[Resolved]  Lic Of India — LIC - ULIP PLAN - SURRENDER VALUE RECEIVED LESS THAN PRINCIPAL

Address:

Mumbai Suburban, Maharashtra

Date 12th January, 2012.

To,
The Branch Manager,
LIC, Panvel Branch, Panvel.
Dist Raigad, Thane.

SUB ULIP PLAN - SURRENDER VALUE RECEIVED LESS THAN PRINCIPAL

Dear sir,

This is KL Gaikwad LIC agent from Panvel Branch with working since last 5 yrs.

I brought various clients under ULIP Plans and I would like to bring
your attention towards their policy returns.

After three years of time period when some of them requested for
surrender their policies, they learnt that instead of earning any
interest on it they have lost 17-20% of their basic principle
invested.

For example in below chart we have found that one of policy holder who
has invested of Rs. 30,000/- (Premium amt 10,000/-X 3 yrs) and after
completion of 3 years he received only of Rs. 24,913/-.

Sr No. ULIP Policy No. Policy starts dtd. Surrender dtd. Policy
principle amt invested Surrender value recd
1 [protected] 14.08.2007 24.11.2011 30,000.00 24,913.00
2 [protected] 14.08.2007 24.11.2011 30,000.00 25568.00
Kindly refer following chart;

All above are invested in LIC for short term with hoping it’s a Govt
sector and would give better interest money than other banks & Post
office. After three years of investment when some of them went for
surrender they found shocking & unexpected result. On their investment
they have earned zero interest money and at the same time they have
lost 17-20% of their basic principle.

I personally was not expected that they will lose their principle
amount. As per my knowledge they should get at least their principle
amount after 3 yrs of investment.

On behalf of my clients I would like state you that it has happened
not in single case but with everyone who surrendered recently. And
other who not yet surrendered are also scared & expressing their
unhappiness towards LIC.

Please understand the fact above that all that have taken these ULIP
Policies & surrendered above are unskilled & from poor family
background. They suspended their children’s education and saved the
money & invested in LIC. And this result is entirely unexpected. They
are very much unhappy & literally they are crying. I too am surprised
with this result. At least they should get their invested principle
amount.

We had bad experience when we taken this matter to Panvel Branch
Officer Mr Patil few days back. And he simply refused to entertain us
in fact he blamed us that policy holders accepted the terms &
condition with signing application form. He completely raises his hand
in this circumstance.

Sir, On behalf of my all clients I request you to please reconsider
the matter above with revising the surrender value with appropriate
returns. And I hope you will understand the matter and shall do the
needful for us. I have enclosed here the copies of cheques & surrender
details for your kind reference.

Thanking you,
Yours truly,
KL Gaikwad