Suicide Clause

Modification in Suicide Clause

In third para of our circular ref. Actl/PD/1967/4 dated 30.08.2004 regarding incorporation of date of risk in the policy schedule, it was decided that the wordings “the date of this policy” in Suicide Clause must be substituted by the wordings “the date of commencement of risk under this policy”. The modified Suicide Clause since then is as under:-

“This Policy shall be void if the Life Assured commits suicide (whether sane or insane at the time) at any time on or after the date on which the risk under the Policy has commenced but before the expiry of one year from the date of commencement of risk under this Policy and the Corporation will not entertain any claim by virtue of this Policy except to the extent of a third party’s bonafide beneficial interest acquired in the Policy for valuable consideration of which notice has been given in writing to the office to which premiums under this policy were paid last, at least one calendar month prior to death.”

Since the premiums can now-a-days be paid by the policyholder anywhere in the country and that too through alternate modes also, it has been felt that the wordings “to the office to which premiums under this policy were paid last” in the Suicide Clause must be changed in the present scenario. It has, therefore, been decided to substitute the wordings “to the office to which premiums under this policy were paid last” in Suicide Clause by the wordings “to the branch where the policy is being presently serviced (where the policy records are kept).

The modified Suicide Clause must be as under:-

“This Policy shall be void if the Life Assured commits suicide (whether sane or insane at the time) at any time on or after the date on which the risk under the Policy has commenced but before the expiry of one year from the date of commencement of risk under this Policy and the Corporation will not entertain any claim by virtue of this Policy except to the extent of a third party’s bonafide beneficial interest acquired in the Policy for valuable consideration of which notice has been given in writing to the branch where the Policy is being presently serviced (where the policy records are kept), at least one calendar month prior to death.”
The above modification in Suicide Clause has to be carried out by way of an endorsement in case of policy documents which have already been printed. Please note that all policy documents to be printed in future must have the above modified Suicide Clause under the caption “Conditions and privileges within referred to”.