Yes, you can invest in a life insurance policy based on your residential status of being an NRI (Non-Resident Indian), POI (Person of Indian Origin) or Overseas Citizen of India (OCI) as stated in the Foreign Exchange Management Act (FEMA).
 

Tata AIA life insurance policies are available online. The NRI can access it all at any time on the official website, provide the necessary documents and purchase the life insurance plan effortlessly. Remote medical underwriting facilities are based on the country of residence. You can always contact the customer service team via WhatsApp or Email for the necessary clarifications related to the medical tests, documents required, etc.

The documentation required will differ based on the choice of the insurer and the NRI insurance product. However, here is a detail about some of the most common documents required.
 

• Passport
• FATCA form
• Travel Questionnaire
• Visa Copy/OCI Card/Other Proofs (for OCI/PIO & Foreign Nationals)
• Proof of employment ID
• Last Entry-Exit Stamp
• Proof of residence
• Last 3 months' salary payslips
• Last 6 months' bank statement
• Photographs
• Proof of address in the country of residence
• COVID vaccination certificate
• CDC for Mariners

You can choose your payment mode, Credit card standing instruction, National Automated Clearing House (NACH), Cheque, Debit card, Net banking, NEFT/RTGS, SWIFT, etc.

Yes, you may pay in convertible foreign currency equivalent to the premium.

It is not mandatory for an NRI to have an Indian Bank account to purchase a life insurance policy.  

As per the income tax rules for NRI, a PAN card is not mandatory for NRIs; you will have to provide Form 60 instead. However, in case of ITR filing for NRI, to be able to claim TDS credit (withholding tax), you can receive the TDS certificate only by submitting your PAN card.

Yes, online claim settlement is available for the NRIs availing of life insurance benefits. However, it is subject to verification of the required documents and the related premium payments. You can connect to us through WhatsApp or Email for the transfer process.

The claimant may visit any of our offices or send a request from their registered email.
 

Documents required for Claim:
 

• Death Certificate issued by the Government
• Original policy bond
• Attested photocopy of ID proof and address proof of claimant
• Claimant Statement/Intimation Letter
• Copy of Bank passbook/Cancelled cheque of claimant/NEFT mandate
• Post-mortem report and FIR (in case of an accident)
• Medical Certificate issued by hospital (if available)

To get an insurance claim settled, you can get in touch with our customer care team on the official Tata AIA Life Insurance website. To know more about claim settlement, you can refer to the section on Settlement Guidelines.

Address Change, Nominee Change, and Bank Details can be updated Online through ‘My DigiAccount’ on Tata AIA Website (www.tataaia.com). You can also contact us through Email or Whatsapp at any time for further clarification. 

On issuance of your policy, we will send a digital copy to your registered email id or a physical copy as per the extant regulatory norms. You can also download the policy document here.

Yes, the country of your residence will affect the premium rate. For example, the premium rate is subject to an increase if the country is highly risky, considering factors such as political instability. 

Yes, NRIs can purchase life insurance policies under the Married Women Property Act to ensure that creditors cannot claim the policy benefits that are to be paid out to the policyholder’s family or nominee.

As an NRI, you can cancel your policy through a written notice to the Company during the free-look period. This formal notice has to be submitted within 15 days (for offline policies) or 30 days (electronic or distance marketing mode) of receiving the policy document. Once the cancellation is approved by the Company, you will receive a refund on the premiums paid. This does not include the interest and the proportionate risk premium for the period on the cover; stamp duty and medical examination costs will be deducted as well.

Tax proceeds for NRI/ PIO/OCI Insurance policy will be governed by the provisions of Sec 10(10D) of the income tax law and conditions prescribed under income tax rules for NRI and may be amended from time to time. The same is applicable to all policies except for annuity plan or pension plan for NRI, and health insurance. For a better understanding of the taxability, please contact your financial tax expert.
 

Effective Feb 2021, all ULIP policies where annual Aggregate premium exceeds Rs 2.5 Lakh premium and from 01st April 2023, all non ULIP policies where annual Aggregate premium exceeds Rs 5.0 Lakh, would be treated as taxable policies. Accordingly, income arising would be taxable at the time of any payout (i.e. Total payout minus Premium paid).

Annuities are considered income in the hands of the receiver and are taxable as per prevailing income tax slabs for non-resident taxpayers.

There is ambiguity in Income tax law on the death proceeds of annuity plans; however, in our view, the same should not be taxable in the hands of the nominee.

• TDS will not be deducted if the NRI resides in a country where DTAA is applicable provided the following documents are submitted at least once a year (During the pay-out period):
  
  
  
  • FATCA/CRS (self-declaration form)
  • Form 10F (self-declaration form)
  • No Permanent Establishment (PE) declaration (self-declaration form)
  • Tax residency certificate (TRC) issued by Govt. of respective country


A list of major countries where DTAA benefits are available, and payment can be made without deduction of TDS subject to submission of mandatory documents are as under.

No DTAA benefit is available for countries other than those mentioned in the below table, and payment will be subject to deduction of TDS irrespective of submission of mandatory documents.
 

Country	Country
Australia	Sudan
New Zealand	Ukraine
Singapore	Zambia
Sri Lanka	Switzerland
UAE (Dubai)	Ethiopia
UK	Ireland
USA	Norway
Indonesia	Czech Republic
Thailand	Hungary
Saudi Arabia	Iceland
France	Uganda
Germany	Mauritius
Mozambique	Vietnam
Nepal	Kazakhstan
Oman	Belgium
Philippines	Romania
Portugal	Poland
Netherland

 

• In countries where DTAA benefit is not available or policyholders do not submit the mandatory document, TDS will be deducted at the following rates:
   

^*Including applicable surcharge and cess. ^*This is as prevailing Tax rates.

In case a valid PAN is provided, the policyholder can claim credit for TDS deducted by filing a Non-Resident Indian income tax return.

Above DTAA benefits would be applicable for annuity payout, however in case of ULIP and non ULIP plan, payout would be taxable. Such NRI are required to file tax return in India, in accordance to provisions of income tax law. NRI will be eligible to get tax credit of tax so paid.

On surrendering a policy, TDS would be applicable on the incremental amount, i.e., Surrender value minus the amount of total premium paid. No TDS will be deducted if the surrender value is equal to or lower than the total premium paid.

The policyholder needs to submit the FATCA/CRS declaration form at the time of onboarding and during benefit pay-out (once in a calendar year). Pl refer questions referred below for details on FATCA.

The following documents need to be submitted with us:

1. Indian address proof
2. Declaration as per format - Residential Undertaking-Section 195
3. Indian Bank account details for NEFT

The following documents need to be submitted with us:
 

• FATCA-CRS form 10F form (Form 10F can be downloaded from https://www.incometaxindia.gov.in/Pages/downloads/forms.aspx)
• No PE form
• TRC
• Foreign Address proof
• Bank account details for NEFT 
   

The life insurance policy will carry on in Indian currency after you move abroad. The maturity and death benefits will be payable if the premiums are paid regularly.  

The NRI should provide the insurer with their current address and residence status, but the life insurance coverage will continue across the world.

FATCA stands for Foreign Account Tax Compliance Act and includes reporting the details of accounts (policies) held by individuals being citizens or residents of the United States of America (‘US’) as may be prescribed.
 

CRS stands for Common Reporting Standard and includes reporting the details of accounts (policies) held by an individual other than US citizens or US residents. 
 

Central Board of Direct Taxes (CBDT) has adopted the rules of FATCA/CRS and issued guidelines for reportable transactions and required declaration/documents to be obtained to ensure regarding NRI who are covered under the Foreign Account Tax Compliance Act (FATCA) or Common Reporting Standard (CRS).

It is applicable to all the policyholders for whom any of the following indicia belongs outside India:
 

• Place of birth
• Country of residence
• Residency for the purposes of Tax
• Residence or Mailing address
• Whether NRI
• Telephone number (residence or mobile)
• Bank account type (NRE / NRO / Foreign)
   

For further information on FATCA/CRS, please visit www.incometaxindia.gov.in and refer to Central Board of Direct Taxes (CBDT) notification news on ‘Due Diligence and Reporting Rules 114F to 114H under section 285BA of Income Tax Act, 1961’

Initially, a FATCA/CRS declaration is required along with the proposal form. All details need to be ensured mentioned correctly, For instance – TIN, Country of Tax, and address.
 

Govt of India has made changes in Income tax act vide finance act 2023, that in case a policyholder has incorrectly filled FATCA forms, same would be leading to penalty of Rs 5000 per year on policyholder.
 

In case of any change in address or change in status from NRI to resident, please inform the company official to update the same in the record so that reporting can be taken care of.

TIN Number is mandatory for FATCA returns; in countries where no income tax law applies (Middle East), other ID numbers available with the customer can be mentioned.