Investor's Investment Knowledge

Investor’s Investment Knowledge

I still see in our country that people do not have financial literacy. They do not know the proper process for investment. They still believe in fix deposit, purchasing land or LIC policies etc without any knowledge of any investment objective. The worst thing is that they still believe LIC endowment policies are the best option for long term investment. There are need for each investor to know about the investment product in detail in which they are going to invest.

For example in most of cases people who have LIC policies do not know about their risk cover and expected return at the end of tenure. It is my personal experience that 90% of policy holders do not know about their sum assured and expected return. Only they know about that premium amount which they are paying every year. They even do not serious about to know about inflation and real rate of return. Many investor invest in land for short term period like 6 months or 1 year without any idea of capital gain tax and liquidity.

The proper way for investment is that first, you should clear about your investment horizon after that check whether your investment will beat the inflation. After deduction taxes and adjusting inflation what will be your real rate of return? These type of question should be answered by your financial adviser or company agent.

Please keep in mind there is huge difference between company agent and financial adviser. Financial adviser will help you plan to your investment and future goal in realistic and prudent way. Other side the agent will be more interested for their commission only. The agent has not much concern about your hard earned investment or your future goal. Their main objective is to take your sign on the form, collect the investment amount cheque and get the commission in their pocket.

The agent, only advise you about the product for a one particular company. In other side the financial adviser will suggest you the best option available in the market. The reason for this that the adviser do not work for any one particular company.

My suggestion for all of you is that when you plan for your investment, please never go after emotional advertisement and you should have fair idea about liquidity, time frame, inflation, real rate of return and your future goal of investment. It is responsibility of all advisers and agents that they should give the proper detail of financial product to the investors.

If you have doubt about investment product and want more information regarding investment or you need investment services, feel free to ask us. We also conduct the seminar on investment and financial planning. If you are interested for conducting seminar in your city, just drop the mail.

Warm regards,

Arvind Trivedi

Certified Financial Planner

arvind.trivedi79@gmail.com

Mediclaim Policy: Have you got your claimed?

Whenever you or your family member suffer with any decease or hospitalized then health insurance gives you a big relief. The wholesole purpose of health insurance is to cover your medical bills and other health related expenses. Most of people assume that purchasing the mediclaim policy and paying premium is very easy but to get claim is very difficult. They feel the process of claim is very tedious and very complex. So you need to understand the fact about the health insurance claim.

In general, when insured person admit more than 24 hours in hospital then we claim our medical bill. However some day care treatment like eye surgery, chemotherapy, ligament repair process etc. are also listed in today’s health policies. Please read very carefully that health care treatment list at the time of purchase of policy. Mediclaim policy also cover those all charges like hospital room charges, medical test, expenses before the admitting in the hospital within specified limit.

It is very important to read very carefully policy documents what is included or what is included not. Some policies also cover ambulance charges and expenses of attendant of patient.

Many hospitals has tie up with health insurance companies for cashless facility. Under this facility hospital receive the healthcare expenses of insured person from health insurance companies directly and patient do not pay anything to hospital within amount specified in mediclaim policy. To avail benefit of cashless facility you have to inform hospital before 24 hours from admitting day.

If you do not avail cashless facility then you have to contact your insurance company before 24 hours from admitting day. After relieving from hospital you will have submit all the medical expenses bill to insurance company or TPA with all diagnostic report and discharge summary. After assess the insurance company team you will get your claim amount.

Many people have doubt whether company pass their claim or not. If you have not hide any health related problem or hobbies and habits at the time of purchasing the policy, there should not be any problem at the time of claim. Before purchase any insurance policy you should have read and understand the policy document and mention all the facts about you with honesty on proposal form.

If you have doubt about investment product and want more information regarding investment or you need investment services, feel free to ask us. We also conduct the seminar on investment and financial planning. If you are interested for conducting seminar in your city, just drop the mail.

Warm regards,

Arvind Trivedi

Certified Financial Planner

arvind.trivedi79@gmail.com