Documents Required for Term Insurance

Life is full of unexpected things and even unexpected events could happen anytime. Many people prefer to choose term insurance which offers better coverage at the most affordable premium. Many life insurance are available in the modern day so choosing the term insurance is a fantastic option. Knowing about the documents required for term insurance is quite essential for getting the policy approved for the premium.

What Is Term Insurance?

Term insurance is the purest form of protection plan. The plan provides guaranteed financial support for the family of the policyholder in the event of the death of the policyholder. For purchasing term insurance, the individual needs to submit all the documents required for a term insurance policy.

Term insurance is normally the type of Life insurance that would financially secure the loved ones in case of any uncertainties such as death. These play a major role in approving the policy.

Whether you are looking to invest in a term insurance plan then you need to be aware of the documents required for term insurance policy. It is essential to keep the set of documents for buying the premium and you are required to keep them handy for the processing. Having the term insurance ensures you have financial security in the event of losing your life during the policy terms.

What Are The Documents Required For Term Insurance?

Term insurance policy is quite an amazing investment for those who like to secure the family’s finances in case of policyholder demise. Knowing about the documents required for a term insurance plan is most important and you need to keep the document ready. Below are some of the documents required for making a hassle-free purchase.

  • Proof Of Identity Document (ID) And Address:

For getting the Term Insurance policy, it is essential to submit a valid address and ID proof for the Know Your Customer (KYC) processing. These documents also are suitable for easily verifying the same.

  • Driving License
  • Aadhaar Card
  • Voters ID
  • Passport
  • Job card issued by NREGA (duly signed by an officer of the State Government)
  • Letter issued by National Population Register (name, address, and other details)
  • Age Proof:

Submitting the age proof is essential for getting the complete verification. The age group from 18 to 65 years is eligible for applying and purchasing the Term Insurance policy. It is convenient to use an Aadhaar Card or PAN card as the age proof.

Whether you are planning to buy term insurance then you need to know what documents are required for a term insurance plan. You can simply click a photo or even scan the Aadhar Card (front and back). Only the front portion will be acceptable when you are submitting the PAN card.

  • Income Proof:

Normally, the income of the policyholder reflects the amount of life coverage. It also requires some of the important documents for the Term Insurance and these are suitable for validating the income. Acceptable income-proof documents are listed below

  • Income Tax Returns (ITRs) of (3 years)
  • Salary slips for the last 3 months
  • Profit and loss account and balance sheet (last 3 assessment years)
  • Form 16
  • Bank statement for salary/income (past 6 months)
  • Agricultural income certificate if any
  • Form 26 AS of last financial year

Sometimes, the life insurance provider could also ask for submitting additional income proof.

  • Medical Reports:

Submitting the details about pre-existing health conditions is quite essential for buying term insurance. You will be required to fill in the details about your current health condition. Sometimes, the medical test reports are required to understand the current situation for providing life cover.

Upon submitting the medical reports to the Life Insurance provider, you would be quoted with the premium. The insurer would be listing the medical tests that the applicant is required to undergo during the process of purchasing the policy. Past medical records are also submitted when they are required.

The insurer is required to check various factors in your health risks along with the previous medical history along documents required for term insurance . These are significant options for establishing insurability. These are also helpful for finding any kind of financial risk they could undertake to offer Term insurance coverage.

  • Other Mandatory Documents:

Some of the mandatory documents required for term insurance plan are

  • Recent passport size Photograph
  • PAN Card
  • Form 60

Documents Required For Claiming Term Insurance:

Whether you are looking to claim the Term Insurance policy then the nominee is required to submit certain documents. The nominee must fill the appropriate term plan claim for the settlements. Below is the list of documents required for term insurance claim that you need to submit to the insurance provider.

  • Original Policy Documents
  • Filled Claim Form
  • Attested Copy of Death Certificate
  • Photo of Nominee
  • Medical Reports of Policyholder
  • Canceled Cheque or Passbook Photocopy
  • NEFT mandate form
  • ID Proof
  • Post-mortem Report (if applicable)

Reason To Submit Documents For Term Insurance:

The documentation process for the Term Insurance policy is essential to follow with purchasing the term insurance. Documents also add value to the information that you are required to submit for the Term Insurance Company. Some of the significant of the documents for the term insurance are highlighted are

  • Updates the insurance provider about medical history and current situation
  • Provides surety you are an Indian resident
  • Provides the easy term insurance renewal process
  • Helps with hassle-free application
  • Helps with the claim process
  • Helps ensure a fast claim settlement ratio

Documents mentioned also serve as the evidence of information provided in the application form. It is also quite essential to what documents are required for term insurance.

  • Identity Proof:

Documents submitted as identity proof would also reflect the gender, age, and many more. These also help to determine the premium of the Life Insurance plan.

  • Income Proof:

Income details provide a better way for the insurers to confirm coverage for the premium. These are also helpful for availing the capacity to continue with the plan for decided tenure.

  • Address Proof:

The Address proof documents also serve as proof of the place you reside and it is helpful to fund that you are an indian citizen. These are also helpful for the insurance company to find the risk factors associated factor with it.

  • Medical Proof:

Insurance providers would be required to evaluate the insured’s health to easily determine about risks involved. These also help to state about the life span to the extent even without any hassle. Medical data along with other documents required for term insurance could also play a major role in the approval of the policy proposal.

  • Financial Documents:

Financial documents such as income proof also help the insurance provider to know whether the insurance provider can afford coverage. It also helps to assure the insurance provider about approving or rejecting the premium.

Beneficiary Details:

You are also required to add the nominee details in the documents.  You are required to know what documents are required for term insurance and you can seek professionals to determine the right plan. Checking the accuracy of beneficiary information also ensures the money could go to the right person in case of your demise.

Submitting the documents required for the Term Insurance adds more benefits to getting approval for the applications. These are also helpful for getting the hassle-free and quick claim of the issuance process.

Read More:Zero Cost Term Insurаnсe


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