New Delhi, July 5 (IANS) ACESO, a leader in providing new solutions for insurance policyholders, on Friday introduced ALIP (Assignment of Life Insurance Policies), specifically for LIC policyholders who are considering surrendering their policies or facing lapses.

ALIP offers a way for policyholders to receive the Surrender Value of their endowment insurance policies while keeping their life cover benefits intact.

Founder of ACESO Ketan Mehta, highlighted that LIC’s endowment policies constitute a significant portion of its yearly issuances, but many policies (about 5 per cent) don't reach maturity due to surrenders or lapses.

"ALIP addresses this by offering an alternative to surrendering policies prematurely, allowing policyholders to access their policy's value while safeguarding their future life coverage," he mentioned.

ALIP ensures that policyholders get the exact surrender value as determined by the LIC of India. Beyond this, ALIP outlines year-by-year life coverage benefits from the assignment date to the Maturity Date for nominees, ensuring continued financial protection if the policyholder passes away, without needing to pay further premiums.

This service is managed by an independent SPV Trust overseen by a SEBI-registered trusteeship company.

ALIP stands out for its quick payment process, typically completing within 48 hours after all necessary documents are finalised, according to the company.

ACESO was founded in 2018 and has facilitated over Rs 400 million worth of assignments, supported by a skilled team dedicated to reshaping life insurance asset management in India.