Top 5 biggest life insurance myths

Breaking News - There are several misconceptions about life insurance. It is a popular notion that older or married individuals with kids should invest in one, or that the insurance only offers post-death benefit. Here we debunk some of the biggest life insurance myths…

Life insurance policy is critical to any financial planning. Yet it is never prioritized and is often considered complicated to decode. But it is always a good idea to invest in life insurance, more so sooner than later. Especially, since not having one when you need it can be devastating.

While there are quite a few common myths about life insurance myths, here is a list of the five biggest ones.

Myth 1: Single, without dependents. I don't need coverage

Myth 2: Too young to think about coverage

Myth 3: Only men need life insurance

Myth 4: Insurance is of no use unless you die

 

Myth 5: Better to invest the money rather than lock it up in life insurance of any kind

Read Article Source>>>

---

Be Updated on Stock Market News  &  Latest Business News  |  Business Standard

ICICI Prudential Life IPO subscribed 10 times

The Rs 6,000-crore initial public offering (IPO) of ICICI Prudential Life Insurance Company, the biggest in six years and the first by an insurance company, attracted strong demand from investors. The IPO saw nearly 10 times more demand than shares on offer with bids totalling about Rs 45,000 crore.

Demand was particularly strong from institutional and wealthy investors (those applying for more than Rs 2 lakh). The retail portion, however, was subscribed just 1.3 times. The IPO also had special reservation for individual shareholders of ICICI Bank. The shareholder portion saw 12 times subscription.

The price band for the IPO was Rs 300-334 per share. Given the demand, the IPO is likely to be priced at the top end, valuing the insurer at Rs 48,000 crore.

ICICI Prudential Life’s strong brand, leadership in the private life segment and attractive valuation against its peers (HDFC Life and Max Life combined) attracted investors.

On March 18 enterprise value (EV), ICICI Prudential Life was valued at 2.45-2.73 times, 20-30 per cent discount to the multiple of HDFC and Max Life combined, according to the Nomura report.

Retail participation was low as most demand for the IPO came just hours before the close, said experts. “The issue was barely subscribed two hours before close. As retail investors take cues from others, they didn’t participate thinking the issue is read full story