Letters to the editor

The popularity of insurance plans for children seems amazing, especially its high market share of all policies issued (Handle With Care, February 2010). However, the story did not mention what the differences in procedure, documentation and premium are if a single parent or a child's guardian takes out such a policy. - ANIL BHARDWAJ, Kanpur
The procedure and premium will remain the same even if a single parent or a guardian takes out a policy. However, the documentation will vary. The proposer would be required to furnish relevant legal documents along with a declaration to justify insurable interest. Legal documents, such as divorce decree, custodianship papers or adoption papers, would also be required. Also, issuance of the policy will be at the discretion of the underwriters, based on the insurance company's understanding of the case.

The story on equity-linked savings schemes (Be Bullish on Saving Tax, February 2011) has rightly said that ELSSs are the best tax-savings instruments available under Section 80C. However, when the Direct Taxes Code (DTC) is implemented in March 2012, these funds would become irrelevant as both ELSSs and ULIPs are proposed to be excluded from the list of taxsaving options. The logic behind the move is baffling. It may be that the government wants to popularise its ambitious New Pension System (NPS). It is no secret that the NPS has failed to take off thanks to logic-defying low fund management charges and the government's reluctance to market the option adequately. Now, authorities seem to have decided to kill the competition from both insurance and mutual fund sectors using the DTC. - RANJEET PILGAONKAR, Mumbai

Get-paid-to (GPT) sites have also been used by scammers to make money from those looking to earn some extra cash on the Internet (20 Ideas to make Money Online, February 2011). How do you decide if a site is authentic? - PRAMOD T, Coimbatore
The easiest way to avoid a scam is not to pay any money to a GPT site. An authentic website will neither require payment for registration nor will they ask you to purchase an account upgrade to enjoy the full benefits of the site.