The Long Read

Everything you *need to know* is right above this. Scroll down, only if you'd still like to read more (honestly, why?)

Choosing your nominee is one of the most important steps of buying term insurance as they will be receiving your term plan life cover after you are no more. 

Your nominee can be

  • A family member (parent/sibling/wife and kids)

  • A business partner 

But remember, whenever you are choosing a nominee, you have to prove their insurable interest in you i.e. the nominee will be financially impacted by your death.


Yes, of course!

You can change your nominee any time you want for various reasons such as:


  • Your current nominee is no more

  • You want to remove your current nominee from your term plan

  • You didn’t select a nominee when buying a term plan

  • You want to increase or decrease the number of nominees from your plan


And so on.

Want to know how to change your term insurance nominee? Let’s find out.


Yes, absolutely.

Just like how you can have more than one favourite person, you can also have more than one nominee.

You can define the proportion of allocation of your life cover for each of your nominees.

Yes. Your nominee needs to be someone with insurable interest in your death.

This means they will be financially impacted by your death, which can be easily proved with a blood or a legal relation.

If you have clearly stated who your nominee is, and have provided their correct and updated details, your insurer will definitely pay them.

If you are a married man and you have bought a term plan under MWPA (Married Women’s Property Act), then the policy money will go only to your spouse and kids and no one else. Find out more about buying term insurance under MWPA.

Yes, you can. 

There may be someone in your life who you love and care about a lot. But in the absence of a blood or legal relationship, you cannot prove that they will be financially impacted by your death. 

Result: You can’t make them a nominee on your term plan. 

In these cases, you can make a Will, clearly stating your loved one’s indisputable right to the insurance money.

That’s because, in case of a dispute between a Will and insurance nomination, the Will will override the nomination (unless the policy was bought under MWPA)


Yes, you can.

When stating the nominees, you can also mention what percentage of your life cover each nominee should get when you pass away during the policy duration. 


Once the claim is approved, your nominees will get their respective shares, as decided by you.