LIC Policy Revival Online – 5 Schemes to Revive Lapsed LIC Insurance Policy Online in 2024

As humans, we are bound to forget things. Forgetting to pay your LIC policy premium is one such thing that might happen to policyholders for any reason. If you have missed a premium due date causing your LIC policy to lapse, you have the option to revive it through different LIC schemes. Read the post till the end to know them in detail.

What is the Meaning of LIC Policy Revival Online?

As stated above, if the policyholder fails to renew the purchased LIC insurance policy on time, the policy lapses, meaning it becomes inactive. In other words, the policyholder would no longer be able to enjoy the insurance benefits under the plan because it has now lapsed. The only option left with the policyholder in this case is to revive the lapsed policy.

Now in case the policyholder was not able to pay the premium amount towards maintenance of the policy on time or within the granted grace period by the insurer, the latter would then offer a two-year revival period to the insured. Within this period, the insured is required to initiate the process for the LIC policy revival of lapsed policy.

5 Schemes for Revive Lapsed LIC Insurance

In case of insurance policy lapse, the policyholder is given two years’ time to revive the lapsed policy. LIC provides a number of schemes to its policyholders for initiating the LIC policy revival process. Here are 5 schemes that an insured can avail of to revive their lapsed plan:

Name of the Scheme Key Features of Revival

Conditions for Policyholders Under the Scheme

Survival Benefit cum Revival Scheme Used for renewal of LIC money-back plans

Submission of Survival Benefit Discharge form with self-content of policyholder; revival process under the scheme as per T&C of LIC + loan application

Special Revival Scheme Change of intimation date for the policyholder; payment of single premium as per age at the time of policy revival

Submission of written request by policyholder; revival possible once once during policy term; original commencement date can be changed up to max 2 years

Loan cum Revival Scheme Premium arrears recovered from the loan amount available as per policy terms&conditions

After adjustment of premium and interest, the balance is returned to the life assured; in case loan amount is insufficient to cover premium arrears, difference is paid by the policyholder

Installment Revival Scheme Designed for policyholders who are unable to pay premium at one time and wish to opt for installments

Survival benefit should not be due during the installment period of policy revival; no outstanding loan under the plan at revival time; N/A for policies issued under Salary Saving Schemes

Ordinary Revival Scheme All unpaid premiums including interests to be paid by the policyholder in one go

LIC may ask the policyholder to submit some medical reports under Form 680 for policy revival

 

When is LIC Lapsed Policy Refund Possible?

Refund of lapsed policy is available under the various schemes offered by LIC, which are detailed in the above table. The policyholder is entitled to get their money back from the lapsed insurance policy by reviving the plan under any one of the above-mentioned schemes.

What is the LIC Renewal Payment for Lapsed Policy?

The insurer is entitled to charge a penalty or fine from the policyholder for the policy lapse during its revival process. The amount charged may depend on the sum assured under the policy as well as the time period after the lapse of the policy.

However, LIC also offers the policyholders several discounts and fee exemptions on the penalties charged for policy revival. These exemptions completely depend on LIC’s terms and conditions released from time to time.

Note that the LIC policy revival online payment can be made on the insurer’s portal after duly filling out and signing the LIC revival online form by the policyholder.

What do you mean by Surrender of LIC Policy?

Surrender of an LIC policy means opting out of the plan before the maturity of the plan.  The value/money received at the time of surrendering a policy is called the surrender value of the LIC policy. Generally, the surrender value is calculated and is eligible only after completing 3 years of LIC policy or 3 years of paying premiums for a policy. 

However, surrendering an LIC policy is not encouraged because the benefit received in terms of the surrender value is always low. Further, in case a policyholder surrenders the policy before the completion of 3 years, he/she will not receive any surrender value.  

How is the LIC Policy Lapsed Without Surrender Value?

If the policyholder wishes to opt-out of a plan before it matures, it is known as policy surrender. In this case, the insurer provides an amount to the policyholder which is called LIC policy surrender value.

Under normal circumstances, the surrender value of a policy is computed by LIC only after regular premium payment by the policyholder for 3 years running. In case the policyholder chooses to surrender the plan before a term of 3 years, the insurer (LIC) is not liable to pay any surrender value to the insured.

This means that in case the policyholder failed to pay regular premium amount to LIC and the policy lapsed before the term of 3 years, it would be considered lapsed without surrender value.

Conclusion

5 Schemes to Revive Lapsed LIC Insurance Policy Online 2024

If the policy has lapsed 5 years from the commencement date, the policyholder would be required to pay all the unpaid premium amounts to LIC along with their respective interests in one go. In some cases, the insurer might also ask the policyholder to submit medical reports under Form 680 for policy revival.

Yes, your LIC lapsed policy can be revived anytime within 5 years from the date the first premium was unpaid.

Yes, policyholders can revive their lapsed policy online on the official website of LIC. The online revival process is relatively faster and hassle-free. 

In case your LIC policy has lapsed, it would no longer be able to provide financial coverage to the policyholder. All the benefits attached to the plan would fail to serve the insured, for instance, death benefit to the beneficiary of the insured, maturity benefit, and the like.

To activate a lapsed LIC policy, you need to pay the accumulated premiums including the interest, and provide the required medical certificate or details.

You can pay the premium of an expired LIC policy online or offline. You can visit the official website of the insurer or the nearest branch to get the payment done.

Yes, you can check the status of a lapsed LIC policy by visiting the official portal of the insurer to find out the premium due and other details.

Author Bio

Paybima Team

Paybima is an Indian insurance aggregator on a mission to make insurance simple for people. Paybima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. Paybima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.

Choose from India’s top insurers

Latest Post

Fixed Deposits (FDs) are one of the most popular and safest investment options in India. Among the various banks offering FD schemes, Equitas Small Finance Bank stands out for its competitive interest rates and flexible investment plans. If you're thinking of investing in Equitas Fixed Deposits in 2025, this guide will help you understand the FD calculator, eligibility criteria, and the interest rates offered by the bank.

See nowSee now

Taking a personal loan is a big financial decision, and one of the smartest things you can do before applying is to calculate your monthly EMI. If you're considering a loan from Punjab National Bank (PNB), the PNB Personal Loan EMI Calculator is your best friend.

See nowSee now

Learn everything you need to know about the Post Office Fixed Deposit (FD) scheme, including the FD calculator, eligibility criteria, and 2025 interest rates. Discover the benefits of investing in this secure and government-backed savings option, along with the new FD scheme introduced for senior citizens. Whether you're a beginner or experienced investor, this guide will help you make an informed decision for your financial future.

See nowSee now

Are you planning to take a personal loan from SBI (State Bank of India)? One of the first steps in smart loan planning is to calculate your monthly EMI—so you know how much you’ll pay and whether it fits your budget.

That’s where the SBI Bank Personal Loan EMI Calculator comes in handy. In this blog, we’ll explain what it is, how it works, how to use it, and why it’s an essential financial tool before applying for a loan.

See nowSee now

Saving money is always a wise choice, especially when you want it to grow safely over time. One of the most trusted and traditional ways to do that in India is through Fixed Deposits (FDs). The Bank of Maharashtra, a government-owned public sector bank, offers excellent FD schemes with competitive interest rates and flexible options for different types of investors.

See nowSee now