LIC Plans For NRI

Premiums can generally be paid through Non-Resident External (NRE), Non-Resident Ordinary (NRO) or Foreign Currency Non-Resident (FCNR) accounts when paying from abroad. If something unfortunate happens to you, the benefits of the LIC Policy for NRI would provide your family in India the much-needed financial support. Read more about LIC plans for NRI and the best LIC policy for NRI in detail in this article.

Can NRIs Buy LIC Plans?

Yes, NRIs can buy LIC plans. You can apply while visiting India or from abroad through LIC's Mail Order Business, pay premiums from your NRE, NRO or FCNR account, and your family in India receives any claim in Indian rupees.

Living abroad doesn't mean your family in India stops depending on you. An LIC plan can protect them financially if something happens to you, and some plans also help you build savings for goals back home.

What are LIC Plans for NRI?

LIC for NRI are the plans designed by LIC of India, which can be bought by individuals who live in a foreign country. The company offers more than 32 policies that can be purchased by NRIs to cater to the different insurance needs of the policyholder.

Like Indian residents, NRIs are also eligible for these plans. However, underwriting rules and the process of purchase shall be different for Indians living abroad. NRIs should buy an LIC policy either on a visit to India or remotely through Mail Order Business.

Which is the Best LIC Policy for NRI?

There are different types of LIC life insurance policies - term insurance, endowment plans, whole life plans, money back plans and more. All of them are designed to fit different situations and needs. The best LIC policy for NRI is the one that fits your specific needs and financial goals.

Below mentioned are some of the best LIC policies for NRI.Take a look:

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Which is the Best LIC Term Insurance for NRI?

The Life Insurance Corporation of India currently offers 9 term insurance plans. All of these Term Life Insurance in India are available for NRIs. However, there are strict rules and regulations that apply. The NRIs should abide by all the rules and provide all the necessary information and documents.

The rules are different across countries. Countries with similar rules are grouped together. An NRI should fulfil all the eligibility criteria as per their country group. Following are all the LIC term insurance policies offered by LIC.

1. LIC’s Digi Term

2. LIC’s Digi Credit Life

3. LIC’s Yuva Credit Life

4. LIC’s Yuva Term

5. LIC’s New Tech Term

6. LIC’s New Jeevan Amar

7. LIC’s Saral Jeevan Bima

8. LIC’s Bima Kavach

9. LIC’s Jeevan Raksha

Why Should Indians Abroad Buy LIC Policy for NRI?

Buying LIC plans for NRI offers several advantages such as:

Death Benefit

LIC Policies for NRI offer death benefits to the nominee in case the policyholder dies during the policy term of the policy.

Maturity Benefit

If the policyholder survives the policy term, the LIC NRI Policy pays a maturity benefit as per the policy rules. The sum assured at maturity generally includes the basic sum assured and the additions or bonuses if mentioned in the plan.

Loan against your policy

Many LIC for NRIs plans offer a loan facility after acquiring the required surrender value. A loan facility helps policyholders meet urgent financial needs without having to surrender their policy.

Convenient Premium Payment

With LIC Policy for NRI, premiums can generally be paid through NRE, NRO, or FCNR accounts, making it easy for NRIs to continue their life insurance policies while living abroad.

Points to Consider Before Buying LIC Plans for NRI

Eligibility Check

NRIs are eligible to buy LIC plans in India only after certain eligibility criteria are met. One is eligible to buy LIC for NRI only if:

• They have possessed an Indian passport at some point in their life.

• You must currently be residing outside India on a temporary basis

• You must not be a green card holder

• You must have applied for, or be planning to apply for citizenship of your current country of residence or any other country.

It's also worth knowing that LIC treats NRIs and OCI/PIO cardholders (referred to as Foreign Nationals of Indian Origin, or FNIOs, in LIC's own terminology) as two separate categories, each with its own rule set. If you're applying as an OCI or PIO card holder rather than as an NRI with an Indian passport, a few extra conditions apply on top of the standard NRI requirements, most notably, your Mail Order Business application must include a report from a designated LIC agent, which isn't required in the same way for standard NRI applications.

Do Your Research on Taxation Criteria

Taxation Slabs are different in every country. Thus, you need to gather all the information regarding the tax slabs prevailing in your country on investment, accumulation, and maturity and then buy a plan.

Medical Examinations

To buy LIC plans for NRIs, you have to undergo a medical examination. However one has the option to do the medical examinations in your residential foreign country and send the report to the insurer in India. In this case, the policyholder will have to bear the cost of all the examinations and the company will not be liable for the cost incurred.

Understand your Residence Extra

Depending on which country you currently live in, LIC may apply an additional premium loading known as a Residence Extra. This isn't a fixed, universal charge as it varies by country and is listed in LIC's official Residence Groups, alongside any other restrictive conditions specific to your country of residence. It's worth checking whether your country attracts a Residence Extra before comparing quotes, since it can meaningfully change what you'll actually pay compared to a resident Indian buying the same plan.

What are the Purchase Methods and Limits of LIC Plans for NRI?

Note: One should review the policy brochure carefully before choosing LIC for NRIs to understand exclusions, claim conditions and policy servicing guidelines.

What is the Non-Medical Scheme for LIC NRI Plans?

LIC also offers eligible NRIs a Non-Medical (Preferred and Special) scheme, which allows insurance without a medical examination, subject to a few specific conditions:

• The scheme applies only when the policy is being purchased during a visit to India, or through Mail Order Business where an LIC agent has personally visited the NRI's country of residence.

• The maximum entry age under this scheme is 50 years.

• Plans with high-risk cover or term rider benefits are not permitted under this scheme.

• The applicant must be employed with the government or a reputed commercial firm, or work as a recognised professional such as a Chartered Accountant, doctor, teacher, lawyer, or engineer.

• This scheme is only available to NRIs residing in what LIC classifies as Group V countries. Your eligibility depends on which residence group your country of residence falls under, so it's worth checking this against LIC's official Residence Groups list before assuming this scheme applies to you.

If neither you nor an LIC agent has been able to complete the process in person, LIC also allows the medical requirement to be fulfilled through a Video Medical examination instead, subject to its own separate terms and conditions.

Can NRIs Buy LIC Insurance Locally, in Their Own Currency?

Most LIC policies bought by NRIs are issued in India, in Indian Rupees, regardless of where the policyholder lives. However, if you live in one of the countries where LIC operates a direct branch or joint-venture company, you may have another option: buying a policy locally, issued in your local currency, rather than going through the standard India-based NRI process.

LIC currently has branches or associate companies offering locally issued policies in the UK (in Sterling), Sri Lanka, Fiji, Mauritius, Bahrain, Nepal, Kenya (through Kenindia Assurance), Singapore, and Bangladesh. If you're based in one of these countries, it's worth checking with LIC's local branch or associate to see whether a locally issued policy might suit your needs better than the standard Rupee-denominated NRI route, particularly if you'd rather avoid currency conversion each time you pay a premium or receive a payout.

How Can NRIs Buy LIC Plans Online?

NRIs can apply for an LIC Policy for NRI through LIC’s official website or NRI service channels. Follow these steps to start the application process

Step 1: Go to the LIC India website and visit the NRI Centre section to check available plans, eligibility criteria, and application guidelines.

Step 2: Choose a suitable LIC NRI Plan based on your financial goals, coverage requirements, and premium budget.

Step 3: Complete the LIC proposal form with details such as personal information, nominee details, residential status, income details, and other required information.

Step 4: Upload or submit documents like passport, visa, overseas address proof, income proof, photographs, and other documents requested by LIC.

Step 5: If required, complete the medical examination as per LIC’s underwriting guidelines. NRIs can generally complete medical tests in India or their country of residence.

Step 6: Pay the premium through permitted payment modes such as NRE, NRO, or FCNR accounts.

Step 7: After successful verification and approval, LIC issues the policy document to the policyholder.

What is the LIC Policy for OCI Card Holders?

The Life Insurance Corporation of India (LIC) treats OCI card holders a little differently than how it treats NRIs. An Overseas Citizen of India (OCI) must have a valid OCI card to be eligible to purchase LIC NRI plans.

What is allowed for OCI cardholders:

• Mail order business (LIC agents visiting your country of residence to complete the formalities) is allowed only to people registered as Overseas Citizens of India with a valid OCI card.

• The policy is issued in Indian currency and a report by designated LIC agents is compulsory.

• You need the prescribed proposal form for your chosen plan plus an NRI questionnaire. A local agent, development officer or branch office can help.

Existing policies: If you bought an LIC policy while living in India and later became a foreign resident with an OCI card, there is generally no reason for it to be cancelled as long as premiums are paid. You should notify the insurer in writing of your new address. LIC also asks you to inform your servicing branch of your changed status and submit the NRI questionnaire.

Since eligibility and available plans can vary, OCI cardholders should confirm the current rules with LIC's NRI Centre or a local branch before applying.

Note: People of Indian origin who hold foreign nationality and live abroad (green card holders) are not treated as NRIs and can not purchase insurance from LIC India.

Documents Required to Buy LIC Plans for NRI

To purchase LIC NRI Plans, applicants need to submit certain documents for verification. The requirements may vary depending on the applicant’s country of residence, age, and selected policy.

Commonly required documents include:

• Valid Indian passport or OCI/PIO card (where applicable)

• Proof of overseas residence

• Visa or work permit documents

• Passport-size photographs

• Income proof such as salary slips, bank statements, or tax returns

• Medical examination reports (if required)

• NRI questionnaire and other documents requested by LIC

• FATCA/CRS Self-Certification*

• An initial deposit equal to one installment premium under your chosen plan, submitted alongside your application paperwork.

Note:*This isn't just an optional document. It's a regulatory requirement. LIC is classified as a Reporting Financial Institution under the Income Tax Act, which means it's legally required to identify and report the tax residency status of its policyholders. As an NRI policyholder, you'll need to complete a Self-Certification Form declaring your tax residency status, which can be done directly through LIC's Customer Portal.

Important Points to Note for an LIC Policy for NRI

• The NRI should have a valid passport issued by the Government of India.

• The person should not be a green card holder and also should not be planning for it in future.

• Policies shall be issued in Indian Rupees only.

• The purchase can be done on the NRIs visit to India or remotely through Mail Order Business.

• Minimum Sum Assured would be Rs 10 lakh and maximum would depend on insurability. Maximum sum assured for Mail Order Business is Rs 3 Crores only.

• Documents required shall be income tax returns to prove income, employment contract, certificate from CA, Personal Financial Questionnaire (PFQ), for high sum assured or under Mail Order Business.

• Critical Illness Benefit rider shall not be granted. Term Rider Benefit would also be restricted to a limit of Sum Assured.

• For term insurance plans the sum assured would be restricted.

Tax on LIC Payouts for NRIs

• In India: death benefits are tax-free. Maturity payouts are tax-free if the policy meets certain conditions, such as limits on the premium compared with the sum assured. If a payout is taxable, LIC may deduct tax at source. The Income-tax Act, 2025 has been in force since 1 April 2026, so section numbers have changed.

• In your country of residence: your home country may tax the payout or the bonuses. Rules differ widely, so check with a local tax adviser before you buy.

• GST: individual life insurance premiums have been free of GST since 22 September 2025.

OCI Cardholders and Existing Policyholders Moving Abroad

Buying as an OCI Cardholder

OCI cardholders can buy LIC policies, but a few extra rules apply:

• You need a valid OCI card.

• Policies are issued in Indian rupees.

• For Mail Order Business, a report from a designated LIC agent is required.

• You'll fill in the proposal form for your plan plus an NRI questionnaire.

Rules can change, so confirm the current process with LIC's NRI Centre or a branch before applying.

Already Have an LIC Policy and Moving Abroad?

Your policy continues as long as you keep paying premiums. Moving abroad doesn't cancel it. Just tell your servicing branch about your new status: send the NRI questionnaire, an attested copy of your passport and proof of your new overseas address. You can keep paying premiums online through the LIC customer portal.

Is Buying LIC NRI Plans A Good Choice?

LIC for NRIs are the perfect blend of life security and savings. These plans ensure that while living abroad you don’t have to worry about the financial future of your family. The LIC NRI plans offer a host of benefits and act as a helping hand in helping you to achieve your financial goals. With convenient premium payment options and the reliability of LIC, LIC NRI Plans allow you to stay financially connected with your family and investments in India, even while living overseas.

Note: Check the best term insurance plan options in India.

Note: You should also check the benefits of term life insurance if you are planning to purchase the term insurance plan.

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