Postal Life Insurance: Meaning, Benefits And PLI Status

Postal Life Insurance today covers a wide spectrum of federal, state, and local government employees, as well as anyone who works in public institutions and organisations. On February 1, 1884, the Secretary of State for India under the British Government provided specific approval for the establishment of Postal Life Insurance, making it the country's oldest life insurer. Initially proposed by the then-Director General of Post Offices, F.R. Hogg, as a welfare programme for Her Majesty's postal employees in 1881, the scheme was quickly expanded to include employees of the Telegraph Department in 1888.

In 1894, the young organisation added another feather to its crown by expanding coverage to female Posts and Telegraph Department employees. At the time, no insurance company would cover women. To know more about Postal Life Insurance and the status of your PLI, read on.

About Postal Life Insurance

Postal Life Insurance has made great strides from its inception as a welfare organisation to give benefits to Postal Department employees. It presently sells its policies to a variety of state and federal government departments, including Nationalised Banks, Universities, Defence officers and personnel, Government Aided Educational Institutions, and paramilitary forces, to name a few.

• Apart from its normal mail delivery and collection services, PLI is likely the only department that has expanded its activities into many sectors.
• With the advancement of technology, many new features have been added to make it easier for customers to obtain Postal Life Insurance in a smooth and timely manner.

Benefits Of Postal Life Insurance

The following are the important benefits of postal life insurance:

1. Exceptional returns - When compared to any other insurance business in India, Postal Life Insurance (PLI) provides the maximum policy coverage and the appropriate bonus amount for the lowest premium prices.
2. Modification and Appointment of Nominee - PLI lets the policyholder appoint a candidate. During the policy term, the policyholder can also alter the nominee.
3. Loan Facility - By assigning his or her insurance to any financial institution, the policyholder can obtain a loan.
4. Pledges made by policy - The policyholder can take out a loan by pledging the insurance to Circle Heads. After the policy has been in force for three years, the endowment assurance life guarantee can apply for a loan. The policyholder of a complete life assurance plan has a four-year term.
5. Recovery of lapsed policy - A lapsed PLI policy can be revived after six unpaid 6 consecutive premium amounts if it remained active for less than three years. If the policy is more than 3 years, the non-payment of 12 consecutive premium amounts will result in the policy loss.
6. Conversion of Policies - A policyholder can convert his or her full life assurance policy into an endowment assurance policy. According to the pre-defined norms and regulations, this move can be done among different endowment assurance schemes.
7. Issuance of duplicate policy papers - If the policy's documents are lost, misplaced, or damaged, duplicate policy documents might be re-issued.
8. Several Policies - Policyholders can purchase multiple policies from Postal Life Insurance as long as the total sum insured for each category of policies is between Rs. 20,000 and Rs. 10 lakh.
   Benefits under Section 80C of the Income Tax Act - The Postal Life Insurance policies provide tax benefits under Section 80C of the Income Tax Act.

How To Check The Status Of Postal Life Insurance (PLI)?

Many policyholders spend many hours on the phone or in lines at Post Offices to monitor the status of their postal life insurance policies and pay their premiums. Why?

This is because many policyholders are unaware that they may now check the status of their postal life insurance policy both offline and online. There was no method to verify the status of your PLI online earlier. But thankfully, now we have the facility for the Postal Life Insurance policy's status to be checked online.

Endnotes

Now that you know how to check the status of your Postal Life Insurance policy and pay your PLI premiums online, we recommend that you invest in this policy if you work for the Defence Services, State Governments, Central Government, Paramilitary Forces, Nationalised Banks, and a variety of other government-owned entities.

PLI's many schemes can assist you in maximising your investments and providing complete financial security for yourself and your loved ones.

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Disclaimer: This article is issued in the general public interest and is meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive and should research further or consult an expert in this regard.