Life Insurance Guide

Free Download Important Questions, Help & Guidelines for Life Insurance Policy Buying & Alterations Formalities in UK, USA, India in word/ .doc / .pdf Format

"What is the importance of the policy document?"

The policy document is a legal proof of the life insurance contract between the Policyholder and The Company. Hence, it’s a very important contract and needs to be kept safely. The policy holder will need to submit the policy document to the company when he/she has to apply for any of following:

Assignment
Claims

Any notice, information or instruction to the Company must be in writing and delivered to the address intimated by the Company to the policyholder.

"When does Policyholder need to alter his/her Personal Details in the policy document?"

Personal details need to be altered if there is a misstatement in the date of birth, any change in name, address for communication, or any other contact details mentioned in the policy document.

"How should a policyholder notify the Company of address changes in his/her policy document?"

In case of an address change in Policyholders’ policy document, he/she must submit a signed request letter, mentioning the details of their old as well as new address or contact numbers, along with the policy number which is mentioned in their policy document.

"When does a Policyholder need to alter his/her date of birth?"

There could be three reasons for altering the date of birth in the policy document:

An error on the original proof of age contracts submitted
Proof of age not being available at time of issue
An Error in the Policy document

"What is Assignment of a policy?"

An Assignment is the transfer of interest under the policy by the Assignor (policyholder) to the Assignee.

"Who is a Nominee?"

A Nominee is a person appointed by the policyholder (where the life insured and the policyholder is the same person), to give valid discharge to the Company in respect of the benefits payable under the policy in the event of the death of the Life Insured.

"Who can appoint a Nominee?"

The policyholder can appoint a Nominee at the time of taking a policy document. If desired the Nominee can be changed subsequently.

"Can a minor be a Nominee?"

Yes, a Minor can be a nominee. But since a minor is not eligible to enter into a valid contract, the Policyholder needs to appoint a guardian for such nomination.

"How can the Life Insured nominate / alter nominations / cancel the nomination?"

In case, Policyholder has not made any nominations in his/her Proposal Form, he/she can make a nomination later by filling out Company’s official nomination form. This form can also be used to amend any of their earlier nomination/s. This would automatically cancel the earlier nomination /s.

"When does a Policyholder pay his/her renewal premiums?"

Renewal Premium should be paid annually in advance on the policy anniversary date. However if the mode of payment selected is half yearly, renewal premiums should be paid at these intervals, on the date indicated in the policy document.

A grace period of 30 days from the due date of premium payment is allowed. If the premium is not paid on or before the expiry of the grace period, the policy will lapse.

"What happens if Policyholder does not pay his/her premiums on due date?"

If Policyholder fails to pay premiums within the grace period of 30 days:

If premium payments are stopped due to any reason after two full years’ premiums have been paid, the Company will keep the basic policy in force for a period of one year from the date of first unpaid premium. During this one year period the Company will cancel enough units to pay for the cost of maintaining the cover and for administration. At the end of this period, if the policy has a cash value, it will be converted into a “paid-up” policy. In such a case, no further premiums would be payable and the amount payable on death or maturity will be equal to the Cash Value of the policy. At each anniversary, the Company will cancel enough units to cover the administrative cost of maintaining the policy.

If only one premium is paid, the policy will lapse.

"What is Revival of a Policy?"

In case of a lapsed policy, if any Policyholder would like to re-instate his/her policy, the Policyholder needs to revive the policy.

"How will the Policyholder revive the lapsed policy?"

A Policyholder can revive his/her lapsed policy, by making an application to the Company, within a period of two years from the due date of the first unpaid premium and before the maturity of the policy. Any request for revival after this may be accepted or declined at Company’s discretion or subject to such terms and conditions as it deems fit.
The revival of the policy will be effective after Company’s approval is communicated in writing to the Policyholder.

"Can a Policyholder apply for a duplicate policy document?"

Yes, in case the policy document is lost, stolen or destroyed / mutilated, a Policyholder can apply for a duplicate copy. Once a duplicate policy document is issued by the Company, his/her original policy document / earlier duplicate policy document, if any, shall become null and void.

"What are the documents needed in order to apply for claims?"

In case of maturity of the Policyholders’ policy or a claim becoming payable, the original policy document and proof of age of the Life Insured (if the age was not already admitted) will need to be submitted to the Company.

"In case of death, the following requirements are to be fulfilled'

Claimant Statement
Attending Physician’s Report
Copy of National Identity Card
Copy of Death Certificate issued by the Municipal Corporation or the Union Council

"Additional requirement in case of accidental death"

Copy of FIR and Post Mortem Report & Newspaper clipping

"In case of disability, the following requirements are to be fulfilled"

Disability Claim Form
Attending Doctor’s Statement
Accident and Sickness Claim Form

"Additional requirements (in case of fractures or amputations)"

X- Ray films and reports

"In case of Critical Illness, the following requirements are to be fulfilled"

Critical Illness Claim Form
Copy of National Identity Card
Relevant Medical Attendant’s Report
Proof of Diagnosis


"Where will the Policyholder be paid his/her claims?"

The amount due under any policy is payable at the Company’s Head Office. However, the Company at its absolute discretion may fix an alternative place of payment for the claim at any time before or after the policy has become a claim. 

Download Important Information on Life Insurance Policy