LIC Reviews, Ratings, Best Plans and USPs

Life Insurance Corporation of India

Life Insurance Corporation or LIC of India is the only public sector life insurance company in our country. The organization was established in September 1956 with a merger of over 200 insurance organizations and provident societies.

Since its establishment, LIC has managed to become one of the most trusted brands in India when it comes to providing insurance solutions to customers. This is the one brand that almost everyone has heard of in even remote corners of India. LIC also has a wide network of insurance agents and distributors.

LIC has continued to maintain its leadership status in the Indian market by providing its customers with excellent quality services and products. The customer base of this company is also widely spread across both rural and urban India.
The one thing that helps LIC insurance products and services stand out is that those products are customer-friendly and very simple. Every time LIC launches a new product, they also receive a huge response for it. This goes to show how well connected the organization is with its customers. From protection to savings and investments, LIC provides an ideal solution to meet every single need of their customers.

    Prepare today for a relaxed and secure future.

    Check out the best health insurance plans here:

    Policy Type

    IndividualFloater

    Benefits of Choosing the Brand

    Life Insurance Corporation of India has reached such amazing heights in its tenure mainly because of the fact that they are focused on their customers. There are a number of benefits that LIC provides to their customers whenever they opt for their services. In this section, we will look at what those benefits are.

    • A Network that is Powered by Technology: LIC is constantly making efforts to make sure that they stay ahead of their competitors and meet the needs of their customers before those requirements even arise! They do this with the help of advancing technology and their amazing network of agents and customer service providers.

    As of now, LIC has over 2000 branch offices and 156 satellite branches. The company uses technologies like IVRS, WAN, EDMS, and LAN. This has allowed everyone to go paperless and make it easier to make claims and process those requests

    • Excellent Partners: LIC does not believe in working alone. They understand that the needs of their customers are wide so they partner up with several financial and insurance tycoons to make sure that their customers get the best services. Currently, LIC has successfully partnered with NSE, NCDEX, LIC Mutual Fund, NAtional Insurance Academic, Insurance Institute of India, and Stock Holding Corporation of India
    • Moving International: The Life Insurance Corporation of India has also functional international offices located in Saudi Arabia, Nepal, Sri Lanka, and Bahrain. They have also set their sights on opening offices in the USA, Canada, and Australia in the future
    • Variety of Products: LIC is an organization that can proudly boast of providing the highest number of policies in India. They have the largest portfolio when it comes to life insurance policies alone. They also provide several group insurance policies
    • Leading with Innovation: LIC is known for launching new financial and insurance products every other quarter. This shows that the organization is not just working hard but is also making a profit. They rely on a carefully structured plan of innovation for this. They have good claim settlement ratios and market value figures to back up this claim
    • Continuous Performance in the Stock Market: In terms of the position of LIC in the stock market, we can easily say that it has the most stable stocks in BSE. It has always been featured in some of the best-performing stocks when it comes to insurance providers in India

    Types of Policies Offered

    In this section, you will learn about all the different types of policies provided to their customers. The policies are divided into sections for ease of understanding.

    LIC Endowment Plans

    Insurance Policy

    Description

    Basic Sum Assured

    Policy Term

    LIC Single Premium Endowment Plan

    This is an endowment plan with a single premium

    INR 50,000

    25 years

    LIC New Endowment Plan

    -

    INR 1 lakh

    35 years

    LIC New Jeevan Rakshak

    This is an endowment plan that is ideal for individuals who want a non-linked and non-participating plan. The plan comes with both savings and protection features. The plan provides death benefits, maturity benefits, and loan facility options against the policy.

    INR 75,000 per member insured

    20 years

    LIC Limited Premium Endowment Plan

    -

    INR 3 lakh

    12 years, 16 years, and 21 years

    LIC New Jeevan Anand

    The policy provides return benefits of up to either 125% of the sum assured or two times the value of all premiums paid. There is also a minimum death advantage provided to the nominated. This advantage is provided at 105% of the value. The maturity benefit in this policy can also go up to INR 2 lakh.

    INR 1 lakh

    35 years

    LIC Jeevan Labh

    This is an endowment plan that comes with participating features. The policy provides profits to the policyholder in the company. This means that the policyholder can enjoy simple reversionary bonuses with the final additional bonuses provided at the maturity of the plan. The death benefit is also provided at 105% of the total sum assured value.

    INR 2 lakh

    16 years, 21 years, and 25 years

    LIC Jeevan Pragati

    This is a non-linked profit plan that provides automatic coverage for any risk for a duration of five policy years. Policyholders can get loans for liquidity needs against this policy. Other benefits provided with the plan include an accidental bonus, a basic sum assured payout of 125% in the 6th and 10th policy year, and a 150% value of the basic sum assured in the 11th and 15th year of the policy. After that, 200% of the basic sum assured value is provided.

    INR 1.50 lakh

    12 years to 20 years

    LIC New Jeevan Lakshya

    This plan can be taken by anybody over the age of 30 years. The policy term is a total of 25 years and the annualized premium for the basic sum assured value is an affordable INR 4,366. The plan also offers loan facilities along with maturity benefits. The plan is a type of non-linked endowment plan designed for individuals who want to opt for higher savings and protection at the same time.

    INR 1 lakh

    25 years

    LIC Money Back Plans

    Type of Insurance Plan

    Description

    Basic Sum Assured

    Policy Term

    LIC New Money Back Plan - 20 Years

    This policy comes with death benefits, maturity benefits, and survival benefits. There are some optional benefits that one can get at an additional premium. This is a participating policy that allows policyholders to enjoy the simple reversionary benefits by participating in the profits made by LIC.

    INR 1 lakh

    20 years

    LIC New Money Back Plan - 25 Years

    This plan comes with survival benefits, death benefits, and maturity benefits. This is a participating plan that provides the policyholder with a share of profit from the company.

    INR 1 lakh

    25 years

    LIC New Bima Bachat Plan

    The plan has very easy terms set for money back benefits. Between three years of the policy term, one can get a money back advantage of 15% of the total sum assured. In this plan, customers only have to pay a single large sum one-time premium. It is a type of one-time investment plan for people who want good and long-term investment opportunities.

    INR 1 lakh

    For a policy term of 9 years, the premium is INR 35,000. For 12 years, the premium is INR 50,000 and for 15 years, the value is INR 70,000

    LIC Bima Diamond

    This is a new plan that provides money back payouts to policyholders when they opt out of the plan. The basic sum assured value is paid in specified intervals. These intervals can range from 9 to 20 years. One can also get optional bonuses for an additional premium value.

    10 times the value of annualized premium

    12 years, 16 years, and 20 years

    LIC Jeevan Tarun

    This policy is ideal when it comes to meeting the educational and growing needs of children. This works through annual survival benefit payments made between 20 years to 25 years. Maturity benefits are provided at 25 years. The policy is also flexible and allows policyholders to choose the survival benefits at the time of purchase. This policy can be purchased by parents or grandparents for children under the age of 12 years.

    INR 75,000

    The policy term is 25 minus the entry age of the policyholder at the time of purchase

    LIC New Children’s Money Back Plan

    This plan serves the needs of a child in terms of allowing the child to nurture his or her skills or fulfill educational requirements. The plan helps the child move to adulthood easily. Parents can plan ahead with this policy for the benefit of their children.

    INR 1 lakh

    The policy term is 25 minus the entry age of the policyholder at the time of purchase

    LIC Term Assurance Plans

    Policy Type

    Description

    Basic Sum Assured

    Policy Term

    LIC Anmol Jeevan II

    This plan has been made after some revisions. It offers fiscal protection to the family of the policyholder in case of his or her death.

    INR 24 lakh

    25 years

    LIC Amulya Jeevan II

    This is a basic and minimal plan that provides long-term investment for a child. The plan comes with regular benefits.

    INR 25 lakh

    35 years

    LIC e-Term (LIC Online Term Plan)

    This plan allows people to apply and maintain their term insurance plan online. It is a regular and non-participating plan that provides death benefits

    INR 25 lakh or INR 50 lakh for non-smokers

    35 years

    LIC Pension Plans

    Type of Policy

    Description

    Basic Sum Assured

    Policy Term

    LIC New Jeevan Nidhi

    This plan provides life cover benefits and a stable source of income after retirement. This is an annuity plan that requires the payment of a single premium. One can choose the mode of payment according to his or her preference.

    INR 1 lakh to INR 50 lakh

    Not Applicable

    LIC Jeevan Akshya - VI

    The plan provides vesting and immediate annuity benefits. It helps in maintaining stability. This is a single premium pension plan that provides death benefits and other bonuses.

    INR 1 lakh

    Not Applicable

    LIC Micro Insurance Plans

    Type of Policy

    Description

    Basic Sum Assured

    Policy Terms

    LIC New Jeevan Mangal Plan

    This plan provides financial security to the family of the policyholder. It comes with accidental cover and other benefits that one can opt for at the time of purchasing the plan

    INR 50,000

    In the case of regular premiums, the policy term is between 10 years to 15 years and in the case of a single premium, the policy term is between 5 years to 10 years

    LIC Bhagya Lakshmi

    The plan provides protection of payment for a short time to the policyholder. The cover provided is 100% of the sum assured at the time of maturity. One can also get a death cover.

    INR 50,000

    The policy term is equivalent to two years plus the number of Premium Paying Terms (PPT)

    LIC Group Plans

    Policy Type

    Description

    Basic Sum Assured

    Policy Term

    LIC Group Credit Life Insurance

    This policy is for larger groups, which must have more than 50 members. It only requires a single premium amount.

    INR 4.5 lakh

    5 years to 35 years

    LIC Single Premium Group Insurance

    This policy provides a high sum assured value for a group of 50 people or more. The policy also has non-linked and non-participating terms.

    INR 10 lakh

    2 years to 7 years

    LIC New Group Leave Encashment Plan

    This policy provides death benefits and encashment benefits. This policy is based on funds and is non-linked and non-participating in nature.

    INR 1,000 Minimum

    Can be renewed every year

    LIC New One Year Renewable Group Term Assurance Plan I

    This plan is ideal for small employers which could have around 25 employees

    INR 1,000 minimum

    Can be renewed every year

    LIC New One Year Renewable Group Term Assurance Plan II

    -

    INR 1,000 minimum

    Can be renewed every year

    LIC New Group Gratuity Cash Accumulation Plan

    This plan allows employers to give their employees a simple and convenient way of statutory gratuity benefit

    INR 1,000 minimum

    Can be renewed every year

    LIC New Group Superannuation Cash Accumulation Plan

    There are variable benefits provided in this plan. It comes with death benefits

    Not Applicable

    Can be renewed every year

    Best Policies of Brand

    Life Insurance Corporation of India (LIC) offers a wide range of policies. However, there are some policies that are more popular than others. Let’s look at some of those best-selling policies now.

    • LIC New Jeevan Rakshak

    This policy is designed for individuals who wish to use an endowment non-linked and non-participating plan. This policy comes with savings and protection features that can greatly benefit the policyholder. One will also be able to avail of maturity benefits, death benefits, and loan facility with this policy.

    • LIC New Jeevan Anand

    The LIC New Jeevan Anand provides a return of 125% of the sum assured value or two times the amount of premium to the policyholder. There is a minimum death benefit paid to the nominated individual at a value of 105%. The maturity benefit of the policy can also go up to INR 2 lakh.

    • LIC Jeevan Labh

    LIC Jeevan Labh allows policyholders to participate in the profits made by the organization and enjoy some simple reversionary bonuses. One can also get final additional bonuses at the time of policy maturity. The death benefit is measured to be at a minimum of 105%.

    • LIC Jeevan Pragati

    This is a type of non-linked profits plan that provides cover against any risk for a time period of five years. One can get loans for liquidity needs against this policy. There is also an accidental bonus provided with a basic sum assured payout of 125% during the 6th and 10th policy years. One will also get 105% of the basic sum assured value during the 11th and 15th policy years. After that, this value increases to 200% of the basic sum assured.

    Brand Review & Ratings

    Life Insurance Corporation of India (LIC) is one of the largest insurance companies in India. It has an amazing customer base. And they take excellent care of their customers. According to reports, the claim settlement ratio of the organization in the financial year 2017 - 2018 was 98.04%. It also has an asset value of 1,88,3018.82 crore.

    LIC provides several types of insurance policies and plans to their customers ranging from pension plans, insurance plans, special plans, group schemes, and unit linked plans. Currently, the organization has over 2,048 branches in India and has a network of 1,337,064 agents. The claim settlement ratios and market share values of LIC over the years have also been nothing short of impressive and you can see it for yourself by referring to the tables below.

    Table 1: Claim Settlement Ratios

    Financial Year

    2012 - 2013

    2013 - 2014

    2014 - 2015

    2015 - 2016

    2016 - 2017

    2017 - 2018

    2018 - 2019

    Claim Settlement Ratio

    97.73%

    98.14%

    98.19%

    98.33%

    98.31%

    98.04%

    96.79%

    Table 2: Market Share Values

    Financial Year

    2012 - 2013

    2013 - 2014

    2014 - 2015

    2015 - 2016

    2016 - 2017

    2017 - 2018

    2018 - 2019

    Market Share Value

    71.4

    75.5

    69.3

    70.5

    71.11

    69.4

    66.24

    Customers have also rated the services and products provided by LIC rather highly. You can go through some of those reviews below.

    Excellent Customer Support by Ravi Shrivastava (5 stars / 5 stars)

    I was recently in the market to purchase a life insurance policy but I wasn’t sure about what policy to choose. Thankfully, I was supported and guided through the entire process by the customer support team at LIC. I’m very happy with the policy that I have purchased now. I will definitely renew it.

    Quick and Easy Claim Settlement by Priyanka Sharma (5 stars / 5 stars)

    I have been a LIC policyholder for some time now but I have never made a claim. Recently, I filed for one and I was amazed at how quickly and efficiently everything was handled. I submitted my documents online and checked regarding my policy there too. Thank you LIC!

    Widest Range of Products by Sonu Singh (5 stars / 5 stars)

    I love the customer experience and support that I get from LIC. Over the years, I have renewed my policies and made claims against them several times. And I'm yet to run into any issues. I’m very happy with how LIC has supported me and provided financial protection in my times of need over the years.

    LIC FAQs

    1. How can I check the status of my LIC life insurance policy?

    Policyholders can check the status of their insurance policies online with just a few clicks. One has to simply register the policy on the LIC online portal. This will also come in handy when paying premiums in the future.
    Once registration is done, then policyholders can check all policy details by simply logging with the required details. If one does not wish to access the policy online, then he or she can visit the nearest LIC branch office with the policy number and ID proof in hand.

    2. Does LIC provide non-term life insurance plans? If yes, then what are those plans?

    Yes, LIC does provide non-term life insurance plans. And those non-term life insurance policies are:
    New Endowment Plan
    Jeevan Rakshak
    Single Premium Endowment Plan
    New Jeevan Anand
    Jeevan Lakshya
    Limited Premium Endowment Plan
    New Money Back Plan - 25 years
    New Money Back Plan - 20 years
    New Children’s Money Back Plan
    Jeevan Tarun
    New Bima Bachat

    3. Which methods can I use to pay my LIC premium amounts?

    Policyholders can pay their LIC premium amounts through phone banking or net banking.

    4. What documents do I need to submit at the time of applying for a policy?

    Customers have to submit the following documents at the time of applying for a policy.
    Age proof
    Address proof
    Identity proof
    PAN card
    Income proof
    Any other documents or proof asked at the time