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review on ICICI Lombard's Secure Mind policy


still the signs of recession clouds over us, which is making many of the fortune 500s making to close down their shops, we never know the surity job. when we loose job all of a sudden if there is any policy which can act as cushion to it here comes ICICI lombard's Secure Mind policy.This is a Unemployment insurance

This is a policy for these uncertian days if any one unfortuantely looses a job. this has a facility where you can still pay EMI with the help of this policy

What is so special about it?

Secure mind policy has three sections in it. 'Critical illness', 'Personal accident','loss of job' Out of them let us look at important stuff which is a loss of job. This will be alloted to only job holders. If you loose job all of a sudden first three EMIs will be borne
by insurance company. Loan types may vary from Home loans, creadit cards,personal loans etc..what ever may be loan types, you need to specify where ur emi should go to at the time of taking loan. it's worth specifying where max part of EMI goes to.

The policy is primarily meant for covering critical illnesses such as cancer, end stage renal failure, multiple sclerosis, stroke, paralysis and so on. But a closer look at the brochure reveals that within these diseases too there are stringent guidelines. For instance, the company will settle a paralysis claim only if there is a "complete and permanent loss of function of two or more limbs".

Job loss is an additional feature loaded to this policy that covers three equated monthly instalments for any one loan. But it is not as simple as it sounds. Here too there are pre-conditions that need to be dealt with. The job loss has to occur due to retrenchment, layoffs or for health reasons. For instance, job loss arising due to a company closing a division due on account of poor financial health or an action of public authority leads to a firm's closure.

The policy covers persons between the age of 20 and 45 only. The premium and sum insured depends on number of parameters. These include the loan amount, loan duration, policy tenure and age of the insured. The premium increases with the increase in any of the parameter.

The sum insured is determined on the basis of the outstanding loan. Say, a 35-year old has an outstanding loan of Rs 30 lakh, the sum insured will be Rs 30 lakh. The premium for a 5-year policy will be Rs 68,500.

When we look at the premium it is dependent on loan term,age,loan amount,age etc..

When you will be benefited..

If any recession is caused or firm is closed down due to govt decisions then this policy will apply. if comapnay puts you out on the grounds of health reasons also you can make use of it.

when it's not...

if you leave your job on your own, or you are retired otherwise if you are taken out on performance grounds..when you wrk beyond company regulations and u are taken out..you will not receive any befits.

How you will be paid
There are two methods to receive benefits of this policy. You can opt for entire claim at a time or else you can choose for it to be paid monthly. To max they will pay only 3 months of EMI. to facilitate this you need to specify your loan number at hte time of inception of policy. If you join in job or you get new job or if policy close which ever is earlier. then policy will end. You can also specify the max loan you need in the section3 of the form.

How to claim?

After taking policy if you need to use it, then u need to inform 30 days before you need to update policy issuer .and you have to submit filled in claim form. you have to also specify why they have removed you from the job stating the reason and etc..insurance agency may challege you for more document proof

Not for these people

self help groups

contact employees and employees who are on probation

if you do not have job at the time of taking policy

if you are temporarily suspended

if you are working on probation

Here is what Sanjay daatta's of ICICI lombard says words..

Due to recent financial jerks,everyone is inclined towards this . during this toughes situation worth having a policy.As this policy is also covered with critical illness and personal accident