Nominee

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NOMINEE The Nominee is a person nominated by the policyholder, who receives the life insurance pay-outs and other benefits in case of an unfortunate eventuality. (Also known as the beneficiary). The nominee can be anyone you deem to be your first relative - your parents, spouse, kids, siblings etc. The nominee must be declared at the time of purchasing the policy. Policyholder’s spouse, children, parents can be declared as nominee who may have immediate financial dependence on you. If an investor dies, the individual or individuals who will receive the proceeds are called a nominee or nominees. Therefore they have the legal rights to receive an insured amount if the policyholder passes away during their policy period. As strange as it may sound, the nomination of a stranger does not really make sense. Insurers do not accept strangers as nominees. Hence, even if you want to nominate a distant relative or a friend, it will not be easy to do so. Moreover, appointing a nominee who is not related to you is a moral hazard. The insurance company might refuse this nomination. The policyholder can change a nominee(s) as many times as they wish. It should be noted the last change take precedence of all other previous nominees. It is essential to make sure these changes are updated, and can be done online or through a a written acknowledgment of change. #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful

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