LIC-Life Insurance Corporation (Life Insurance Corporation of India) is giving another chance to resume the policy. Those who have stopped the policy or who are unable to run the policy due to any reason, will now be able to use their policy again.
Usually, after paying an insurance policy, we pay premiums half-yearly or annually. Some insurance companies now offer the option of depositing premium every month. If you are not able to pay it on time, then the policy lapse. Life Insurance Corporation (LIC) is going to give its policyholders a chance to resume the discontinued policy. For this, a special revival campaign has been started by LIC from today which will run till 9 October. Under this campaign LIC’s closed Individual Policy can be reintroduced.
The insurance company has decided to start a special revival campaign from 10 August to 9 October, under which LIC’s discontinued personal policy can be resumed. LIC said in a statement that under special revival campaign, the policy of some special schemes can be revived, although the date of default in premium should not be more than five years old.
According to the LIC statement, the policyholders will get 20 percent discount in late fees for revival. Let me tell you that there is no shortage of people who are unable to run the policy, do not pay the premium, in such a situation their policy stops. People only suffer in this. Now LIC has given such an opportunity to such people again, 25 percent discount will be given for late fees between Rs. 1 lakh to Rs. 3 lakh. 30 percent discount will be given on late fees of more than Rs 3 lakh.
On default of paying the insurance premium, the policy is transferred to the grace period. Typically, insurance companies pay a 30-day grace period to pay half-yearly or yearly premiums. Monthly premium gives a grace period of 15 days. During this grace period, the policyholder can re-activate his insurance policy by paying the premium. If you are unable to pay the premium even during the grace period, then the policy lapse. In such a situation, the beneficiary will not get the sum assured after the death of the policyholder. But if the policyholder dies during the grace period, the nominee gets full money (some assured)