Mandatorily collection of LI 7(a) (Preliminary receipt form with the new PLI/RPLI proposal forms

Mandatorily collection of LI 7(a) (Preliminary receipt form with the new PLI/RPLI proposal forms

F.no. 25-02/2020-LI 

Ministry of Communications

Department of Posts 

(Directorate of Postal Life Insurance). 

Chanakyapuri P.O. Complex, New Delhi-110021

Dated: 26.09.2022

To,
All Heads of Circles, 

Sub: Regarding mandatorily collection of L1-7 (a) (Preliminary Receipt) form with the new PLI/RPLI proposal forms.

It has been observed that collection of L1-7 (a) (Preliminary Receipt) is not being ensured by PLI-CPCs/Circles which is a serious irregularity and may cause misappropriation of advance premia amount collected by the salesforce. As per the extant instructions L1-7(a) (Preliminary receipt is prescribed for PLI/RPLI salesforces to receive an advance deposit in cash or cheque equal to 1" premium from the proponent, while procurement of a policy. LI-7 (a) receipt is issued on the spot by the concerned salesforce in token of having received the premium from the proponent. The salespersons agents are required to deposit the premium so collected with the Post Office as early as possible, but not later than the following working day, after the day of receipt of advance deposit.

2. Therefore, L1-7 (a) serves as an important document for reckoning and comparing the date & amount of premium collected from the proponent vis-à-vis its submission/ presentation in the DOP accounts, by a salesforce. Barring usage of this receipt in collection of 1" premia from the proponent or removing the compulsory submission of this receipt by salesforces with the proposal form, may lead to serious grievances, irregularities, or instances of misappropriation of premia amount.

3. It is therefore, requested that all the Circles may instruct their PIL-CPCS & Postal Divisions to ensure collection of L1-7 (a) form with each of the new PLI/RPLI proposals for collection of 1" premia towards the proposal from the salesforces. It is mentioned here that 11:7 (a) form shall only be used for collection of 1" premium and do not apply for subsequent/renewal PLI/RPLI premia Copy of PLI Directorate letter no. 26-02/2009-L dated 03.05.2011 containing instructions on usage and verification of Li-7 (a) form in PLI/RPLI is also being enclosed with this letter for your kind information and necessary action. These instructions should immediately be brought into the notice of all concerned and followed scrupulously

This issues with the approval of competent authority

(Hariom Sharma)

Deputy Divisional manager-II 

Encl: As above.