How To Fill Lic Reassignment Form 3857 May 2026

Clause 3 deals with . The assignor must acknowledge that after assignment, they have no further rights to the policy benefits (like taking a loan or surrendering the policy) unless the assignment is later revoked. Crucially, the assignor remains liable to pay future premiums if the assignee fails to do so, unless a separate agreement states otherwise. For a bank loan, the bank usually takes over premium payment responsibility; however, the assignor should confirm this with the bank before signing.

The Life Insurance Corporation (LIC) of India’s Form 3857, known as the “Assignment Form,” is a critical document for policyholders who wish to transfer their rights, title, and interest in a life insurance policy to another person or entity. This process, known as assignment, is commonly used when taking a loan against a policy (assigning to a bank) or gifting the policy to a family member. While the form appears legalistic and daunting, filling it out correctly is straightforward if one follows a systematic, clause-by-clause approach. Accuracy is paramount, as errors can lead to rejection or significant delays in claim settlement. This essay provides a clear, step-by-step guide to completing Form 3857 correctly. how to fill lic reassignment form 3857

The signature section is the most legally binding part. The assignor must sign in the presence of . The witnesses must be adults (not family members of the assignor, preferably neutral third parties like colleagues or neighbors). Each witness must sign, print their name, and provide their full address and occupation. The assignor does not need to sign in front of a Notary Public for LIC purposes, but the witnesses’ signatures are mandatory. Clause 3 deals with

Before putting pen to paper, it is essential to understand the two parties involved: the (the original policyholder who is transferring the rights) and the Assignee (the person, bank, or institution receiving the rights). Crucially, the original policy document must be available, as the assignment is endorsed directly on it. Form 3857 itself is the instrument of transfer, and it must be filled in neatly, without any overwriting or corrections. Using black or blue ink is mandatory. For a bank loan, the bank usually takes