Many banks in India now offer free life insurance cover with select debit cards, but not everyone knows about this valuable benefit. If your debit card includes insurance, it could provide your family with financial security in case of your untimely death. But to make the most of it, you need to understand the claim process and terms of coverage. Here’s everything you should know.
How to Check if Your Debit Card Offers Life Insurance
Not all debit cards come with insurance coverage. To find out if your card is eligible, you can:
- Check the bank’s official website or mobile app for benefits under your card type.
- Visit your branch or contact customer service for more information.
- Look for welcome kits or emails from the bank highlighting the insurance benefits.
Once confirmed, you should inform your family members about the facility to ensure they can make a claim if required.
Step-by-Step Guide to Making a Claim
In case of the insured person’s death, the family can follow these steps to claim the life insurance:
- Notify the Bank: Inform the bank as soon as possible.
- Submit Required Documents: The bank will ask for:
- Death certificate of the policyholder.
- Copy of the debit card.
- ID proof of both the deceased and the claimant.
- Proof of relationship between the policyholder and the claimant (e.g., marriage or birth certificate).
- Claim Process: You can submit documents at the branch, through the bank’s online portal, or via customer care.
The bank may request additional information during the process. After reviewing the documents, the bank will update the family about the status of the claim. If approved, the insurance amount will be credited to the beneficiary.
Benefits of Life Insurance on Debit Cards
This free insurance cover provides many advantages:
- No extra fees or premium required.
- Easy claim process with support from the bank’s customer service.
- Offers financial security to the family of the cardholder.
However, it’s essential to understand that terms and conditions may vary across banks and card types. So, reviewing the specific rules applicable to your card is necessary.
Why Informing Family Members is Crucial
Even though the insurance cover is free, many families miss out on the benefit because they aren’t aware it exists. If your card offers this facility, make sure your family knows about it. Keep all necessary documents in a secure place, and explain the claim procedure to them.
Key Takeaways
Banks offering life insurance with debit cards aim to provide additional security at no cost to customers. But to benefit from it, customers must stay informed, check their card’s eligibility, and ensure their family members know about the coverage. This small step could make a big difference in securing your family’s future.
