As per the new mandate by the regulator, cancellation or change in nomination in the insurance policy will now be chargeable.
Nominee refers to the policyholder’s family member who is entitled to receive the benefit amount in the event of death of the policyholder. As of now, you can change your nomination as many times you wish to during the tenure of the policy without paying any money. However, the Insurance and Regulatory Development Authority of India (IRDAI) has announced that this service will now come at a cost.
Charges for Cancellation or change in nominee are:
– E-Policies (issued in electronic form): Rs. 50
– Non e-Policies (issued hard copy of the policy): Rs. 100
Insurers were offering the service to cancel or change the nominee for free but now has allowed life insurers to charge up to Rs. 100 for any such modification in nominee request. The guidelines have already been laid down as ‘Registering Cancellation or Change of Nomination’
