We hardly hear people make such resolution but it is, nevertheless, important to do so. Opting for the right protection for your family, in the form of insurance policy, would help you resolve this.

However, you need to consider these key points while buying an insurance cover.

Insist on a financial-need analysis to understand the gap in your financial portfolio. This will help you bridge the gap by opting for the best-suited insurance solution. It studies your liabilities, assets, future goals, income, age and risk appetite.

It is imperative to thoroughly understand the policy details before finalising on a purchase. Study the product brochures, compare similar plans from other insurers and know its features, benefits and charges. Any insurance policy offers only what the product brochure states.

Ask for a ‘Benefit Illustration’ that gives you a clear indication on the policy details such as premium amount, policy term and the charges.

Under-insurance is as good as no insurance. The thumb rule is that your life cover should be ten times your annual income so that your family is not impacted financially in case something were to happen to you.

Match the term of the policy to your needs. You may want the policy to last as long as your dependents leave the nest or even till your retirement.

Buy a policy when you’re healthy. Older people and those not in the best of health pay a steep premium for life and medical insurance. The proposal form needs to be filled with accurate and complete information. Telling the truth will go a long way in ensuring a smooth claim-settlement process.

Study and research online to compare charges and features of competing insurers. Most of the insurers offer cost-effective online plans. It is easier to get quotes online that can help you make decisions effectively.

Do not get blinded by luring offers by unknown financial advisors. Check for credentials and insist on an ID proof while buying a policy.

Keeping these factors in mind will not only help you make the right decision but also secure you and your loved ones for life.