My sister passed away without a will. She was in USA with her son. The cremation was also done there. She had an LIC policy in her name. But since there is no nominee LIC is not giving the money. Her son is not interested in coming to India since he is a US citizen. I was the joint holder in her bank accounts since till she shifted to USA and I was helping her with all her finances. Can we show the bank statements in which I am the joint holder and ask LIC to release the money? – Mukund Rege

Sorry for your loss. Taking into account your current scenario, ideally the nomination can be updated with the insurer concerned after demise of the Life Insured through a Legal Heirship Certificate/Succession certificate. However, your insurer would be the ideal advisor for seeking best recourse.

Under what conditions can an insurance company cancel the policy without asking the customer? If they do what should the customer do? – Avinash Thakur

An insurance company can cancel an existing insurance policy on the grounds of mis-representation, non-disclosure of material facts, fraud in accordance with Section 45 of the Insurance Act, 1938. The insurer is required to inform the customer why it has cancelled the policy. However, if the customer is aggrieved by the insurer's decision, they can approach the Insurance Ombudsman that has territorial jurisdiction over the branch or office of the insurer or the residential address or place of residence of the policyholder.

The writer is MD & CEO, Edelweiss Tokio Life Insurance