Disappointed with ICICI Pru GSIP , Will not get back any money after making Paidup ?

POSTED BY hbs ON February 28, 2014 10:05 am COMMENTS (11)

I have paid three annual premiums of ICICI Pru GSIP, where premium payment term was 7 yrs. But now wanted to convert the policy to paid-up, as three premiums are paid.

I was under the impression that in this case I will be eligible for Reduced Sum assured after policy tenure (15 yrs), as mentioned in the brochure. But now i am being told that even if we have paid three yearly premiums the policy will still lapse after two years and I won’t get anything on it later. This is not clearly mentioned in the policy documents whereas the paid-up thing is mentioned.

This was even told to me during policy selling that one can even decide to keep it paid-up, after paying three yearly premiums. I am feeling being cheated here but not finding a way ahead. Can anyone clarify if the policy terms actually imply that policy will lapse, even after being made paid-up.

Also, pls advice on options that I have now apart from continuing to pay the premiums. Thanks!

11 replies on this article “Disappointed with ICICI Pru GSIP , Will not get back any money after making Paidup ?”

  1. Rohit says:

    Dear Ones,
    As stated in subject line I am also stuck up with the ICICI Pru GSIP, where premium (60000/Year) payment term was 7 yrs
    I paid four premium now I dont know which option is to execute Surrender it or Paid up
    Please guide me which option to choose considering future value of money if invested in Equities

  2. ashalanshu says:

    Dear Hbs, I’m confirm that you can make it paid up. As you do not want to surrender, I’m asking you to put more prem. As simple as that.



  3. ashalanshu says:

    Dear Hbs, then continue with prem. paying.



    1. hbs says:

      Dear Ashal,
      So do you also confirm that even if we have paid annual premiums for three years, we cannot keep it as paid-up till the end of policy term ??

      Thanks for all your replies and taking interest in my query.

  4. hbs says:

    I have that choice but as per my calculation for the reduced sum and tenure, i don’t have much options which gives similar post tax returns.

    Also, here moot point is that I am not being allowed to exercise a choice which is otherwise mentioned clearly in the brochure.

  5. ashalanshu says:

    Dear Hbs, I’m also referring to same thing. What ‘ll happen if you opt to surrender now and invest the surrender value else where. Can you not get more than the paid up value? check on your own.



  6. ashalanshu says:

    Dear Hbs, why are you not opting for surrender of the policy?

    Based upon the info in this link, the paid up value ‘ll be assigned.

    iciciprulife. com/public/Brochures/GSIP_brochure_FINAL.pdf



    1. hbs says:

      If I opt to surrender then the surrender value is calculated as 35% of premium paid excluding first year, which isn’t making much sense to me.

      I was planning to utilize the clause mentioned in brochure as below —

      “What happens if I discontinue my premiums?
      Your policy will acquire a surrender value on payment of premium for at least 3
      policy years.
      If the policy has acquired a surrender value and no future premiums are paid,
      the policy may continue as a ‘Paid-up’ policy for a reduced Sum Assured (Paidup
      Sum Assured), as indicated below:
      Paid-up Sum Assured (PUSA) = GMB X (Total number of premiums paid /
      Total number of premiums payable)
      The policy will however not be eligible for any further RA. In case of death, the
      nominee would receive a reduced death benefit which is equal to GDB X (Total
      number of premiums paid / Total number of premiums payable).”

  7. ICICI Prudential says:

    Dear Sir(NBS),

    We regret the inconvenience caused. We request you to help us with your contact and policy details to assist you .

    Alternatively, you may also post your concern along with your policy details on https://onlinelifeinsurance.iciciprulife.com/digital/ipru/GrievanceRedStep.htm?execution=e2s1
    Request you to quote the reference number 118294 whilst sharing the details. Post receipt of the requirement, our representative will get in touch with you within 48 hours.

    ICICI Prudential Life Insurance

    1. hbs says:

      The link given doesn’t work.
      Also, I have already discussed this multiple times with ICICPru helpline but this is what was communicated to me – policy will lapse.

      Can you elaborate here whether or not it is factually correct that policy will lapse even incase of premiums being made for three policy years.

      1. ICICI Prudential says:

        Dear Sir(NBS),

        Sorry for the inconvenience caused. Could you please register your concern on the updated link below: https://onlinelifeinsurance.iciciprulife.com/digital/ipru/GrievanceRedressal.htm

        Alternatively, you can provide us your policy details to look into your concern on priority.

        We appreciate your patience.

        ICICI Prudential Life Insurance

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