so my uncle passed away in 2022 in a sudden road accident.
he had two term policies – one with LIC since 2019 and another from a private insurer bought in 2020.
we thought the family would be financially safe, so we filed both claims.
LIC cleared the claim in about 6 weeks, no hassle, and paid ₹50 lakh.
the private company started probing, sent investigators, asked for old documents and the process dragged on for months.
finally we got a rejection letter.
reason – material non‑disclosure of existing life insurance policy at the time of application.
my uncle had ticked NO on the question "do you have any existing life insurance policies". maybe he didn't understand, maybe the agent filled it – we'll never know.
his wife received only ₹50 lakh, not the ₹1.5 cr we expected.
that missing ₹1 cr is now gone for good.
after this I dug into the IRDAI rules, section 45 of the Insurance Act and everything else.
what I discovered shocked me – many families sit on a ticking bomb without realising it.
there's a 3‑year window most people never hear about, and the nominee claim process when two policies are involved is rarely explained properly.
I've jotted down all the details for anyone who wants to read them. I don't want another family to face what we did.
has anyone else faced issues with term insurance claims? genuine question.
Thanks! Please elaborate a bit more.
Does that mean we can't hold more than one life insurance policy? Could you explain in more detail?
What exactly does the 3‑year window mean?
Sorry for your loss. From what I know, once three years have passed since the policy started, the insurer can't reject a claim unless fraud is proved. Did the claim come in after that period?
Can someone explain what the 3‑year window is? Is this post genuine or just karma farming?
OP, don't disappear after posting – share the full story. It could be a great learning for many.
File an IRDAI complaint. Yes, it's a hidden fact – you must disclose any existing life insurance because the sum assured is calculated based on the total value of life, and you'll only be paid up to that amount, no more, no less.
The main problem is insurance agents – they have little knowledge and sometimes act cunningly. They're guided by company officers to sell or not sell certain high‑risk policies. Greed of agents and online selection of choices cause trouble. After selecting, several check‑boxes on the website lead to payment. This should be stopped. Before proceeding to payment, the website should show or allow a download of what was selected, with a watermark confirming the choices. Only after confirming should the payment window appear.
There's a company called Insurance Samadhan that appeared on Shark Tank. They help people claim money in cases like this. You can contact them, explain the situation – they take a small commission from the final amount and will let you know if there's still a chance.
Just to add something – remember how insurers call you at premium payment time to offer add‑ons or extra cover? That's the trap. If you accept, the 3‑year window resets from that purchase. So avoid any add‑on during renewal. If you need more protection, take a fresh policy instead.