Industrial life insurance is a type of life insurance policy which is specially designed for the wage earning population. It is available for the people whose income is very low to purchase a life insurance policy. These policies may be issued without any medical check-ups. Premium of these policies are collected by the agents on the weekly or monthly basic. An agent comes and collects the premiums of the policy and because of that it is also known as home services life insurance policy. The industrial life insurance policy could be converted into ordinary endowment policy or whole life policy.
Objective of Industrial Life Insurance
- To make the habit of saving among the least income group
- To provide small funds to meat expenses of the assured.
Characteristics of Industrial Life Insurance
- Premium of Industrial life insurance policy is payable weekly and monthly.
- Premium is collected by the agent of life insurance companies.
- Generally the amount of policy of industrial life insurance is not more that Rs. 1,000.
- To take this policy medical examination is not required.
- This policy is extended to all members of the family.
Industrial Life Insurance policy does not bear the provision for loan. Suicide waiver clause is also not available under this policy.