CHAPTER – 13
DOCUMENTATION – POLICY CONDITION – I
First Premium Receipt ( FPR) :
An Insurance contract commences when the life insurance company issues a FPR. The FPR is the evidence that the policy contract has begun.
FPR contains the following informations :
- Name and address of the life assured
- Policy number
iii. Premium amount paid
- Method and frequency of premium payment
- Next due date of premium payment
- Date of commencement of the risk
vii. Date of final maturity of the policy
viii. Date of payment of the last premium
- Sum assured.
The company may require a moral hazard report from an official of the insurance company.
Policy Document :
It is the evidence of the contract between he assured and the insurance company.
If the insured person loses the original life insurance policy document, the insurance company will issue a duplicate policy without making any changes to the contract.
It has to be signed by competent authority and stamped according to Indian Stamp Act
Policy Document components :
Policy schedule: – It contains Policy owner‟s name & address, DoB, Age, Plan & Term, Whether the policy is Par / Non Par, Mode of Premium, Policy no, DOC, DOM, SA , Premium paid, nominee, details of riders etc.,
Standard provisions: – These are normally present in all LI contracts.These provisions define the rights and privileges and other conditions viz; days of grace, non-forfeiture in case of lapse.
Specific policy provisions : – These may be printed on the face of the document or inserted separately in the form of an attachment.
Eg:A clause precluding death due to pregnancy for a lady who is expecting at the time of writing the contract