Can I withdraw my LIC policy from any branch?

Asked by: Prof. Jayde Sipes I  |  Last update: February 11, 2022
Score: 4.1/5 (19 votes)

First keep in mind that as of now Surrendering LIC policy is not possible ONLINE. Also, you have to surrender the LIC policy at your servicing LIC branch ONLY. ... The reason for this is, your all policy documents like proposal forms, loan details and all other details will be available at servicing branch only.

Can I surrender my LIC policy from any branch?

The LIC policy can only be surrendered at the branch, where it's currently being served (i.e. Servicing Branch). So you need to change the policy servicing branch first, before surrendering it. This will add time for the surrender process. But you can now surrender LIC policy by post.

How much will I get if I surrender my LIC policy?

The policy can be surrendered after it has been in force for at least 3 full years. The Guaranteed Surrender value will be equal to 30% of the total amount of premiums paid excluding the premiums for the first year and all the extra premiums and premiums for accident benefit / term rider.

Can I withdraw LIC before maturity?

When you opt-out of a policy before its maturity, then it is called surrendering of the policy and the amount that you receive at the time, is LIC policy surrender value. ... However, surrender of policy is not recommended since the LIC surrender value will always be subsequently low.

What is the best time to surrender LIC policy?

A policyholder can surrender his/her policy only after the completion of 3 years, i.e. the policy has to have been in force for a period of 3 years, at least. The surrender value provided by LIC is essentially 30% of the premiums that have been paid so far.

LIC Surrender Value calculator || How to check LIC Surrender value || lic surrender value ||

43 related questions found

Is it good to surrender LIC policy?

Surrender value is payable only after three full years premiums are paid to LIC. More over if it is a participating policy the Bonus get attached to it as per prevalent rules. Surrender of policy is not recommended since the surrender value would always be proportionately low.

How can I transfer my LIC policy to another branch?

To change a LIC BRANCH for your LIC POLICY is very easy. Simply write the mail or give a written request to your home LIC BRANCH mentioning the name of the new LIC BRANCH and your LIC POLICY will be shifted from your old LIC BRANCH to new LIC BRANCH which you demanded.

What happens if I stop paying LIC premium after 1 year?

For single premium policies, the surrender value gets acquired after the first year itself. In case you haven't paid even 2 or 3 years' premium (as per the case above) and want to discontinue, the insurer will not pay you back anything and will not convert it into a paid-up policy either. The money is all but lost.

Can I surrender LIC policy online?

First keep in mind that as of now Surrendering LIC policy is not possible ONLINE. Also, you have to surrender the LIC policy at your servicing LIC branch ONLY. ... The reason for this is, your all policy documents like proposal forms, loan details and all other details will be available at servicing branch only.

Do I get money back if I cancel my life insurance?

Do I get my money back if I cancel my life insurance policy? You don't get money back after canceling term life insurance unless you cancel during the free look period or mid-billing cycle. You may receive some money from your cash value if you cancel a whole life policy, but any gains are taxed as income.

How can I get my money back from LIC policy?

The revival of LIC Insurance policy can be done in 5 ways:
  1. Ordinary Revival. The policyholder can revive their lapsed life insurance policy by paying all the unpaid premiums including the interests altogether. ...
  2. Special Revival. ...
  3. Installment Revival. ...
  4. Survival Benefits Cum-Revival Scheme. ...
  5. Loan Cum Revival Scheme.

How can I cancel LIC policy in one year?

How to Cancel Policy After 1 Year?
  1. Fill the NEFT and LIC forms respectively.
  2. Submit your original policy documents along with the photocopy of your PAN card.
  3. Write a handwritten letter to LIC stating why you wish to discontinue this policy. ...
  4. The refund amount applicable will be paid once your application is processed.

What happens if I stop paying LIC premium after 4 years?

Life Insurance

Term: If you stop paying premiums, your coverage lapses. Permanent: If you have this type of policy, you will have the following choices: Cash out the policy. This means that you can stop paying the premium and collect the available cash savings.

How much LIC will I get after maturity?

Maturity Benefit: If the policyholder survives till the period of maturity of the policy, he/she will receive 40% of the basic sum assured coupled with reversionary bonuses and the additional bonus amount.

What will be the surrender value of LIC policy after 5 years?

A 100% special surrender value is given out if the policyholder has regularly paid the premiums for five years.

Why is surrender value less than premium?

A policy acquires surrender value only when premiums for full three years have been paid to the insurance company. ... By surrendering a policy, the customer loses out on all the benefits of the scheme and receives a much lower amount than the premiums he has already paid.

How can I know my LIC policy no?

Contact Home Branch

While visiting the LIC branch, make sure to bring your PAN card and other ID cards. LIC officials validate the details of the policyholder. Once the verification has been completed, the LIC staff provides you the policy number.

What happens if I stop paying LIC premium after 3 years?

So if you have already paid 3 years' premium, not paying any future premiums will convert the policy into a paid-up policy. You won't get any money back in the year you turn it into a paid-up policy but will have to wait till the policy's original maturity.

How can I claim my LIC policy online maturity?

a. If already registered on LIC Portal:
  1. Click on e-Services, login with your user-id and password.
  2. Register your policies for availing the e-services by filling up the form provided.
  3. Print the form, sign it and upload the scanned image of the form.
  4. Upload the scanned image of PAN Card or Aadhaar Card or Passport.

Is LIC policy worth buying?

Is LIC a Good Investment? Insurance is best taken care of by buying a term insurance which is a pure risk cover. Thumb rules suggest that you require an insurance cover which is at least 10 times your annual income and term insurance is the only way to get such a cover. ... Hence LIC policies are a bad investment.

How do I cancel my policy online?

For online cancellation you will need to visit the insurer's website and fill the form online. If your insurance company allows (you can check their website or ask the customer service) you may also initiate the process by sending an email to customer service.

How do I cancel my policy?

Policy details, date of receipt of policy document, reason for cancellation and agent details must be mentioned in the application. On receiving the cancellation request, the insurance company will get in touch with the policyholder to know the reasons for cancellation and try to provide solutions.

How can I cancel LIC policy in free look?

Call up the insurer's customer care to communicate your decision to cancel the policy. You should visit the insurer's office to submit your policy cancellation application. Many insurers put up cancellation forms on their websites, which can be downloaded.

Can I cancel insurance policy at any time?

Fortunately, auto insurance companies generally give you the right to cancel your policy at any time as long as you provide proper notice. While most auto insurers will likely refund your unused premium, some may charge a fee if you choose to cancel in the middle of your policy term.

Can I cancel LIC policy within 15 days?

Cancellation allowed only for new policies

"The policy can be cancelled anytime within 15 days and 30 days in case of electronic policies and policies sourced through distance mode," says Indraneel Chatterjee, Co-Founder, RenewBuy, an insurance brokerage firm.