- Loan is admissible on Whole Life Assurance (WLA), Endowment Assurance (EA) and Convertible Whole Life Assurance (CWLA) policies.
- Currency of policy should be minimum of 3 years in case of EA and CWLA.
- Currency of policy should be minimum of four years in case of WLA.
- Policy should be unencumbered/ unassigned.
- Loan Limit:
|
(a) Whole Life Assurance
|
|
|
Currency of Policy
|
Percentage of surrender value
onwhich loan is admissible
|
|
More than 4 years to 7 years
|
60%
|
|
More than 7 years to 12 years
|
80%
|
|
More than 12 years
|
90%
|
|
(b) Endowment Assurance and
Convertible Whole Life Assurance
|
|
|
Currency of Policy
|
Percentage of surrender value
onwhich loan is admissible
|
|
More than 3 years to 5 years
|
60%
|
|
More than 5 years to 10 years
|
80%
|
|
More than 10 years
|
90%
|
- Insurant should apply on LI-35 (loan application) and send to DDM (PLI) alongwith policy document and premium receipt book.
- Second and subsequent loan is admissible after a year if the first loan is fully repaid.
- Loan interest @ 10% p.a is calculated on six monthly basis.
