Friday, February 12, 2010

Late free or fine for delayed payment of premium in LIC

If the premium amount is not paid on the due date then the policy is considered to be a lapsed policy. However the policy can be revived within six months of the policy lapsation paying a small amount as the interest.
So how the delayed payment interest is calculated?
LIC considers the delay of 1 month 14 days as one month. 1 month 15 days to 2 months 14 days as 2 months and like that. A delay of just 15 days will also be considered as a delay of one month. And the fine will be charged at the rate of 8%.







For example a person has to pay a premium of Rs. 2000/- bu he makes a delay of more than 2 months 14 days in paying the premium then the delay will be considered as a 3 months delay. The late fee rate for Rs. 1% premium for 3 months at the rate of 8% is 0.01999 Therefore the late fee he has to pay is 2000 x 0.01999 = Rs. 39.98/-. The total amount he has to pay is 2039.98.

 
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Posted by Balaji at 7:11 AM
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57 comments:

  1. LIC AgentFebruary 16, 2010 at 3:19 AM

    Its a good blog for visitor that want more about LIC. I allredy bookmark this blog. If you want to know more abut LIC please visit us on: http://lic-premium.blogspot.com/

    ReplyDelete
  2. AnonymousApril 18, 2010 at 10:50 AM

    Can we make payments to LIC from USA?

    ReplyDelete
  3. BalajiApril 18, 2010 at 9:30 PM

    Sure. You can make payment from anywhere in the world. For more details see

    http://licinsuranceguide.blogspot.com/2009/12/modes-of-insurance-payment-in-lic-of.html

    ReplyDelete
  4. AnonymousJanuary 17, 2011 at 12:23 AM

    sir,
    my half yearly premium is 30000 & if i have not paid premium in given period than what will be the late fee or panellity

    ReplyDelete
  5. AnonymousMarch 3, 2011 at 10:46 PM

    The late fee rate for Rs. 1% premium for 3 months at the rate of 8% is 0.01999 Therefore the late fee he has to pay is 2000 x 0.01999 = Rs. 39.98/-
    What does this line mean?
    very confusing!!

    ReplyDelete
  6. UnknownMay 16, 2011 at 4:40 AM

    But, how it comes the 0.01999
    i want the explanation on it.

    ReplyDelete
  7. UnknownMay 16, 2011 at 4:41 AM

    I have to premium for 2 installments
    1st one due date is 23/06/2010
    & 2nd due date is 23/12/2010
    My premium amount Rs. 8188/-
    please tel me the interest for above 2 payments.

    ReplyDelete
  8. DushyantMay 30, 2011 at 7:26 AM

    Thank you Boss . indeed a good site for LIC related queries

    ReplyDelete
  9. ANKIT KUMAR GUPTANovember 1, 2011 at 1:06 AM

    Sir my yearly premium is Rs 11000 which i have not paid premium from june 2011, i want to that what will be late fee

    ReplyDelete
  10. AnonymousDecember 1, 2011 at 8:28 AM

    Really, i also have confusion of this late fee calculation
    ( The late fee rate for Rs. 1% premium for 3 months at the rate of 8% is 0.01999 Therefore the late fee he has to pay is 2000 x 0.01999 = Rs. 39.98/- )

    ReplyDelete
  11. AnonymousFebruary 20, 2012 at 8:46 AM

    The late fee rate for Rs. 1% premium for 3 months at the rate of 8% is 0.01999 Therefore the late fee he has to pay is 2000 x 0.01999 = Rs. 39.98/-. The total amount he has to pay is 2039.98.

    EXPLANATION:

    Since premium for 1 year (12 months) is 2000.
    The premium for 3 months will be (2000/12)*3 = 499.98
    The late fee will be charged: (8% of 499.98) = 39.98

    ReplyDelete
    Replies
    1. zahir_sJuly 15, 2012 at 6:48 PM

      thank you for clearing that up...
      Very helpful

      Delete
    2. PradeepAugust 1, 2013 at 1:11 AM

      Very helpful post...!!!!!!! Thanks

      Delete
    3. kalp vermaFebruary 19, 2014 at 11:50 PM

      2000*8/100=160
      160/12=13.333
      13.333*3=39.99

      Delete
  12. akhilMarch 21, 2012 at 5:55 AM

    Sir my half yearly premium is Rs 2495 which i have not paid premium from february 2006, i want to that what will be late fee. my thirteen installment pending.

    ReplyDelete
  13. AnonymousApril 23, 2012 at 6:05 AM

    is the late fee period includes the grace period too. i.e my pymt dues on 12-Mar-12 and grace period ends with 11-Apr-12 if my 1 mnth 15 days dues on 26-Apr or 26-May

    ReplyDelete
  14. NarendraApril 24, 2013 at 1:01 AM

    Please tell me the calculation on the follwing

    Due date of Premium 27/01/2013 Prm 6065
    Paying date is 26/04/2013 Mode is Halfyearly

    How much would be Late fees with calculation

    and if the policy is Quaterly what would be the calculation???

    ReplyDelete
  15. UnknownApril 30, 2013 at 1:27 PM

    Hi,

    i guess i missed the payment of lic premium. the due date was 1st April and I thought i could pay it today ie 1st of may. but i cant do it online. this is the 2nd year of my policy ie i have only paid one premium. will i lose my money? its a big sum arnd 27000. is there any way i can redress this. please do provide a response.

    ReplyDelete
  16. Murali GandhamaneniMay 28, 2013 at 9:21 PM

    How do I pay premium for a policy that has not been paid for 4 premiums.can we pay with penalty?

    ReplyDelete
  17. Harihar RautarayJuly 29, 2013 at 12:07 AM

    thanks
    http://mydayspecial.blogspot.in/

    ReplyDelete
  18. UnknownAugust 24, 2013 at 12:40 AM

    Hi, I have paid my premium with 3 days in delay.. due was on 21st but i made the payment on 24th, Will this be affected in any way? what measure so i need to take if there is a problem? Please guide me

    ReplyDelete
  19. Anup BanerjeeSeptember 7, 2013 at 2:43 PM

    Hi, I missed my yearly premium of 60,000 to jeevan saral 165. The due date wad 23 July 2013. Now what would be the fine.

    ReplyDelete
  20. UnknownSeptember 8, 2013 at 4:02 AM

    what is the procedure of calculation of late fees of half yearly mode .

    ReplyDelete
  21. pullaraoSeptember 13, 2013 at 8:02 PM

    sir 28.04.2013 date of premium how much fine will be these policy

    ReplyDelete
  22. UnknownOctober 9, 2013 at 11:51 PM

    Life Insurance Corporation of India (LIC) is an Indian state-owned insurance group and investment company headquartered in Mumbai. So please use Indian rupees currency. Avoid other country’s currency. Please help to improve our country rupees value.

    ReplyDelete
  23. UnknownJanuary 2, 2014 at 11:24 AM

    Sir,
    My yearly premium is 14298 but due date was 26/6/2013.. what is interest and How do i pay it online?

    ReplyDelete
  24. AnonymousJanuary 10, 2014 at 1:50 PM

    Hi, I have been praying my insurance premium for last 13 years and i have delayed my payment by about 25-27 days !! is this usually a big issue when the LIC matures ?

    ReplyDelete
    Replies
    1. UnknownFebruary 28, 2015 at 2:26 AM

      Not an issue. You got 30 days grace period to make policy payment without any charges

      Delete
    2. DhawalNovember 15, 2015 at 12:56 AM

      Thanks a lot Mr.Singh for the info.

      Delete
  25. kalp vermaFebruary 19, 2014 at 11:45 PM

    u write ...1 month 15 days to 2 months 14 days as 2 months but u calcuate it is as 3 month...i couldn't understand...???

    ReplyDelete
  26. UnknownMarch 20, 2014 at 12:14 AM

    i have not deposited my premium for last one year . how can i make payment for my premium amount

    ReplyDelete
    Replies
    1. UnknownFebruary 28, 2015 at 2:25 AM

      You need to visit LIC office, you might need to make payment of late payment charges as well as proof of health certificate

      Delete
  27. AnonymousApril 28, 2014 at 4:25 AM

    Very Good...

    ReplyDelete
  28. UnknownJuly 7, 2014 at 1:10 AM

    Dear sir because of some problems I cant able to pay my premium. Now I want to pay but 10 month delayed so what I have to do

    ReplyDelete
    Replies
    1. UnknownFebruary 28, 2015 at 2:24 AM

      Visit LIC office, you have to make payment of late charges and also might be give proof of health

      Delete
  29. UnknownJuly 8, 2014 at 4:18 AM

    Sir my primium is 20000 every year but I have late one month from deposit date so please reply how many pay in this condition

    ReplyDelete
    Replies
    1. UnknownFebruary 28, 2015 at 2:25 AM

      There is grace period of 1 month, in case you have crossed one month but less than 2 months, then you have to make payment of Rs. 20133

      Delete
    2. UnknownOctober 22, 2015 at 12:58 AM

      i heard that, fine for late premium payment has been waived up to 31st Oct 2015. Is it true?

      Delete
  30. AnonymousMarch 16, 2015 at 5:51 AM

    Hi, my jeevan anand premium was due on the 8th of march but I missed it. Can I still pay my usual premium? Will there be any extra charge? Thanks -tan

    ReplyDelete
  31. UnknownJuly 2, 2015 at 12:57 AM

    Revival Date : 02/07/2015
    Premiums not paid since : 12/04/2011
    No of Installment Due : 5
    Installment Premium : 3,293.00
    Total Premium Amount : 16,465.00
    Rate of interest : 9.5%
    Late fee : 4,004.00
    Total Revival Amount : 20,469.00

    hi,can any one tell me , above given late fee how its calculated,because this data get from my agent portal,so please reply me quickly..

    ReplyDelete
  32. UnknownNovember 11, 2015 at 10:41 PM

    Premium not paid from since : 28/10/2014
    Installment due : 2
    Installment premium : 25499
    Please give me advise
    My mail I'd 14ankit48@gmail.com
    Mobile no 8860241465

    ReplyDelete
  33. AnonymousDecember 11, 2015 at 1:28 AM

    Hello! I should have paid my premium in February 2015. I could not pay at that time. I would like to pay now but LIC website is not accepting the payment. After asking around I was told that I will have to go to the Branch and make the payment...is it so? Can't I pay through any branch of LIC?

    ReplyDelete
  34. AmitDecember 30, 2015 at 6:29 AM

    sir,my lic qtrly premium is 4777 but i didn't paid
    6 qtr premium what will be the late fee

    ReplyDelete
  35. matrixDecember 31, 2015 at 12:15 AM

    sir,i want to know is there any loss other than interest if lic poilcy premium is not paid on the time.

    ReplyDelete
  36. Naveen SharmaMarch 15, 2016 at 9:52 AM

    i could not pay my Yearly premium on time as 15 days days crossed ..can i pay online now or i have to visit lic office.

    ReplyDelete
  37. AnonymousJune 10, 2016 at 8:51 PM

    Sir, My premium is annually Rs 4195 & due from 26/7/2010, now I want to payment & revive. What will be Late fine charge ??

    ReplyDelete
  38. UnknownSeptember 5, 2016 at 11:11 PM

    Sir , My premium is Rs.12787 half Yearly. Due date is 21.07.2016. If I pay it on 10.09.2016 What will be fine amount? Kindly help me in this regard...

    ReplyDelete
  39. RAJSeptember 13, 2016 at 12:36 AM

    Hi. Nice blog it is. I have a small query. Premium of my policy is Rs.99000/- (ninety nine thousand only) per annum. My due date is 28/01/2017.But due to some financial issue I won't be able to pay the premium before 4th March 2017. Could you please tell me how much 'Late Fee' would be there? Thank you in advance.

    ReplyDelete
  40. samuelvimalrajgirlinDecember 18, 2016 at 9:48 AM


    Sir,
    My yearly premium is 13832 but due date was 30/10/2016 what is interest and How do i pay it online?

    Reply

    ReplyDelete
  41. UnknownJanuary 6, 2017 at 6:57 AM

    Sir my Quarterly premium is Rs. 3217/- DOC 28.12.2008. premium was due on 06/16 and on 12/16. Could u pls tell me the late fee due as on today,i want to pay it online. Thanking you.

    ReplyDelete
  42. UnknownJanuary 6, 2017 at 6:58 AM

    Sir my Quarterly premium is Rs. 3217/- DOC 28.12.2008. premium was due on 06/16 and on 12/16. Could u pls tell me the late fee due as on today,i want to pay it online. Thanking you.

    ReplyDelete
  43. R.sahaMay 14, 2017 at 11:14 AM

    My lic premium due date over .shall I pay online.

    ReplyDelete
  44. UnknownMay 18, 2017 at 3:27 AM

    CAN I PAY PREMIUM ON LINE DELAYED BY 2 MONTHS

    ReplyDelete
  45. KaranAugust 9, 2017 at 11:40 AM

    I hve opted quartely premium 6570/- and due date is 28th sep 2017.is there any late fees if i pay premium on 1st -2nd oct after 3 -4 days..my policy will continue or lapsed?

    ReplyDelete
  46. Chetan ChhabraJune 11, 2018 at 3:40 AM

    Onlinelicpolicy.in is an online platform which is specially formed to provide knowledge and services to those individuals who want to take LIC policy or who are already policyholder.
    lic kanyadan plan premium calculator
    Thankyou..

    ReplyDelete

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