I am 32 years, married and reside with wife and son in Mysuru. I want to take a life insurance plan to protect my wife and children if something happens to me. I was convinced by a life insurance agent to take a money back life insurance plan as he promised guaranteed investment benefits. A friend later told me that these plans give very low returns and I regret my decisions. I want to return the money back insurance plan within the free look period. How can I do this?
Life insurers give you a time period of 15 days from the date you receive the policy documents called the free look period, within which you can reconsider the decision to buy the life insurance plan. You must write an application form giving the reasons for returning the money back policy. This can be any reason[NB1] . You must send this application within the free look period. The life insurer could call you asking your reasons for not taking up the life insurance plan, but the life insurer cannot force you to take up the plan. The life insurer will deduct the cost of the insurance cover given to you within the free look period[NB2] . These costs include stamp duty charges for issuing the policy and also costs of medical check-ups. [NB3] After deducting these expenses, the life insurer refunds the rest of the money. You should get your money back within 2 weeks. It is always best to do your research before availing life insurance and avail insurance which suits your needs to avoid the hassles of cancellation.