What to do with LIC Policy if Insured Moves to a Different Country

1. If an individual has invested in the policy before attaining the NRI status, then there are no fundamental changes made to the policy. Moreover, the proceeds (death and maturity proceeds) are repatriable and premium amounts can be paid in a foreign currency.
2. If the individual has made the premium payment in Indian currency, that is through the Non-Resident origin (NRO) account, then the death and maturity proceeds will not be repatriable.

What are the Conditions Laid Down by Life Insurance Corporation of India for NRIs?

The following guidelines are important for NRIs who have LIC policies in India:

1. The concerned individual or NRI must not hold a green card whatsoever. The NRI, in addition to this, must not be planning to obtain citizenship in a foreign country.
2. Insurance policies are generally issued in the Indian currency solely. Branches of LIC located in multiple parts of the world can issue policies in their respective local currencies.
3. NRIs are considered to be at par with the rest of the Indians when an insurance policy is being issued to them. The formalities mandated in this regard are carried out during their (NRIs) stay in the country.
4. Through the regulation known as 'Mail Order Business', NRIs are allowed to invest in life insurance policies from their current residential country along with the completion of formalities.
5. The minimum sum assured amount with respect to NRIs is Rs.2 lakh and the maximum limit is dependant on the insurability conditions.
6. If an NRI is submitting his/her proposal via Mail Order Business, or in case the sum assured amount is relatively high, then LIC will ask for documents such as income proof, photocopy of contract of employment (mentioning emoluments), Certificate from Chartered Accountant, and so on.

1. LIC approves almost all its plans for Non-Resident Indians. However, there are certain preconditions to these plans. Policy will not be issued if the concerned individual wants to incorporate the critical illness rider in the policy. Additionally, sum assured amount for term insurance policies will also be confined to a certain extent.
2. LIC offers a special scheme under its umbrella known as the Non-Medical (Special) scheme, however, there are certain restrictions attached to this:
   1. This scheme is applicable only if the insurance policy has been purchased during a visit to India or via Mail Order Business.
   2. The maximum entry age for this scheme is 45 years.
   3. Policies offering a high-risk coverage and rider benefits in term plans are not included under this scheme.
   4. The potential buyer must be either a Government employee, part of a renowned commercial firm, must be a Chartered Accountant, lawyer, doctor, or an engineer.
3. The mandated documents for obtaining an insurance policy are:
   1. The accurate proposal form which is dependant on the policy type selected
   2. NRI Questionnaire
   3. A medical examination and subsequent report (not applicable for individuals opting for the non-medical scheme)
   4. An attested photocopy of policyholder's passport
   5. Age and income proofs
   6. The first deposit made by the individual must be equal to the premium installment amount under the plan that has been proposed
   7. Specific health reports, if required

The insurance policies that have been bought while the individual is still residing in India will remain intact, however, the policyholder is required to inform his/her servicing LIC branch about the new address in the new location.