• Regarding Insurance of home loan

We my husband and me both are teachers.and  purchased a flat on 12/03/2014 in Nagpur with loan amount of 1601192 from DHFL. The agreement of loan is in between my husband(borrower) and DHFL. Property is also on the name my husband. But EMI deduction is from my account as co applicant. My husband died on 30/05/2016. After that I contacted DHFL for Insurance detail. At that time I came to know that they insured me with DHFL Pramerica with Premium of 76192. Now I need to know legal advise from you that is it proper way of bank that they insured not the borrower. Please help me
Asked 5 months ago in Property Law from Nagpur, Maharashtra
Religion: Hindu
. There is no requirement by the Reserve Bank of India (RBI) that any kind of insurance needs to be mandatorily taken at all while taking a home loan from a bank.

2) your husband should have taken term insurance policy where the insurance companies pay off the loan to the lender should the borrower die while the loan is still outstanding
Ajay Sethi
Advocate, Mumbai
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Not only in this place but at many places the financial institutions insure only the guarantors or the co-applicants instead of the actual borrower.

However since you have agreed for EMI repayment as a co-applicant there is no legal infirmity in the co-applicant alone being insured. 

Whatever worth it may be, you may scrutinise all the loan papers through the copies you are i possession for the possibilities of you husband being insure, if you find any such relevant information about it, you secure it and apply for death claim or waiver of future EMI repayments.

Find out some clues with the help of a advocate by producing all the papers before him to get some benefits, if you are eligible. 
T Kalaiselvan
Advocate, Vellore
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