Section 19(h) in Insurance Regulatory and Development Authority of India (Non-Linked Insurance Products) Regulations, 2019
(h)The group savings non-linked products may levy a surrender charge not exceeding such per cent of the total fund value subject to an absolute amount, as stipulated by the Authority, if the policy is surrendered within third annual renewal of the policy. Currently, the surrender charge shall not be exceeding 0.05 per cent of the total fund value with a maximum of Rupees Five Lac. if the policy is surrendered within third annual renewal of the policy.
