Great news for policyholders of the Life Insurance Corporation of India (LIC)! State-run insurer is giving an opportunity to its policy holders to renew their lapsed policies. This is being done to encourage the continuation of risk cover amid the coronavirus pandemic
Great news for policyholders of the Life Insurance Corporation of India (LIC)! State-run insurer is giving an opportunity to its policy holders to renew their lapsed policies. This is being done to encourage the continuation of risk cover amid the coronavirus pandemic.
Calling it a difficult period, LIC said that it will provide an opportunity for its policyholders to revive their lapsed policies. The policies are being renewed under a ‘Special Revival Campaign’, which started on 10 August 2020 and will end on 9 October 2020.
“In view of the prevailing circumstances, no concessions are being offered in medical requirements and the same are limited to late fee only; under plans other than term assurance and other high risk plans,” LIC has said in a statement.
Under the Special Revival Campaign, policies of specific eligible plans can be revived within 5 years from the date of first unpaid premium, subject to certain terms and conditions.
See Concessions in Late Fee for eligible policies
High risk plans like term assurance, health insurance, multiple risk policies etc are not eligible for the concession.
Total Receivable Premium % Late Fee Concession Max Concession Allowed
Up to Rs 1 lakh 20% Rs 1,500
100,001-3 lakh 25% Rs 2,000
Above 3 lakh 30% Rs 2,500
Policies which are in lapsed condition during the premium paying term and not completed policy term as on the date of revival are eligible to be revived under this campaign.
The campaign has been launched by LIC to help those policyholders who have not been able to pay their policy premium due to unavoidable situations.
In case you still have doubts about the initiative you can contact the LIC at edcc@licindia.com.
As per the LIC’s own claims, the state-run insurer is serving over 30 crore customers. LIC is the biggest player in this space and has over 70 per cent market share in the insurance domain. Government of India (GoI) being its only stake holder, LIC policies come with sovereign guarantee.
Source: www.zeebiz.com
