Canara HSBC Oriental Bank of Commerce Life Insurance Company plans to launch a pure term insurance product, with return of premium, in April in the wake of the insurance regulator coming out with guidelines for the same.
Referring to IRDAI’s November 2016 guidelines on point of sale for life insurance products, Anuj Mathur, Chief Executive Officer, Canara HSBC OBC Life, said, “With term return of premium (ROP), if nothing has happened (no insured event — death — occurs during the policy tenure), whatever premium you have paid you will get it back.”
“In this particular product, the upper limit for sum assured is Rs 15 lakh. Moreover (there is) no underwriting. You just walk into the branch and give your particulars to the branch manager. So, this product will be technology driven, with online submission of particulars, online (Aadhaar-based) authentication and across the counter policy issuance. He added that no medical (test) is required because the company has that kind of risk appetite and the (policy) volumes will be big too.