POSTED BY May 12, 2014 11:29 pm COMMENTS (5)
ONHello,
I have a Jeevan Saral policy registered in 2011 through a relative but now I understand that he has not paid last 4 premiums and now if I have to continue policy, I have to pay penalty to keep it alive. Please help me out with following inputs
1. What is the fine rate I am looking at, is it 8% or does it vary?
2. do I get benefit in terms of Interest and Bonus for the 2 years whose premiums have been delayed?
3. Do I need to visit the same branch where policy has been registered? I know that it cannot be done online
4. For how long does LIC considers a policy lapsed before it cancels it out and there is no recovery procedure?
Please help me out in resolving this issue.
Regards
Nikhil
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Dear Nikhil, w’d you like to amputate a finger today or an arm tomorrow? choice rests with you.
Thanks
Ashal
Hi Raja,
This the problem there is no surrender value, it’s ZERO for the initial 3 years and hence the concern, I am looking at loss of 18K. can you please share inputs on the 4 points mentioned above, if you have info around it.
Regards
Nikhil
Consider it destiny that the policy is lapsed. Just take whatever surrender value you get and exit. Do NOT consider such policies as a means of getting life insurance. Take a term plan and invest money in better investment plans
Hi Ashal,
I have not made up my mind whether to start or leave the policy to expire. I am just working out possibilities post which I would make up the mind.
At best I can say is, I don’t want to lose the initial premium paid and I need a decent avenue of investment + Insurance which this policy can offer. I know returns are not great from it.
Please share your thoughts on this point as well as 4 specific info’s I have requested above.
Regards
Nikhil
Dear Nikhil, why do you want to restart this policy?
Thanks
Ashal