Now paying the premium of insurance is going to be very easy. IRDAI has announced a new premium payment facility. Its name is Bima-ASBA. This facility will start from 1 March. This facility will be based on UPI. This means that crores of people using UPI will be able to use this facility. Let us know about this facility in detail.
What is Bima-SASBA?
Bima-SASBA The policyholder allows the block to block the bank account. This means that the premium money will not be deducted from the policyholder’s bank account immediately. IRDAI has issued a circular in this regard on 18 February. It states that all insurance companies will have to offer insurance-SBA facility to their customers from March 1. The special thing is that only after issuing the policy of the insurance company, the money will be transferred to the insurance company from its account.
Life-health will get facility
To use this facility of insurance payment, the customer has to select this facility in the proposal form of the insurance company. From March 1, this facility will have been provided in the proposal form of all insurance companies. The special thing is that both life and health insurance companies will offer this facility to customers. For this, insurance companies will have to make an agreement with all major banks.
Money will not come out of the account immediately
After selecting this facility in the customer’s proposal form, the insurance company will create a one-time mandate through UPI. After this, the premium amount will be blocked to the customer’s bank account. This money will be deducted from the customer’s bank account only when the insurance company will issue a policy. If for some reason the customer does not accept the policy proposal of the insurance company, then the premium money will not be deducted from the customer’s bank account. The block block will be released automatically on rejecting the customer’s proposal.
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No extra charge will be paid for convenience
People associated with the insurance industry say that customers will not have to pay any extra charge to use this facility. Apart from this, policyholders will get real time information about blocking, debit and release of funds. This means that the customer will know that the premium money has been blocked in his bank account.