The 2013 regulation allowed insurers to pay the maturity value over a five-year period in installments Addressing the operational constraints arising out of the country-wide lockdown and the market volatility due to COVID-19, the insurance regulator has allowed life insurers to offer settlement options in accordance with Regulation 25 of IRDA (linked insurance products) Regulation, 2013 for matured Ulips whose fund value is to be paid in lumpsum.
Insurers can extend the option of staggered payments over a course of five years even for policies that don't have the option of partial settlement.
Normally, on maturity of a unit-linked policy a lumpsum is paid. The 2013 regulation allowed insurers to pay the maturity value over a five-year