Many people misunderstand the principles behind Life insurance. Most of them believe that when they take out a policy thry will be guaranteed a payout at the end of the term. They tend to think that the insurance will cover every thing and that they can claim some money for completing the contract without making a claim.
This is not always the case. First of all, you have to understand what kind of insurance policy will serve you best. This mean asking an agent to explain all the types of policy available and what kind of cover is available. The following policies may apply to people living on Koh Samui.
1. Life insurance ( with or without saving ) 2. Health insurance 3. Accident insurance.
1.Basic life insurance offers either long term cover or full life cover. Both of these involve a relatively inexpensive premium and suit those who need high levels of cover over long periods. For example, a breadwinner that earn money for their family and wishes to manage an invesment for the future.
1.2 Life insurance with a saving policy ( Endowment ) involves a higher premium but at the end of contract the plicyholder receives a lumpsum rsther like a pension. Such policies are often used to cater for children's education cost.
2. Health insurance is essentially designed to cover hospital expanse. Premiums depend largely on the age of the policyholder, and whether they are male or female. The premiums are not high when compared with the cost of the treatments that they cover. However, at the end of the insurance period there is no return payment, even if no claims have been made.
3. Accident insurance is basically a system for paying lower medical bills in case of injuries occurring as a result of a mishap. As it is difficult to predicteither when or how serious an accident will be, this insurance covers everything from small to serious accident, whether on a motobike or in acsr. Most clinics and hospitals accept international accident cover, And this can also include loss of life.
An important consideration when making an application for insurance cover is that you give accurate health information and provide an honest history of illness. Some insurance companies will accept an independent medical check up beforehand , but most insurance policies will require a waiting period of 30 days for people whose applications include evryday illnesses , and from 120 days to 180 days for bad cases such as potentially terminal illness. Professional policies will include all such indications clearly so as to avoid misunderstanding, No insurance company will cover people who have suffered an illness since birth, and this also applies to accident insurance where existing conditions will not be taken into account. Policies will cover emergency medical expence in the hospital but will not include ongoing treatments.