Home Insurance Policy

Buy Home Insurance Policy Online

 1. What is home insurance policy?

Home insurance is a type of property insurance that covers losses caused by fire, natural disasters, burglary or terrorist attacks. The policy has two layers -it pays for re construction of the structure and for loss of contents in the accident.

Structure insurance would pay for physical structure of the build ing, home or apartment.

It does not pay the cur rent market value of the house or the building but only the cost to reconstruct it. Content insurance pays for belongings like furniture, televi sion, refrigerator and jewellery . Some policies also pay for alternative accommodation when the structure is being re constructed.

2. What are the exclusions?

In case of jewellery , there is a cap on how much an insurer pays under the policy . Home insurance policy pays for bur glary but not for losses due to theft. Also, one has to file an FIR to get claim. Second, insurer may not pay for the actu al value of content but the depreciated value.

3. Is it different from the policy bought by a housing society?

Housing societies generally buy insurance that covers the cost of reconstructing the structure of the building. The risk of damage to the content lies with the home owners.In very few cases, the builder or the society buys group property insurance.However, the exposure is limited.

4. What are the most common claims on home owner's policy?

Like motor insurance, home in surance is not mandatory .

Typically , insurers have seen huge home insurance claims from events like earthquake and floods. Most recently , the industry had paid for home insurance during the floods in Chennai.In India, the economic losses are six times that of insured losses. In 2015, there were 25 natural catastrophic events. According to a Swiss Re report, the severe flash floods in Chennai in November last year were the largest disaster, causing estimated economic losses of $2.2 billion whereas insured losses were around $755 million, making these floods the second costliest insurance event in India on sigma records.

5. How big is the industry and what are the parameters to look for while buying home insurance?

The home insurance industry is less than `500 crore. There are 33 crore houses in India, of which around 12 crore are insurable. The premium potential of home insurance is around `5 lakh crore. While buying home insurance policy , one must look into the level of cover required and the cost of items covered. One also needs to review contents every year, depending on the valuables added or value depreciated.

For further information contact SaveTaxGetRich on 94 8300 8300

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You can write to us at

Invest [at] SaveTaxGetRich [dot] Com

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Call us on 94 8300 8300

Capital Gain Account Scheme

 





1 CGAS allows you to park sale proceeds of a property without capital gains tax liability, provided another property is bought within 2 yrs of sale or built within 3 yrs of the sale.

2 To be eligible for this exemption, account must be opened and funds must be deposited therein before the due date of filing of the seller's income tax return for the relevant financial year.

3 The account under CGAS must be opened with an urban or metro branch of any bank pre-specified by the government.

4 Sellers may open a Type A or Type B account. Type A works like a savings account and is suitable for those constructing a property.Type B works like a fixed deposit.

5 You can withdraw from CGAS by submitting an application in prescribed form. The funds must be utilized for payment towards property within 60 days of withdrawal.

6 Any unutilized funds lying in the account at the end of the prescribed period will be liable to income tax as capital gains.

For further information contact SaveTaxGetRich on 94 8300 8300

OR

You can write to us at

Invest [at] SaveTaxGetRich [dot] Com

OR

Call us on 94 8300 8300

My Tax app

The My Tax app is being developed in-house by the Income Tax Department.

The Income Tax Department will soon launch a mobile app that will act as a portal for almost anything I-T-related. From payments, tax deducted, to communications from the department, everything can be managed through the My Tax app.

It is being developed in-house, a government official. The individual's profile will be mapped to the permanent account number (PAN), allowing the collation of all tax-related information, including deductions by third parties, pertaining to that login. Taxpayers will also be able to respond to queries from the I-T Department or file complaints via the app, which is being developed by the Central Board of Direct Taxes (CBDT) to make the administration non-intrusive and taxpayer-friendly. It will complement similar initiatives by the board such as online scrutiny, which allows tax officials to seek details of transactions and get responses by e-mail.

The department recently unveiled Aaykar Setu, a new taxpayer service module that will have mobile and desktop versions. The app will provide various services such as PAN, TAN (tax deduction and collection account number) and tax payments.

The My Tax app will be personalised, but it's not clear whether tax-filing facilities will be available immediately.

The I-T Department is keen on the initiative as it believes convenience and simplicity are key to alleviating fear of the taxman and widening the tax base, having adopted the motto that taxpayers must be treated as customers.

Prime Minister Narendra Modi has sent a clear message to the tax authorities that they need to ensure that taxpayers do not fear the department.The department is working on a number of initiatives to improve its image.

The department is working on jurisdiction-free assessment, which means a taxpayer will not be linked to a particular ward or assessing officer. Assessment, if any, can be done anywhere in India, reducing the scope for interaction and harassment.