How to take loan in PLI

Loan is admissible on Whole Life Assurance (WLA), Endowment Assurance (EA) and Convertible Whole Life Assurance (CWLA) policies.

Currency of policy should be minimum of 3 years in case of EA and CWLA.

Currency of policy should be minimum of four years in case of WLA.

Policy should be unencumbered/ unassigned.

Loan Limit:

(a) Whole Life Assurance
Currency of Policy	Percentage of surrender value onwhich loan is admissible
More than 4 years to 7 years	60%
More than 7 years to 12 years	80%
More than 12 years	90%

(b) Endowment Assurance and Convertible Whole Life Assurance
Currency of Policy	Percentage of surrender value onwhich loan is admissible
More than 3 years to 5 years	60%
More than 5 years to 10 years	80%
More than 10 years	90%

Insurant should apply on LI-35 (loan application) and send to DDM (PLI) alongwith policy document and premium receipt book.

Second and subsequent loan is admissible after a year if the first loan is fully repaid.

Loan interest @ 10% p.a is calculated on six monthly basis.