1. Postal Life Insurance
Rural Postal Life Insurance

2. PLI- Eligibility Government servants Defense Service GDS
Govt aided Educational Institutions
Universities established by Govt
Local Bodies- Muncipalities, ZPs
Banks

3. PLI- Plans available 1. Whole Life Assurance (SURAKSHA)
Payment only to nominee on death of insurant
Premium payable for selected period

4. PLI- Plans available 2. Endowment Assurance (Santhosh)
Lump sum payment at desired age
Payment to nominee- on death

5. PLI- Plans available 3. Convertible Whole Life Assurance (Suvidha)
Less premium for 1st 5 years
Conversion option with higher premium

6. PLI- Plans available 4. Joint Life Insurance (Yugalasuraksha)
Payment at the end of term
Payment to either of two lives- on death
Spouse to be literate
Standard proof of birth

7. PLI- Plans available 5. Anticipated Endowment Assurance (Sumangala)
Payment at periodical intervals
15 Yr AEA 20 Yr AEA
20% 6,9,12 Yrs 8, 12,16 Yrs
40% 15 Yrs 20 Yrs
Payment of bonus at the end
Payment to nominee on death
Full sum assured + Bonus

8. PLI- Plans available Children’s Policy
Parent’s and children’s risk covered
Parent should have a policy
Non-medical policy
Minimum- Rs.20,000
Maximum- Rs.1 lac
One E/A
Two children only

9. PLI- Features Risk cover Premium calculated on the basis of
Age at entry
Maturing age/Premium ceasing age/term
Rebate allowed
Others: Each 20, Re.1/
Yugala Suraksha: First 40, Re.1/
addl each 10, Re.1/

10. PLI- Features- Age restriction
Plan
Min Age
Max Age
Whole Life As 19 55
Endow.As
Convert WLA 50
Anticipated EA 45
Yugal suraksha 21
Children poly
Child 05 20

11. PLI- Features- Limit of holding
Limit of Insurance
In multiple of Rs.10,000
Minimum- Rs.20,000
Maximum (aggregate Rs.20 lac)
WL, EA, CWL lac
YS, AEA lacs
Children Poly - 01 lac
Non-Medical lac
PHP lac

12. Exercise 1

13. PLI- Features Advance deposit adjusted as 1st premium
Subsequent installments to be paid on due date within in grace period of one month (end of the month)

14. PLI- Features Rebate for advance deposit Rebate Yugalasuraksha
12 Months- 2%
6 Months- 1 %
Rebate Yugalasuraksha
12 M- 50% of single Premium
06 M- 10% do
03 M- 02% do

15. PLI- Features- Bonus Type of Policy
Rate of Bonus per Rs.1000 of sum assd
Whole Life Assurance
Rs.90
Endowment Assurance
Rs.65
A/E Assurance
Rs.60
Joint Life Insurance
Children Policy
Corrected as ascertained from CO(PLI) on

16. PLI- Medical Report Necessary for the following
Age at entry exceeds 35 years
Sum assured more than Rs.1 lac
Endowment Poly maturing at 35 years of age
Anticipated Endowment Policies

17. Exercise 2

18. Rural Postal Life Insurance

19. RURAL PLI (RPLI) For Rural people Schemes: Whole Life (GRAMA SURAKSHA)
Endow Assurance (GRAMA SANTOSH)
Convertible Whole Life (GRAM SUVIDHA)
Anticipated Endowment GRAM SUMANGAL)
10 Year Rural PLI (GRAM PRIYA)
Children policy

20. RPLI-LIMITS Minimum- Rs.10,000 Maximum- Rs.25,000 (without medical)
Rs.5,00,000 (on medical)
Rs.1 lac (Age 45 & above/NS age proof)

21. RPLI-AGE LIMIT Minimum- 19 on next DOB Maximum:
WL and EA 65
CWL and 10 yr Plan 50
AEA 47
Above 35 years only medical policies

22. RPLI-AGE LIMIT Age proof Bonus Standard Non-standard
Endowment 55 per 1000 S/A
W/L per 1000 S/A
AEA per 1000 S/A
Corrected as ascertained from CO (PLI) on

23. Acceptance of PLI at RO/CO
Proposal Register
Scrutiny of proposal
Acceptance or Rejection
Calculation of premium
Preparation of History sheet
Allotment of Policy Number
Intimation of acceptance
Sanction of Medical Fee

24. PLI Payment of monthly premium Individuals can also deposit in POs
Deptl employees & GDS recovery from pay and remittance directly to PLI
Others Group Leader to make deposits as RD PRSS
Individuals can also deposit in POs

25. PLI
Premium if not paid within the prescribed grace period can be paid with DF at 12 %
Default fee at 12% collected for first 12 months

26. PLI Formula for default fee calculation (monthly) N= Defaulted months
N(N+1) x Premium rate
200
N= Defaulted months

27. Exercise 3

28. After sale service

29. After sale service Revival of lapsed policy Loan Surrender of policy
Payment on Maturity
Payment of Death claim case
Miscellaneous services

30. PLI -Lapsing of Policy Premium not to be accepted without revival
Policy less than 3 years
Policy of more than 3 years
If not paid within 6 months- treated as lapsed. Revival by CPMG
If not paid within 12 months- treated as lapsed. Revival by CPMG
Premium not to be accepted without revival

31. REVIVAL Check whether Policy is lapsed
Revival is not availed for more than two occasions
Repayment in one lump or instalments
Any non-credit/missing credit /short collection is to be taken into account

32. Revival.... Check whether……
Insurant furnished medical certificate in the format prescribed
Declaration from two respectable persons furnished
Good health declaration is given
Reasons for non –payment are furnished

33. Revival….
Calculate interest at 12% simple for less than 12 months and compound for 12 and above
Send revival intimation letter
On receipt of intimation regarding payment of arrear premia with interest issue formal sanction of revival
Make entries in the revival register

34. Exercise 4

35. PLI- Loan Loans can also be obtained from Banks
Loan is sanctioned by CPMG on security of policy
10 % interest compounded half yearly basis charged
Entitlement on prefixed proportion of surrender value as per table below

36. PLI- Loan- entitlement
Policy
Year in force
% of surrender value
Whole Life and Convertible whole Life Ass
4 years
4-7 Yr : 60 %
7-12 Yr : 80 %
> 12 Yr : 90 %
Endowment Assurance/YS
3 Years
3- 05 Yr : 60%
5- 10 Yr : 80%
> 10 Yr : 90%

37. Loan… Verify status of KLC
Premia should have been paid for a min. of 3 yrs for EA and 4 yrs for WLA
No loan for AEA and children policy
Missing/non-credit of premia got verified
A second or subsequent loan after adjusting the outstanding loan +interest

38. Loan…
After adjustment of outstanding loan with interest, if balance works out to less than Rs.1000/ no loan
Assign PD in favor of President of India
Issue loan sanction and LRRB

39. Review of loan
Interest for the half year charged on the amount outstanding on the first day of the half year
In case of final repayment, interest will not be charged beyond the last date of the month in which final payment is made, provided that interest had been charged for at least six months

40. Review of loan….
If there are continuous 3 defaults, action may be taken to surrender the policy

41. PLI- Surrender after certain period as below
EA/YS
After 3 years
WLA
After 4 years
Children Policy
After 5 years
AEA
Not permissible

42. PLI- Surrender… Heavy loss therefore discourage
Application in plain paper
Policy bond
PRB or PDO Cft
Calculation as per formula and Surrender Value Factor
It is like taking a train ticket Bangalore to New Delhi and getting down at Nagapur
Heavy loss therefore discourage

43. Surrender… Verify the status of KLC
Check if premia is paid for 3 yrs in EA 4 yrs in WLA policies
Whether premia paid upto current month

44. Surrender… Check for any missing/non-credits
Check if outstanding loan with interest to be adjusted in the surrender value
In discontinued policy, where premium paid for >3 yrs, eligible paid up value to be paid
Add bonus if policy completed 5 yrs

45. Surrender…. Surrender amount =
(Paid up value +Proportionate Bonus) X Surrender Factor

46. Surrender….
Paid up value=
Sum assured X Paid period
Payable period

47. Exercise 5

48. Maturity Claim Due on the following month of last premium
Application in LI-9(b) or in plain paper
Policy bond
PRB or PDO Cft
Loan RRB
PO to collect the above and submit to CPMG

49. Maturity Claim…. Verify KLC Check for missing/non-credits
Calculate eligible maturity + year wise bonus (April to March) by adjusting outstanding loan with interest
If it is AEA, survival benefit already paid to be adjusted

50. Death Claim Settled on the basis of Nomination Legal Evidence
Other (No nomination, no legal evidence up to Rs.1,00,000/
Corrected as ascertained from PLI (CO)

51. Death Claim…. On death of insurant
Ascertain full information of holdings
Decide
Claim application form to be given
Whether early claim or non-early claim
Whether legal evidence necessary or not

52. Death claim… Legal evidence required No nomination
Nominee is minor but guardian is no more
Nominee is minor but there is no appointee
Nominee no more
Amount exceeds Rs.60,000/

53. Death Claim….
Give full details of documents to be furnished by the claimant
Original Policy Bond
PRB or PDO Certificate
Death certificate
Doctor Certificate/Report who attended
Postmortem Report & copy of FIR- in accident death
Legal evidence

54. Death Claim….
Applied in the prescribed form enclosing the following documents
Original Policy
PRB or PDO Cft
Death Certificate
Doctor Cft/Report, who attended
Death due to accident Post Mortem Report & copy of FIR

55. Death claim….
Check original PD, Premium receipt book, loan repayment book, if any
Death certificate, FIR/postmortem report/forensic report if required
Court directions in case of disputes
Leave report from the employer for the last 3 years
Certificate issued by doctor/hospital who last attended

56. Death claim… If death by suicide within 2 years of acceptance
Whether premium credited to upto death
Non-credits if any, reasons
Whether payment of regular premia is within the grace period

57. Remission period for death within 3 years
Within 6 Months of date of acceptance
NIL
6 Months to 11 Months
30 days + Grace period
12 Months to 23 Months
60 days + Grace period
24 Months to 35 Months
90 days + Grace period

58. Death Claim…. Enter in the claim register
Specific objection or Verification
Verification necessary only in case of
Early claims
Doubtful information
No nomination & no legal evidence (optional)

59. Death Claim…. Calculate amount eligible
Sum assured Plus eligible bonus by adjusting outstanding loan with interest
For non-medical policies as per the table below

60. Non-medical policy Death within one year 35% of S/A + Bonus
Death within two years
60% of S/A + Bonus
Death within three years
90% of S/A + Bonus
After three years
100% + Bonus

61. Death claim…
If payment of claim is attributable to administrative delays, 8% shall be payable for
More than 30 days from the date of receipt of complete papers or from the date of maturity whichever is later
More than 60 days, from the actual date of complete papers in case of death claim cases where no investigation is required

62. Death Claim…. Issue sanction Watch payment
Note the date of payment in the claim register

63. Exercise 6

64. Miscellaneous services
Conversion of policy
Transfer of policy
Issue of Duplicate PRB
Issue of Duplicate Policy Bond
Change of Nomination

65. Thank you