Life Insurance Tips: In today’s time, taking insurance has become very important. It not only helps you and your family financially in difficult times, but also gives you mental peace. Especially life insurance, which reduces future worries to a great extent.
Insurance works to protect you from any sudden trouble. However, many people remain confused about buying insurance. The biggest question in their mind is, from which company to take insurance.
There are so many options in the market that people often get confused. Let us know what things should be kept in mind before choosing an insurance company. So that you don’t face any kind of problem later…
1. Solvency Ratio
While choosing an insurance company, one must check its solvency ratio. Solvency ratio tells whether the company has enough money to pay the claims of its customers or not. The stronger the solvency ratio, the better the financial condition of the company is considered.
Solvency ratio indicates that the company does not take much time to settle claims.
2. Claim Settlement Ratio
Claim settlement ratio means how many claims the company has paid out of the claims received by the company. Which shows how the company performs in settling claims. While taking insurance, information about claim settlement ratio should be taken.
3. Persistence Ratio
Persistence ratio shows what percentage of the insurance company’s existing customers are paying their premiums on time. This shows whether the company is providing good facilities to its policyholders or not? Before buying an insurance policy, you must know about the persistence ratio.
4. Grievance Redressal Ratio
Grievance Redressal Ratio tells how many customer complaints are received against a company and how many of them the company is able to resolve on time. This ratio helps to show the quality of customer service of the company.
Fewer complaints and more resolutions indicate that the company takes customer problems seriously and handles complaints well.
Also read: Year Ender 2025: These IPOs were successful in the stock market this year, gave returns of up to 125% to investors.
