What is the reinstatement clause?

A reinstatement clause is an insurance policy clause that states when coverage terms are reset after the insured individual or business files a claim due to previous loss or damage. Reinstatement clauses don’t usually reset a policy’s terms, but they do allow the policy to restart coverage for future claims.

Which of the following is a necessary condition for reinstatement of a lapsed policy?

The correct answer is: The policy is voided. Which of the following best describes what a policyowner must do to reinstate a lapsed life insurance policy? The policyowner must pay all overdue premiums including interest and provide proof of insurability to reinstate a lapsed life insurance policy.

What is a reinstatement insurance policy?

Reinstatement in the insurance industry means a person’s previously terminated policy can resume if the already insured meets the specific requirements for reinstatement. Typically insurance companies offer policyholders a grace period for late payments before a policy terminates.

Which of the following is are required when reinstating a life insurance policy after a default in premiums?

To reinstate the policy, the former policyholder must provide satisfactory evidence of insurability, pay back premiums (with interest), and pay or reinstate any other indebtedness on the policy.

What is reinstated with lapse?

A reinstatement from lapsed coverage is the more serious condition of the two. It means that there has been a period of time in which you were not covered by an auto insurance policy because the company has canceled your coverage.

What is mean reinstatement work?

Reinstatement is the act of giving someone back a job or position which has been taken away from them.

How do you revive a lapsed life insurance policy?

To reinstate a lapsed policy, the policyholder needs to make an application for revival to the insurance company. The company may prescribe submitting a standard revival form. In certain cases, a medical checkup at the designated medical centre is mandatory.

What is reinstatement premium?

A reinstatement premium is a premium that must be paid to activate an insurance policy again after the coverage has ceased. Reinstatement premiums are commonly used in life insurance because people often decide that they want to continue receiving life insurance coverage after their term life policies expire.

Does a reinstated policy provide immediate coverage?

C) A reinstated policy provides immediate coverage for an illness. An insured wants to name her husband as the beneficiary of her health policy. … However, her agent did not notify the insurance company until 60 days after the loss.

What is revival of lapsed policy?

Insurance companies provide an option of reactivating the lapsed policy, within a specific period of time post the grace period. This period offered by the insurer to revive the policy and avail benefits pertaining to it is termed as revival period.

Can a lapsed policy be reinstated?

This means that the policy is effectively cancelled, and the policy owner, beneficiary or principal member cannot claim any benefits on the policy. However, lapsed policies can sometimes be reinstated, which means you can continue to give your loved one’s financial protection if you are no longer around.

Is to restart a lapsed policy?

The revival of a life insurance policy is required when the insured fails to pay the premium within the grace period and the coverage of the policy lapses. The inclusion of revival of policy is a must to have as it provides an option to the insured person to renew the policy and continue with the coverage of the plan.

What are the types of revival?

Types of Revival Schemes in LIC
  • Ordinary Revival Scheme. …
  • Special Revival Scheme. …
  • Loan-cum-Revival Scheme. …
  • Survival Benefit cum Revival Scheme. …
  • Revival By Installment Method.

What is renewal and revival?

As nouns the difference between renewal and revival

is that renewal is the act of renewing while revival is the act of reviving, or the state of being revived.

What are the two types of revival?

It is a combination of elements from African pagan beliefs and Christianity and has several forms, the two major forms being Revival Zion and Pocomania. The Revival ritual involves singing, drumming, dancing, hand-clapping, foot-stomping, and groaning along with the use of prayers to invite possession.

What is special revival?

Under the special revival campaign, the Life Insurance Corporation of India (LIC) launched the scheme, which facilitates the customers to revive their lapsed policies within a deadline through the approved satellite offices for performing the process.

What is installment revival?

Installment Revival

If you are not able to clear your dues, the policy can be revived by paying the premiums in installments. You can choose one of the following choices: Yearly premium – You pay half of the yearly premium in one go. Half-yearly premium – You pay one half of the yearly premium.

What is a revival in history?

revivalism, generally, renewed religious fervour within a Christian group, church, or community, but primarily a movement in some Protestant churches to revitalize the spiritual ardour of their members and to win new adherents.

Why we need a revival?

God calms the waters of life, gives the peace that passes all understanding, and we can rejoice with each day because it is the day the Lord has made. However, if confusion reigns, Christians need revival to put God back as the leader of their lives.

What is revival Zion?

oxford. views 1,428,169 updated. Revival Zion or Revivalism. Afro-Jamaican cults resembling Pocomania in their hierarchical and authoritarian organization, in their Yards, and in their concern with healing by diverse means and with spirit possession.