How to Claim Term Insurance for NRI?

Let;s discuss in detail how NRIs or their families can claim term insurance in India, what documents are required, and answer common queries related to coverage while living abroad.

Step-by-Step Guide on How to Claim an NRI Term Life Policy from Abroad?

• Intimate the claim immediately
  Notify the insurer and Policybazaar’s Dedicated Claim Assistance Team (phone 1800-258-5881 or via “My Account”/app). You'll get a document list and upload links.

• Collect required documents
  Term insurance claim document, passport pages, attested foreign death certificate, medical/accident records, nominee KYC, and bank proof (Indian account).

• Upload/submit documents
  Share soft copies with Policybazaar's dedicated claim assistance team. Provide translations where applicable and embassy/consular attestation for overseas certificates.

• Verification & updates
  The insurer may seek additional papers (especially for early or accidental deaths). Policybazaar’s relationship managers track status and coordinate with the claims team for you.

• Timelines you can expect
  Per IRDAI’s latest TATs: death claims without investigation must be settled in 15 days; those requiring investigation within 45 days from intimation (earlier norms were 30/90 days). Delays may attract interest.

• Payout & banking
  On successful verification, the insurer will payout the death benefit payout amount to the nominee’s bank account.

• Closure
  The nominee should keep the settlement letter and TDS certificate (if any). For tax-free death benefits, TDS is generally not applicable in India. 

 If I die abroad, will my family be able to claim easily?

Yes.

Your family can claim your term insurance plan even if you pass away abroad. Most Indian term insurance policies cover worldwide death, provided all premiums are paid and disclosures were correctly made at the time of buying the policy. However, the process may take longer due to additional verification of foreign documents. To make the claim process smoother, ensure that your nominee has:

• Copies of your passport, visa, and overseas medical reports

• Death certificate attested by the Indian embassy or consulate

• Properly translated documents (if issued in a non-English language)

Will My Life Insurance Cover Remain Valid if I Move Abroad?

Yes, your life insurance policy remains valid even if you relocate abroad after purchasing it in India. However, it is advisable to inform the insurer about your change of residential status and updated contact details to avoid any issues during claim settlement.

Documents Required to Claim NRI Term Insurance

The claim process for NRI term insurance plans requires you to submit the following documents:

What are the NRI Term Plan Tax Benefits Offered in India?

• Death benefit is tax-exempt in India under Section 10(10D), so nominees typically receive the full sum assured; TDS does not apply to exempt death payouts.

• Premium deduction under Section 80C is available to NRIs if you have taxable income in India and meet the usual conditions.

• Non-exempt maturities (not term death claims) may face TDS for NRIs under Section 195; check policy type and thresholds.

Always confirm home-country tax treatment with a local advisor; cross-border taxation can differ from Indian rules.

Points to Keep in Mind While Claiming NRI Term Insurance

• Disclose your overseas moves to your insurer and update contact details.

• Nominate and keep KYC current; add a nominee if possible.

• Store scans of policy, passports, medical history, and embassy contacts in a shared folder with nominees.

• Pay premiums from NRE as applicable to your policy to claim the GST waiver of 18%.

• Use Policybazaar’s Claim Assistance for documentation and follow-ups.

Wrapping it Up!

Filing a term insurance claim for NRIs is a well-structured process, provided the nominee follows the necessary steps and documentation requirements. Global coverage ensures that the policy benefits remain intact regardless of where the insured resides or passes away. With Policybazaar’s dedicated support for NRIs, claim settlement becomes easier, ensuring families receive the financial protection they deserve without unnecessary delays.

Common User Generated Queries

FAQ's