property insurance in India

Insurance becomes an important aspect of owning a property. It provides financial security; a financial backup to the investment.

There are numerous Indian insurance companies offering insurance policies for property. One needs to know what one wants in order to get the best policy. To buy a policy one should consider:

- Is the policy worth the property?
- What are the clauses of the insurance, is it a safe deal?
- What has been the history of the insurance company?
- What are the formalities to be done to file a claim?
- How long does it take to release the payment?
- Will that be enough to compensate?
- What is the schedule of the payment of the premium?
- Is the premium amount affordable?

If these questions are answered satisfactorily, then one can think of buying an insurance policy. However, the most important factor that one should consider that one has to pay the premium on time and fully to avail all the benefits of the policy.

There are some policies that need complete payment of a number of premiums before any claim can be filed while some other companies can avail a claim even on payment of lesser premiums. The latter type should be preferred. A common clause of insurance is that no claim can be filed within six months of buying the policy.