LIC Premium Payment Late Fee Calculator

LIC of India charges an extra fee, if you miss the due premium date. This fee is added to the regular premium once you cross the grace period and the policy lapses. You have to pay the delayed LIC premium along with the late fees when you want to revive the policy again. The LIC late fee calculator will help you calculate this extra amount charged for policy revival.

Read more
LIC, Policybazaar join hands to
accelerate insurance growth
LIC investment
  • Buy LIC policy online
    hassle free

  • Guaranteed maturity with life
    cover for securing family's future

  • Tax saving under Sec 80C &
    10(10D)

  • Sovereign guarantee as per
    Sec 37 of LIC Act

Now Available on Policybazaar
Grow wealth through
100% Guaranteed Returns with LIC
+91
View Plans
Please wait. We Are Processing..
Plans available only for people of Indian origin By clicking on "View Plans", you agree to our Privacy Policy and Terms of Use #For a 55 year on investment of 20Lacs #Discount offered by insurance company Tax benefit is subject to changes in tax laws
Get Updates on WhatsApp

What Is the Grace Period for LIC Policies?

From the first unpaid premium, LIC of India offers 30 days during which you can pay off the delayed amount. This is the grace period. For monthly premium payments, the grace period is limited to 15 days only. If you make the delayed premium payment during this period, you won’t be charged an extra fee. If, however, you cannot pay off the amount within this period, LIC will charge a late fee to revive the lapsed policy.

LIC Revival Period Considered by The LIC Premium Payment Late Fee Calculator

This tool calculates the late fee based on when the policy is being revived. 

  • If a policy is revived after 30 days to 1 month 14 days, the calculator considers this a delay of 1 month. 

  • If a policy is revived after 1 month 15 days to 2 months 14 days, the calculator considers this a delay of 2 months. 

  • If a policy is revived after 2 months 15 days to 3 months 14 days, the calculator considers this a delay of 3 months. 

  • If a policy is revived after 3 months 15 days to 4 months 14 days, the calculator considers this a delay of 4 months, and so on. 

As of now, the late payment charge for LIC premiums is 9.5%. 

How to Calculate The Late Payment Fees for LIC Premiums?

The LIC Premium Payment Late Fee Calculator considers the following factors to give you an estimate of the total late fee charged - 

  • Date of 1st unpaid premium

  • Date of revival

  • Premium amount

  • Mode of premium payment

  • Total premium due

  • Current interest rate

Sample Late Fee Calculation Using the LIC Premium Payment Late Fee Calculator

Say that you stopped paying premiums for your LIC policy on 5th July 2021 and want to revive it on 5th July 2022. Take the following example - 

  • Premium payment mode - Monthly

  • Monthly premium - Rs.10,000

  • Lapse period - 1 year

  • Interest rate - 9.5%

Therefore, 

  • Number of installments pending - 13

  • Total premium due - 13*10000 - Rs.1,30,000

  • Late premium fee @9.5% - Rs.6,175

  • Total revival amount - Rs.1,36,175

The LIC policy revival scheme should be studied in detail so your revival is smooth. Further, it is advisable to revive a policy as getting a new one will charge you higher premiums based on your age and health conditions.

FAQ's

  • What are the late payment charges for LIC premiums?

    Ans.
    Rate of Late Fee  Months Delayed
    1st month 2nd month 3rd month
    6% 0.005 0.01 0.015
    7.5% 0.00625 0.0125 0.01875
    9.5% 0.00792 0.01583 0.02375
  • What does happen if I pay LIC premium late?

    Ans. If you have crossed the grace period, you will be charged a late payment fee at an interest rate of 9.5% on the delayed premium. 
  • Can the late fee on premiums be paid online?

    Ans. Yes, you can register to LIC’s online portal to revive your policy. 
  • Can I renew my LIC plan after not paying premiums for 5 years?

    Ans. Yes, LIC policies can be revived anytime within 5 years. You have to pay the total unpaid premium amount along with the interest.

LIC of India articles

Recent Articles
Popular Articles
LIC New Jeevan Shanti

26 Jul 2022

LIC New Jeevan Shanti LIC New Jeevan Shanti is a pension plan that...
Read more
LIC Bima Ratna

22 Jul 2022

LIC of India introduced the LIC Bima Ratna plan under its...
Read more
LIC Premium Without Tax Calculator

15 Jul 2022

LIC Premium Without Tax Calculator LIC calculators are very...
Read more
LIC SIIP Plan Calculator

15 Jul 2022

LIC SIIP is a unit-linked insurance plan that offers life...
Read more
LIC Surrender Value After 10 Years Calculator

15 Jul 2022

Surrender value is the amount you get if you surrender or stop...
Read more
Surrendering LIC Policy Before Maturity Time: Your Guide!
The Life Insurance Corporation of India is one of the most prominent insurance companies. It has an unparalleled...
Read more
How to Check the Maturity Amount of LIC Policies?
Life Insurance Corporation of India is one of the leading public companies in the service of insurance plans. And...
Read more
LIC Jeevan Saral (With-Profit) Maturity Calculator
LIC Jeevan Saral has been withdrawn by LIC and is therefore not available for sale anymore. It is an endowment...
Read more
LIC Policy for Girl Child in India
A child insurance plan is a plan that acts as a blend of investment and savings while also providing the child...
Read more
Is there any LIC Kanyadan Policy?
First and foremost, there is no such plan called the LIC Kanyadan Policy launched by the Life Insurance...
Read more

top
Close
Download the Policybazaar app
to manage all your insurance needs.
INSTALL