What if I pay LIC premium in advance?

What if I pay LIC premium in advance?

Premium payments can only be accepted 30 days in advance of the due date of your policy. It will be considered as a valid receipt and no other receipt is issued by LIC for active policies, the premium payment can be done six months in advance.

Can we pre pay LIC premium online?

You can do so by either visiting the LIC website or by downloading LIC India’s app. To pay premiums through the insurer’s website, visit www.licindia.in and click on ‘Pay Premium online’ from the ‘Online Services portal’. Here you will get two options: a) Pay Direct (Without login) and b) Through customer portal.

What happens if I pay LIC after due date?

After linking LIC policy with your LIC credit card, the outstanding premium amount will be paid automatically after 25 days of the due date i.e, within the 30 days of the grace period. Using this, the life assured gets another 45 days to pay the bills.

What happens if I stop paying LIC premium after 1 year?

For single premium policies, the surrender value gets acquired after the first year itself. In case you haven’t paid even 2 or 3 years’ premium (as per the case above) and want to discontinue, the insurer will not pay you back anything and will not convert it into a paid-up policy either. The money is all but lost.

What happens if I stop paying LIC premium after 3 years?

However, there are certain rules surrounding this concept. A policyholder will only be able to surrender his/her policy after having paid the premiums diligently for 3 years. Upon surrendering the policy, LIC provides a certain portion of money to the policyholder. This amount of money is known as surrender value.

How long can LIC premium be delayed?

The grace period for policies where the premium payment mode is monthly is 15 days from the due date. The grace period for policies where the premium payment mode is quarterly, half-yearly or yearly is one month but not less than30 days.

Can I pay LIC premium late?

However, due to some reasons, if you fail to pay the premium on time, a grace period of 15 days is allowed for those policies who have a monthly premium mode, and a grace period of 30 days for policies with quarterly, half-yearly, and yearly premium payment mode.

What happens if I dont pay my LIC premium after 3 years?

What happens if you don’t pay LIC premium after 5 years?

If you wish to discontinue your life insurance policy for any reason, you can do so, but at a cost. In case of a term life insurance policy, if you stop paying the periodic premium, the policy automatically lapses, i.e., the risk cover ceases but there is no other additional downside or cost.

Can we withdraw LIC policy?

A policyholder can surrender his/her policy only after the completion of 3 years, i.e. the policy has to have been in force for a period of 3 years, at least. The surrender value provided by LIC is essentially 30% of the premiums that have been paid so far.

When do you have to pay LIC premiums?

Premium payments can be done before 30 days before due date, and until the policy in force. But as per the term insurance plans, the advance payments period allowed is 15 days. premium payment crossed due date, the late fee at the rate of 8% will be levied. premium payments cannot be paid for coming financial year.

What is the grace period for LIC insurance?

This time span is popularly known as the grace period. The grace period for LIC insurance policies where the premium payment is monthly is fifteen days from the due date of premium payment. The grace period for insurance policies where the premium payment is quarterly, half-yearly or yearly, is thirty days.

Which is the payment method of Lic in India?

Basically, the products of Life Insurance are for the long term and the LIC of India provides two ways of premium payment for them. One is – upfront payment, which is called a single premium payment. Another is – annual payment, which is called as regular premium payment.

Can a lapsed LIC policy be revived with interest?

However, you can revive your lapsed policy within policy term subject to the formalities of revival that should be observed. You can revive your LIC policy by paying the premiums with interest within 6 months starting from the due date of the 1 st unpaid premium.