How to file a life insurance claim

Filing a life insurance claim in India involves a few essential steps. Here’s a step-by-step guide to help you through the process:

1. Notify the Insurance Company

• Inform the Insurer: The first step is to notify the insurance company of the policyholder's death as soon as possible. You can do this by visiting the insurer's branch, calling their customer service number, or submitting an online notification if available on their website.
• Gather Basic Information: Have the policy number, policyholder's details, and death certificate handy, as these details will be required to initiate the claim.

2. Obtain the Claim Form

• Get the Claim Form: You can get the life insurance claim form from the insurer’s office, download it from their website, or sometimes request it via email.
• Select the Right Form: Insurers may have different forms for different types of claims (e.g., natural death vs. accidental death). Choose the one that matches your situation, or seek guidance from the insurer.

3. Prepare Required Documents

To support the claim, you’ll need to gather several key documents:

• Death Certificate: A certified copy of the death certificate is essential to initiate the claim process.
• Policy Document: The original life insurance policy document should be submitted as proof of the policyholder’s agreement with the insurer.
• Claimant’s Identity Proof: The nominee or claimant must provide valid ID proof (such as Aadhar, PAN, or passport).
• Proof of Relationship with the Policyholder: This can be an Aadhar card, birth certificate, marriage certificate, etc.
• Medical Records and Hospital Records (if applicable): If the death was due to an illness, the insurer may ask for medical and hospital records.
• Police Report and Postmortem Report (in case of accidental or unnatural death): If the death was due to an accident, suicide, or any unnatural cause, these documents may be required.

4. Submit the Claim Form and Documents

• Visit the Insurer’s Branch: Submit the completed claim form along with all the required documents to the insurer's local branch. The insurer’s representative will check that all documentation is in order.
• Online Submission (if available): Many insurers offer online claim submission services. Upload scanned copies of the documents and complete the digital claim form if this option is available.

5. Follow Up on the Claim

• Keep in Touch with the Insurer: After submitting the documents, stay in contact with the insurer’s representative for updates on the claim processing. They may contact you if additional information or documents are needed.
• Track Status Online (if available): Some insurers provide online tracking for claims, allowing you to check the claim status on their website.

6. Receive the Claim Settlement

• Claim Settlement Timeline: According to the Insurance Regulatory and Development Authority of India (IRDAI), insurance companies are required to settle claims within 30 days of receiving all the necessary documents. If additional investigation is required, they may take up to 6 months.
• Payment Mode: The claim amount is typically paid by direct bank transfer to the nominee’s account. Make sure you provide accurate banking details to avoid delays.

Types of Claims

• Maturity Claim: If the policy has reached maturity, the policyholder (if alive) can claim the maturity benefits by submitting the policy document and proof of identity.
• Death Claim: In case of the policyholder’s death, the nominee files the claim with the necessary documents.
• Rider Claim: If the policy includes riders (e.g., accidental death benefit, critical illness cover), these can be claimed by submitting the additional documents specified by the insurer.

Tips to Ensure a Smooth Claim Process

• Provide Complete Information: Ensure that all forms and documents are filled out completely and accurately.
• Follow the Checklist: Insurers often provide a checklist of required documents. Double-check this to make sure nothing is missed.
• Consult the Insurer’s Representative: If you are unsure about any aspect of the process, speak with a representative who can guide you.

Example

If Raj, a policyholder with a life insurance policy from LIC, passes away, his nominee (say, his wife) would notify LIC of his death, obtain and complete the claim form, gather documents like the death certificate, policy document, her ID proof, and proof of her relationship to Raj. After submitting these, she would keep in contact with LIC for any follow-up, and once the documents are verified, she would receive the settlement amount in her bank account within the IRDAI-stipulated timeline.

Conclusion

Filing a life insurance claim in India involves notifying the insurer, gathering and submitting required documents, and following up for a smooth claim settlement. Keeping documents organized and staying in touch with the insurer can help ensure a timely payout.