Insurance FAQs – Common Questions Answered
Insurance can be confusing, especially when you are buying a policy or filing a claim for the first time. This page answers the most common insurance questions in simple language so you can understand how insurance works and avoid costly mistakes.
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01.What is insurance?
Insurance is a financial protection that helps you when something unexpected happens. You pay a small amount called a premium, and the insurance company pays for your loss in case of accident, illness, fire, or death, depending on the policy.
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02.Why do I need insurance?
Insurance protects you from large financial losses. Without insurance, you may have to pay hospital bills, repair costs, or business losses from your own pocket. Insurance gives you peace of mind and financial security.
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03.What types of insurance are important?
The most important types of insurance are:
- Health Insurance
- Car and Bike Insurance
- Term Life Insurance
- Fire Insurance
- Shop and Business Insurance
These cover your health, vehicle, property, and family.
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04.What is a premium?
A premium is the amount you pay to keep your insurance active. It can be paid monthly, quarterly, or yearly. If you do not pay the premium on time, your policy can become inactive.
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05.What is a policy?
A policy is the legal document that explains your insurance coverage. It shows:
- What is covered
- What is not covered
- Your premium
- Your claim benefits
- Policy duration
You should always read your policy carefully.
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06.What is a claim?
A claim is a request you make to the insurance company when you suffer a loss. For example, after an accident or hospital treatment, you file a claim to get money from the insurer.
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07.How do I file an insurance claim?
You usually need to:
- Inform the insurance company
- Submit required documents
- Allow inspection or verification
- Wait for claim approval
- Receive payment or repair
We help customers complete this process correctly.
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08.Why are insurance claims rejected?
Claims are rejected because of:
- Missing or incorrect documents
- Delay in reporting
- Wrong information
- Policy not active
- The loss not covered by the policy
Following the correct claim process helps avoid rejection.
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09.What is cashless insurance?
Cashless insurance means you do not pay the hospital or garage. The insurance company pays them directly, as long as the service provider is in their network.
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10.What is a waiting period?
Some insurance policies have a waiting period. During this time, certain claims are not allowed. For example, health insurance may not cover some diseases in the first few months.
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11.Can I have more than one insurance policy?
Yes, you can have multiple insurance policies. For example, you can have more than one health or life insurance policy.
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12.What happens if I miss a premium payment?
If you miss your premium, your policy may become inactive. This means you will not get claim benefits. Some companies give a short grace period.
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13.How do I choose the right insurance?
Always check:
- Coverage details
- Claim process
- Cashless network
- Company reputation
- Premium vs benefits
Do not choose only based on price.
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14.Insurance Knowledge Saves Money
Understanding insurance helps you avoid mistakes, reduce claim problems, and choose the best protection for your life and business. Always stay informed before buying or renewing any policy.
