E-Insurance policy: Benefits of holding an e-insurance policy

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Updated: Nov 27, 2020 12:40 PM

All transactions and documents of any of your policies and related information will be stored in just that one place and you will have information regarding your policy in your e-insurance account.

health insurance, Corona Kavach., digital insurance, e-insurance policy, e-insurance account, online insurance policy, health insurance plan, COVID-19 pandemic, health cover, Mediclaim plansAs all the processes of documentation are in digital form, eliminating the need for physical documentation, this method also turns out to be extremely eco-friendly.

E-insurance or electronic insurance is an online account that works more or less like a Demat account. With an e-insurance account, you will be able to keep all your insurance policy documents in an electronic format, safely for the future.

All transactions and documents of any of your policies and related information will be stored in just that one place and you will have information regarding your policy commencement dates, maturity status, nominations, address, terms, and conditions in your e-insurance account. Having said that, any time you need anything, you could just download a copy of the same easily.

According to industry experts, there are various benefits of holding an e-insurance policy. For instance, it’s not only convenient, it’s also eco-friendly and cost-efficient, at the same time reduces fraud.

Here are some of the benefits of holding an e-insurance policy;

  • Buying an insurance policy online eliminates the commission charges for the policyholder that is associated with an insurance agent. The policyholder, therefore, gets the insurance policy at a low premium. Hence, purchasing an insurance plan online becomes cost-efficient.
  • Additionally, the insurance company usually pays for all the costs associated with the conversion of all paper-based policies in the online form, the policyholder does not have to pay any extra charge for the e-insurance policy.
  • As a policyholder, having an e-insurance accounts turns convenient as all your needful insurance plans, including your health policies, investment plans, pension plan, etc. will be on a single platform. Any kind of policy that is stored in an e-insurance account, are referred to as e-insurance policies. You will also be able to access these policies whenever and wherever you need it.
  • According to experts with e-insurance accounts, the chances of agency fraud have become low. There have been various cases in the past where insurance agents misguide their customers and ask for money and mismanage their funds. Having an e-insurance policy reduces such agency frauds.
  • With an e-insurance account, you will also be well informed about all your transactions and management of money. Additionally, as there will be no presence of an insurance agent with the e-insurance format policy, all the funds such as premium payment, etc. will be directly transferred to the insurance company.
  • Note that, with an e-insurance account all your financial documents remain safe and secure, unlike a paper policy, where the chances of loss and damage are more. Hence, an e-insurance policy saves the policyholder from unnecessary paperwork and safeguards him/her against loss of policy or theft.
  • With an e-insurance account, you will not be needed to go through KYC verification all over again, while buying a new policy – unless there is a change in your KYC details. While buying a new policy, you could just mention your e-insurance account number, which will suffice the requirements.
  • As all the processes of documentation are in digital form, eliminating the need for physical documentation, this method also turns out to be extremely eco-friendly.

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