.

9. Errand Services

You can also start a business that offers various errand services like paying a bill, picking up dry cleaning or groceries etc. In today’s busy life people need manpower for these type of errand services. In this business remote working is possible.

10. Hobby Class

Your hobby can turn out to be a good business option for you. You can think of starting your own hobby class. You might need to recruit people from a different area like stitching, drawing, sports etc. before starting this business.

Also Read – 20 small manufacturing business ideas with low cost

11. Affiliate marketing

Affiliate marketing is an online business idea for the beginners. This idea does not require much investment. In this idea, you need to become an affiliate partner of an online company like flipkart, amazon and help them to sell their product. You will get commission based on the sale of products.

12. Youtube Channel Partner

If you are from IT background and creative in nature youtube channel partner business could be for you. In this business, you need to make your youtube channel and upload an original video on that. You will be paid for advertisement as per channel partner program.

13. Translation Services

The next business idea for the beginner is translation services. If you know multiple languages this business is for you. You need a small place and few clients in order to start this business.

14. Accountancy Services

If you’re trained as an accountant, you can build up your own base of business or individual customers and build your own accounting business.

15. Event Planning & Management

Event planning & management is next business idea. If you have some strong organizational and communication skills, you can build up a client base and start a business planning weddings or various other events.

Also Read – 15 Best Home Based Business Ideas for Housewives & Moms

16. Real Estate Agency

The next business idea for the beginner is real estate agency. In order to start this business, you need contact detail of prospective buyer and seller. It is low investment business can be started from home.

17. Recruitment Services

Recruitment service is next business idea. In this business, you need to help the job seeker to find out a job. As a commission job seeker will pay one-month salary or predefined fees.

18. Yoga Center

You can become a certified yoga teacher and start your own Yoga Center. In today’s stressful life people are ready to pay money for health and relaxation.

19. Catering Business

Providing food and Catering services is another business idea for the beginner. You need to be good at planning and managing people in order to start this business. This business requires capital investment in the range of 1 Lakh to 10 Lakh.

20. Home Made Food Business

If you are good at cooking food you can start your own home made food business. This can be either tiffin service or snacks. You can either deliver it at customer door step or can open your own home made food center.

Well, before selecting best business ideas from above, you should answer following questions that will help you in the selection of best business ideas.

FAQs

What is your level of readiness?

The first thing you need to check is a type of business and level of readiness to execute the idea. Consider following key aspects to check your readiness.

Investment required for the business
Skill set for starting and managing business
Business challenge you are likely to face in future
Your risk taking capacity
Manpower required for the business

How much capital do you have?

The second thing is how much capital do you have for investment and how much you can arrange? This will help in backing up your business idea. If business idea selected by you require more capital and you don’t have provision for capital you either need to arrange capital or select another idea.

How strong is your business team?

The competence of your team will also matter to the success of the business. It is easy to raise the capital if your team has experience and skills. If you don’t have a team you need to select an appropriate business idea that does not require manpower.

How do I choose the right business idea?

Choosing the right business idea requires a blend of passion, market demand, and personal skills. Conduct thorough research, assess your strengths, and evaluate market trends to find the perfect fit for your entrepreneurial journey.

What are some common pitfalls to avoid in business?

Common pitfalls in business include inadequate market research, underestimating expenses, and neglecting to establish a solid business plan. Additionally, lack of scalability, poor financial management, and ignoring customer feedback can hinder business growth.

How do I market my business effectively?

Effective marketing entails understanding your target audience, crafting compelling messaging, and utilizing diverse marketing channels. From social media marketing to email campaigns, tailor your strategies to resonate with your audience and drive engagement.

Is it necessary to have prior experience in the chosen field?

While prior experience can provide valuable insights and skills, it’s not always necessary to succeed in a chosen field. Passion, willingness to learn, and dedication can compensate for lack of experience, allowing you to thrive and innovate in your entrepreneurial journey.

How can I stay motivated?

Staying motivated as an entrepreneur requires setting clear goals, celebrating small victories, and surrounding yourself with a supportive network. Embrace challenges as opportunities for growth, and maintain a positive mindset even in the face of setbacks.

I hope the information given above on 20 business ideas for the beginners will help you in the selection of right business idea.