The short and the sweet answer to the above query is – NO.
Now, the long answer.
You can not make payment to your insurance policy from someone else’s bank account. You need to pay it from your own funds. Like from your bank account or from your own credit card.
Third party payments has been banned by the third party regulations. At the time of the claim, the insurance company may decide to verify the source of funds. Hence, it is not recommended to indulge in any such practice.
Doing payments from third party sources may be construed as a matter of money laundering which is Infact a serious and punishable offence. As such a policy claim may be put rightly rejected if the premium payments are made from third party sources.
Whenever you are making payments, use your own bank account. You can make payments using the net banking services of the bank. Or you can write a cheque on your bank account.
Can we make insurance payments using UPI?
Yes you can. You can certainly make payments from e-wallets using UPI platforms.
What is the best way to not forget or delay in making insurance policy premium payments :
Go for auto – pay facility from your bank account. Auto – pay or auto debit facility is a facility in which you link your savings account to your policy premium payment as a bill pay service once in a year.
The policy premium will be paid within 24-48 hours of auto pay debit date trigger.
