- Methods of LIC Payment
- LIC Online Payment – For Registered/Non-registered Users
- Offline LIC Payment
- LIC Payment Through Bank
- LIC Payment Through Debit/Credit Card
- Benefits of Payment with Debit/Credit Card
- LIC Premium Payment with Paytm
- Payment of LIC Premiums with a Grace Period
- Benefits from LIC policies in terms of income taxes
- Guideline for LIC Policy
- How to Make Premium Payments
- How do I check the status of the LIC Policy?
- How to Revive a Lapsed LIC Policy
The Life Insurance Corporation of India (LIC) was founded in 1956 and is one of India’s oldest, most recognizable, and most trusted insurance companies. To present, the Life Insurance Corporation of India (LIC) has provided insurance to millions of Indians. LIC’s goods have now been developed to meet the diverse needs of people from various walks of life. It provides life insurance, unit-linked insurance plans (ULIPs), and other insurance options. Citizens can select from a variety of insurance programs to meet their specific requirements. With the advancement of technology, India’s oldest insurer has incorporated it into its workflow to provide consumers with the convenience of LIC online premium payment through Paytm.
Methods of LIC Payment
Customers can pay premiums for their plans in a variety of ways through LIC. LIC policy payments can be made on the LIC website, through authorized banks, franchises, approved LIC agents, and even through Paytm.
LIC Online Payment – For Registered/Non-registered Users
You may now pay your LIC premiums quickly and securely online. The payment method is different for registered and non-registered users. Customers will, nevertheless, benefit from the same convenience and security when making payments anywhere and at any time.
Registered policyholders can pay their policy premiums through the LIC’s e-Services service. The procedure is as follows:
Step 1: First, go to the LIC India website. Choose between “Pay direct” and “Through customer portal” as your payment method.
Step 2 – If you choose the ‘Pay Direct (Without Login)’ option, you’ll see the screen below. You don’t have to remember your log-in credentials to choose a payment method.
Step 3 – If you choose the ‘Through Customer Portal’ option, you’ll need your LIC login ID and password to sign in. Complete the required fields and click the Submit button.
Step 4 – After clicking, you will be prompted to provide your policy number and the amount of the premium due.
Step 5 – Once you’ve provided all of your information, you’ll be able to see all of your enrolled plans.
Step 6 – On this page, select the policies for which you want to pay the premium and confirm your selection by clicking the Submit button.
Step 7 – You will be taken to the payment gateway page, where you can choose between net banking and credit/debit card as your preferred payment method.
Offline LIC Payment
The National Payments Corporation of India (NPCI) has launched a service called the National Automated Clearing House, which consists of an electronic payment gateway (NACH). NACH will shortly take the place of the RBI’s present ECS.
Mandate forms must be sent to the appropriate LIC branch for premium payment via the NACH system. The following banks have ATMs where you can pay your premium:
- Axis Bank
- Corporation Bank
This service is available to all consumers at no cost. The customer must register his insurance plans on the bank’s website.
LIC Payment Through Bank
LIC has partnered with two of India’s biggest banks (Axis Bank and Corporation Bank) to make paying LIC premiums even easier for their customers. Customers of the LIC can also pay their policy premiums at Axis Bank or Corporation Bank outlets.
Payments that are accepted:
- Only LIC policies that are still active can be paid for.
- Premium payments for conventional life insurance policies can only be made 30 days in advance.
- Term insurance policies and premium payments in advance can only be made 15 days prior to the due date.
- Upon receipt of payment, the authorized bank can issue a legitimate signed receipt.
- Payments can be made in cash, by check, or by demand draught at recognized bank locations.
- -A late fee of 8% of the premium will be charged if the premium is not paid on time.
Payments that are not accepted
- Payments for Salary Savings Scheme (SSS) insurance will not be accepted.
- Premium payments are not accepted for ULIP and health insurance policies.
- Premiums for the coming fiscal year cannot be paid.
LIC Payment Through Agent/Merchant
Select people or agents have been authorized by LIC to collect premiums on the company’s behalf. Here are some key points to remember when it comes to premium collecting by authorized staff.
- For life insurance and ULIP policies, you can pay the premium to the agent, but not for health insurance policies.
- There is no price or service charge associated with using this service.
LIC Payment Through Debit/Credit Card
You can now pay your LIC premiums with your debit or credit card. The procedure is straightforward and will be carried out through the IDBI bank portal. The following steps will guide you through the process of paying your premium with a debit or credit card.
Step 1: Go to the LIC payments website and click the circle next to “IDBI Gateway.”
Step 2: Select your card type (debit/credit) and the premium amount you must pay. The amount of tax and other fees that will be charged will be revealed.
Step 3: After entering and verifying the information, click ‘Submit.’
Step 4: You will be taken to a screen where you must enter your card information, including the debit/credit card number, expiration date, CVV, your name as it appears on the card, email address, and mobile number.
Step 5: Type the captcha code that appears in the box into the box.
Step 6: To finalize the transaction, enter the one-time password (OTP) or ATM pin.
Step 7: Select ‘Pay’ from the drop-down menu. A payment receipt will be sent to your registered email address after successful payment.
Benefits of Payment with Debit/Credit Card
- Between you and the service provider, no additional registration is required.
- Instantly obtain payment receipts.
- You are the only one who knows your login id for both the LIC and the Bank.
- It is free to pay with a debit or credit card.
LIC Premium Payment with Paytm
LIC policy premium payment can be made online through the Paytm application (Android and Apple) or on the Paytm website.
To make LIC premium payment online using Paytm wallet, simply follow the steps below and you’ll be on your way to making a successful LIC premium payment. There is no longer any need to wait in huge lines to pay your LIC premium.
The steps are as follows:
Step 1: Launch the Paytm application.
Step 2 – Type ‘Insurance’ into the search box and hit enter.
Step 3 -An option for ‘Insurance/LIC Premium’ will now appear. That is something you must tap on.
Step 4: Choose Life Insurance Corporation of India as your insurer.
Step 5 -Now type in the policy number, which is nine digits long.
Step 6- Now enter the insurance information, including the policyholder’s name, policy name, due installment number, and premium due date. Check all of the details.
Step 7 – Select any of the insurance offers and the promo code as desired for unique savings or rewards. Afterward, hit ‘continue’ to be transported to the payment portal.
Step 8-Now you can select your preferred payment method from Payment Wallet, Net Banking, or Debit/Credit Card. Paytm’s payment method is secure, so don’t be concerned about your money.
Once the payment has been completed successfully, a message will be sent to the registered cellphone number and e-mail address for future reference. If there are any problems during the payment process, the amount will be refunded in the real transaction model.
LIC payment using Paytm wallet or any other chosen form is absolutely hassle-free and may be done according to your preferences. This one-time transaction stores the policy details for the next LIC premium payment, and you can make payments effortlessly using the Paytm app in the future.
Payment of LIC Premiums with a Grace Period
If you have not paid your LIC premium by the due date for a few plans, LIC will provide you a grace period during which you can make payments without incurring interest or penalties. The grace period is the name given to this period of time.
For policies with a monthly premium payment option, the grace period is 15 days from the due date. The grace period for insurance with quarterly, half-yearly, or even annual premium payments is one month from the due date.
If you’re thinking about getting new insurance or renewing an existing one, LIC has a terrific tool called an Online Premium Calculator. This calculator can help you get a quick quote for the Premium you need.
Benefits from LIC policies in terms of income taxes
Section 80C- If the life insurance premium is paid from your earnings, you can deduct it under Section 80C.
Section 80CCC allows an individual to deduct any amount put from taxable income into a LIC plan in order to receive a pension.
Sec 80D-Tax deduction of up to Rs.25,000 if an amount is paid to keep the assessee’s or his family’s health insurance.
Sec 80DD-Amount deposited with a few LIC schemes for the maintenance of a disabled dependent is eligible for a deduction of up to Rs.75,000 from an individual’s gross income. (In cases when the handicapped dependent has a severe disability, the amount is Rs.1,25,000.)
Guideline for LIC Policy
When Should You Pay Your LIC Premiums?
LIC normally distributes premium notices one month before the due date. The months in which premiums are due are highlighted on the first page of the policy bond.
How to Make Premium Payments
- Cash, local cheque (subject to realization of the cheque), and Demand Draft at Branch Office are the main methods of paying LIC premiums.
- Demand Drafts, checks, and money orders must be mailed.
- Standing premium remittance instructions from your particular bank.
- Through Internet banking
- Through Corporation Bank and UTI Bank ATMs
- Payment of premiums can also be conducted through the Electronic Clearing Service (ECS)
How do I check the status of the LIC Policy?
The status of your policy reveals whether it is active, has lapsed owing to non-payment of premiums, or has reached its expiration date.
Other relevant information about your policy can be found in the policy status, which you can use as a reference. Your policy’s status can be found at the branch that handled your policies.
How to Revive a Lapsed LIC Policy
If your insurance has lapsed owing to non-payment of premiums or failure to meet other requirements by the due date, the terms and conditions of that policy are null and void until you reinstate it.
Payment of the accrued premium plus interest, as well as the health conditions of the concerned individual, are necessary to reinstate a lapsed coverage.