LIC policies lapsed for over 5 years could be revived now
Do you have any LIC policy for which you have paid premiums earlier but the policy is not valid any more due to non-payment of premiums? Now you have got a chance to revive such kind of policies.
For the first time in its history the LIC has offered to revive ‘policies lapsed for more than five years’. Until now, if any policy holder was unable to pay the premium for five years, the policy was not allowed to revive.
In this regard, LIC has given advertisements on 18th Jan-09 in almost all newspapers. This scheme is open for the period from January 19 to February 28.
It is learnt that around 5.91 crore life insurance policies had been discontinued by the insurer due to non-payments of premiums by the policy holders during last seven years (2000-01 to 2006-07). These were the policies which could not be revived under the norms of LIC.
Normally, policy taken in the past (i.e) at your younger age would be cheaper as the premium amount fixed at the time of inception of policy is directly proportional to the age of the policy holder. So, if you are very particular to cover your life risk now, you can utilize this revival scheme rather than going in for a new policy.
Source : India today