Two things are quite certain about life: one is death, and the other is the uncertainty of the future. To counterbalance the adverse effects of these certainties, a person buys an insurance policy, but purchasing a policy only potentially secures your future. The actual security comes when you or your family member make a life insurance claim and receive the insured money—either on the death of the insured or on the maturity of the policy. Whether you are the sole breadwinner of the family or a dependent, it is prudent to be aware of the basics of claim settlement procedure so you are not caught off-guard when the need arises
In the event of death, the nominee declared in the policy can claim the insured sum. In the absence of a nominee, a close relative of the insured can make the claim. Your insurance agent will guide you with the process so make sure to contact him at the earliest.
The first step is to fill out the claim form—this can be downloaded from the insurance company’s website or sourced from its local branch office.
In some cases, you may also need to furnish additional documents such as employer’s certificate, hospital certificate, post-mortem report, or police inquiry report.Once the insurance company receives the claim form with the aforementioned documents, it will verify the authenticity of the claim made. Upon satisfactorily verifying the claim, the company will intimate you about the status and payout the insured amount.
Did you know that the majority of life insurance policies are claimed upon maturity? A maturity claim can be made when the insured person outlives the term of the policy (i.e., end of policy term). In this case, the insured is entitled to receive his or her investment in the form of the sum assured along with any incentives, as may be applicable.
This is a relatively simple process, with minimal paperwork. Usually, 2-3 months before the policy matures, your insurance company will intimate you with the details and send you a discharge voucher. You need to sign the discharge voucher in the presence of a witness and send it to the insurance company along with the original policy and other documents for verification, following which your claim is processed.
We hope this information will make the process of claiming life insurance easier for you.
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