NRI Life Insurance

Non-Resident Indians :- (NRIs)

Definition of Non-Resident Indian for the purpose of Insurance

1. A citizen of India temporarily residing in the country of his / her present residence.
2. Must be holding a valid passport issued by Govt. of India.
3. Should not be a green card Holder or applied for or planning to apply in near future for acquiring citizenship of other country.
4. Foreign nations of Indian origin are not to be treated as NRIs

Conditions:

1. NRIs can be allowed insurance:
   1. On their visit to India – insurance cover is canvassed in India and all formalities regarding filling in the proposal forms, obtaining medical examination report /special medical reports and Moral Hazard Report are completed during their stay in India.
   2. From their present country of residence – known as MAIL ORDER BUSINESS –where all or some of the formalities regarding filling in the proposal forms,obtaining medical and special reports are completed in their present country of residence.
2. Minimum Sum Assured:
   1. No minimum sum assured,if insurance is allowed on their visit to India.
   2. For Mail Order Business, minimum basic sum assured of Rs.10 lacs. Sum assured over Rs.10 lacs will be in multiple of Rs.one lac..
3. Maximum Rated Up Sum Assured:
   1. For NRIs residing in countries falling under Residence:
      1. Group V: No restriction on visit to India,Rs.3 Crores under mail order.
      2. Group IV: Rs.2.50 Crores
      3. Group III: Rs.1.50 Crores
      4. Group II : Rs. 25 lakhs
      5. Group I: Rs. 10 lakhs
4. Types of cover:
   1. For NRIs residing in countries falling under Residence Group V
      1. All plans except CI rider will be allowed when all formalities are completed in India on the NRIs’ visit to India.
      2. All plans except CI rider will be allowed under Mail Order Business (i.e., where all formalities are completed in the NRIs’s present country of residence), subject to following restrictions:

      Maximum SA under pure Term Insurance Plans and Term Rider ( Both Inclusive) – Rs. 25 lacs

   2. For NRIs residing in countries falling under Residence Group III & IV Pure term insurance plans (Plan 822 and 823), Term rider and CI rider will not be allowed.
   3. For NRIs residing in countries falling under Residence Group I and II Only Single Premium Plans with Max Term/ Deferment period of 15 years are allowed.( Plans 816,817 and 818).
5. Non - Medical Special Scheme:

   (Cir: U&R/22/2008 dt. 02/09/2008, U&R/104 dated 10/03/2014, U&R/109 dated 05/06/2014)

   Major males and females		Sum Assured (SUC)
   aged upto 35 years	:	30,00,000
   aged between 36 to 45 years	:	20,00,000
   aged between 46 to 50 years	:	10,00,000

   Exclusive Non-Medical Single Premium Scheme and Standalone under Bima Bachat Plan:

   Age NBD	SUV
   	Exclusive SP	Bima Bachat
   18-35	15,00,000	20,00,000
   36-50	10,00,000	10,00,000
   51-60	3,00,000	3,00,000

   Conditions for Non-Medical Schemes:

   1. The above non-medical special limits will be applicable to Non-Resident Indiansresiding in Group V countries only.
   2. The non-medical special scheme is not applicable to NRIs residing in countries falling in any other group. In respect of NRIs residing in countries falling in groups other than Group V proposals will be entertained under the medical scheme only
   3. The proposer should be employed in Government or reputed commercial firms orshould be a professional such as a Chartered Accountant, Cost Accountant,Engineer, Management / Computer Consultant, Doctor, Lawyer, Teacher, Insurance Agent,etc.
   4. The maximum sum assured limits stated above are based on the sum under consideration i.e. rated up sum assured during last two full years under regular premium plans. For single premium it is ASA under single premium plans for one year. For New Bima Bachat it is one year under New Bima Bachat Plan only.
   5. Term Insuranceand CI rider will not be allowed.
   6. Term rider and Premium waiver benefit will be allowed.
   7. Non-Medical scheme under Mail Order Business will be allowed only if the agentvisits the present country of residence of the NRI to complete the formalities andall other requirements for mail order business as specified in our Circular Ref:Actl/ 1923/4 dated 19th December, 2003 have been fulfilled.
6. Medical Business:

   HIV report is to be called for along with FMR in all proposals of Residence groups III & IV for certain countries marked with HIV, irrespective of sum proposed and apart from applicable special reports.

7. Minor Lives and Housewives:

   Allowed to residents of countries under group IV & V only, subject to maximum sum assured limits applicable to respective residence group and within normal limits of sum assured applicable to Indian minor lives and housewives.

   However HIV report is to be called for along with FMR in all proposals of housewives residing in certain countries marked with HIV under residence group IV, irrespective of sum proposed, apart from applicable special reports.

   For minor lives, same medical and special reports chart as applicable to Indian minor lives is to be followed. However where TRSA exceeds 50 lakhs for minor lives HIV report is to be called for in all proposals for countries marked with HIV under residence group IV.

8. Income Proof:

   ( Cir: Actl/2104 dt. 06/03/2007)

   Total Rated Up Sum Assured (TRSA) (existing + proposed)	Proof of Income required
   Total Rated up SA does not exceed Rs. 15 lakhs./td>	The proposal can be considered on the basis of income shown in the proposal form and MHR.
   Total rated up Sum Assured exceeds Rs. 15 lakhs but is upto Rs. 25 lakhs.	Personal Financial Questionnaire (PFQ) duly filled in and signed by the proposer and countersigned by the official filling in the MHR.
   Total Rated up Sum Assured exceeds Rs. 25 lakhs	Copies of Income Tax Returns for last three years filed in the country of residence duly attested by the proposer and his signature witnessed by the DO/ Agent / ABM(S) Or Salary certificate from proposer's employer copy of the employment contract Audited balance sheet and profit and loss account of the firm or company if the proposer is a businessman (copies of bank passbook indicating credit of at least 3 months salary must be submitted along with salary certificate or employment contract whenever salary certificate or employment contract are submitted as income proof)

9. Health Insurance:

   Plan 904 – Jeevan Arogya allowed to residents of Group III to V only.

10. E-Term:

    Plan 825 is allowed to proposers from residence Group V countries on their visit to India under medical scheme only.

Procedure:

1. On NRIs Visit to India:

   As applicable to Indian lives. However, copy of passport (all pages) is to be called for, along with NRI questionnaire.

2. Mail order Business under Medical Scheme:
   1. Proposal form may please be filled completely and precisely leaving no question unanswered.
   2. The signature of the proposer on the proposal form must be witnessed by one of the following after due verification of proposer’s passport.
      1. Designated Official of the local Indian Embassy
      2. Other Indian Diplomatic Representative
      3. Notary Public or Justice of Peace
      4. Medical Examiner
      5. In case of students, by the Dean/Principal of his/her college.
      6. Employer
      7. Banker
   3. The witness must affix his Office Seal below his signature.
   4. Photocopy of the first page of the Passport should be got attested by the witnessing authorities mentioned above and should be produced along with the proposal form. Any fees payable for getting witness or attestation would be borne by the proposer.
   5. Special Medical Reports:
      1. The examiner / pathologist should establish the identity of the proposer on the basis of his passport and should mention this fact on the report.
      2. The proposer should sign on the report in the presence of the examiner / pathologist.
      3. The proposer should collect the report duly completed and signed from the examiner / pathologist in a closed envelope.
      4. The special reports in closed envelopes along with the proposal form should be handed over to the doctor conducting medical examination for sending the same to the branch office of the corporation.
   6. Medical examination would be done by a qualified Post Graduate Doctor with 10 years Standing.
   7. Female lives should be examined by a lady doctor only.
   8. The proposer would approach the doctor for medical examination along with:
      1. Completed proposal form with Medical Report form.
      2. NRI Questionnaire (Annexure-II),
      3. TPassport and its copy,
      4. Special Questionnaire (Annexure-III),
      5. Special Reports forms collected in closed envelope.
      6. A stamped envelope with the address of the LIC Branch Office in India.

   The doctor would examine the proposer, obtain signature of the proposer on bottom portion of the proposal form, Medical Report and special reports and sign the proposal form and medical reports form and forward all papers directly to LIC Branch Office. The doctor would return original passport to the proposer after verification and attestation of its copy.

Policies in Indian Rupee currency only will be allowed and Premiums shall be paid by any one of the following manners:

1. By Direct remittance from the country of the present residence of the policy holder through banking channels.
2. By cheques drawn on Non Resident (External) or Foreign currency (Non Resident) account with a Bank in India, held by in their own name solely or Jointly.
3. By cheques drawn on bank accounts held in India in their own name solely for jointly.
4. By Absolute assignee in India
5. By the employees who have deputed them abroad.
6. In cash by a resident parent or spouse

(In respect at premium collection in cash or from sources mentioned in 3 to 6 above, it should be noted that the policy money cannot be paid abroad in foreign exchange but has to be paid in India only).

Settlement of claims

Settlements of claims to the non-resident beneficiary in foreign currency will be permitted only in proportion in which the amount of premiums paid in foreign currency in relation to the total premium payable and may be credited to NRE / FCNR account.

Claims in respect of policies where premiums are paid in non-repatriable rupees may be paid only in rupees and may be credited to Non-Resident ordinary account.

Claim in foreign currency to the resident beneficiary may be permitted to be credited to RFC (Resident foreign currency) account.

Export of policies:

There is no restriction on Export of policies.