7 Steps to Quicker Policy Issuance

• Keep PAN card, recent photo, and other KYC documents ready for KYC verification

  The KYC verification procedure, which takes just a few minutes or hours to complete, necessitates a list of documents. For KYC verification, keep a recent photograph, evidence of identification, proof of residence (Voter ID/passport/driving license/Aadhar card/MGNREGA work card), PAN, and proof of age.

  
  

• Share all your existing life insurance policy details

  At the time of filling out the proposal form for a new policy, details of all your life insurance policies must be submitted. The insurance provider will need to see your income records to determine whether you are eligible for life insurance. Thus, all life insurance policies from any company should be shared (including Bajaj Life Insurance’s).

  
  

• Provide your bank account details

  You should be aware that maturity/survival benefit payments made under your life insurance policy will be deposited directly into your bank account via an electronic payment method. As a result, policyholders should ensure that their bank account information is up to date, as the life insurance provider will require it to make the maturity/survival benefit payment through NEFT. Bank passbook copy/cancelled cheque/bank declaration with seal are examples of proof of bank account details.

  
  

• Fill nominee and other proposal form details carefully

  Avail the nomination facility and nominate immediate family members only. Avoid nominating others as far as possible. If the nominee is a minor, add an appointee who can receive the claim money during the minority of the nominee. Update/modify the nominee in case of events like the marriage of the life assured or death of the nominee, etc.

  Many customers prefer to purchase the policy from an insurance agent (or the relationship manager at the bank), rather than to buy online. While the agent can help you zero in on the policy to be purchased and complete the paperwork, it is advisable to fill out the proposal form yourself and/or ensure all the details mentioned in the form are correct.

  
  

• Submit valid income proof documents such as Form 16, salary slips, ITR, etc.

  Based on the papers you present as evidence of income, the life insurance company assesses the risk and your capacity to pay the premiums on time. A mismatch in the income statement may hinder your life insurance policy buying process. Submit the most recent three months' payslips, together with a bank statement showing all three salary credits, and/or the most recent three years' Income Tax Return (ITR), along with a Computation of Income (COI).

  
  

• Schedule a medical test, choose either the physical or video option.

  You must undergo a life insurance medical examination at the pre-login stage as part of the life insurance application process. The life insurance company will assess your health condition and risk profile based on the results of the medical tests. The insurer will provide a revised quotation for you, if required, based on the results of the medical examination.

  
  

• Disclose existing health conditions, if any

  For a smooth claim settlement, it is advisable to be honest about your pre-existing conditions and other relevant information in the application form. Yes, in some cases, upon disclosure of pre-existing ailments, you may not be covered until the waiting period has passed. However, it is preferable to this than having your claim denied later on account of non-disclosure. If you have any medical issues, please disclose them in the application to your life insurance company, as the policy is underwritten based on your health information. Because the insurer relies on you to provide accurate information, providing false information may result in the claim being denied.

  
  

• Be available for video pre-issuance verification call (PIVC)

  The pre-issuance verification call is a mechanism for life insurance providers to verify that the proposal requested meets the consumer's requirements. It is the insurance provider’s responsibility to conduct pre-issuance verification calls before issuing a new policy to ensure that the customer is aware of the chosen product and its policy terms and conditions.

  Insurers must ensure that PIVC contains important proposal data such as the sum assured, the premium amount due, the policy term, the premium payment term, and obtain customer confirmation. Therefore, be available to complete a video pre-issuance verification call through a link you will get on your registered contact number.

  
  

Key Takeaways

• Some of the quick tips while buying an insurance policy include keeping essential documents ready, sharing existing policy details (if any), and providing bank account information.
  
• You should also provide accurate nominee details and complete the proposal form carefully.
  
• Disclose any existing medical conditions truthfully and undergo a medical check-up if required.
  

Conclusion

Buy a life insurance policy that matches your needs and use the mentioned tips to expedite the issuance of your policy. Disclose all your personal, medical, and financial details accurately, and submit the required documents to ensure a smooth process.

FAQs

1. What is the average time taken for a policy to be issued?

The average time varies depending on the insurance company’s underwriting process and the specific details of your application. Further, if you have filled out the proposal form correctly, submitted all the documents, and undergone medical check-ups (if required), the policy can be issued quickly. Certain products, such as Saral Jeevan Bima, have specific waiting periods (e.g., 45 days), but this does not apply to all policies.

2. Can I update my nominee details after the policy is issued?

Yes, you can update the nominee details after the policy is issued by following the correct updating process.