क्या आप जानते हैं??

How can you revive your inactive PPF, insurance policies, Sukanya Samriddhi yojna account and mutual fund SIP’s?

PPF:
PPF account becomes inactive if a minimum of Rs 500/- is not deposited in a financial year. The amount accumulated however continues to earn interest.

Sukanya Samriddhi Yojana

SSY account gets discontinued if a minimum of Rs 250/- is not deposited in the account in a year.

For revival:
• Go to the concerned post office or bank branch with a request for revival.
• A minimum amount of Rs 1000/year of non-payment needs to be paid.
• Also a penalty of Rs 50/- would be charged for each year of inactivity.

Life Insurance Policies:
Life insurance policies lapse if premium payment is not made within the grace period.
There would be no cover during the period of non-payment.

A) Revival of Endowment Policies:
• Policy can be revived within 2 years from date of discontinuance.
• Approach the insurer’s branch office or an agent.
• Pay all premiums due, an interest, late payment charges and other penal charges.
• If policy is revived within 6 months from due date of the first missed payment, you need not give a good health declaration. If policy revived after 6 months, medical requirements would have to be fulfilled.

B) Revival of term insurance:
• Can be revived within 2 consecutive years of lapse.
• Can be revived by paying all the unpaid premiums and a late fee.
• It is better to opt for a new insurance cover unless there is some health issue which only the current insurer is ready to cover.

C) Revival of ULIP’s:
If policy is discontinued within the lock-in period:
• Policy can either be revived within 2 years from discontinuance or withdraw the policy without any risk cover.
• Post discontinuation, fund value will be moved to a discontinued policy fund that will earn minimum of 4% per annum and attract a fund management charge of 0.5%.
• You will receive proceeds at the end of the lock-in period.

Health insurance policies:
• Policy will lapse if payment is not made within the grace period of 30 days.
• No coverage during lapsed period.

Revival process:
1. Insurer could insist on disclosure of any ailment acquired during period of non coverage or a health check-up.
2. A policy cannot be revived if policyholder missed more than one premium payment.

Motor insurance policy

The default: Missing annual premium payment.

The penalty: Policy will expire. No revival within 90 days of lapsation will lead to loss of accumulated no claim bonuses.

Revival process:
1. Once approached, insurer will schedule a visit by surveyor to inspect the vehicle for pre-existing damages.

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Welcome to Invest India Online. Financial freedom means something different to every single one of our clients. For some, it means having enough money in retirement to build a second home and send the grandchildren to college.