- What is non-life insurance
- What it covers
- Types of non-life insurance
What is Non-Life Insurance?
Non-life insurance, also known as general insurance, refers to insurance policies that cover risks other than life. These policies provide financial protection against losses or damages to assets such as property, vehicles, health, and liability. Unlike life insurance, which pays out a sum upon the death of the insured or after a set period, non-life insurance covers specific events or incidents, such as accidents, theft, natural disasters, or medical emergencies.
In this article, we are going to discuss what is a non-life insurance policy along with the features and benefits associated with it.
Features of Non-Life Insurance:
- Non-life insurance policies are generally valid for one year. However, there are policies like health insurance where the tenure can go up to 3 years.
- Non-life insurance would not cover the entire cost of damage to the entity. It will only cover the fixed proportion of the loss. The remaining portion would be paid by the policyholders themselves.
- The Policyholder will have to pay the full premium amount before the issuance of the policy.
- In case the policyholder doesn’t raise any claim during previous years, they will be awarded a discount called No Claim Bonus, which refers to the additional discount on the premiums that will increase up to a certain limit.
Types of Non-Life Insurance policies:
Non-life insurance policies are classified into two different categories individual or group non-life insurance policies:
| Individual non-life | Group non-life insurance |
|---|---|
| Health insurance | Marine insurance |
| Motor insurance | Liability insurance |
| Home Insurance | Workmen insurance |
| Asset Insurance | Group health or personal insurance |
What are the examples of Non-Life insurance companies?
Non-life insurance companies or general insurance companies offer various insurance plans that assist policyholders in case of any loss such as, fire, burglary, or theft of their assets.
Here is the list of some non-life/general insurance companies in India:
- Bajaj Allianz General insurance
Bajaj Allianz General Insurance is a joint venture between Allianz SE and Bajaj Finserv. It started its operation as a general operation company in the year 2001. Bajaj Allianz General Insurance Company is the first company in the segment to introduce a Telematic device, that is to be installed in vehicles to determine usage. - Bharti AXA General Insurance
Bharti AXA General Insurance is a joint venture between Bharti AXA Enterprises (India) and AXA Group (France). It started its business as a general insurance company in the year 2006. Bharti AXA General Insurance offers insurance for all segments such as vehicle insurance, travel insurance, health insurance, and crop insurance. - Digit General Insurance
Digit General Insurance or Go-digit Insurance, India’s latest conglomerate non-life insurance company was founded in 2016. It is also the first digital insurer in India. Digit general insurance offers various non-life insurance services such as motor, health, home, travel, mobile, jewelry, etc. - Edelweiss General insurance
Edelweiss General Insurance or Zuno General Insurance started its operation in 2008. It has won the General Insurance of the Year award in 2016. Edelweiss General Insurance offers a range of insurance products such as home insurance, car insurance, travel insurance etc. - Aditya Birla General Insurance
Aditya Birla General Insurance is a joint venture between Aditya Birla Group(India) and MMI Group of Insurance (Africa). It started its operation as a general insurance company in the year 2001. Aditya Birla General Insurance offers various general insurance plans such as Motor, Health and travel insurance.
What are the differences between life insurance and non-life insurance?
For your instance we have made a quick comparison between Life insurance and non-life insurance:
| Parameters | Life insurance | Non-life insurance |
|---|---|---|
| Purpose | To cover the life of the policyholder. | To cover the entities apart from life such as health, motor, house etc. |
| Policy tenure | Long or whole life. | Short such as 1, 2 or 3 years. |
| Premium cost | Depending upon the age and lifestyle of life insured. | Depending upon the value of the asset. |
| Availability of riders | Yes in all plans. | Depends upon plan to plan. |
| Tax benefits | Yes, under sections 80C and 10(10D). | Yes, under section 80D for health insurance. |
How to buy a non-life insurance policy from PolicyX.com?
Following are the steps of how to buy non-life insurance such as health from PolicyX.com:
- Step 1
Visit the official website of PolicyX.com.
- Step 2
Click on the ‘Buy Now’ button aligned in the top right corner.
- Step 3
Click on the health plan options from the main page.
- Step 4
Choose the plan as per your preference.
- Step 5
Click on ‘Buy now’, and fill in the mandatory details such as Name, contact no, and e-mail ID.
- Step 6
Make payment, and download the premium receipt.
What are the different documents required to claim a Non-Life Insurance Policy?
In case of any unforeseen event, you need to file a claim to the insurer company for claiming the financial loss. The insurance company carefully examines the incident reported by you to understand the event better. Once the stage of examination is completed the insurer company will ask you to represent the following document for claim processing.
- Age Proof.
- Address Proof.
- Proposal form.
- Medical examination.
- Income Proof.
- Invoice of asset.
For more information, you can visit our article on claim assistance.
Final words
Either you are planning your next international holiday or just bought your new dream car. To enjoy every little moment you might need to live stress-free. For that, you can purchase non-life insurance to protect yourself from any financial burden. In case you are planning to buy non-life insurance such as health insurance for yourself, you can visit PolicyX.com. Our trusted financial advisors work 24/7 to resolve every possible query and provide you with the best general insurance plan.
What is Non-Life Insurance : Faq
1. What do you mean by non-life insurance?
Non-life insurance is the type of insurance that offers financial coverage to the assets of policyholder such as: Health, car, home, business and so on.
2. Which insurance companies provide non-life insurance?
Insurer companies such as Bajaj Allianz General Insurance, Bharti AXA General Insurance, Digit General Insurance, Edelweiss Life Insurance and more provide non-life insurance policies in India.
3. How to raise a claim in non-life or general insurance?
To raise a claim- You first need to inform the insurer and submit all mandatory documents.
4. Can I claim tax benefits in non-life or general insurance policies?
Yes, you can claim tax benefits in non-life insurance policies as per section 80C.
Life Insurance Companies
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Written By: Varun Saxena
I am a passionate content writer with over three years of experience in the insurance domain. An avid learner, I always tries stays ahead of the industry's trends, ensuring my writing remains fresh and includes the latest insurance shifts. Through my work, I strive to engage with targeted insurance readers.
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