Can a policy holder make some one nominee with whom he/she does not have any blood relation?

[Medhu]

Hi All,

Can a policy holder make some one nominee with whom he/she does not have any blood relation?

Thanks a lot in advance!
Medhu

[Matrix]

Yes, you can. But Nomination (http://www.policywala.com/who-will-inherit-your-insurance-policy-proceeds-nominee-or-legal-heirs/) in favour of a stranger cannot be made as there is no insurable interest and moral hazard may be involved.

So if you choose a non-family member, you will in all likelihood be required to show to the insurance company that your chosen nominee has an insurable interest in your life (simply put, demonstrate that their life will be financially affected if you are not around).

[Manish_Kumar]

So business partners can be nominee of your life insurance policy. This is a good info, was not aware about this.

[Expert]

So business partners can be nominee of your life insurance policy. This is a good info, was not aware about this. I don't think you can make partner as nominee for life insurance policy. Yes! KeyMan insurance policy is there for this.

[himalayan]

I don't aware of it because it is matter of money so anything can be dangerous with life in future so the insurance companies prefer blood relative as a nominee or in other case they want complete assurance that the concern persons bonding with the person is emotional and be life family member not any other bad intentions.