You pledge your LIC policy as collateral for a bank loan. The bank becomes the “assignee.” Once you repay the loan, the bank must reassign the policy back to you using the LIC Reassignment Form.
Your LIC policy is an asset—treat its ownership documents with the seriousness they deserve. Have you faced issues with LIC reassignment? Share your experience in the comments below. Let’s help each other avoid common pitfalls. lic reassignment form
For the average policyholder, this form can seem confusing—even intimidating. But understanding it is crucial to protecting your policy’s benefits, ensuring smooth claim settlements, and avoiding legal tangles. You pledge your LIC policy as collateral for a bank loan