Ahead of IPO, LIC allows customers to revive lapsed policies; concession in late fee. Details

In a statement, the state-run insurer said policies which are in a lapsed condition during the premium paying term and not completed policy term are eligible to be revived in this campaign, which will begin from February 7 and on March 25, 2022.

While the current Covid scenario has emphasised the need for mortality protection, the company said, this campaign is a good opportunity for LIC’s policyholders to revive their policies, restore life cover and ensure financial security for their family. 

Also, concessions are being offered in late fee for other than term assurance and high risk plans, depending on the total premiums paid.

However, there are no concessions on medical requirements. Eligible health and micro insurance plans also qualify for the concession in late fee.

For conventional and health policies with a total receivable premium of up to ₹1 lakh, the insurer is offering a 20% concession in late fee, with a maximum limit of ₹2,000. 

Similarly, for a premium amount of above ₹3 lakh, concession offered is 30%, with a cap of ₹3,000. LIC is offering a full concession in late fee for micro-insurance plans.

Under the campaign, policies of specific eligible plans can be revived within five years from the date of the first unpaid premium, subject to certain terms and conditions. 

With inputs from PTI