What to do with lapsed insurance policies?

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6pack

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Got royally fcuked by icici direct agents and their manager.
Had gone to their branch in 2011 to get kyc done and got brainwashed into paying total of 80k for a ulip policy.
Found out that 4 policies were made instead of one.
Kyc did not get done after a heated argument with them on phone after I didn't get the policy papers by courier. Since I don't have papers I couldn't cancel the policies. Add to this their fraud manager destroyed the documents and asked me to get duplicates done. To get duplicates they asked me to pay 800 bucks each for 4 policies. On top of this I was asked to get some affidavits for all 4.
I didn't do it since I didn't want to spend more money on these cheats.

I recently saw that we could link our policies to icici account. So I entered my policy number few days back and today I saw this. Instead of tulip policy, the policy was shown as general insurance policy and all are lapsed since I didn't pay any premium. I won't even pay now. Is there any chance of getting back some money from the 80k I paid?
If yes how do I do it? I don't see any policy surrender option.

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Seems to me that I lost entire 80k now.
What an idiot I am. :(
 
You have lost the money. But you can still complain to IRDA with all possible proofs.
 
If his PAN was linked to these policies, wouldn't that be suffice to claim the refund or get the policy documents to claim?
 
Call customer care or visit a different branch, you would get money back.
First cancel policy and then raise a complain against branch/person.

The premium paid for each policy is 40,000, and there are 4 policies - that's Rs 160000
 
I don't have any policy documents. I only have the soft copy of acknowledgements of money paid. In that no policy name or anything is mentioned.

In 2011 that icici person ( I think some area manager or someone) said that the courier didn't deliver the documents to my place and it came back to their branch. I thought of getting the docs and cancelling within 15 days but he had already destroyed the docs by then.

I went to another branch in Mumbai after few months when I got time and they told me to pay some 1600 rupees & get affidavit first to get duplicate copies of the policies.
Also I didn't pay 160000. I only paid 80000. That 40k is unpaid dues being shown of 2012+2013.
Seems to me they divided it into 4 policies of 20k each. Policy duration is of 20 yrs till 2031 according to that icici page.
So if that 80k is considered as first premium, I loose everything.
 
6pack said:
I don't have any policy documents. I only have the soft copy of acknowledgements of money paid. In that no policy name or anything is mentioned.

In 2011 that icici person ( I think some area manager or someone) said that the courier didn't deliver the documents to my place and it came back to their branch. I thought of getting the docs and cancelling within 15 days but he had already destroyed the docs by then.

I went to another branch in Mumbai after few months when I got time and they told me to pay some 1600 rupees & get affidavit first to get duplicate copies of the policies.
Also I didn't pay 160000. I only paid 80000. That 40k is unpaid dues being shown of 2012+2013.
Seems to me they divided it into 4 policies of 20k each. Policy duration is of 20 yrs till 2031 according to that icici page.
So if that 80k is considered as first premium, I loose everything.
Click to expand...
Well ICICI is known for such shady practices. Just days before the 2008 meltdown, they sold my father an equity scheme. My father passed away and we never received a nominee letter. The agent kept delaying it for months altogether. Finally after lodging a complain with ICICI Regional Manager - ICICI disowned him (cause basically these guys are not on ICICI payrolls). Their view was he "ran" away with the money. Finally had a talk with zonal manager and told him that I will be taking this to RBI ombudsman, that they backed down.
I have heard from some of my friends that ICICI prudential copies signatures of customers and open fake policies in people names. Their defense seem is that there is too much pressure to show sales. I guess that is what happened in your case, otherwise it raises a question as to who actually did sign documents for other policies.
Secondly, check who is this "person" . The destroy document in 15 days is a hogwash. Banks keep everything delivered to them for at least 3 months. They will even send you reminders to collect it (on mobile). They must be covering their tracks.
I guess the last way out is to try and contact Regional/Zonal Manager - tell them you might approach IRDA.
 
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I have another query.
I have a LIC insurance policy which has lapsed last year. I paid 1.5lacs total as premium amount till 2012 I think. I went to the branch and I got a quote of 99990 as surrender value.
Should I surrender this and invest the money in some good stocks or mutual funds? No use keeping lapsed policies right?
 
6 pack i too will suggest to go and ask moneylife helpline.As they take such serious matters of insurance policy very harshly.Many times its their cover story to expose shady practice by firms.
Also your case looks more suitable for consumer court type.Since you paid from account and also you have digital proof i feel thats more than enough.But its better you go through moneylife .As they have their own reputation.And it might happen just by their name they will refund you back.
Regarding LIC care to share more detail which policy it is .
 
The lic policy is jeevan anand with benefits. Its not a term plan. Yearly premium is 18821 for 20 yrs & cover is 4 lacs.
I don't plan to continue with any life insurance policies now since I'm the only surviving member in my family.
 
Though late it looks the correct decision.The problem with such policies is their returns during whole period wont cross 5%which can be easily avail by buying a term online policy and investing the rest in FD,RD ,MF or some share depending on risk taking ability.
But some people have mindset (including my sis)why should i loose money when i pay for return(whereas insurance is never taken for return but just providing cushion to family member you support).Hence even though in actual whole life they pay 10 lakhs and after policy term 20-30 years down time they ready to take 12-25 lakhs. forgetting its just peanuts when they receive.

Anyways if you now think you are ready to bite the bitter pill its better late than never.

Though you might think i paid 1.5 lakhs and getting 1 lakh i stand a looser if i go ahead with surrender and all.But take firm decision.I myself put some money in stocks which from 500 went t 50 levels and i invested thinking atleast ill get 30% return.Unfortunately it just moved down and down and once investment of 12k on sell was just giving me 3k in hand.And i why just 3k give more time and exit at 6k.Ultimately the company was thrown out of listing on non-compliance and i lost all.
Though in LIC you wont see such bad endings.But learning from mistake and taking hard quick decisions is what one needs to do.
 
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Thanks for the advice @MAGNeT. Even I have seen some bad luck with some stocks when I was young and blindly invested in them. After that I used to read money control and research on the companies for a month at least before investing. Haven't put money on stocks in years now. Just some mutual funds or fd's. Doubled my money in three years in all the funds I've put till now thankfully.
 
6pack said:
The lic policy is jeevan anand with benefits. Its not a term plan. Yearly premium is 18821 for 20 yrs & cover is 4 lacs.
I don't plan to continue with any life insurance policies now since I'm the only surviving member in my family.
Click to expand...
Dude you are not planning to marry?
Or
you are an old person, just counting his final years living happily?

Don't get me wrong, I am just curious how can a person can live alone...
 
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