A term insurance plan is a basic type of life insurance. It provides long-term comprehensive financial protection to the survivors of the individual who is buying the policy. Term insurance plans are also affordable and easy-to-buy. While one buys a term insurance policy, insurance companies ask for certain documents. One has to comply with this process. But is income proof mandatory for term insurance? Just like any other insurance, when you buy a term plan, you must comply with the documentation process. The process, however, may vary from insurer to insurer. Check the list of documents generally most insurance companies required:
i) Proof of identity (any of these)
Driving licence
Passport
Voter ID card
PAN card
Aadhaar card
ID issued by a government body
ii) Proof of residence (any of these)
Recent utility bills
Passport
Ration card
Bank account statement
Letter from a recognised public authority
Aadhaar card
Driving license
iii) Medical reports
iv) Passport sized photographs
v) Income proof
Income proof essential
As per rules, income proof is mandatory for buying term insurance. You cannot purchase a term insurance plan without this document.
Income proof documents
The following documents are generally accepted as proof of income.
Salary slips
Bank account statement reflecting salary credit
Latest ITR
Form 16
Business account statement
Current account statement
Income certificate by your employer
Published: August 6, 2021, 15:43 IST
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