LIC Mediclaim Policy Premium Payment

Besides life insurance, LIC also offers mediclaim policies to its customers across the nation. Its Arogya Rakshak and Cancer Cover are health insurance products with two distinctive flavors. However, the policyholders must pay regular premiums to keep the cover active.

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In this article, we will explore LIC mediclaim policy and premium payment in detail.

What are LIC’s Arogya Rakshak and Cancer Cover Policies?

Arogya Rakshak is a regular health insurance plan whereas Cancer Cover is for a specific disease. LIC’s Arogya Rakshak policy is comprehensive health insurance covering the insured and their dependents, including parents under a single umbrella. 

On the other hand, cancer cover pays lump-sum benefits when the insured is diagnosed with cancer to help avail the best possible medical care. 

Let us take a closer look at the eligibility norms prescribed for the individual policies. 

Parameters Arogya Rakshak Cancer Cover
Minimum Entry Age  Principal Insured: 18 years 20 years 
Spouse/ Parents: 18 years
Children: 91 days 
Maximum Entry Age  Principal Insured: 65 years 65 years 
Spouse/ Parents: 65 years
Children: 20 years 
Maturity Age Maximum: 80 years  Minimum: 50 years
Maximum: 75 years
Cover Period / Tenure  80 years less entry age Minimum: 10 years
70 years less entry age for AHC Maximum: 30 years
Minimum Initial Daily  Benefit  Rs. 2500
Maximum Initial Daily  Benefit Rs.10000 per life
Basic Sum Assured  Flexible Limit  Minimum: Rs.10 Lac
Maximum: Rs.50 Lac 

Salient Features of LIC Health Insurance

Both policies have their distinct features that are as follows:

  1. Arogya Rakshak

    • Financial protection for hospitalization and surgery

    • Lump-sum benefits regardless of the costs incurred

    • Enhanced coverage through step-up and no-claim bonus

    • Premium waiver upon the principal insured’s demise

    • Cover for ambulance expenses, day-care treatment, and health check-ups

    • Enhanced Initial Daily Benefit through step-up

    • Term Assurance and Accident Benefit Riders available at additional cost

  2. Cancer Cover

    • Available under two plan variants – Level Sum Insured and Increasing Sum Insured

    • 25% of the sum insured is paid in lump sum upon Early Stage Cancer and 100% on Major Stage Cancer diagnoses

    • Premium waiver

Premium Payment in LIC Health Insurance

The premium payment options are identical in both the LIC health insurance products. You can choose between annual and semi-annual premium payment frequencies. Payments can be made in cash or cheque online at the official portal and alternate payment channels approved by LIC.

Premium Rate Illustration of LIC Health Insurance

Health insurance products are costlier than other insurance products for the fundamental reason that it insulates you against health emergencies. It is a financial umbrella that shields you from denting your savings and pockets. Accordingly, health insurance premiums are fixed after weighing in several factors. Let us find out.  

  1. Arogya Rakshak

    The illustrative grids below indicate an annual premium based on the Initial Daily Benefit at Rs. 5000, covering all benefits for the various insured under a single policy. 

    Male Principal Insured 
    Age at entry (years) Approximate Premium (Rs)
    20 7884
    30 9543
    40 12381
    50 17254

    Female Spouse
    PI Age  when spouse included (years)  Spouse age at entry (years)  Approximate Premium (Rs)
    30 25 7121
    35 30 8130
    50 45 12503
    55 50 14312

    PI Age  when child  included (years)  Child  age at entry (years)  Approximate Premium (Rs)
    25 0 3351
    30 5 3358
    45 10 3481
    50 15 3830

    Male parent 
    PI Age  when parent included (years)  Parent age at entry (years)  Approximate Premium (Rs)
    25 50 16727
    30 55 19799
    35 60 22961
    40 65 26105
  2. Cancer Cover

    The premium rates for the policy are guaranteed, while future premiums are subject to revision. The indicative rates tabulated below are per Rs. 1000 sum insured. 

    Plan Option: Level Sum Assured
    Age (years) Policy Term (years)
    20 30
    Male Female Male Female
    20 - - 0.92 1.54
    30 1.19 2.42 1.69 3.09
    35 1.67 3.44 2.62 4.22
    40 2.58 4.70 4.22 5.61
    45 5.09 6.54 7.91 7.66
    50 8.42 8.29 - -
    65 23.77 13.92 - -
    Plan Option: Increasing Sum Assured
    Age (years) Policy Term (years)
    20 30
    Male Female Male Female
    20 - - 1.18 2.11
    30 1.56 3.35 2.32 4.36
    35 2.26 4.79 3.69 5.99
    40 3.58 6.57 6.05 7.98
    45 7.08 9.01 11.33 10.76
    50 11.95 11.48 - -
    65 32.06 18.49 - -

Premium Review in LIC Health Insurance

The premiums tabulated are indicative. You must consult the product sales brochure before purchasing. Moreover, the premiums quoted are subject to revision by LIC are based on specific considerations.

  1. Arogya Rakshak

    The premium rates are guaranteed for the initial 3 years from the policy commencement date for each insured included therein. The review considers several factors like entry age at commencement and inclusion. In addition, the premium rates are locked for another 3 years from the review date.

  2. Cancer Cover

    The initial premium rates are guaranteed for the first five years and reviewed after serving a 90-day advance notice. 

Premium Payment Methods for LIC Health Insurance

The flexible premium payment frequencies for LIC health insurance are annual and semi-annual. At the same time, you can choose various options for premium payment. 

  1. Payment at Cash Counter

    You can pay the premium at the LIC branch through cash or a cheque drawn from any bank in the clearing area.

  2. Payment using Alternative Channels

    • You can pay offline through NACH, Bill Pay, and ATM of authorized banks across the country.

    • You can avail of LIC e-services at their customer portal, where you can pay directly without registration or after registration, using net banking and cards.

    • Axis Bank and Corporation Bank are authorized to collect LIC premiums.

    • You can pay several merchants appointed by LIC for the purpose. 

In Conclusion

LIC health insurance policies provide you with many premium payment options alongside shielding you from massive hospital expenses during medical emergencies. Both the health insurance plans offer a range of benefits for the premium you pay. 

In addition, a comprehensive health insurance plan covers your entire family under a single policy and pays lump-sum benefits regardless of the incurred hospital cost.


  • Is there any grace period for premium payment in LIC health policies?

    Yes, a 30-day grace is available for premium payment without losing the coverage in the interim. 
  • What is the maximum age your child is covered under LIC health insurance?

    Your child loses the health cover in the policy as he turns 25, which is the maximum age allowed. 
  • Does LIC provide any Mediclaim policy other than the two health insurance plans?

    Apart from the two health insurance plans, LIC does not provide any other plan under the Mediclaim category. 
  • Can you revive the lapsed LIC health insurance policy?

    Yes, you can revive the policy within five consecutive years from the first premium default date. 
  • Can you buy both the LIC health insurance plans at the same time?

    There is no bar on buying health insurance plans simultaneously as they provide comprehensive cover.

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