488. Can OCI Holder buy Insurance

in India - Purchasing LIC policy by

NRI-PIO

Hello Mr.Chand, My newborn is a UK citizen and got the OCI for my baby. My question is, will I able to take any investment policy from LIC for him and going through the internet, I'm bit confused as I couldn't find the answer as they were of mixed replies with both yes & no. Your help in this regard will be much appreciated. Thanks, Sudhakar Answer: NRIs are allowed to purchase LIC policies where as foreigners cannot. Sometimes there is confusion over NRI status in the minds of people as they classify all former Indian nationals as NRIs. Technically, non-resident Indians commonly referred to as an NRIs, are Indian citizens and temporarily reside in a foreign country, for reasons such as temporary employment etc. Former Indian citizens, who have acquired foreign citizenship are not NRIs but Persons of Indian Origin (PIO). The Life Insurance Corporation (LIC) website clearly states that: ‘People of Indian Origin having foreign nationality and residing in foreign countries (PIO) are NOT considered as NRIs for the purpose of allowing insurance.’ The LIC website also clarifies that for an NRI to purchase a policy, the NRI should not be a green card holder. He/She should not have applied for or planning to apply in the near future for acquiring citizenship of his /her present country of residence or any other country. To visit the LIC website page click HERE. Update: While LIC does not sell life insurance policies to OCI or PIO. They may have the option of getting insurance policies from other insurance companies in India. for more information in this regard, see article: NRI, OCI holders, PIO buying life Insurance Policies in India >>