NRI Life Insurance Claim Intimation Process

Many NRIs (Non-resident Indians) purchase a life insurance policy in India for offering a financial safety net to their dependents. If you are an NRI, you can buy a life insurance plan of your choice in two ways, as discussed below:

Option 1

You can purchase a policy when you visit India. In this case, after you complete the purchase formalities and the insurer completes the underwriting, it will be considered as a standard policy availed by an Indian citizen.

Option 2

If you cannot visit India, you can purchase the policy from the country of your current residence through Mail Order Business. In this case, you must get the policy verified by a notary, an Indian embassy official, or an Indian diplomat. If you are a student, you can verify your policy from the university dean.

While buying an NRI life insurance policy, you may compare different plans based on the features and benefits they offer. And one such important feature you must consider is the claim intimation and settlement process.

The claim process must be simple so that the beneficiaries get the policy benefits without any hassles when the need arises. Generally, most reputed insurance companies require the nominees to follow a simple process, as discussed below:

• First and foremost, the nominee must inform the insurance company through a formal letter about the policyholder’s demise as soon as possible. Some insurance companies also allow claim intimation through their website and/or mobile application.
• Nominees can also intimate the policyholder’s demise through the insurance company’s helpline number or personally visit the insurance company’s branch office.
• Next, they must submit a claim request form with basic information like policy number, name of the deceased policyholder, place and time of death, cause of death, etc.
• The nominee must also comply with the documentation to support their claim request. While different insurers may have different document requirements, most insurers require the nominees to submit the following documents:
• A copy of the insurance policy
• Copy of the death certificate. If the death occurs outside India, the certificate must be verified by the Indian embassy located in the country of death.
• If the death certificate is in a foreign language, the nominee must translate it into English.
• Copy of police FIR, post-mortem report (this is required if the cause of death is due to an accident)
• Copy of the medical records and certificate issued by the doctor or the hospital stating the cause of death
• Document to prove the nominee’s relationship with the deceased policyholder

Based on the policy’s sum assured, cause of death and policy duration, the insurance company may request additional documents.

After receiving the claim request form and the relevant documents, the insurance company will verify the claim request and the documents before approving the request.

The claim settlement process may take a few days or weeks before the nominee receives the policy benefits. Generally, the insurance company transfers the sum assured to the deceased NRI life insurance policy holder’s NRO or NRE bank account. In some cases, the insurer may issue a cheque in favour of the nominee.

Final Word

If you are an NRI and hold a life insurance policy in India, you must educate the nominee about policy terms and conditions and the steps to follow while filing a request. Knowing the steps beforehand can help the nominee ease through the claim settlement process and avoid delays in getting the benefits.