General insurance is a legal agreement between you (the policyholder) and the insurer that protects you financially from losses other than death. A general insurance policy, in general, covers for financial losses suffered as a result of liabilities such as your home, vehicle, and travel.
Each general insurance plan, as well as its benefits, has been discussed in depth below.
1. Health Insurance
A health insurance plan pays for expenses incurred as a result of unforeseen medical crises. You can either make a cashless claim at a network hospital registered by your insurer or file a reimbursement claim after the treatment is completed. The following are some of the things that are commonly included in a standard health insurance plan in India:
● Medical bills and hospitalisation
● Critical illness treatment for enlisted treatment
● Procedures for daycare
● Coverage for maternity and newborns
● Pre- and post-hospitalisation expenses
2. Motor Insurance
Motor insurance protects your car financially in the case of damage or loss caused by accidents, theft, or natural or man-made disasters. Motor insurance is available for both personal and commercial cars. Moreover, the Car Vehicles Act of 1988 makes motor insurance a requirement.
In India, there are two types of motor insurance plans-
● Car Insurance Plan When your car is damaged in an accident or a natural disaster, a comprehensive car insurance policy, often known as motor package insurance, saves you money. It also protects your vehicle from theft or damage. In the case of an accident, you may harm others or cause property damage. Third-party liabilities are also covered by a car insurance policy. If you own a car in India, you must have third-party insurance.To stay on the right side of the law and be covered against car damage, it is critical to buy and renew your policy on time.
● Two Wheeler Insurance Plan A bike insurance policy is a financial safeguard for your bike. In India, whether you ride a scooter or a bike, you will require a bike insurance policy. Bike insurance comes in two varieties, similar to vehicle insurance: third-party bike insurance and comprehensive bike insurance. Because it only covers third-party liabilities, third-party bike insurance offers limited coverage. Comprehensive bike insurance is the best option if you want comprehensive coverage for your two-wheeler. You can also purchase add-on covers to expand the range of your comprehensive policy to meet your specific needs.
3. Travel Insurance
Travel insurance is a type of insurance that protects you against a range of dangers while you are on the trip. It pays for medical expenses, lost luggage, flight cancellations, and other calamities that a traveler may face while on the journey.Travel insurance is often purchased from the time of departure until the traveler returns to India. Buying Travel Insurance ensures full coverage in the case of an emergency while traveling to another country.
The following are some of the things that are commonly covered by a standard insurance plan:
● Loss of luggage
● Loss of a passport
● Accidental deaths
● Hijacking
● Flight delay/cancellation
● Sudden medical emergencies
4. Home Insurance Homeowners insurance (also known as home insurance) is a necessity, not a luxury. Almost all mortgage companies require borrowers to have insurance coverage for the full or fair value of a property (often the purchase price) and will refuse to make a loan or finance a residential real estate transaction unless proof of coverage is given.A home insurance policy has certain standard elements that specify what costs the insurer will cover, regardless of the fact that they are infinitely customizable.
5. Cyber Insurance Cyber security insurance repays companies for expenses, fees, and legal costs incurred as a result of cyber breaches. It also involves the loss or theft of client/employee information as a result of an organization’s data being hacked. A common example of a security breach is security breach. This is where cyber risk insurance enters the picture. It becomes a requirement as more companies rely on internet-based technologies to connect with potential clients and achieve their digital marketing goals. Cyber Insurance often covers-
- Notifying customers about a data breach
- Restoring personal identities of affected customers
- Recovering compromised data
- Repairing damaged computer systems
Factors Affecting Insurance Costs
The premium amount of your insurance policy is determined by a number of factors. The factors that are important in determining the costs of different policies in India are listed in the table below.
| Insurance Policy | Factors Affecting Premium Rates |
| Life Insurance | ● Age ● Medical conditions ● Profession ● Type of policy ● Habits of life ● Sum assured amount health |
| Health Insurance | ● Medical history of you and your family ● Amount insured in total ● Additional benefits and the type of health plan ● Your gender and age |
| Motor Insurance | ● The vehicle’s make and model ● Coverage types ● Covers for add-ons (if any) ● Vehicle year of manufacture (at the time of renewal or buying insurance for a second-hand vehicle) ● Driving history ● History of insurance claims |
| Travel Insurance | ● Coverage types ● Amount guaranteed ● Your age ● Your Health ● The location to which you’ll be travelling |
| Home Insurance | ● The house’s dimensions ● Home insurance coverage options ● Your home’s age and the technology inside it ● Residency area ● Sum assured amount |
| Cyber Insurance | ● Ransomware ● Rising Response Costs ● Increasing Replacement Costs ● Inadequate Cybersecurity Hygiene ● Lack of Incident Response Plans |
Conclusion
It is best to be well-versed in the features, benefits, coverage, limitations, cost, and other aspects of any type of insurance before buying it in India. Moreover, the insurer you choose for the policy should be dependable. Their claim settlement process must be simple and quick.