Kathmandu. KATHMANDU: An insured person of Nepal Life Insurance (NLIC) has been deprived of his claim claim of Rs 30 lakhs after he failed to pay his monthly installment.
Insured Madhusudan Thapa, who had an eight-year life insurance cover of Rs 3 million in 2019, passed away on April 2, 2020 without paying the second installment. Thapa had paid only the first installment of the quarterly installment. The insured died after the period of payment of the second installment had expired and the moratorium period of 30 days had also expired.
His son Iris Thapa filed a complaint with Nepal Insurance Authority (NEA) on July 12, 2021 demanding payment of the claim claim. Iris had filed a complaint demanding that the insurance amount be paid as per the rules after conducting the necessary investigation and getting the insurance amount paid as per the rules, as it has been informed that the insurance policy of the insured has automatically been canceled due to the expiry of the deadline for payment of the renewal insurance premium.
In order to investigate the complaint, the authority has asked Nepal Life Insurance for a written response regarding the demand claim of the dependents. In response, Nepal Life Insurance clarified that the insurance policy renewal on behalf of the insured has not been paid and the claim will not be made due to the death of the insured.
The authority, having decided the case on August 22, 2022, dismissed the claim of the petitioner stating that the insured died in the event of non-payment of the insurance premium within the renewal period and grace period as per the policy and the general condition no. 1 (c) of the policy states that if the insurance policy expires before the full 2 years of the insurance premium is paid, then the insurer’s liability will not arise as per the basic principles of the insurance and the said conditions. It was.
Why do TAG_OPEN_strong_15 you need regular installments?
In order to maintain the facility under the life insurance policy, the insured has to pay the premium amount on a regular basis. In case of failure to pay the premium, the insured or his/her dependents may be deprived of the benefits under the policy and the claim amount. Therefore, after getting life insurance, it is possible to save small amounts on a daily, weekly or monthly basis throughout the year by making a plan.
It is very difficult to save money in practice when a person who earns a small amount of money thinks that he will save all the money at once when he pays the installment. Therefore, if you have a regular but limited source of income, it is wise and advisable to save a small amount of insurance premium.
