Also, the process can be rendered easy on your part for your beneficiary, by maintaining a record of all such policies with accurate details and riders if any. This will not lead to much of struggle for the beneficiary and with information at hand, beneficiary or nominee of the policy will be in a better position to get the claim amount processed easily. Know how to make life insurance benefits in case of death of the insured.
But despite all such planning to secure claim amount in an easy way, insurers can refuse to honour your claim request due to various reasons. And of the so many reasons that can be cited by your insurer for refusing the claim amount, one may be when nominee of the policy makes the claim after a long gap of over three years. The clause is relevant as per the Limitation Act which requires the nominee to inform the insurer about the death of the insured in three years time. Else as no timeline is specified in the terms of the policy in respect of the claim, the following provision as per the law holds relevance.
Though, insurers can cancel your claim request if making the claim after the period of over three years from the date of death of the insurer, nonetheless seeking genuineness of the case, insurer many a times honour the claim request even when the claim is made beyond the three years time.
Exception to the three year timeline to make insurance claim
An exception to this timeline is for those insured persons who go missing and claim for them or their death can only be made once they are legally deemed to have met death which is done after a term of 7 years. So, in this case the beneficiary can make the claim after the period of seven years regardless of the three year timeline for making the claim.