If the insured outlives the policy term, he/she will be eligible to claim maturity benefits. Make sure the policy is ongoing and that all the premiums have been duly paid.

There is a clear-cut process to file a maturity claim and it involves minimal paperwork.

When the policy is about to mature, the life insurance company generally intimates the policyholder at least 1-2 months in advance. All the details regarding the maturity date, maturity amount, and discharge voucher are provided to the insured.

The discharge voucher (similar to a receipt) has to be signed by the policyholder in the presence of witnesses. The voucher is then sent back to the insurer along with the original policy bond, on the basis of which the payment is released.

In case the policyholder has assigned the policy to another individual or entity, then the assignee must give the discharge voucher to the insurer, in order to receive the claim amount.

Points to Remember-

• This process is applicable only to life insurance policies with maturity benefits like additional bonus, survival benefits, etc.
• In the event of the demise of the policyholder after the maturity date of the life insurance, but during the policy discharge procedures, it will be considered as a maturity claim. And the claim amount will be paid out to the nominees of the deceased policyholder.

The Revelation of all the Facts

At the time of buying a new policy, one must mention the details of any previously purchased policy so that they’re aware of the existing policy and can help the insurance seeker choose the right policy as per his/her needs. Otherwise, misrepresentation can be a reason for the rejection of death claim.

IRDA Claim Settlement Ratio for Top 10 Life Insurance Companies

There has been a tremendous growth in the performance of life insurance segment in India. In this regard, claim settlement ratio of a company plays a significant role as it indicates the reputation of an company. It shows how many death or maturity claims have been settled in a particular financial year. In line with this, below is the data table on IRDA claim settlement ratio for the year 2016-17 for middle life insurance companies in India.