Dos and Don'ts for Life Insurance
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Dos and Don'ts for Life Insurance

IRDA - Dos and Don'ts for Life Insurance

Life Insurance: Some Dos and Don’ts

Your life and your earning ability are the biggest assets you and your family have. A life insurance policy is the best way to take care of your family even after your lifetime.

Here are some Dos and Don’ts for buying Life insurance


  • Think through why you are buying insurance and what core requirements and expectations
  • Seek and receive advice and options patiently
    Be open-minded but cautious about the advice and information you gather Ask lots of questions about the policy options to see what fits your needs Find out policy details like: Whether it is a Single Premium or Regular Premium policy Which is the best premium payment frequency that suits you eg: Annual, quarterly etc. Whether there is an ECS (Electronic Clearing Service) payment option to make your premium payment safe and easy
  • Fill the proposal form very carefully and personally
    Fill it completely and truthfully, Remember you are responsible for its contents Make sure that the information you give cannot be disputed during a claim Ensure you fill Nomination details If the form is in one language and you are answering the questions in a different language Ensure the questions are explained correctly to you and That you have understood them completely Remember you have to give a declaration to this effect in the proposal form
  • Keep a copy of the completed proposal form you sign and any declarations and terms agreed upon mutually for your records
  • If you are buying Unit Linked Insurance Policies (ULIPs) ask specific questions about:
    • Various charges
    • Fund options
    • Switching of funds
    • Benefits if you
      • Discontinue the policy
      • Surrender the policy
      • Make a partial withdrawal of funds


  • Do not leave any column blank in the proposal form
  • Do not let anyone else fill it up
  • Do not conceal or misstate any facts as this could lead to disputes at the time of a claim
  • Do not miss or delay your premium payment


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