What Happens if the Nominee Dies Before the Policyholder?

2022-06-18

523 Views

2 minutes read

Locate branch

Resume journey

Pay Premium

Live Life More Confidently

Get best insurance from our experts

Name is required Name should be Valid

Mobile Number is required Mobile Number should be Valid

Email is required Email should be Valid

DOB is required DOB should be Valid

Annual Income*

< 3 3-5 5-7 7-10 > 10

Annual Income is required

I agree that even if my contact number is registered with NDNC / NCPR, I would still want the Company to contact me on the given number and email id for the clarifications/product information sought by me and agree that I have read and understood the Privacy Policy and agree to abide by the same.

Please tick to proceed further.

Thank you for your interest in our product. Our financial expert will connect with you shortly to help you choose the best plan.

Life insurance is an investment that will take care of your financial goals, when you are alive, and your family’s goals if you are not. Nomination is the facility in the life insurance that will ensure the benefits reach the intended parties after your demise.

Important Factors in Life Insurance Nomination

Life insurance is one financial instrument where nomination is very important. Thus, you need to provide nominee details with the application form itself. Here are a few important things to note about life insurance nomination:

The only policyholder or insured person can assign nominees.
Nominees are eligible to receive policy benefits only after the policyholder’s demise.
Nominees can be your family, blood relations or other people.
In the case of zero nomination or missing nominees, the benefits can be distributed as per the Indian /Hindu Succession Act(s).
You can nominate a minor in your life insurance policy. However, you will need to add a guardian for the same.
You can also add a senior citizen as a nominee in your policy.

Beneficial Nominees

Beneficial nominees are the ones legally entitled to receive the benefits of your policy. You should always clearly specify the beneficial nominees in the policy. You will also need to define the share of each beneficial nominee if you add more than one to the policy.

What to do After a Nominee’s Death?

The nominee’s role is conditional to the event of a death claim where policy benefits cannot pass on to the policyholder. Thus, if the nominee dies before the policyholder, you can simply change the nomination details of the policy.

You can contact the insurer and submit a new nomination form with updated details. The new submission will nullify all previous nominations. Thus, make sure to alter only the parts you need to and also fill in the details which have not changed.

Changing Nominees with EIA

EIA or Electronic Insurance Account keeps your life insurance plans in one place and makes it easier to manage your policies. If you are using EIA for your life insurance policies, you can change the nominee details easily through the account.

Also, remember to update the administration details of your EIA if the same nominee had been assigned the role.

Disclaimer - This article is issued in the general public interest and meant for general information purposes only. The views expressed in this blog are solely those of the writer and do not necessarily reflect the official policy or position of Canara HSBC Life Insurance Company Limited or any affiliated entity. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the blog or the information, products, services, or related graphics contained in the blog for any purpose. Any reliance you place on such information is therefore strictly at your own risk. You should consult with a qualified professional regarding your specific circumstances before taking any action based on the content provided herein.

Insurance and Insurable Risk: Meaning, Types & How It Works

Best Way to Distribute Assets Among Family in India

Life Insurance - Top Selling Plans

We bring you a collection of popular Canara HSBC life insurance plans. Forget the dusty brochures and endless offline visits! Dive into the features of our top-selling online insurance plans and buy the one that meets your goals and requirements. You and your wallet will be thankful in the future as we brighten up your financial future with these plans.