Insurance Act 2015 amendment – Dnyan pravah news

The rights of insurance policy nominees need legal clarity

adminApril 13, 202508 mins

In the complex world of asset distribution, the rights of nominees, particularly in life insurance policies, have been a subject of ongoing legal debate. Traditionally, nominees have been regarded as trustees, holding the proceeds of an insurance policy temporarily for the rightful legal heirs. However, a significant shift occurred with the 2015 amendment to the…

Who gets the insurance payout—nominee or legal heirs?

adminMarch 31, 2025011 mins

This dilemma stems from the intersection of insurance laws and succession laws, creating a legal gray area. The Insurance Laws (Amendment) Act, 2015, introduced the concept of a “beneficial nominee,” granting immediate family members—spouse, children, or parents—full rights to the policy proceeds. However, succession laws treat a nominee as merely a custodian, requiring them to…