How can I withdraw my LIC bonus?

Asked by: Ms. Ada Collins  |  Last update: June 10, 2023
Score: 4.3/5 (20 votes)

How To Surrender LIC Policy
  1. Original policy bond documents.
  2. Request for surrender value payment.
  3. LIC Surrender form- form 5074.
  4. LIC NEFT form.
  5. Bank account details.
  6. Original ID proof like Aadhar card, pan card or driving license.
  7. A cancelled cheque.
  8. Hand-written letter to LIC stating the reason to discontinue.

Can we withdraw LIC bonus?

If LIC declares any future bonus or guaranteed additions to the product, then your policy is not eligible for such future bonus or GA. You will receive only the Total Paid Up amount at maturity or death of policyholder.

Can I withdraw LIC money online?

LIC withdrawal online can be done from 3rd year of the policy. The minimum duration is of 3 years in case of longer tenures such as for 10 years and above.

When can I withdraw money from LIC?

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.

How can I check my LIC bonus online?

How To Check Accrued Bonus On LIC Policy?
  1. Visit the official website of LIC and login into the LIC portal account. ...
  2. After logging in to your account, select the tab 'Basic Service'. ...
  3. A new page or window will open and the policy list and option are displayed on the left panel of the page.

How to get rid of LIC Policy? | Surrender LIC Policy | Surrender Value explained

44 related questions found

Can I withdraw bonus guaranteed addition in LIC?

Though insurers may declare a simple reversionary bonus or guaranteed additions every year, these sums will add to your Sum Assured and will be eventually paid to you only at maturity. If you surrender the policy midway, you may not receive them.

When LIC add bonus will be credited?

Ans: 1st September is the founding Day of LIC and in connection with this LIC celebrates first week of september as Insurance Week and LIC usually declares bonus in the first week of September.

Can I withdraw LIC after 5 years?

If 5 years have passed after you purchased your LIC policy, you are eligible for policy withdrawal. However, keep in mind that currently, the facility of surrendering LIC policy is not available online. So, it would be best if you surrendered the LIC policy through the service branch of LIC.

How much amount we will get if we surrender LIC policy?

The policy can be surrendered anytime provided two full years' premiums have been paid. On surrendering after two policy years, the insurance company will pay a guaranteed surrender value of minimum 30% of all premiums paid after deducting the first year's premium.

What is LIC surrender value?

This is the value which is the amount payable to you should you decide to discontinue the policy and encash the same from LIC. 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.

How can I redeem my LIC policy?

The policyholder needs to visit the nearest branch of LIC along with a surrender discharge voucher. The surrender discharge voucher is called Form 5074. The policyholder should fill up and sign the form. After the submission of the form and documents, the company starts the process of surrendering the policy.

Can we cancel LIC policy after 1 year?

Why It Is Not Ideal To Cancel The Policy After 1 Year? You can cancel the LIC policy after paying the premiums for a minimum of three years. If you (the policyholder) give up the policy within three years, there will not be any surrender value applicable.

How does LIC pay bonus?

Bonus is declared either as a certain amount per Rs 1,000 sum assured or as a percentage of the sum assured. For example, bonus may be Rs 40 for every Rs 1,000 of the sum assured. So, for a policy with the sum assured of Rs 1 lakh, the bonus amount will be Rs 4,000.

How much money will I get if I surrender my LIC policy after 4 years?

Types of LIC Surrender Value After 4 years

If in case, the insurance holder has paid premiums for more than 4 years and less than 5 years, then 90% of the complete maturity sum is provided. If the policyholder is paying premiums for more than 5 years, then he/she receives 100% of the sum assured (maturity amount).

How can I check my LIC policy surrender value?

Step 1: Visit the LIC Branch workplace with the Policy bond. For that, solely the branch from wherever the policy was bought is to be visited. No alternative branch can entertain the request. Step 2: Ask for the surrendering type; otherwise, one might Download-LIC-Policy-Surrender-Form type from the LIC website.

How can I check my LIC policy surrender?

How To Check LIC Policy Surrender Status Online?
  1. Visit the official website of LIC.
  2. Register as a new user and if you are already registered then click 'login here'
  3. Login to the LIC portal and select 'Enrol Policies' displayed on the left side of the page.
  4. Click on 'Click to Enrol New Policies' and hit on 'Proceed'

Can I withdraw LIC before maturity?

When you opt out of a policy before its maturity, it is called surrendering the policy. The amount that you receive at the time is the LIC policy surrender value. The life cover stops immediately and you won't be able to revive it in the future.

Did LIC declare bonus?

Recently LIC declared the bonus rates for the year 2021 – 2022 (As per March 2021 valuation). Let us see the complete details about LIC Bonus Rates – 2021- 22 and how they affect your life insurance returns. LIC of India has declared the latest bonus rates for the valuation period 1 st April 2020 to 31st March 2021.

Is LIC return guaranteed?

Mumbai: Life insurance giant Life Insurance Corporation (LIC) on Tuesday launched a long-term endowment policy Jeevan Umang, that covers up to 100 years and offering a combination of income and protection including an assured 8% annual return.

Which LIC policy gives 8 return?

Guaranteed Return Plan In LIC - Jeevan Umang Guarantees 8% Fixed Return For Life On Completion Of PPT. Interest rate on fixed deposits in banks is reducing every day and people are wondering where to invest money for an optimum regular income.

Which LIC plan has highest return?

They can opt the following LIC highest return plans to maximize their investment.
  • LIC Jeevan Akshay VI.
  • LIC New Children's Money Back Plan.
  • LIC New Endowment Plan.
  • LIC's Accidental Death and Disability Rider:

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

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.

How is final addition bonus calculated?

The final additional bonus depends upon the sum assured in policy and term of the policy. In other words, the longer-term of the policy, the higher will be the FAB. Bonus rates for LIC of India policies are declared on 17/09/2020. To know about Loyalty Addition in Jeevan Saral please click on the link.