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In the event of the death of the policyholder, the claimant (the nominee, assigner or next of kin) should immediately intimate the fact of such death to the Branch Office where the policy is serviced, along with the following particulars to help the corporation to consider the claim promptly.
(a) Policy number/s, (b) name of the life assured, (c) date of death and (d) claimant’s relationship with the assured.
Soon on receipt of the intimation of death, the Branch office concerned will send the necessary claim forms for completion along with instructions regarding the procedure to be followed by the claimant. The claim is usually payable to the nominee/assignee or the legal successor, as the case may be, However, if the deceased policyholder has not nominated/assigned the policy or if he/she has not made a suitable provision regarding the policy moneys by way of a will, the claim is payable to the holder of a succession certificate or some such evidence of title from a court of law. The corporation, however, may consider settlement of caims under such policies without insisting on legal evidence of title in favor of the natural heirs of the deceased subject to certain terms and conditions, to take care to see that the claim is paid to the correct persons.
The corporation grants claims concessions whereby payment of full sum assured is made, subject to the deduction of unpaid premiums with interest, and premiums falling due before the next anniversary of the policy, in the event of the death of the life assured within a period of six months or one year from the date of the first unpaid premium, provided premiums have been paid at least for three years or five years respectively.
The corporation also provides relief to the claimants under certain plans where, subsequent to the payment of premiums for two full years but less than 3 yeras, death takes place after the days of grace but within one year from the date of first unpaid premium.
adminInsurance
A contract of insurance is a contract of utmost good faith technically known as uberrima fides. The principle of disclosing all material facts is embodied in this important concept which applies to all forms of insurance.
The proposer, who is one of the parties to the insurance contact, has means of knowledge which are not accessible to the insurer viz. the corporation which is the other party to the contact. Therefore, it becomes the duty of the proposer to inform the insurer of everything likely to affect the judgment of the insurer, however unimportant it may seem to him/her (the proposer). Hence, the proposer should ensure that all questions in the proposal form are correctly answered.
It may be noted that in the ‘Proposal’ along with other related papers and the representation made for the grant of insurance, the proposer declares that he is furnishing full and correct information. Any misrepresentation, non-disclosure of facts/information which is material to acceptance of risk, or fraudulent information in any document leading to the acceptance of the risk will render the insurance contract null and void. In such an event, there is the possibility of the contract becoming invalid. Hence it is in the interest of the Policyholder and his dependants to give the correct and full information to secure the precious benefits of the insurance policy for his near and dear.