LIC Claim Settlement Ratio March 2026

It also plays an important role in helping buyers evaluate whether the financial security of their family will be considered when it matters the most. LIC of India, with a strong government backing and decades of experience, is a preferred option for various term insurance buyers in India in 2026.

What does LIC Claim Settlement Ratio (CSR) mean?

The LIC Claim Settlement Ratio (CSR) is a key number that indicates how many claims the LIC of India was able to settle in a given year. It shows that LIC is capable and reliable when it comes to keeping its promises to policyholders. A higher CSR means that the company is known for paying claims, which makes people who might buy a policy feel safer.

Important Things to Know About LIC's Claim Settlement Ratio (CSR):

• The high CSR shows that LIC is serious about keeping its policyholders and their beneficiaries safe financially.

• LIC has had a CSR of over 98% since 2019, which means that most claims are settled quickly.

• LIC's well-established and streamlined claim settlement process helps to achieve this high CSR.

How is the CSR of LIC of India Calculated in India 2026?

Claim Settlement Ratio is a measure that shows how many claims an insurance company has settled compared to how many it has received during a financial year. This ratio is turned into a percentage. Suppose an insurer settles 95 claims out of 100, then their CSR stands at 95%.

You may use the following formula to compute a CSR :

For example, among the 10,000 claims filed in 2024-2025, the insurer settled 9,700. As a result, its CSR will be 97% (9,700/10,000 × 100) for that year.

Claim Settlement Ratio of LIC of India for the Last 5 Years

As per the IRDAI Annual Reports, below is a list of claim settlement ratios of LIC of India from the last 5 years:

How to File Claims at Life Insurance Corporation of India (LIC)?

Life Insurance Corporation of India (LIC of India) ensures that customers settle their claims as easily as possible by connecting and filing them hassle-free in emergencies or maturity. Below are the easy steps for filing the claims at LIC of India.

Process to File a LIC Maturity Claim

In the case of LIC endowment policies, the sum assured is payable at the end of the policy term. The LIC branch serving the policy sends a letter to the policyholder, mentioning the date and the policy money payable. The policyholder is entitled to return the discharge form fully completed with the policy document. After receiving the documents, the payment is processed to the receiver’s account.

Process to File a LIC Death Claim

The death benefits are payable in cases where the policy premiums are up-to-date or where the death occurs within the policy tenure. The first step is to intimate the LIC branch office about the death of the life assured. The LIC branch officer then asks for the documents. After receiving the supporting documents and duly filling out the death claim form, the officials start the verification process. After successful verification, the death claim amount is transferred to the beneficiary account.

Documents Required for Making Claims at LIC of India

The following documents are required to make claims at LIC of India.

• The Claim Form A.

• Original policy documents

• Certified extract from the death register

• Document of age proof (if age is not admitted)

• Proof of the title of the deceased’s estate (only in case the policy is not nominated, assigned or issued under M.W.P. Act.)

• The FIR report copy and post-mortem report (in case of accidental death) If the demise of the policyholder occurs within three years from the date of the revival, the following documents are required

• Claim Form B: Certificate of the medical attendant

• Claim Form B1: If the insured received treatment in a hospital

• Claim Form B2: Filled by the medical attendant who treated the last illness

• Claim Form C: Certificate of identity and burial or cremation, completed and signed by the person of known character

• Claim Form E: Employment certificate (in case the insured is employed)

• First Information Report

• Post Mortem Report and Police Investigation Report (in case of accident or unnatural death)

How To Check LIC Claim Settlement Ratio?

You can check the LIC Claim Settlement Ratio from:

• LIC’s Public Disclosures (Form L-40)

• IRDAI’s Handbook on Indian Insurance Statistics

• Trusted platforms like Policybazaar that show up-to-date information from IRDAI

Why Measuring the LIC Claim Settlement Ratio is Important?
The Claim Settlement Ratio (CSR) is very important for policyholders because:

• Financial Security: A high CSR guarantees that the insurer will take care of the financial needs of dependents in the future.

• Reliability: A high CSR means that the insurance company is honest and quickly pays out valid claims, which makes policyholders and beneficiaries feel better.

• Trustworthiness: A consistent payout record builds customer trust, essential in the insurance sector.

• Value for Money: A good CSR shows that the benefits promised are worth the money spent on premiums.

• Customer Satisfaction: Quick claim settlements make for a good experience, which gives policyholders peace of mind.

• Transparency: Insurance companies with a high CSR are usually open about their business, which makes the claims process easier to understand.

What are the Factor that Affec t LIC’s Claim Settlement Ratio?

• Policy Complexity: More complex policies or higher fraud risks can impact CSR.

• Policyholder Compliance: Non-compliance with policy terms can lead to claim rejection.

• Accurate Information: Providing false or misleading details at the time of purchasing may result in claim denial.

• Timely Documentation: Delayed paperwork during the claim process can lower the CSR.

Wrapping It Up

LIC of India is one of the insurers in india with the highest CSR. Consistently having such high CSR proves that the company has always taken care of its policyholders and has been efficient in settling claims. While making a choice with regard to a life insurance policy, keep in mind that LIC has a great Claim Settlement Ratio, among other important aspects in your decision-making process.

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