Disclose old policies for Term insurance

POSTED BY ronak shah ON March 26, 2013 4:02 pm COMMENTS (3)

I bought Term plan from LIC (Jeevan Amulya), I have declared all my active policies, but after reading this blog (https://www.jagoinvestor.com/2012/04/not-disclosing-old-policies-leads-to-claim-rejection.html) I checked my form (xerox with me) and in that  they required all the policies (active or closed within 3 years). but I did not give detail about closed policies. So can they reject claim and if Yes, then can I add my old closed policies?

 

 

3 replies on this article “Disclose old policies for Term insurance”

  1. Dear Ronak, let’s understand, why the need is to declare the lapsed policies in last 3Y. the reason is with minimum procedure, you may revive such policies. so there may be a situation, that you are having too much sum assured from current active & revived policies.

    Now once your new term cover is active & you do not intend to revive the lapsed policies , no reason to worry.

    thanks

    Ashal

  2. Closed polices should not be an issue for claim rejection. If you want to have peace of mind over this you can write a letter to the LIC branch which issued your policy and ask them to add to their records.

    LIC being LIC most people there will probably don’t worry it is not important! In this case I agree with them. If there is a need for a claim to be made the nominee will have to declare ACTIVE polices held at the time of death. So closed polices at the time of issue of the term plan should not matter.

    1. ronak shah says:

      thank you for your kind reply…

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