According to the Insurance Regulatory and Development Authority of India’s (Irdai) circular, which was released on 25 July, unclaimed monies of insurance companies will move to the Senior Citizens Welfare Fund, which has been created by the government, after lying unclaimed for 10 years from the date it was payable to the policyholder or the beneficiary.
The government had created this fund Through the Finance Acts, 2015 and 2016, to promote the welfare of senior citizens, in which notified institutions have to transfer unclaimed monies. These institutions include: postal savings scheme and Employees Provident Fund schemes. In an amendment in April this year, the government also added insurance companies to this list.
