LIC offers opportunity for policyholders to revive lapsed policies

IPO-bound Life Insurance Corporation of India (LIC) has launched a campaign for revival of individual lapsed policies.

“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,” a press release said on Saturday.

“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,” the state-run insurer said in the release.

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

“There are no concessions on medical requirements. Eligible health and micro insurance plans also qualify for the concession in late fee,” the release said.

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For conventional and health policies with a total receivable premium of up to₹1 lakh, the insurer is offering a 20 per cent concession in late fee, with a maximum limit of ₹2,000. Similarly, for a premium amount of above ₹3 lakh, concession offered is 30 per cent, with a cap of ₹3,000.

The insurer 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,” the release said.

(With inputs from Agencies)