They say, “Insurance is the subject matter of solicitation”; but you will be shocked to know the bitter truth behind those fancy lines.
Recenty there have been a flood of companies in insurance sector, even wondered what caused them to do this social service as they pretend? In simple term Insurance may be thought to be an agreement among different parties who contribute to a joint fund for protecting them from any possible future loss to any of them. It’s a noble idea, but the way it is practiced in India is not so noble. For example:
With the entry of private players, the main objective of insurance has become profit to the company rather then insured person. That’s what attacts most private players.
It has become a tool to save taxes, its like cheating to people who are fair in tax payments.
The main source of income, the Insurance agent is exploited to maximum, he is used as long as he is bringing new customers who are generally his relatives, commissions are a polite way of Hire & Fire stratergy. Its usually the unemployed people who become the target, even their relatives are targetted by unnecessary insurance policies.
Scheme like Mutual funds are added in insurance, which are in no way related to insurance and their return is bound to flutuate. How can it be called insurance as it itself is subject to risk.
The Insurance is a social need, it should be compulsory. The family need it in the absense of bread earner, it may not be left on the choice of bread earner. The insurance amount should be added to theincome tax, and be given as per their ITR when the need arises. For poor it should a free. Every family deserves to be insured.