LIC Offers Revival of Lapsed Policies

LIC Offers Revival of Lapsed Policies and offered some concession on penalties. The Life Insurance Corporation of India (LIC) has also launched a campaign for the revival of individual lapsed policies. As per the official communications, the 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. The campaign be active from February 7 till March 25, 2022.

“While the current Covid-19 pandemic scenario has emphasised the need for mortality protection, this campaign is a good opportunity for LIC’s policyholders to revive their policies, restore life cover and ensure financial security for their family,” LIC said.

This is to remember that the 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 and the eligible health and micro insurance plans also qualify for the concession in late fee.

LIC further added that for the conventional and health policies with a total receivable premium of up to Rs one lakh, the insurer is offering a 20 per cent concession in late fee, with a maximum limit of Rs 2,000. Similarly, for a premium amount of above Rs 3 lakh, concession offered is 30 per cent, with a cap of Rs 3,000.

Also Read – Budget 2022 – Banking Sector, Major Announcements

LIC is offering a full concession in late fee for micro-insurance plans. 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.