Is it okay to split buy from two insurers to de-risk?

There is really no upside to buying term insurance from two insurers. 
 

If you are thinking of buying term plans from two different insurers to avoid the risk of a total claim rejection, here's what you should understand: if one insurer has rejected a term insurance claim, chances are the other one will do it too.
 

Buying term insurance from two insurers comes with more hassles during the application process. You have to undergo medical tests with multiple insurers and later on, your nominee will have to deal with multiple claims processes.

Term insurance pays your family the policy amount if you pass away during the policy duration. However, your nominee’s death claim can also be rejected by the life insurance company.

Here are some reasons for term insurance claim rejection:
 

• If you lied about your age, lifestyle habits, medical history (your family’s included) and any other term plan you may have, at the time of application
   

• If you have not paid premiums on time and/or have forgotten to update your nominee’s details (e.g.: change in personal information or living status)
   

• If you pass away from any unlawful activities like drunk driving or drug overdose
   

Find out in detail about the various reasons for a term insurance claim rejection.

There are steps you or your nominee can follow if the insurer is delaying or denying your claim.

• Facing claim delay - Contact the grievance redressal officer of the branch servicing your term policy

• Facing claim rejection - Approach the Claim Review Committee of the insurer

• Share all the claim details (physically/electronically) and get it officially acknowledged from them

• If you're unhappy with the resolution, reach out to an Insurance Ombudsman  

• Problem still unsolved? Escalate it to IRDAI at www.igms.irda.gov.in. It should be resolved in two weeks

• As a last resort, approach the consumer forum