LIC Accident Benefit Rider

Accidents have become one of the leading causes of death across the world. These are contingencies that no one is prepared for. The death of a loved one along with the subsequent loss of income creates an emotional and financial toll on the surviving family of the deceased. The LIC Accidental Death Benefit Rider is designed to mitigate the financial aspect of it, ensuring that the grieving family is well-taken care of despite the loss.  

What Is The LIC's Accident Benefit Rider?

It is an added benefit that offers extra financial compensation for the death of the life assured due to an accident. LIC defines an accident as a sudden, unforeseen, and involuntary event that is caused by external, visible, and violent means. Nominees of the deceased policyholder can claim the death benefit under the base insurance policy along with the rider sum assured under this accidental death benefit add-on if: 

• The policyholder has an insurance policy in force to which this rider is attached, and 

• Death due to the accident must have occurred within 180 days from the date of the accident. 

LIC’s Accident Benefit Rider - Additional Eligibility Criteria 

Coverage Under LIC's Accident Benefit Rider

LIC’s accident benefit rider pays out the rider sum assured along with the sum assured on death if the death of the life assured occurs due to an accident. The sum assured under this rider is subject to a minimum and a maximum limit. 

LIC’s Accident Benefit Rider - Sum Assured Criteria 

Note that the rider sum assured cannot exceed the basic sum assured under the insurance policy with which the rider is attached. 

LIC’s Accident Benefit Rider - Premium Rate

The premium rate for the LIC’s accident benefit rider is affordable at a rate of Rs. 0.5 per Rs. 1,000 of the rider sum assured. The rate is higher by Rs. 0.5 for people engaged in policy, military, and naval duty given the nature of their jobs and the risks involved therewith. 

Exclusions Under LIC's Accident Benefit Rider

The rider sum assured shall not be paid to the policyholders if death occurs as a result of:

• self-injury, attempted suicide, insanity, or under the influence of liquor, drug, or narcotics 

• taking part in riots, civil commotion, rebellion, war, adventure sports, etc. 

• death occurring after 180 days from the date of the accident

Summing Up!

The LIC Accidental Death Benefit Rider is an optional benefit that can be availed by paying an extra premium in addition to that of the base policy. Another alternative to this rider is the LIC’s Accidental Death and Disability Benefit Rider which also offers protection against any disability arising out of an accident. With the affordable premiums and the comprehensive coverage offered by these riders, you have the potential to secure enough funds for your family to survive in your absence.