How to Revive a Lapsed LIC Policy
Missing LIC premium payments can cause your policy to lapse — but it's not the end. LIC provides multiple revival options to reinstate your lapsed policy.
What Happens When Policy Lapses?
- Grace period: 30 days from due date (all modes)
- If not paid in grace period: Policy lapses
- Lapsed policy: No death benefit, no maturity benefit
- But: You can revive it within 5 years!
Revival Methods
1. Ordinary Revival
Pay all due premiums + interest (usually 9-10% p.a. compound). No medical needed if revival within 6 months.
2. Special Revival
Pay one year premium + interest. Policy date advanced. Useful when you can't pay all arrears at once.
3. Survival Based Revival
Submit proof of good health + pay reduced amount. Available for older lapsed policies.
4. Installment Revival
Pay arrears in installments over 2 years. LIC allows this for policyholder convenience.
Revival Deadline
Most plans: Must revive within 5 years of first unpaid premium date. After 5 years: Policy cannot be revived (but paid-up SV may be available).
Calculation Tip
Revival amount = Sum of all unpaid premiums + compound interest. Use our calculator to estimate your current surrender value to decide whether revival makes financial sense.
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