LIC has been a one-stop solution for Indian policy-seekers since the beginning. The insurer provides diverse ranges of insurance plans for protecting the financial goals of the family. The Life Insurance Corporation of India (LIC) has been a reputable and reliable company when it comes to customer satisfaction and credibility.Read more
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The different plans have different premium charges, which the clients can pay according to the payment options given under the relevant plan. But, sometimes, due to non-payment of premium within the given timeline, a policy can get lapsed. The policyholder can revive a lapsed policy by paying the premiums with interests. LIC, acknowledging the clients' satisfaction, has announced a Lapsed Policy Revival Scheme for 2021.
The Life Insurance Corporation of India (LIC) has announced its policy revival scheme for 2021. This scheme helps the customers who were unable to make premium payments for a maximum of five years from the last premium payment. The scheme offers the customers a chance to revive their lapsed policy in 2021 by paying the premium, including the late fee charges. More than 1500 satellite offices are authorized by the insurer to execute the revival scheme without special medical tests.
In this LIC Lapsed Policy Revival Scheme, the insurer is offering the policyholders a deduction of up to 30% in the late fee charges. The rebate percentage depends on the types of policy and the range of LIC premium payment charges of every client. The scheme was launched in January 2021 and promised the policyholders a revival of specific eligible plans and concession in health requirements. However, high-risk plans like Term Assurance Plans, Health Insurance Plans, Multiple Risk Policies, etc., do not qualify for the benefit.
Under the special revival campaign, the Life Insurance Corporation of India (LIC) launched the scheme, which facilitates the customers for reviving their lapsed policies within a deadline through the satellite offices that are approved for performing the process. The insurer can restore most of the policies only on the declaration of good health of the policyholder. A basic Covid 19 questionnaire also has to be submitted by the life assured or the policyholder.
The concession in the late fee charges is divided into three parts for better understanding by the clients. They are:
These concessions are subjected to particular criteria and terms which shall be mentioned. If the LIC premium payment remains unpaid for more than 5 years from the first due premium, the scheme will not be eligible for the relevant policyholders.
To avail of the revival scheme, an individual must know their policy details and the time it lapsed. The easiest way to know about the policy details is to check the policy status, stating whether the policy is in force or expired. LIC offers various methods for checking the policy status, and the most user-friendly way is the online process. In order to avail of the method, one needs to register with the official portal.
Step 1:Visit the Customer Portal of LIC.
Step 2:Click on “New User”
Step 3:Fill in the required credentials such as name, gender, date of birth, policy number, installment premium payment, registered mail id, and mobile no.
Step 4:Click “Proceed”
Step 5:Now the customers can efficiently check the policy status from the online services.
Step 1:Visit LIC’s Customer Portal.
Step 2:Click on “Registered User”
Step 3:Log in with the required details like name, date of birth, and registered mail id.
Step 4:After logging in, click on "Policy Status."
Step 5:Due premium date, status, lapsed policy, unpaid premium quote are all accessible under this service.
Various types of policy revival schemes are offered by the Life Insurance Corporation of India (LIC). These schemes aid the clients who were unable to make their LIC premium payments within the given timeline or the grace period of 30 days. The types of schemes are:
The Instalment Revival Scheme is designed to acknowledge those clients who are unable to make premium payments all at once and prefer paying them in installments.
The conditions which are needed to be mentioned under this scheme are:
A lapsed policy can be revived under this scheme by recovering the premiums due from the amount available under the loan facility of the policy, given the terms and conditions.
Following are the specific conditions that need to be followed under this revival scheme:
Under this scheme, the intimation date can be changed accordingly. The amount of premium can be paid as per the policyholder's age at the time of reviving the lapsed policy. There are certain norms and conditions which needs to be maintained to avail the special revival scheme -
The Money Back policyholders can effortlessly renew their lapsed money-back policies under this scheme. But there are certain norms and conditions in availing the Survival Benefit cum Revival Scheme, and those are the following:
If the premium charges have been paid for several years, then reviving the policy will be beneficial and logical in the case of a long-term endowment policy. Reviving a lapsed policy and continuing with the LIC premium payment until maturity will provide the clients with maturity benefits. This maturity benefit will eventually increase the overall investment returns.
If an individual is planning to buy a new plan instead of reviving the lapsed one, then the amount paid for the new policy can be more than the premium payments and interests of the lapsed one.
Online services of LIC provide their clients with a wide range of services for better performance and efficiency. If a policy lapses, then it is very vital to get the knowledge about the amount which will be needed to renew the policy.
The feature of "Revival Quotation" in the insurer's official customer portal has made it effortless for the clients to know about the due charges and plan accordingly. Any registered users can use this feature from the online services provided by LIC. A new user can sign up by following the steps mentioned earlier and use the feature.
After getting the revival quotation, it is essential to pay the premiums, including interests and concessions, as mentioned in the 2021 scheme. An individual can pay their awaited premium charges online by logging into their respective customer portal account. After logging in, they can select the option of "Policy Renewal/ Revival" and fill in the required credentials. An individual can also make the LIC premium payments directly by providing the policy number and selecting the “Policy Revival” option.
LIC Policy Revival Scheme 2021 is an excellent opportunity for individuals looking to renew their policies. Concessions of a certain percentage are lucrative to an already beneficial scheme that provides various revival processes.
Disclaimer: Policybazaar does not endorse, rate, or recommend any insurer or insurance product offered by an insurer.
*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C applies.
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