Prices Increasing soon Prices Increasing Soon

Revival of Lapsed Life Insurance Policy

A life insurance can lapse when you cannot pay the premium within the stipulated timeframe which includes the grace period. When a policy lapses the benefits attached to it will become ineffective. Lets take an ex: Sumit Malhotra recently was working with a private bank and recently he lost his job. This gave rise to financial constraints and he was no longer regular in paying his insurance premiums.

Read more
Gets ₹1 Cr. Life Cover at just
COVID-19 Covered
The Policybazaar Advantage
Dedicated claim support for family FREE
Upto 10% discount for buying online
Only certified experts will call you on 100% recorded lines
We are rated~
6.7 Crore
Registered Consumers
Insurance Partners
3.4 Crore
Policies Sold

#All savings and online discounts are provided by insurers as per IRDAI approved insurance plans | Standard Terms and Conditions Apply

By clicking on "View plans" you agree to our Privacy Policy and Terms of use

~Source - Google Review Rating available on:-

Life is Unpredictable! Protect your family’s future
Get ₹1 Crore Life cover starting from ₹384/month+
We don’t spam
Check Your Premium Now
Please wait. We Are Processing..
Get Updates on WhatsApp
The Policybazaar Advantage
Policybazaar Advantage Icon
Dedicated claim support for family FREE
Policybazaar team will help and support you at the time of claim. A personal claim handler from our team of experts will get in touch with you when your nominee applies for a claim on our website.
Policybazaar Advantage Icon
100% calls recorded to ensure no mis-selling
We will make sure you get what is promised by the advisors. We conduct regular monitoring of our calls to make sure you get the best experience.
Policybazaar Advantage Icon
Exclusive lifetime discount upto 5% for buying online
The discounts will be valid for the entire policy payment term and is not available if you choose to buy the insurance through offline agents.
Policybazaar Advantage Icon
Advisors available in your city
Our advisors are available in more than 55 cities across India and can help you at your doorstep in understanding the plans and in documentation.
Policybazaar Advantage Icon
Refund at the click of a button
In case you aren’t happy with your purchase, you can cancel your policy hassle-free at the click of a button. We will help you with the cancellation and refund of your policy.

He did not pay the premium even within the grace period and his policy lapsed. As per the IRDA recommendations a uniform grace period of 30 days is extended for quarterly, half-yearly and annual renewals and a 15 days grace period for monthly renewals. A life insurance policy can also lapse when the cash surrender value is exhausted.

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply

Lapse of a policy

Once an insurance policy lapses, the protection which comes with it ends. This indicates that the beneficiaries will not receive payment in case of your sudden death. The money which was paid as premium is forfeited. If you do not want to forego the benefits which the insurance policy offers you can consider reviving the life insurance policy within the stipulated time period laid down by the insurance company before your contract matures.

Reviving the policy

It is important to note that the revival procedure will vary across policies and companies. If you have not paid the premium for six months, LIC will charge an 8% interest on the premium (this depends on the nature and duration of the policy) for the deferred payment and the risk cover will extend up to six months. This means that as a policy holder if you have defaulted on the premium payments for six months, the life cover is still available. You can avail this benefit if you have paid the premium for atleast a minimum of three years. If you want to revive the policy in the seventh or the eighth month, you will have to produce a personal health statement.

The primary reason behind buying a life insurance cover is to provide financial support to your family when you are not present. But, the efforts can go futile when the policy lapses. If you want to revive the policy there are certain points which you need to consider:

Understanding reinstatement: Reinstatement of the policy or the documents required for revival will depend on the time between the date of lapse and the date on which you request the revival.

Paying the right premium: To revive the policy which has lapsed you need to pay the unpaid premium along with the interest rate which is specified by the insurer. In some cases you may have to pay a penalty.

Processing of the policy: In most cases a certificate of insurability or a health certificate needs to be given to the insurance company. This statement needs to be supported by address proof documents.

Fresh terms and conditions can be imposed: As revival of the policy is a fresh contract between you and the insured company, the insurer may impose new terms and conditions.

Tips to avoid a policy lapse

Find out ways in which you avoid the lapse of an insurance policy:

Opt for an ECS or an Electronic Clearing Service: Here you can give a standing order to the bank to deduct a particular amount towards the life insurance policy.

Pay through ATMs: Certain insurance companies have tie-ups with banks where the banks provide you the option to pay the premiums through their ATMs.

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply

Choose auto-pay service through your ATM card: If you opt for this, your premiums will be pad automatically through your credit card and this will reflect in the billing cycle of your card.

Weigh your resources: Before you opt for a policy ensure that it does not burn a hole in your pocket.

In case your insurance policy lapses. It is advised that you initiate an open discussion with the insurance agent to ascertain the best course of action. 

Different types of Plans

Premium By Age

Life insurance articles

Recent Articles
Popular Articles
What High Net Worth Individuals (HNIs) Do To Secure Their Family?

09 Aug 2023

High net worth individuals often opt for life insurance plans to
Read more
A Review Of ICICI Prudential Life Insurance

28 Jun 2023

“Policy Bazaar insurance clarified the term policy for me, so
Read more
A Review Of HDFC Life Insurance

27 Jun 2023

“I recently bought an HDFC term plan and it is the best
Read more
Best Life Insurance Policy in India with High Returns

20 Jun 2023

The best life insurance policy in India is a type of life
Read more
Which Insurance is Best in India?

20 Jun 2023

Insurance is a financial product that transfers the risk to a
Read more
How to Check LIC Policy Status, Details, Statement via Online/SMS/Call
Last year, Mr. Rajiv Verma bought a Child LIC policy to provide financial security for his kid's future. However
Read more
SBI Life Insurance 50,000 per year Plan for 5 Years
Life insurance is not only about the financial protection of the family but also about working for life’s
Read more
PLI Surrender Value Calculator
PLI Surrender Value Calculators have proven to be one of the simple tools for digitally savvy customers. PLI
Read more
LIC Login: LIC Customer Login Process at Online Portal
LIC Customer Login portal allows the policyholder to easily avail the online facilities at the comfort of their
Read more
SBI Life Insurance Policy Surrender Value Calculator
Are you planning to surrender your SBI life insurance plan? But, are you aware of the amount attached to the
Read more

View Plans
Download the Policybazaar app
to manage all your insurance needs.