Insurance providers are becoming more customer-centric as a result of digitization and the latest technology advancements in the business. Term insurance can be purchased and renewed quickly and conveniently online.
A term insurance claim should be handled properly and quickly, with no complications. A simple death claim might assist a family who is already grieving the loss of a loved one. Term insurance’s main goal is to provide financial security during difficult times. Let’s look at the different types of claims and the documentation needed to file a claim on a term insurance policy.
Various Claim Types
Maturity Claim:
If the insured lives longer than the policy term and is eligible for a maturity benefit, a maturity claim can be filed for a refund of premium term plan.
Claim of Death:
When an insured person dies within the policy’s term, a death claim can be filed. The nominee or beneficiary of the policy receives the death benefit.
Claim of the Rider:
If you’ve added riders to your term plan, such as accident, disability, or critical illness coverage. You can file a claim for benefits in excess of the policy’s sum insured.
Documents Needed to File a Term Insurance Claim:
For the Purpose of a Death Claim –
The following documents are required to file a claim for the death benefit:
- A claim notification form filled out completely, including the date, location, and cause of death.
- Policy texts in their original form
- The municipal administration has attested the death certificate.
- Proof of the policyholder’s age
- Beneficiary’s ID proof
- Beneficiary’s bank account passbook or NEFT mandate must be attested by the bank with a cancelled check.
- Medical certificate or doctor’s statement as proof of death for natural death, and employer’s certificate
- Medical certificate, police FIR, and post-mortem report for unnatural or accidental death.
For a Quick Death –
It is considered an early death if a policyholder dies within three years of purchasing the policy. All of the aforementioned documents are necessary, depending on the cause of death.
Claim of Maturity:
- A properly signed discharge voucher from the insurance.
- Policy texts in their original form
- Id and proof of age of the policyholde
- Details of your bank account
Rider’s Claim:
Check with your insurer for a list of documentation required for the rider contained in your policy before filing a claim for rider benefit. In addition to the claim intimation form, original policy paperwork, id and age proof, and bank account information, these documents will be requested.
What Is the Process for Filing a Term Insurance Claim?
Notify your insurer right away to begin the claim settlement procedure.
- Complete the claim notification form.
- Provide the insurance with all of the documentation needed to resolve the claim.
- The claim is authorised when all of the paperwork have been verified.
- After all of the paperwork have been received and validated, the insurance settles the claim within 30 days.
To minimise any issues in the claim settlement process, the nominee of the term insurance policy should file the claim as soon as possible following the policyholder’s death.
When you are no longer with your family, the procedure of filing a term insurance claim might be stressful. So, after purchasing a term plan, the first and most important step is to educate your family on the policy, its characteristics, the sum assured, the benefits covered, the claim filing process, and the evidence needed for claim settlement. It will be much easier for your family to file a claim after your death if you do this. If you haven’t yet invested in a term plan, don’t put it off any longer because life is unpredictable.