Claim is a demand on the Insurer to fulfill its promise. Claim is the last policy condition relates to the settlement of claim. Claim arises at maturity or at death, whichever comes earlier.
There are two types of claim in life insurance policies –
It is divided into two parts -
(a) Early Claim : Within 3 years from the date of issue of first premium receipt
(b) Non-early Claim : After 3 years from the date of issue of first premium receipt.
Normally Life Insurance Companies will require the following documents for settlement of Claim. However, companies reserve the right to call for other documents, if needed, for settlement the claim as early as possible.
- Prescribed Claim form
- Policy Bond
- Original death certificate
- Discharge voucher
- Hospital/last medical attendant's certificate
- Certificate of burial / cremation
- Employer's certificate in case the deceased was in employment
- FIR, Police Inquest Report and Post-mortem Report in case of death by accident
- Legal title of the claimant
- Any other document as may be called for, if required
In the case of Claims arising by maturity of the policy after specified term, the policy holder is advised well before the actual date of maturity in order that the necessary papers may be completed to allow the payment being made before the date of maturity. Following documents may be required for settlement of maturity claim.
- Policy Bond
- Discharge Voucher
- Deed of assignment, if any
After receipt of above papers, the cheque is prepared in favour of the policyholder and the same is sent before the date of maturity.