LIC Premium Discount for Online Premium Payment

LIC (life insurance Corporation of India) is the india's biggest insurance provider. Due to demonitisation on Nov 8, 2016 and resulting cash crunch, people have faced difficulty in paying online premium. To help alleviate that, LIC allowed delayed premium payment. Later, to promote online payments, government has declared discounts for lic premium for lic online payments

LIC Premium Discount Details

As part of declaration by Finance minister Arun Jaitley on Dec 8, 2016 to promote digital payments, following discount was proposed for LIC

Public sector insurance companies will provide incentive, by way of discount or credit, upto 10% of the premium in general insurance policies and 8% in new life policies of Life Insurance Corporation sold through the customer portals, in case payment is made through digital means.

In reality, this has translated to discount only for a subset of New Policies. As per LIC, only the new Term Insurance Policies registered online are eligible for this LIC premium discount and at the rate of 8%. Please note that traditionally LIC term life insurance policy is very costly as compared to term insurance policies provided by private players.

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Category: finance lic