Your LIC Policy Lapsed? Don't Panic. Here's What to Do

What Does 'Lapsed' Mean?

A policy 'lapses' when you don't pay the premium within the grace period (30 days for yearly/half-yearly, 15 days for monthly). Once lapsed, the policy stops providing life cover. Your family won't get any benefit if something happens to you during the lapsed period.

But. and this is important. a lapsed policy is NOT cancelled. It can be revived.

Can Your Policy Be Revived?

• •Within 2 years of first unpaid premium: Revival is usually straightforward
• •2-5 years: Revival possible but may require medical exam and higher interest
• •After 5 years: Revival is difficult and may not be allowed
• •Rule: The sooner you act, the easier and cheaper the revival

Revival Process. Step by Step

• •Step 1: Contact your LIC branch or agent immediately
• •Step 2: Get the exact revival amount (all unpaid premiums + interest at ~9-10%)
• •Step 3: Fill the revival application form
• •Step 4: Pay the revival amount
• •Step 5: Submit a Declaration of Good Health (or medical exam if required)
• •Step 6: LIC processes the revival (7-15 working days)
• •Step 7: Your policy is active again with full benefits restored

How to Prevent Lapse in Future

• •Set up ECS/auto-debit from your bank account
• •Use our premium reminder feature. sign up at PolicyBros to track due dates
• •Pay yearly instead of monthly. you get a premium discount AND fewer chances to miss
• •Keep your phone number updated with LIC. they send SMS reminders
• •Mark premium due dates in your phone calendar