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What is the procedure to have a duplicate policy issued in case the original has been misplaced?

What do we mean by Assignment of an Insurance policy?

What is the procedure to change the Address/Contact information?

What is the procedure to make alterations in policy?    

What is procedure to revive a policy?

What is procedure to get loan on policy?

How to get maturity claims?

How to file Death Claims?

About Double Accident Benefit Claims.

About Disability Benefit Claims.

Claims Review Committees.

What is the procedure to change premium payment method?




What is the procedure to have a duplicate policy issued in case the original has been misplaced?

A duplicate policy confers on its owner the same rights and privileges as the original policy. The following are the requirements for issuing a duplicate policy:

1. Insertion of an advertisement at the policyholder’s cost in one English daily newspaper having wide circulation in the State where the loss is reported to have occurred. A copy of the Newspaper in which the advertisement appeared should be sent to the servicing office one month after its appearance. If no objection has been lodged with LIC regarding the policy in question, a duplicate policy will be issued after complying further requirements, i.e., Indemnity Bond and payment of charges for preparing duplicate policy and stamp fee.

2. However, the requirement of advertisement and Indemnity Bond may be dispensed with or modified in certain circumstances as given below :

  • loss of policy by theft
  • destruction of policy by fire
  • loss of policy while in custody of an office of government
  • mutilated or damaged policy
  • policy in torn and a part of it is missing

What do we mean by Assignment of an Insurance policy?

Assignment of a life insurance policy means the act of transferring the rights of property in the policy from one person to another. The person who transfers his right is called the “assignor” and the person to whom the right is transferred is called the “assignee”.

There are two types of assignments:

  • Conditional Assignment whereby on the happening of a specified event which does not depend on the will of the assignor, the assignment will be suspended or revoked wholly or in part.
  • Absolute Assignment whereby all the rights, title and interest which the assignor has in the policy passes on to the assignee without reversion to the assignor or his estate in any event.

Assignment to immediate family member:

  • Assignment request form duly signed by the policyholder
  • Original policy document
  • If duplicate policy bond has been previously issued, then same should be collected

Assignment to third party relationship other than bank/financial institution

  • Assignment request form duly signed by the policyholder
  • Original policy document
  • Identity proof of the assignee
  • Address proof of the assignee
  • Proof of insurable interest (relationship to be established)
  • If duplicate policy bond has been previously issued, then same should be collected

Assignment to bank/financial institution

  • Assignment request form duly signed by the policyholder
  • Original policy document
  • Proof of insurable interest
  • If duplicate policy bond has been previously issued, then same should be collected.


What is the procedure to change the Address/Contact information?

The policy holder can send a request for change in Address /Contact details through a duly completed and signed policy service request form.. If there is a change in contact details, the STD code along with the contact number should be mentioned in the policy request form.


What is the procedure to make alterations in policy?

After the policy is issued, the policyholder in a number of cases finds the terms not suitable to him and desires to change them. LIC allows certain types of alterations during the lifetime of the policy. However, no alteration is permitted within one year of the commencement of the policy with some exceptions. The following alterations are allowed.

  • Alteration in class or term.
  • Reduction in the Sum Assured
  • Alteration in the mode of payment of premiums
  • Removal of an extra premium
  • Alteration from without profit plan to with profit plan
  • Alternation in name
  • Correction in policies
  • Settlement option of payment of sum assured by installments
  • Grant of accident benefit
  • Grant of premium waiver benefit under CDA policies
  • Alteration in currency and place of payment of policy monies

A fee for the change or alteration in the policy is charged by the Corporation called quotation fee and no additional fee is charged for giving effect to the alteration.

What is procedure to revive a policy?

If the premium under a policy is not paid within the days of grace the policy lapses. Revival is a fresh contract wherein the insurer can impose fresh terms and conditions. A policy can be revived under the following types of revival:
1. Ordinary Revival
If a revival of the policy is effected within 6 months from the due of first unpaid premium no personal statement regarding health is required and the policy is revived on collection of delayed premium plus interest. The rate of interest to be charged for such delayed premium will depend on the date of commencement of the policy.

2. Revival on non-medical basis
For revival of the policy on non-medical basis the amount to be revived should not exceed the prescribed limit for non-medical assurance taken by the life assured.

3. Revival on medical basis
If a policy cannot be revived under ordinary revival or revival on non-medical basis it can be revived with medical requirements. The medical requirements will depend upon the amount to be revived.

4. The other schemes for revival are

  •   Special Revival Scheme
  •   Revival by installment
  •   Loan- cum- revival
  •   Survival Benefit- cum- revival


What is procedure to get loan on policy?

The Corporation can grant a loan to the policyholder against his policy as per the terms and conditions applicable to the policy. The requirements for granting a loan are as under :

a) Application for loan with an endorsement of terms and conditions of the loan being placed on the policy.

b) Policy to be assigned absolutely in favour of the Corporation

c) A receipt for the loan amount

The maximum loan amount available under the policy is 90% of the Surrender Value of the policy (85% in case of paid up policies) including cash value of bonus.

The rate of interest charged on loans is at 9% to be paid half-yearly.
The minimum period for which a loan can be granted is six months from the date of its payment. If repayment of loan is desired within this period the interest for the minimum period of six months will have to be paid.
In case the policy becomes a claim either by maturity or death within six months from the date of loan interest will be charged only upto the date of maturity/death.       

Claims settlement procedure:
The settlement of claims is a very important aspect of service to the policyholders. Hence, the Corporation has laid great emphasis on expeditious settlement of Maturity as well as Death Claims.

The procedure for settlement of maturity and death claims is detailed below :

How to get maturity claims?

1) In case of Endowment type of Policies, amount is payable at the end of the policy period. The Branch Office which services the policy sends out a letter informing the date on which the policy monies are payable to the policyholder at least two months before the due date of payment. The policyholder is requested to return the Discharge Form duly completed along with the Policy Document. On receipt of these two documents post dated cheque is sent by post so as to reach the policyholder before the due date.

2) Some Plans like Money Back Policies provide for periodical payments to the policyholders provided premium due under the policies are paid up to the anniversary due for Survival Benefit. In these cases where amount payable is less than up to Rs.60,000/-, cheques are released without calling for the Discharge Receipt or Policy Document. However, in case of higher amounts these two requirements are insisted upon.

How to file Death Claims?
The death claim amount is payable in case of policies where premiums are paid up-to-date or where the death occurs within the days of grace. On receipt of intimation of death of the Life Assured the Branch Office calls for the following requirements:

a) Claim form A – Claimant’s Statement giving details of the deceased and the claimant.

b) Certified extract from Death Register

c) Documentary proof of age, if age is not admitted

d) Evidence of title to the deceased’s estate if the policy is not nominated, assigned or
issued under M.W.P. Act.

e) Original Policy Document

The following additional forms are called for if death occurs within three years from the date of risk or from date of revival/reinstatement.

a) Claim Form B – Medical Attendant’s Certificate to be completed by the Medical Attendant of the deceased during his/her last illness

b) Claim Form B1 – if the life assured received treatment in a hospital

c) Claim form B2 – to be completed by the Medical Attendant who treated the deceased life assured prior to his last illness.

d) Claim Form C – Certificate of Identity and burial or cremation to be completed and signed by a person of known character and responsibility

e) Claim form E – Certificate by Employer if the assured was employed person.

f) Certified copies of the First Information Report, the Post-mortem report and Police Investigation Report if death was due to accident or unnatural cause.
These additional forms are required to satisfy ourselves on the genuineness of the claim, i.e., no material information that would have affected our acceptance of proposal has been withheld by the deceased at the time of proposal. Further, these forms also help us at the time of investigation by the officials of the Corporation.

About Double Accident Benefit Claims.
Double Accident Benefit is provided as an inject to the life insurance cover. For this purpose an extra premium of Rs.1/- per Rs.1000/- S.A is charged. For claiming the benefits under the Accident Benefit the claimant has to produce the proof to the satisfaction of the Corporation that the accident is defined as per the policy conditions. Normally for claiming this benefit documents like FIR, Post-mortem Report are insisted upon.


About Disability Benefit Claims.
Disability benefit claims consist of waiver of future premiums under the policy and extended disability benefit consisting in addition of a monthly benefit payment as per policy conditions. The essential condition for claiming this benefit is that the disability is total and permanent so as to preclude him from earning any wage/compensation or profit as a result of the accident

Claims Review Committees.
The Corporation settles a large number of Death Claims every year. Only in case of fraudulent suppression of material information is the liability repudiated. This is to ensure that claims are not paid to fraudulent persons at the cost of honest policyholders. The number of Death Claims repudiated is, however, very small. Even in these cases, an opportunity is given to the claimant to make a representation for consideration by the Review Committees of the Zonal office and the Central Office. As a result of such review, depending on the merits of each case, appropriate decisions are taken. The Claims Review Committees of the Central and Zonal Offices have among their Members, a retired High Court/District Court Judge. This has helped providing transparency and confidence in our operations and has resulted in greater satisfaction among claimants, policyholders and public.

What is the procedure to change premium payment method?

The policy holder can send a request for change of premium payment method, through a policy service request form which should be duly completed and signed by the policy holder.

In addition, we would require any one of the following documents in case of auto debit methods (ECS/ Direct Debit or Standing Instructions to Credit Card)

For ECS/ Direct Debit

Duly filled and signed ECS/ Direct Debit Mandate form and original cancelled cheque.

For Standing Instructions to Credit Card

Duly filled and signed Credit Card Authorisation Form and photocopy of the front side of the credit card.

Points to be remember:

  • Method change request should be submitted at least 30 days in advance from the due date, for it to be effected.
  • If two successive payments / instructions in case of monthly premium payment mode or any one payment / instruction in case of quarterly / half yearly / yearly premium payment mode is not received / honoured, the Company reserves the right to automatically cancel/withdraw the facility of ECS/ Direct Debit or Standing Instructions to Credit Card.