Every time you open a bank account in India, the bank asks you to name a nominee. Most people put a parent's name out of habit, or skip the section entirely.
If you're in a serious relationship — live-in, long-term dating, or committed partnership — not updating your nominees could mean your partner gets nothing from your bank accounts, mutual funds, and insurance policies if you die unexpectedly.
Here's the thing most people don't know: banks cannot refuse to add your live-in partner as a nominee. The Banking Regulation Act and RBI guidelines do not restrict nominees to family members or spouses. Anyone you choose can be your nominee.
This guide covers how to add your partner as a nominee across banks, mutual funds, insurance policies, and other financial accounts — and what a nominee actually gets (it's more limited than most people think).
A nominee is a person you designate to receive your financial assets upon your death. They are the first point of contact for the bank, insurance company, or fund house.
The critical limitation: Under Indian law, a nominee is technically a "trustee" for the legal heirs, not the beneficial owner. This means that even if your partner receives your bank balance as nominee, your legal heirs (parents, siblings, children) could potentially claim it from them through a civil suit.
The exception: For life insurance policies, the Insurance Laws (Amendment) Act, 2015 made a nominee who is a "beneficial nominee" (spouse, children, or parents) the absolute owner. Other nominees (including live-in partners) are still trustees.
The solution to this limitation: A will. A valid will that explicitly leaves your assets to your partner — combined with proper nomination — gives your partner the strongest possible protection. Nomination alone is not enough.
Yes. Categorically.
Bank accounts: The Banking Companies (Nomination) Rules, 1985 allow account holders to nominate "any person." There is no restriction to family members or relatives.
Mutual funds: SEBI regulations allow nomination of any individual in mutual fund folios. The nomination form asks for the nominee's name, relationship, and address — but "relationship" can be listed as "friend," "partner," or any description.
Life insurance: Section 39 of the Insurance Act, 1938 allows nomination of "any person." The policyholder chooses the nominee; the insurer cannot override this choice.
EPF (Employee Provident Fund): This is the exception. EPF nomination rules restrict nominees to "family members" — defined as spouse, children, and dependent parents. If you have no eligible family members, you can nominate anyone; but if you do have eligible family members, EPF rules require you to nominate from that category. This effectively excludes live-in partners from EPF nomination if the account holder has parents or children.
Gratuity (Payment of Gratuity Act): Same restriction as EPF — nomination is limited to family members as defined.
Online: 1. Log in to HDFC Bank NetBanking 2. Go to "Accounts" → "Nomination" 3. Select the account you want to update 4. Enter nominee details: name, relationship, date of birth, address, percentage share 5. Submit — OTP verification required 6. Confirmation is instant; updated nominee is effective immediately
Offline: Visit branch with original identity documents and complete Form DA1 (for savings accounts).
Relationship field: If "live-in partner" is not in the dropdown, use "friend" or "other" — banks cannot reject a nomination on the grounds of relationship type.
Online via YONO/SBI Net Banking: 1. Log in to SBI YONO or NetBanking 2. Navigate to "My Account" → "Nomination" 3. Select account and enter nominee details 4. Authenticate with OTP
Offline: SBI still prefers branch visits for nomination changes for certain account types. Visit with Aadhaar, PAN, and a completed nomination form (DA1).
Note: SBI's online nomination update has expanded significantly — most savings accounts can be updated online now.
Online via iMobile / Internet Banking: 1. Log in to iMobile or ICICI Internet Banking 2. Go to "Services" → "Nomination" 3. Select account and enter nominee details including name, relationship, DOB 4. OTP verification required
ICICI's online process is smooth and takes under 5 minutes.
Online via Kotak Net Banking: 1. Log in to Kotak Net Banking 2. Go to "Service Requests" → "Update Nominee" 3. Fill in nominee details and authenticate
Kotak is one of the more digital-friendly banks for nominee updates and typically processes changes instantly.
Through your broker/platform:
Directly with AMC: If you hold folios directly with a fund house (HDFC Mutual Fund, SBI Mutual Fund, etc.), each has an online portal or physical form (Form SIP 2 or similar) for nominee updates.
Important: If you hold mutual funds in demat form (through a broker), the demat account's nominee takes precedence over the folio-level nominee. Update both.
KYC note: Your nominee's Aadhaar/PAN is increasingly required for nomination registration (SEBI's 2023 circular made this mandatory for new nominations in many cases).
For existing policies: Contact your insurer or log in to the insurer's portal. Request a nomination change form (Form IN-02 or equivalent). Submit with nominee's Aadhaar, PAN, and your own policy details.
Note on beneficial nominees: Under the 2015 amendment, "beneficial nominees" — spouse, children, parents — become absolute owners of the policy proceeds. Your live-in partner, as a non-beneficial nominee, receives the proceeds as trustee. This means your legal heirs can still make a claim.
Practical protection: Combine nomination with a will. State explicitly in your will that the insurance proceeds belong to your partner. This makes it very difficult for other parties to successfully claim.
Term insurance: For term insurance, you can name any person as nominee. The claim process requires the nominee to submit proof of identity and the death certificate. No proof of relationship is required for the claim — only for proving identity.
This is the point most guides miss.
Nomination ensures your partner receives the money or assets from financial institutions — quickly, without waiting for probate or succession certificates. This is hugely valuable.
But nomination does not make your partner the legal owner. If your parents or siblings contest the nomination, they can file a civil suit claiming the assets on the basis of succession law. In practice, this is rare — but the risk is real.
A will makes your intention explicit and legally enforceable. A will registered with a Sub-Registrar is harder to contest than an unregistered one.
The combination that works: 1. Update all nominations to your partner 2. Write a will that explicitly bequeaths your assets (including financial accounts) to your partner 3. Register the will if possible
This two-step approach gives your partner the fastest access to funds (via nomination) combined with the strongest legal protection (via will).
Writing a will in India: You do not need a lawyer to write a will, but having one is advisable. A will must be signed in the presence of two witnesses (who are not beneficiaries). It can be on plain paper. Registration at a Sub-Registrar costs ₹200-₹500 and makes it much harder to contest.
Adding your partner as nominee is one of the most important financial steps any unmarried couple can take — and one of the least discussed.
You can do it right now, for free, from your banking app. It takes five minutes. The practical benefit is enormous: if something happens to you, your partner can access your finances immediately without navigating a legal maze.
The limitation — that nomination alone doesn't make them the legal owner — is real but solvable with a will. Do both. Update your nominations this week; write your will this month.
Coupl is the shared wallet for all couples — both partners get full access and a card. Open in 60 seconds.
Written by the Coupl Team
Coupl is India's first zero-balance digital joint account for couples. This article was last reviewed on April 2026.