It bears paramount significance to promptly notify the insurance provider of any changes in residential status or nationality, substantiated by essential documents
Navigating the intricate tapestry of global citizenship often leads to intriguing scenarios, such as the transformation of a Non-Resident Indian (NRI) into a citizen of a foreign nation. Amidst this transition, a pertinent question arises: what fate befalls their life insurance policy done in India in light of this altered status?
Reassuringly, positive news awaits those embarking on this journey. Individuals holding NRI life insurance plans need not fret about their policies and the associated perks when seeking citizenship in foreign lands, businesstoday.in reported.
Remarkably, their life insurance policy remains valid, extending the continuation of both maturity and death benefits seamlessly, regardless of the citizenship alteration. Even their regular premium payments persist without interruption. Nonetheless, it bears paramount significance to promptly notify the insurance provider of any changes in residential status or nationality, substantiated by essential documents.
The policyholder can seamlessly continue contributing to their policy by diligently paying premiums. Remarkably, the shift in citizenship does not impede the individual’s capacity to sustain their life insurance coverage
businesstoday.in quoted Rajesh Krishnan, Chief Operations Officer of Bajaj Allianz Life Insurance, who strongly advocated this practice.
Furthermore, a crucial consideration might involve obtaining an Other Citizen of India (OCI) card. This card, akin to a pivotal artifact, upholds the policy’s validity even in the scenario of obtaining full-fledged citizenship in a new country. However, it remains incumbent upon the policyholder or their appointed agent to keep the insurance provider well-informed about the transformed status, while also sharing the updated address.
The report elaborated on the dynamics of policy validity. Rhishabh Garg, Head of Term Insurance at Policybazaar.com, elucidated that the life insurance policy retains its legitimacy provided the policyholder holds an OCI card. It’s vital to bear in mind that notifying the insurance company about the citizenship shift and furnishing the new address stand as essential prerequisites for upholding policy integrity.
The issue of premium payments also enters the narrative. The policyholder can seamlessly continue contributing to their policy by diligently paying premiums. Remarkably, the shift in citizenship does not impede the individual’s capacity to sustain their life insurance coverage. The policy’s status remains unaffected, thereby ensuring the continuity of benefits. Likewise, the policy’s maturity or death benefits remain unswayed by alterations in nationality, signifying a stable safeguard amid the journey of global citizenship.
*****************************************************
Readers
These are extraordinary times. All of us have to rely on high-impact, trustworthy journalism. And this is especially true of the Indian Diaspora. Members of the Indian community overseas cannot be fed with inaccurate news.
Pravasi Samwad is a venture that has no shareholders. It is the result of an impassioned initiative of a handful of Indian journalists spread around the world. We have taken the small step forward with the pledge to provide news with accuracy, free from political and commercial influence. Our aim is to keep you, our readers, informed about developments at ‘home’ and across the world that affect you.
Please help us to keep our journalism independent and free.
In these difficult times, to run a news website requires finances. While every contribution, big or small, will makes a difference, we request our readers to put us in touch with advertisers worldwide. It will be a great help.
For more information: pravasisamwad00@gmail.com