Key Features of Annual Premium Payment Mode:

• Lump Sum Payment: Policyholders using the annual premium payment mode make a single lump sum payment for the entire year's premium amount, typically at the policy's inception or the start of each policy year.
• Coverage for One Year: This mode provides coverage for a year, ensuring the policy remains active and effective throughout that period, contingent on timely premium payment.
• Potential Cost Savings: Opting for annual payments may lead to cost savings as insurance companies often offer discounts or incentives for this mode, reducing administrative costs associated with frequent collections.
• Convenience and Reduced Administrative Burden: Making a single annual payment eliminates the need for monthly or quarterly payments, streamlining the process for both the policyholder and the insurer.
• Premium Due Date: The annual premium payment is usually due on the policy's anniversary date or a specified date in the policy document. Timely payment is essential to maintain uninterrupted coverage.