RESUME APPLICATION PAY PREMIUM
Fund Performance

Fund Performance

Knowledge Center

Knowledge Center

About Us

About Us

Tools and Calculators

Tools & Calculators

Quick links

Mobile (Download app)
  • Webpages
  • Documents
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment

For NRI Customers

(To Buy a Policy)

(If you're our existing customer)

For Online Policy Purchase

(New and Ongoing Applications)

Branch Locator

For Existing Customers

(Issued Policy)

Fund Performance Check

RESUME APPLICATION PAY PREMIUM

What do you want to do?

Quick links

Mobile (Download app)

Download HDFC Life App

Buy plans, track your policy, make renewal payments & monitor fund performance with HDFC Life App, Download Now!

Apple Logo Go to Google Play Store

Importance of a Proposal Form and the Declarations Made Therein

down-arrow
Importance of a Proposal Form and the Declarations Made Therein
February 29, 2024

Table of Content

 

  • Proposal form in Insurance form serves as the basis on which an insurance policy is issued.
  • Accurate details need to be filled in order to avoid issues later on
  • Verification of details entered are necessary to enjoy benefits of policy

When applying for insurance, a proposer has to fill out the proposal form of the life insurance company. The Insurance Proposal is an important document which provides the details of the proposer and the life assured and which is used as a basis to ascertain the insurability of an individual. Important aspects of your policy such as premiums, and the terms and conditions are based on the information that you provide in this document. The insurance contract is based on the trust that the details you enter in the proposal form are accurate and to the best of your knowledge.

Form Filling

Since the accuracy of details that are entered in the proposal form are critical to the insurance policy, necessary steps should be taken to ensure that the person buying the policy is the one filling the form. Most people just sign the form and allow someone else to fill the details. This might lead to the person inadvertently missing out on some important details that only you’ll know. Therefore, the form should not only be filled by the proposer, but also checked once again to verify that correct details are given. In the event the proposal form is in a language that the proposer doesn’t understand, it should be made sure that all the terms are clearly explained and the proposer has full understanding of the contents in the proposal form before signing the document.

The Insurance Proposal Form

There are many details required in the insurance proposal form, but here are some of the basic and most important ones, that if not filled properly can lead to issues in claim settlement.

  • Name

    This is very important, as the name entered here will be the name of the policyholder. At the time of claim, if this name does not match, it can lead to non-settlement of the claim.

  • Address

    If the address is not properly stated, it can lead to a communication gap, which might mean missing out on crucial correspondence from the insurance company.

  • Occupation

    Which occupation the proposer is involved in affects the decision of the insurance underwriter to a great extent. It can lead to rejection of the proposal or hike in the rate of premium.

  • Sum Insured

    This is the reason why you are opting for the insurance policy. The sum insured is the amount for which you are seeking coverage, and is also the limit to which the insurer is liable.

  • Age

    the age as per the last birthday before the filling of the proposal form.

Completed Proposal Form

In your Insurance Proposal Form, make sure all the details like Name, Address, Occupation, Age, Bank Details, Identity and all necessary information are correctly filled. Make sure you fill it with utmost accuracy. You need to attach certain documents along with the claim form, as asked.

Declaration

As mentioned before, the relation between the insurer and the insured is based on trust, and every proposal form comes with a declaration to this effect. These declarations consist of statements such as: ‘details given here are true and nothing has been hidden or misrepresented’, ‘the proposal form shall form the basis of the contract’ and ‘the proposer agrees to pay the premium and accept a policy that will be offered after due assessment’.

From the above points, we come to understand just how important the proposal form really is. Hence, it is paramount that those buying an insurance policy should pay meticulous attention while filling their details in this important document, failure of which may lead to adverse consequence.

Related Articles

ARN: ED/08/22/28488

Term Plan Articles Term Plan Articles

Investment Articles Investment Articles

Savings Articles Savings Articles

Life Insurance Articles Life Insurance Articles

Tax Articles Tax Articles

Retirement Articles Retirement Articles

ULIP Articles ULIP Articles

Health Plans Articles Health Plans Articles

Child Plans Articles Child Plans Articles

Popular Calculators Popular Calculators

Francis Rodrigues Francis Rodrigues

Francis Rodrigues has a decade long experience in the insurance sector, and as SVP, E-Commerce and Digital Marketing, HDFC Life, manages the online sales channel, as well as digital and performance marketing. He has had hands-on experience in setting up sales channels and functional teams from scratch over a career spanning 2 decades.

LinkedIn profile
Author Profile Written By:
Vishal Subharwal Vishal Subharwal

Vishal Subharwal heads the Strategy, Marketing, E-Commerce, Digital Business & Sustainability initiatives at HDFC Life. He is responsible for crafting and ensuring successful implementation of the overall organisation strategy.

LinkedIn profile
Reviewed By Reviewed By:

Here's all you should know about life insurance.

We help you to make informed insurance decisions for a lifetime.

Income Tax Slab FY 2024-25 and AY 2025-26

Income Tax Slab FY 2024-25 and AY 2025-26

The latest income tax slabs for FY 2024-25 and AY 2025-26, including new and old regime rates, deductions, key highlights for smart tax planning, and savings tips.

Tax Planning for Salaried Employees: Key Pointers to Consider

Income Tax Saving Tips for Young Earners

What is Tax Declaration Form? - Process to File Income Tax Declaration

Investment declaration has to be done in the beginning of a financial year. Read to know what is form 12BB & the step by step process to declare investments!

What is Tax Declaration Form? - Process to File Income Tax Declaration
Income Tax Slab & Deductions FY 2013-14 Previous
What is GST on gold? Next
HDFC life
HDFC life

HDFC Life

Reviewed by Life Insurance Experts

HDFC LIFE IS A TRUSTED LIFE INSURANCE PARTNER

We at HDFC Life are committed to offer innovative products and services that enable individuals live a ‘Life of Pride’. For over two decades we have been providing life insurance plans - protection, pension, savings, investment, annuity and health.

Popular Search

Popular Searches