My deceased father had taken a life insurance coverage coverage from Life Insurance Corp. The insurer says it has paid bonuses accrued solely as much as the date of loss of life of the policyholder and has not paid any curiosity/bonus for the following interval, i.e., for the interval from the date of loss of life to the date of precise fee of the declare. In such a case, is the nominee entitled to obtain any curiosity/ bonus/profit on the overdue quantity of loss of life declare by the insurer?
—Name withheld on request
The Insurance Regulatory and Development Authority of India (Irdai) stipulates the interval inside which a life insurance coverage loss of life declare ought to be settled. The first requirement is that any info requirement have to be raised in a single go, and never piecemeal, inside 15 days of declare intimation. The insurer should decide inside 30 days of receiving the declare paperwork requested. If the declare is one which requires an investigation, then this have to be accomplished inside 90 days of the declare intimation and settled 30 days thereafter. For any delay past this, the insurer should pay curiosity at 2% over the prevailing financial institution fee. These circumstances are specified within the Protection of Policyholder’s Interests Regulation, 2017. Deviations in these necessities should be reported to the insurer’s board and are monitored very fastidiously. If these timelines have been breached, it’s best to complain to the insurer for fee with curiosity.
I’ve a floater mediclaim coverage of ₹3 lakh for the previous 4 years. I now have some well being points. Can I take a top-up plan any time, or solely on renewal, to extend my sum insured?
—Name withheld on request
A top-up plan works independently of the bottom plan. So, you’ll be able to take it instantly with out ready for renewal. A top-up plan carries a deductible. Claim as much as the deductible is just not payable and lowered from the general declare quantity. However, it doesn’t matter when you declare this deducted quantity from a base plan or pay it out of pocket. So, the interval of the bottom plan doesn’t have an effect on the top-up plan.
Insurers are usually reluctant to problem protection after a well being problem is recognized. In case you don’t get a top-up plan, you’ll be able to apply for a rise in sum assured on the time of renewal. Many insurers supply a one-level improve on the time of renewal with out full medical underwriting. However, always, be sure you disclose your well being situation precisely.
Abhishek Bondia is principal officer and managing director, SecureNow.in.
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