Better still, check with agents from rival insurers.

Insurance policies are essentially covers. Life insurance aims to provide for the policyholder's family in the event of his/her untimely death. But a subscriber must go in for only the necessary cover. A policy with little maturity value would not suffice for a family in a crisis. Over insurance is also better avoided because the returns are low in terms of savings alone.

Life insurance is basically for protection, and not for savings. The saving component in some of the policies only increases the cost to the consumer, but not the protection.

A policyholder can arrive at the optimumcover by taking into consideration his age, health status, occupational hazards, number of dependents, savings and, of course, his paying capacity. Premium payment is a long-term commitment. A default causes the policy to lapse. Even premature closure of a policy gets poor returns.

Similarly, in the case of property, a subscriber must insure for the actual market value of the property. Over insurance increases the premium, and under insurance cuts down the settlement. Both are unnecessary, and avoidable. And in the case of additions or alterations to the property, a subscriber should inform the insurer and pay up the additional premium, if any.

Whether it's a life or a general insurance policy, it's desirable to read the terms and conditions minutely, particularly the exclusionary clauses.

For example, the building and contents, and the baggage insurance policies don't cover valuables, like money, securities, stamps, bullion, deeds, bills of exchange, promissory notes, shares and stock certificates,business books, manuscripts and documents. Similarly, damages due to willful negligence or a pre-existing fault are excluded from the domestic appliance policy. The latter is the manufacturer's responsibility. Also, new purchases, which are made after the policy comes into effect, are not covered unless insured subsequently.

Insurance policies don't offer relief in the case of punishable offences either. A policyholder who is driving without a valid driving licence, in an intoxicated state or using the vehicle for an illegal activity is not entitled to any claim.

Likewise health insurance claims require policyholders to undergo treatment only at registered hospitals or nursing homes, which have at least 10-15 in-patient beds and a fully functional operation theatre. Run by qualified medical practitioners, the health centres are also required to be staffed with doctors and trained nursing staff.

In the event of domiciliary treatment, the period shouldn't exceed three days. Besides, domiciliaryhospitalisation claims are not entertained for diseases like, arthritis, asthma, bronchitis, chronic nephritis, diarrhoea, diabetes, dysentery, gout, hypertension, influenza, psychiatric or psychosomatic disorders, rheumatism and tonsillitis, etc.

Being informed about the finer-print terms and conditions of policies may not help a subscriber get a better deal because these are non-negotiable, but it can definitely help him in buying an appropriate policy, and hedging against the uncovered risk element. In untoward circumstances, it may turn out to be a major achievement.