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 first section of the form requires basic policy identification. In the top box, the assignor must write the full (without any mistakes) and the Sum Assured (the basic cover amount, excluding bonuses). This information must match the original policy bond exactly. Below this, the Name and Address of the Assignor should be written as recorded in LIC’s records. If the name has changed due to marriage, a supporting legal document (like a marriage certificate or gazette notification) is required separately. how to fill lic reassignment form 3857
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. Clause 3 deals with
In conclusion, filling out LIC Form 3857 is not an intimidating legal puzzle but a methodical data-entry task. By accurately stating the policy number, clearly defining the consideration, precisely naming the assignee, securing two independent witnesses, and submitting the original policy to LIC for endorsement, any policyholder can execute a valid assignment. Rushing or leaving blanks invites rejection; careful, legible completion ensures that the transfer of rights is recognized and enforceable, thereby protecting the interests of both the assignor and the assignee. For a bank loan, the bank usually takes