Term insurance issued in India has worldwide coverage


Can a life insurer terminate its term contract, which is approximately three years old, without notice or consent from the insured?

—Name hidden on request

No, once a plan is sold by an insurer, the insurer cannot make any changes to the plan. If you pay a regular premium, the insurer is required to keep your policy in force.

I intend to migrate abroad and I intend to acquire nationality there. I have term life insurance in India and my parents would continue to live in India (they are the applicants). Would the change in immigration and citizenship have an impact on politics or other conditions in the event of untoward incidents?

—Name hidden on request

Term life insurance issued in India has worldwide coverage. Thus, whatever your country of domicile at the time of a claim, the claim will be payable. The amount of the claim will be payable in India and in Rupees. Since your applicants are Indian residents, the claims process will go smoothly.

My friend bought a term plan 10 years ago, but he didn’t pick any candidates and died a month ago. There is no one in his family. Her parent also died a few years ago. How will the insurer settle the claim?

—Name hidden on request

A life insurance claim can be made even in the absence of a nominee. The legal heirs can make the request. To file the request, the heirs must present a certificate of inheritance. Such a certificate is issued on the basis of the deceased’s will or on the basis of the legal heirs identified by inheritance laws.

Abhishek Bondia is Managing Director and Managing Director of SecureNow.in.

To subscribe to Mint newsletters

* Enter a valid email address

* Thank you for subscribing to our newsletter.

Never miss a story! Stay connected and informed with Mint. Download our app now !!


Comments are closed.