Conversion of Yugal Suraksha policy of PLI into Endowment policy on divorce etc. – Reg

DIRECTORATED OF POSTAL LIFE INSURANCE

Department of Posts, Ministry of Communications & Information Technology, Government of India

Chanakyapuri Complex Post Office Complex, New Delhi – 1100021

No: 25-5/Y/S/Clf/2014-LI                                                                                                                          20/06/2016

To

Chief Postmaster General,

Maharashtra Circle

Sub: Conversion of Yugal Suraksha policy of PLI into Endowment policy on divorce etc. – Reg

                This is regarding conversion of Yugal Suraksha policy of PLI into Endowment policy on divorce etc. Following are the clarifications in this regard-

•      In case of divorce etc. , the Yugal Suraksha policy can be converted into Endowment Assurance policy.
• .       On conversion of Yugal Suraksha to Endowment Assurance policy, insurant will not be provided the maturity term under the Endowment Assurance policy more than the maturity term opted under Yugal Suraksha policy and in case the same/equal term is not available in the Endowment Assurance policy, the Yugal Suraksha policy  can be converted to an immediately lower term available term of maturity under Endowment Assurance policy.
• .       If premium under Yugal Suraksha is lower than under the proposed Endowment Assurance policy under the revised term (if applicable), the increased premium should be changed from the date of conversion of the policy. Further the difference in the premium along with interest @ 12% p.a. (which is being changed in case of defaults) may also be charged from the date of commencement of the Yugal Suraksha  policy to the date of conversion to the Endowment Assurance policy, before the policy is converted into Endowment Assurance policy.
• .       If premium under Yugal Suraksha is higher than that of the proposed Endowment Assurance policy under the revised term (if applicable), the reduced premium should be charged from the date of conversion of the policy. However, the excess premium received prior to date of conversion may neither be refunded nor adjusted in future premiums as the risk on both insurants was being covered earlier, under Yugal Suraksha policy.

.       Infosys has been asked to make necessary changes in the system as above.

The issue with the approval of Chief General Manager (PLI).

Ajay Kumar Roy

General Manager

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