Life Insurance Documents - Claim Life Insurance

Following is the list of documents required while applying for a life insurance policy:

• Duly filled Proposal Form
• Photograph of the Proposer/Life Assured (Adhaar Card, Voter ID Card, Passport etc.)
• Age Proof of the Proposer/Life Assured
• Photo Identity Proof of the Proposer/Life Assured
• Address Proof of the Proposer/LIfe Assured
• Medical Examination Report of the Proposer/Life Assured
• Income Proof of the Proposer/Life Assured
• PAN Card of the Proposer/Life Assured
  
  

Life Insurance Claims are broadly differentiated into three categories i.e. Maturity Claims, Death Claims, and Rider Claims. The claim benefits under life insurance are entertained by the beneficiary in the event of the untimely death of the policyholder.

Let us understand about each of these claims in detail.

1. Maturity Claims

Under the maturity claim process, the policyholder receives compensation from the insurance provider upon the plan maturity. The compensation consists of the sum assured along with any other incentives/bonuses.

To provide this benefit, the insurance company reaches out in advance to the policyholder along with a bank discharge form. The policyholder needs to fill in the details in the form alongside the appropriate documents and then need to send it back to the bank.

2. Death Claims

In case of death claims, the beneficiary needs to inform the insurer regarding the claim in written form at the earliest. The information should include the insured name, policy number, place of death, date of death, claimant name, etc.

NOTE: The claim intimation form can be availed by the beneficiary by visiting any of the nearest branches of the insurance provider or they can even do that by downloading from the official website of the insurance company.

Now, to settle the claim easily, you must submit all the required documents. The nominee needs to submit various documents including a death certificate, the insured’s age, an original policy document, etc.

Later, the insurance company is required to settle the claim within 30 days of all document receipts submitted by the policyholder. However, there would be a case, wherein the insurance company would need further investigation. Under this scene, the insurance company must complete its process within 6 months from the date of receiving the claim intimation in writing.

3. Rider Claims

Riders are known to be additional benefits provided by the insurance company by paying an additional premium amount alongside the standard insurance policy. A life insurance plan can be attached with various types of riders such as critical illness rider, accidental rider, hospital cash rider, waiver of premium, etc.
Under the rider claim procedure, different types of riders get settled through different means. Rider claims like accidental death, waiver of premium, etc are settled by following the procedure of death claim settlement. The rest of the rider claims can be resolved by submitting all the necessary documents along with a policy copy and a duly filled claim form.

Documents Required for Life Insurance Maturity Claims

You will need the following documents for life insurance maturity claims:

• Duly filled Policy Discharge Form
• Original Policy Document
• Photo ID Proof of the policyholder
• Bank Account Details (copy of bank statement/cancelled cheque)

Documents Required for Life Insurance Death Claims (Death Due to Medical Conditions)

Following is the list of documents that are required for life insurance death claims:

• Original Policy Documents
• Duly Filled Claim Form
• Nominee’s Photo ID Proof (Adhaar Card, Voter ID Card, Passport, etc.)
• Nominee’s Bank Account Details (such as bank statement/ cancelled cheque)
• Death Certificate issued by local authority
• Attending Physician’s Statement
• Treating Doctor’s Statement
• Medical Records

Documents Needed for Life Insurance Rider Claims

For life insurance rider claim, one should have the following documents handy:

• Doctor’s Report
• Original or Copy of FIR
• Original or Copy of Police Inquest Report
• Original or Copy of Postmortem Report
• Other Documents (as asked by the insurance provider)

Why Should You Pay Attention to the Documents Required for Life Insurance Application or Claims?

Each piece of information that you give to your insurance company is very important for seamless insurance policy issuance and claim processes. All the documents that are necessary for a life insurance plan hold great significance. While some of the documents are necessary for the purpose of claim settlement, others are needed according to the situation.

Highlighted below are reasons why you are required to pay attention to the documents needed for the life insurance application or claim process:

• Having all the required documents for a life insurance plan would help in easing the claim settlement process.
• The coverage amount can help your loved ones during a difficult phase, only if one provides all the mandatory documents while submitting applications for a life insurance policy.

What Needs to be Done If the Documents Required for Life Insurance Plan Get Misplaced?

In case, the policyholder misplaces necessary documents which may be significant at the time of filling a claim for their life insurance plan, then they must immediately lodge an FIR at their nearest police station. The next important step is to inform the insurance company regarding the missing documents required to register for a life insurance claim in order to avoid any future hassles.

Afterward, one must apply for a duplicate copy of documents required for a life insurance claim in the respective department and inform their insurer regarding the same.

These small steps if taken on time would help the nominee at the time of filing for the claim.

Reasons Why an Insurance Company May Reject Your Claim

Below mentioned are the top reasons that can lead to life insurance claim rejection:

• Inaccurate Information: Providing false details during the life insurance application process can result in claim rejection. Concealing habits such as smoking or drinking, inflating income, or omitting crucial personal details like age and weight may lead to denial when your loved ones need the coverage the most. Therefore, it is essential to be truthful and vigilant while filling out the application form to prevent unnecessary hassle for your family.

• Nominee Information: The nominee named in the policy receives the insurance benefits. Failing to provide or update nominee details can lead to claim rejection. People often name their parents when purchasing life insurance at a young age, but forgetting to update this information as circumstances change can result in denial.

• Delayed Filing: Although rare, delayed filing of insurance claims can lead to complications. While regulatory authorities may discourage outright rejection due to delays, insurers may delay payment or create hurdles for delayed claims.

• Avoidance of Medical Tests: Avoiding medical tests, especially for high-risk coverage or older individuals, increases the likelihood of claim rejection. Undergoing medical tests ensures that pre-existing conditions are considered in the coverage, providing transparency to both the insurer and the insured.

• Contestability Period: Life insurance policies often have a contestability clause, allowing insurers to investigate and potentially reject claims if a death occurs shortly after policy initiation. This contestability period, typically one to two years, is designed to address concerns of fraudulent claims. Deaths within this period, including suicides, may face increased scrutiny and potential denial.

• Type of Death: Life insurance policies have exclusions, and not all types of deaths are covered. Deaths resulting from hazardous activities, pre-existing diseases, natural calamities, terrorist attacks, or homicides may lead to claim rejection. Insurers carefully assess the cause of death, and policyholders engaged in high-risk activities may find their life insurance claims denied.

• Premium Payment Issues: Ensuring the timely payment of life insurance premiums is crucial. If you miss paying a premium and the policy lapses, the insurer can deny a claim. While insurers typically notify policyholders through emails and messages, it is the responsibility of the insured to pay premiums on time. A policy is active only when premiums are paid regularly, and a grace period, usually 30 days, is provided for missed payments.

Claiming Life Insurance With Ease

A life insurance plan is said to be one of the most sought-after options when we talk about safeguarding an individual's future needs. At the time of claim settlement, the claimant must go through the terms and conditions carefully and submit all the appropriate documents needed for solving the insurance claim. In case, one fails to do so then it would lead to a delay in claim settlement.

Claiming life insurance can be tricky, but knowing the right papers to have helps a lot. It's all about making things easier for the family left behind. So, keep your documents ready and ask your insurance folks if you're unsure. They're there to help, and getting things sorted makes a tough time a bit simpler. Always better to be ready!