4. Don't Let Your Policy Lapse

While you consider buying an online term plan as the smartest financial decision you make, letting it lapse would be the most brainless act. Always make sure that you renew your insurance policy before the due date, or else you will have to buy a fresh insurance with much higher premiums.

However, many insurance companies offer a grace period of 15-30 days, do not take this lightly, Try and renew it at the earliest.

The introduction of Electronic Clearing Service (ECS) has made life much easier. If you provide your insurer with your ECS, the monthly premiums will automatically get paid when it’s due.

5. Reveal All the Facts While Filling the Application

If you are person who is addicted to smoking or chewing gutka, then make sure that you mention these habits while filling the application form. Your insurance premiums will be 25-30 percent higher than a person who is a non-smoker.

It would be risky if you are not mentioning the crucial facts about certain habits that would affect your health. If your insurer finds out that you have not provided the authentic information about your health issues, he would go to the extent of rejecting your policy. So, do not let your insurance policy get rejected, just to save few hundreds.

Also Read:

These are the ways NRIs Can Invest in India

7 Smart Financial Moves Before You Enter the Age of 30