1. Postal life insurance
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2. Postal Life Insurance Central and state Govts Defence services
Eligibility
Permanent resident in India who are employees of
Central and state Govts
Defence services
GDS employees
Govt.aided educational Institutions
Universities established by Govt.
Local bodies like municipalities,Zilla parishads
RBI,SBI its subsidiaries
Nationalised banks
Port trusts,central and state govt. undertakings
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3. Types of policies 1.Whole life assurance (SURAKSHA)
Bonus Rs.90/per thousand
2.Convertible whole life assurance(SUVIDHA)
Bonus: proportionate
Payable only after the death of the policy holder
Policy will be in force till the death of the insurant
Premium payable upto 55/58/60 years
Converted into endowment assurance
after 5 years
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4. Types of policies., 3.Endowment assurance (SANTHOSH)
Bonus: Rs.65/ per thousand
Maturing at the age of 35/40/45/50/55/
58/60 years
Payable to the insurant after maturity of the policy
In case of death, nominee will be paid full amount of the sum assured with accrued bonus
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5. Types of policies: (SUMANGAL) 4.Anticipated endowment assurance
It is a money back policy
There are two types;
15 years policy
20 years policy
Bonus Rs.65/ per thousand
Maximum age at entry 40/45 yrs
Benefits paid 15yrs 20yrs policy After 6yrs 8 yrs 20% After 9yrs 12yrs 20% After 12yrs 16yrs 20% After 15yrs 20yrs 40%+bonus
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6. Types of policies 5.Yugal Suraksha
The sum assured payable at the end of the endowment term or on the death of either of the two lives assured
Bonus Rs65/per thousand
Only one can have this policy
Spouse should be literate
When added to the age of the proponent the term should not exceed 60 years
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7. Types of policies continued.,
6.Children’s policy: This is an add on policy introduced
non-medical policy
the minimum limit is Rs,20,000/ and
maximum is Rs.1,00,000/
The parent should also have a policy
equivalent to amount of sum assured
of the child
Bonus Rs.65/ per thousand
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8. Children’s policy continued
Child’s age should be between 5 and 20 years
Parent should not be above 45 years
One EA policy per child
Only two children
In case of death of insured of main policy before expiry of children’s policy no further premium need be paid
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9. Age conditions
Whole life/EA
Yugal Suraksha
AEA
Convertible W/L
Children’s policy
Non-medical
Above 5 lakhs
Minimum/maximum / Child’s age5-20 Parent’s age
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10. Policies should be units of Rs.10000/ minimum being Rs.20000/
Conditions continued..
Policies should be units of Rs.10000/ minimum being Rs.20000/
Maximum Rs.20,00,000/
For non-medical –Maximum Rs.1,00,000/
For Physically handicapped Maximum Rs.1,00,000/
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11. Medical report is necessary in cases:
1 When age at entry exceeds 35 years
2 When sum assured exceeds
1,00,000
3 When policy maturing at the 35
years of age
4 AEA policies
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12. Rebate
Policies of Rs.20,000/ and above Re 1/ rebate is given in monthly premium
For yugal Suraksha rebate of Re.1/ is allowed for first Rs.40,000/ and Re.1/ for every addl Rs.10,000/
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13. Other salient features
Premium paid is eligible for income tax rebate
Premium can be paid in Post office by presenting premium receipt book
Risk on life Assured is covered from the date of acceptance
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14. Rebate for advance premium 12 months: 2% 6 months : 1%
3 months : 0.5% (for RPLI only)
Yugal Suraksha
12 months :50% of one month’s premium
6 months :10% of one month’s premium
3 months : 2% of one month’s premium
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15. The validity of the Medical certificate is 60 days
Features continued..
If aggregate of the proposal exceeds 5 lakhs, it is to be accepted by the DPS
The age of the proponent should not exceed 50 years if the aggregate of the sum assured exceeds 5 lakhs
The validity of the Medical certificate is 60 days
If it is not accepted within that period, second medical examination is to be done
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16. Bonus
Whole life policy Rs.90/ per thousand Endowment Assurance Rs.65/ “ Anticipated endowment Rs.60/ “ Yugal Suraksha Rs.65/ “ Children Policy Rs65/ “
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17. Lapsing and revival
If the policy is less than 3 years old premium can be accepted within 6 months from the date from which first premium was due with
If the policy is more than 3 years old, premium can be accepted within 12 months from the date from which first premium was due with
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18. Calculation of interest for defaulted months premuim
Formula: n X (n+1) X premium
200
n= no. of months Or
No.of defaults x premium
100
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19. Revival If is not paid within this period
revival by competent authority is required
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20. After sale service
1.Re.2/ fee for duplicate premium receipt book to be credited to UCR
2.Duplicate Bond
Re 50/ to UCR
Indemnity bond in stamp paper of Rs.100/
Policy above Rs / copy of paper notification
3.Change of mode of payment
4.Change of Post office
5.Correction to the bond
6.Conversion
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21. Continuation premium receipt book
Sub postmasters are authorised to issue continuation PRB
SPMs to obtain blank PRBs from H.O and maintain stock register
The first page entries of old pass book to be copied, like, policy No.,Name of the insurant, class&sum assured, monthly rate of premium, date of last instalment, date of maturity, premium paid upto, non-credits etc
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22. Loan Endowment policies ,after 3 years only
Whole life policies, after 4 years
Should not have been assigned
No loan for AEA policies/children’s policy/Yugal Suraksha
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23. Loan Exceeding 3 years, but less than 5 years : 60% of surrender value
Exceeding 10 years : 90% of surrender value
per annum compounded half yearly
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24. Surrender
Endowment and whole life policy can be surrendered after 3 years
Children’s policy, after 5 years
Original policy bond
Premium receipt book or pay drawing officer’s certificate
Surrender of policy to be discouraged
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25. Types of claims Maturity claim Death claim
Death by suicide: no claim before the policy completes two years from the date of acceptance
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26. Application in plain paper or prescribed form Original policy bond
Maturity claim
Application in plain paper or prescribed form
Original policy bond
Premium receipt book or pay drawing officer’s certificate
Loan pass book, if any,
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27. Death claim Documents to be attached with the claim;
Original policy document
Premium receipt book or pay disbursing officer’s certificate for preceding one year
Death certificate
Doctor’s certificate/report who last attended the late insurant
Any other supporting document
IP/ASP’s report
If death is due to accident ,Post mortem report and copy of FIR
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28. Non-medical policies (death claim)
Death occurring within one year: 35%
Above one year but below 2 yrs: 60%
Above 2 years but below 3 yrs : 90%
Above 3 years : full
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29. Exercise 1
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30. Rural Postal Life Insurance
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31. Whole Life (GRAMA SURAKSHA) Endow Assurance (GRAMA SANTOSH)
RURAL PLI (RPLI)
For Rural people
Whole Life (GRAMA SURAKSHA)
Endow Assurance (GRAMA SANTOSH)
Convertible Whole Life (GRAMA SUVIDHA)
Anticipated endowment assurance (GRAMA SUMANGAL)
Ten years Rural PLI policy (GRAMA PRIYA)
Children’s policy
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32. -Rs.1,00,000(for non-standard age-proof and above 45 years)
RPLI-LIMITS
Minimum- Rs.10,000
Maximum-
-Rs.25,000 (without medical)
-Rs.5,00,000 (on medical)
-Rs.1,00,000(for non-standard age-proof and above 45 years)
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33. Above 35 years only medical policies Above 45 policy upto 1,00,000/
RPLI-AGE LIMIT
Minimum- 19 on next DOB
Maximum:
WL and EA 55
CWL and 10 yr Plan 45
AEA 40
Above 35 years only medical policies
Above 45 policy upto 1,00,000/
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34. RPLI-AGE LIMIT
Age proof
Standard
Non-standard
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35. RPLI-Non-standard age proof
Horoscope- genuine
Elder’s declaration in the presence of Magistrate on stamped paper
Age of the person given by him and as assessed by Medical Officer whichever is higher
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36. RPLI-Non-standard age proof…
Declaration by proposer before (not on stamp paper)
Secretary or Member of Panchayat
Tahasildar
BDO
5 % extra premium for non-standard age proof
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37. Low Premium with following rate of rebate
RPLI
Low Premium with following rate of rebate
Monthly Re.1/ per 20,000
Quarterly Rs.3/ do----
Half yearly Rs.6/ do----
Yearly Rs.12/ do-----
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38. Rebate for advance payment of monthly premium
RPLI
Rebate for advance payment of monthly premium
- 12 months 2.0%
- 06 months 1.0%
- 03 months 0.5%
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39. Surrender/paid up; after 3 years of payment of premia Non lapsation;
RPLI
Loan
- EA after 3 years
- WL after 4 years
Surrender/paid up; after 3 years of payment of premia
Non lapsation;
after 3 years automatically kept alive to paid up value
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40. RPLI
Bonus
-Endowment Rs.50 per 1000 S/A
-W/L Rs.65 per 1000 S/A
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41. If not paid within due period DF at 12% collected
RPLI
If not paid within due period DF at 12% collected
Calculation of DF for arrears of monthly premiums – as in the case of PLI
For quarterly, Half Yearly and Yearly premiums calculated with the help of the following formula.
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42. No. of defaulted months x premium
100
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43. FRR to DOP for PLI Business
YEAR
FRR (Rs. in Cr.)
(Actuals)
200.46
(Actuals)
194.96
(Actuals)
297.83
(Actuals)
381.60
(Actuals)
389.62
(Actuals)
598.22
(SY-I)
532.99
(Estimates)
571.69
(Projections)
697.66
(Projections)
767.93
(Projections)
844.17
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44. Up to Rs 9 Crores of sum assured. Nil. ii.
Incentive structure for procurement of PLI business
DEVELOPMENT OFFICER (PLI/RPLI) Sl
Amount of sum assured
Incentive payable i.
Up to Rs 9 Crores of sum assured.
Nil.
ii.
Above Rs 9 crores and up to Rs 11 crores of sum assured.
Rs 25/- per Rs ten thousands of sum assured.
iii.
Above Rs 11 crores of sum assured.
Rs 20/- per Rs ten thousands of sum assured.
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45. Up to Rs 2 crores of sum assured.
Departmental Officials viz ASPOs/IPs/PAs/SAs/SPM/Postman/Mailguard/Gp D/GDS BPM/GDS DA/GDS MC etc Sl
Amount of sum assured
Incentive payable i.
Up to Rs 2 crores of sum assured.
Rs 25/- per Rs ten thousands of sum assured.
ii.
Above Rs 2 crores of sum assured.
Rs 20/- per Rs ten thousands of sum assured.
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46. F.O (PLI) and Direct Agents (PLI)Sl
Amount of sum assured
Incentive payable i.
Up to Rs 30 lacs of sum assured. .
Rs 15/- per Rs ten thousands of sum assured.
ii.
Above Rs 30 lacs and up to Rs 40 lakh
of sum assured.
Rs 17.50/- per Rs ten thousands of sum assured.
iii.
Above Rs 40 lacs and up to Rs 50 lakhs
Rs 20/- per Rs ten thousands of sum assured.
iv.
Above Rs 50 lacs of sum assured.
Rs 25/- per Rs ten thousands of sum assured
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47. C (i) Lump sum incentive (Only for Direct Agents/F.O. (PLI)Sl
Amount of sum assured
Incentive payable i.
For effective business of Rs 5 lacs .
Rs 625/- (Rs six hundred and twenty five only).
ii.
For effective business of Rs 10 lacs (gross) .
Rs 1250/- ( Rs one thousand and two hundred and fifty only).
iii.
For an effective business of every Rs one lac , over and above Rs ten lacs.
Rs 125/- (Rs one hundred twenty five only) per every Rupees one lakh of effective business..
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48. RENEWAL INCENTIVE ON SUBSEQUENT PREMIA DEPOSITS (IIND YEAR ONWARDS)
2% commission on renewal premium income towards policies procured on or after for Direct Agents and F.Os (retired officials) .
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49. (II) RPLI business ( Direct Agents (RPLI),ASP, IP/SDI, Postmen/PA/SA/Mail Guard, F.O (retirees), D.O. (PLI) , GDS etc and other RPLI Sales Force
10% of First year premium towards the RPLI policies procured by them with effect from
10% of total procurement incentive paid to GDS to SDI/ASP - in first year only.
2.5% of renewal premium income in respect of those policies procured on or after
1% of renewal incentive payable to GDS employees towards the policies procured before
Additional Commission of 1.5% of premium shall be paid to the Group Leaders /entrustees for collecting premium towards 1000 or more such RPLI policies procured on or after
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50. Incentive Rates for APS personnel
S.No
Amount of PLI business procured
Rate of incentive i)
Upto Rs lacs per annum
Rs 7.50 per 10,000 of sum assured
ii)
Above Rs lacs and up to Rs lacs per annum
Rs 8.75 per 10,000 of sum assured
iii)
Above Rs lacs up to Rs lacs per annum
Rs per 10,000 of sum assured
iv)
Above Rs lacs
Rs per 10,000 of sum assured
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51. Exercise 2 and Quiz
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52. Thank you
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