E insurance: What it is…?
Before answering this question let me ask,
Do you have yourself insured…?
If yes, then,
Pat your back, as you have secured your financial future.
You have not only cared about yourself but have shown a sense of responsibility towards your family.
If you have yourself insured already then you must be facing one big problem, problem of handling your policy documents.
People always fear of losing their insurance papers.
They are scared of 3 things:
1. Physical damage:
You have to carry your insurance policy for life.
There is a greater possibility that there can occur a physical damage to your documents.
Insurance is not something that you do and forget. It’s an agreement you need to secure for years.
What if, rodents tamper your policy in these years? If so happens,
Then feel sorry,
You won’t be entertained by your insurer at the time of claim.
2. Documents misplaced:
Oh my God,
This is the worst nightmare…
Your family member is in the middle of emergency and you are hunting for insurance documents but in vain.
Though it’s a horrible mistake but is common too.
You don’t frequently lay your hands on your policy papers, thus misplacing them is easy.
We are living in a country where theft, cases of crime and violence are very common.
Though, law and order is there to keep a constant check on such activities. But still very often we witness such cases. Thus, considering anything safe in such an environment would be like “not facing the reality”.
Seeing this very problem, E-Insurance was introduced.
Let’s check out what it is…? So,
What is E Insurance…?
Here “E” stands for electronic and thus is Insurance in an Electronic format. Under E-insurance your documents are digitalized and thus become accessible with a click of a button.
This means that,
You deal with less paper work and there remains no fear of your documents being stolen or damaged at all. Whatever you want would be just a search away, just open your laptop and there you have it.
Now how simple is that…!
It’s very simple,
You open your E-insurance account like you open up your Demat account for share trading. And you have all your Insurance documents stored digitally.
Holding too many policies from different insurers…?
You can have all of them digitalized under one account. This relieves you from buying and managing different E-insurance account.
Who will open my E-insurance account…?
To keep things simple, easy and accessible to everyone, the insurance regulator IRDA has authorized 5 major players the right to open “E insurance” accounts.
You can choose any of them, on the basis your accessibility. The companies you can make your choice from are:
- National Securities Depository Limited (NSDL): It basically deals with National Stock Exchange and is meant to hold securities digitally. Their database management unit is now authorized to hold insurance policies electronically.
- Central Insurance Repository Limited (CIRL): They are registered under companies act 1956. They are also certified from IRDA and are fully authorized to continue as Insurance Repository. Thus, you can have e-insurance account with them under full faith.
- CAMS Repository Services Limited (CAMSRep): It is one of the major providers of Insurance Repositories that is licensed by IRDA. They are different than their competitors in a way that:
- They are neutral entity thus confidentiality is guaranteed, and
- They have a presence in over 265 locations in India, which is larger than any entity.
- Karvy: They are among the top 5 financial servicing firms that services around 70 million investors. Services they offer:
- Distribution of financial products,
- Commodities broking,
- Personal advisory services,
- Merchant banking,
- Wealth management and
- Data management services.
- Stock holding corporations of India Limited (SHCIL): The company was incorporated in 2006 and now has over 250 branches within India. Their primary job is to digitalize document and maintain records. Since digitalizing securities is their only focus, thus this keeps them highly result oriented.
How you can get your account activated…?
The procedure is very much similar to how you open your Demat account.
Follow these simple steps and you will have your account up and running in no time.
- First, head on to your chosen insurance repository from where you want your policy digitalized.
- Fill out the application form with them.
- Submit all your necessary documents like: your address proof, ID proof, cancelled cheque etc.
- You will have your account opened and activated within 7 working days.
- On activation you will receive your welcome kit with a pin. Sometimes a pin will be sent separately. Use your
Upon activation of your account you would be ready to electronically secure your insurance policy.
What you would need to pay…?
You would need to pay nothing. Insurance repositories are paid by the insurance companies themselves whose documents are being digitalized.
You as a customer would be benefited for all the right reasons.
At the time of purchasing a new insurance policy, simply provide them with your E-insurance account number. And your policy will be reflected digitally within no time.
E insurance has all the good things to do to you. Thus, wait no more and get your account activated now.