How many life insurances can be claimed?

POSTED BY Dinesh Bhat ON January 24, 2013 10:23 pm COMMENTS (6)


How many insurance claim can be made simultaniously?

I was forced to go for a SBI policy on availing HL with them. With this I have a SBI smart shield term insurance with sum assured = 36L. But, I would like to have a LIC term insurance having sum assured > 60L as LIC has better claim ratio. If in case of unfortunate event (example : death/permanent disability), is this legal to go for submitting claim for both the policies?



6 replies on this article “How many life insurances can be claimed?”

  1. Dear Dinesh, at the time of purchasing the policy (be it term plan or ulip or traditional), details of your existing policies are demanded. This way you are already declaring your current policies to the new insurer. Now as & when claim happens, your family ‘ll submit the claim forms with all the existing running insurers & Out of all these insurers, original set of of documents ‘ll be filed with only one insurer & rest ‘ll receive the certified copies of these documents.

    Now as & when the claim is passed, each insurer ‘ll pay it’s claim amount.

    There is no such restriction of claim settlement as you are talking about.

    I can understand from where this miscommunication is coming. In case of accident rider, LIC & some other insurers do have a cap of 50L max. sum assured for Accident rider only not the basic cover. Basic cover is limit less. Please ask your advisor to keep him/herself updated.



  2. Dinesh Bhat says:

    Dear Ashal and FFC,
    Thanks for the information.
    2 Questions from my side :

    1. One of my finance advisers feels that, the claim can be submitted to all the policies but the claim settlement will be honored only by the policy having maximum sum assured and not from all.

    Example :
    If a person “A” has 3 policies of sum assured 30L, 25L, 40L and on submitting the claim in case of unfortunate event, the policy having max sum assured (40L) will be evaluating the documents submitted. If the agency rejects the claim due to some reason, the 2nd maximum sum assured agency will evaluate the document and the same procedure continues.

    Would you mind clarifying this information? Would also be great, if you can point me to official website like IRDA guidelines for the mentioned clarification.

    Question 2:
    Every insurance agency mentions the need of original documents to be produced during claim. Is this acceptable to produce duplicate copies (scanned/xerox) to other policies?

    I have already read your comment above. Just a clarification needed on the duplicate copies and how it should be (what procedures to be followed for attesting).



  3. Dear Bunker, when a claim is filed.the original set of documents ‘ll be filed with only 1 insurer & rest ‘ll get copies of these documents. The original documents holder insurer ‘ll certify on copies that originals are deposited with it. Rest is what dear FFC has already told you in prev. reply.



  4. Bunker Guide says:

    Who/which agency decides the common approval of the claim of all policy(ies) or common denial of all policyt(ies), especially if the policies were purchased from different insurers?

    Could it happen for eg that SBI Life and HDFC Life honor the claim filed but LIC and ICICI Pru Life deny the claim that was filed?

    1. When you submit a claim you need to inform all insurers about all policies that you have. So if one insurer suspects something they may inform the others and ask a detective agency to investigate. The findings of the agency may be passed on to everyone and all may reject or accept. It may also happen that one rejects and other accepts. But the claimant can file a complaint with ombudsman to resolve this.

      For many policies the claim can be an early one for one insurer and a normal one for others if taken over a period of many years. So the claim accepting or rejecting norms may differ.
      If misinformation was give to one insurer only then claims maybe rejected by them alone.
      Its complicated and may differ from case to case.

      Multiple claims with non-term policies should be easier to settle since sum assured will be relatively smaller. Multiple term policies with larger sum assured may cause delays in processing

  5. Dear Dinesh, for discussions sake, let’s assume, you are purchasing 12 policies of 5L Rs. each sum assured. How many out of these 12 policies, the claim ‘ll be given & how many rejected? Any Idea sirji???

    The answer to your query is very simple. One may have N no. of life insurance policies. As & when during the term of policies (here the word policies include all policies be it term cover, ulips, traditional…..), the death happens & thus claim is filed, the claim ‘ll be honored on all policies or in case of denial, common denial for all policies.



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