Life Insurance Corporation of India (LIC) offers life insurance policies to individuals, groups, and trusts. The nomination process is important for LIC policyholders to ensure that their loved ones are able to claim the proceeds of the policy in case of an unfortunate event. In this blog post, we will discuss the nomination process in LIC and how to change a nominee in LIC.
What Is The Meaning Of The Term Nominee?
A nominee is a person who will receive the benefits of an insurance policy in case of the death of the policyholder. The nomination can be made at the time of purchase of the policy or any time during its tenure. A change in nominee can also be effected anytime during the policy tenure. Let’s understand how to do so:
Nominating a Person at the Time of Policy Purchase: At the time of purchasing a life insurance policy, you will have to fill out a proposal form wherein you will have to mention the name and other details of the nominee.
Possible Scenarios for Changing Nominee in a LIC Policy
LIC policies are a type of insurance policy that provides financial protection in the event of the death of the policyholder. The policyholder’s nominee is the person who will receive the death benefit from the policy. In some cases, the policyholder may want to change their nominee. There are a few different scenarios in which this might happen.
- If the original nominee dies before the policyholder, the policyholder will need to choose a new nominee. This can be done by contacting LIC and requesting a change of nomination form. The form must be completed and returned to LIC.
- If the policyholder gets divorced, they may want to change their nominee to their new spouse or another family member. Again, this can be done by contacting LIC and requesting a change of nomination form. The form must be completed and returned to LIC.
- If the policyholder moves to another country, they may want to change their nominee to a family member who lives in that country. This can be done by contacting LIC and requesting a change of nomination form. The form must be completed and returned to LIC.
- In some cases, the policyholder may simply want to change their mind about who their nominee should be. This can also be done by contacting LIC and requesting a change of nomination form. The form must be completed and returned to LIC.
It is important to remember that any changes to a nominee’s name must be approved by LIC before they take effect. It is also important to keep in mind that the nominee cannot be changed more than once in a policy year. If you have any questions about changing a nominee, please contact LIC directly.
How To Change a Nominee in LIC
The nomination process in LIC is simple and straightforward. A policyholder can nominate a person or persons to receive the proceeds of the policy in case of their death. The nomination can be made at the time of purchase of the policy or at any time during the tenure of the policy. The nomination form is available on the LIC website and can be downloaded and submitted to the nearest LIC branch.
Change in Nominee During Policy Tenure: If you want to change your nominee during the policy tenure, you will have to submit a written request to your insurer. The request should be signed by the policyholder and the new nominee. You will also have to submit documentary evidence such as a copy of the nomination deed or will, in case the change is being made on account of death of the existing nominee.
The insurer will process your request and amend the records. It is important to note that the nominee can be changed only once during the policy tenure. If you want to make another change, you will have to surrender the policy and buy a new one.
A policyholder can change their nominee at any time during the policy term by submitting a request in writing to the LIC branch office. The request must be accompanied by a duly completed nominee change form, which is also available on the LIC website.
So, these are the steps that you need to follow if you want to nominate or change a nominee in LIC. Keep in mind that making a nomination is an important decision and you should take into account all factors before making a choice. You should also keep your family members updated about the nomination so that there are no issues in case of your untimely death.
We hope this blog post has been helpful in understanding the nomination process in LIC and how to change a nominee. If you have any questions, please do not hesitate to contact us. Thank you for reading!