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LIC Alternate Channels of Premium Collection

LIC Alternate Channels of Premium Collection

NACH PAYMENT
 
ECS facility for payment of premium was started in L.I.C. since March 2004. This is a facility by which premium is deducted by bank at pre-decided date and remitted to LIC.
LIC of India has migrated all its existing policies registered under the ECS mode of premium deductions to NACH mode with effect from November 09, 2016.

The National Payments Corporation of India (NPCI) has implemented an electronic payment service termed as National Automated Clearing House (NACH) is a funds clearing platform set up by NPCI similar to the existing ECS of RBI. RBI has mandated that all Merchants & Financial Institutions have to compulsorily migrate to NACH as ECS will be completely replaced by NACH. Under the NACH system, mandate forms are to be submitted as hard copies at the servicing branch of LIC.
 

Relevant Conditions to avail this facility:

1. NACH facility can be availed at the time of inception of the policy or later after completion of policy.
2. In NACH (MLY) mode, 5% extra premium charged under normal Monthly mode is waived.
3. No receipts will be printed and dispatched for NACH (MLY) mode policies. Premium paid certificate can be obtained twice in a year from the servicing branch.
4. NACH mode of payment can be opted for all Inforce ULIP, Non-Ulip and Health policies as per plan conditions.
5. NACH mode is not allowed for E-term Policies.
6. To opt for NACH facility the next premium must be due at least after 1 month from the date of exercising the option of NACH facility.
7. Arrears of premiums cannot be collected through NACH.
8. Under the policies registered under NACH mode, premium cannot be paid through any other payment channel except in case of NACH dishonor.
9. If NACH debit to customer’s bank is dishonoured , deduction will automatically stop for the further dues until the premiums that have fallen due are paid at LIC Branch / premium Point/LIC customer portal.
10. Debit dates allowed are 7th, 15th, 22nd and 28th of the month.

Debit dates are calculated automatically on the basis of Date of commencement as follows :


 

Date of Commencement Debit Date
1st to 7th 7th of the same month
8th to 15th 15th of the same month
16th to 22nd 22nd of the same month
23rd to 28th 28th of the same month
How to avail this facility:

1. NACH mandate form, duly signed by the account holder should be submitted along with cancelled cheque leaf/copy of passbook for validation of bank details of account holder.
2. There will be a separate mandate for each policy.
3. For NACH monthly mode cases, two installments of premium will be collected for New policies. These will be in addition to the premium installments for back dating cases.
4. All NACH mandate forms submitted by customers at the LIC Office will be sent to LIC’s NACH “Sponsor Bank” for scanning.
5. Sponsor Bank will upload the scanned images on the NPCI platform.
6. The customer’s bank will validate the credentials from the image of the NACH mandate with the customer’s details in the database of the Bank.
If found valid, the customer’s bank will accept the NACH mandate received from the customer and SMS conveying acceptance of the customer’s NACH mandate for inclusion in the process of debiting all future premiums due under a given policy under NACH process will be sent.
If the customer’s bank detects any discrepancy in the image of the NACH mandate of the customer, customer will be informed of the rejection status through SMS on the registered mobile number in LIC’s database. In such rejections, fresh NACH mandate is to be submitted to LIC Branch after taking necessary corrective action.
7. For change in Bank details, fresh mandate form (fulfilling the conditions in point 1) should be submitted to the servicing branch.
8. Policy holder should ensure that sufficient funds are available in the bank account at the time of debit date and mandate is not dishonoured.
9. Any dispute regarding dishonor should be taken up with the customer’s bank only.
10. This facility of easy premium payment can be availed of not only in respect of the policies of self but also on the policies issued on the lives of the spouse and children.
 

NACH Dishonour:

For the NACH dishonours, LIC sends a letter to the policy holder intimating the dishonour with reason. If the reason is Insufficient funds/Account Closed, dishonour charges of Rs. 125/- will be payable in addition to the due premiums and late fee (if applicable) with GST.
If NACH is dishonored twice for the reason Account Closed or No Such Account, no further Debit will happen unless fresh NACH mandate is submitted to LIC servicing Branch.

  Click here for
Terms and conditions NACH sample Mandate Form - English  
    Instructions to Fill Mandate form NACH Dishonour reasons  
 
EBPP (Bill Pay)

Electronic Bill Presentment and Payment (EBPP) is the electronic presentation of statements, bills, invoices, and related information sent by a company to its customers, and corresponding payment for goods or services.

Authorized Banks:

1. HDFC Bank
2. ICICI Bank
3. Axis Bank
4. Federal Bank
5. Corporation Bank
5.Corporation Bank
6. LIC Mutual Fund
 

Authorised Service Providers
 
Ingenico Group: Website Available in these cities Collects premium through these banks
Bill Desk: Website Available in these cities Collects premium through these banks

This facility is absolutely free for all customers. No charges are to be paid to LIC / Bank/Service Provider for this facility. LIC pays service charges to the Bank/Service provider as per pre-decided rates. Policies with Ordinary Mode of payment i.e. Yearly, Half-Yearly and Quarterly Mode of payment are allowed under this scheme.

This facility can be availed only for INFORCE, NON-ULIP, NON-SSS POLICIES under YLY, HLY or QLY Mode. MONTHLY mode policies and policies registered under NACH cannot be registered under EBPP. Premium for ULIP , Health Insurance & E-Term policies cannot be paid through this mode.

Policy holder has to register his/her policy in the Banker's/Service Provider’s web site who will send the policies for Verification to LIC. The policyholder holding LIC Credit Card and wish to register under Bill Pay option, he/she has to fill LIC Premium Payment Registration Form available at www.liccards.co.in/images/LIC_SI_Form.pdf and submit it to LIC Cards Support, Axis Bank Ltd., 5th Floor, Solaris C-Wing, Opp L & T Gate no. 6, Saki Vihar Road, Andheri (East), Mumbai 400 072.

After verifying the policies, LIC will send acceptance to the Banker/Service Provider. For any reason, if LIC rejects the registration (in case of lapsed policy, premium mis-match, particulars wrongly entered), the information regarding the same will be sent by the LIC/Bill Pay service provider to the Policyholder. In such case the policy is to be registered again. Old registration is treated as cancelled.

Invoice from LIC will be generated 5 days before the due date which is valid up to the days of grace and sent to the Banker for uploading on their site. Premium can be paid either by giving standing instructions to the bank to debit the bank account/credit card account on a particular date (Auto Pay) or manually accepting the bill which can be paid by login to the banker's site and making the payment online (View & Pay). Receipt will be posted to the address mentioned in the policy records after two or three days of payment by LIC in case of old registrations only. W.E.F. July’2016 E-receipt will be generated for all new registrations and will be sent to the registered mail-id.

If premium is already paid through any other mode before receipt of the payment through EBPP or the premium amount does not match with premium required, the payment received through EBPP goes to refunds and the amount is refunded by direct credit to the bank/credit card account. It may take approx. 15 days.

ATM PAYMENT

Premium can be paid through the ATMs of the following Banks:
1. Axis Bank
2. Corporation Bank

This facility is absolutely free for all customers. No charges are to be paid to LIC / Bank for this facility.  

Customer has to register his policies through the bank website. Registration data as per the required format/mandate from the bank is to be submitted to the bank.

Bank sends the registration data for all the policies newly registered on next working day to PCMC in required format.

Policies with Ordinary Mode of payment i.e. Yearly, Half-Yearly and Quarterly Mode of payment are allowed under this scheme. Policies with monthly Ordinary and SSS Modes are not allowed under this scheme. Policy should be in-force at the time of registration. ULIP, Health and E-term plans are not allowed under this scheme.

If premium is already paid through any other mode before receipt of the payment through ATM or the premium amount does not match with premium required, the payment received through ATM goes to refunds and the amount is refunded by direct credit to the bank account. It may take approx. 15 days.

All processing for this scheme will be done by PCMC, Mumbai similar to BillPay.

PREMIUM COLLECTION THROUGH AUTHORIZED BANKS/FRANCHISEE

Following Banks are authorized to collect premium for LIC policies:

1. Axis Bank (click here Branch Addresses)
2. City Union Bank (click here Branch Addresses)
3. IDBI Bank (click here Branch Addresses)

Signed receipt issued by the Bank is a valid receipt and no other receipt will be issued by LIC. Premium position will be updated on real time basis.
 

Relevant Conditions for Premium Collection

1. Premium can be paid in any Branch of Extension Counter of the Bank.

2. Premium can be collected only in CASH (maximum limit Rs.50000/- per transaction) or CHEQUE drawn on that bank.

3. Premium can be paid only for Inforce, Non-ULIP, Non-SSS policies.

4. Premium cannot be collected for ULIP and Health Policies and e-Term policies.

5. Acceptance of premium can be done up to 30 days before the Due Date.

6. Late fee is computed @ current rate i.e. 9.5%. Minimum late fee is Rs. 5/-.

7. Premium cannot be collected for Next Financial Year. E.g. In March premium cannot be collected for April due.

PREMIUM COLLECTION THROUGH AUTHORIZED COLLECTION CENTERS

Many Service Providers, which include Government & Private Ltd. companies, are franchised to collect premium for LIC policies. Signed receipt issued by the collection centers is a valid receipt and no other receipt will be issued by LIC.Premium position will be updated on real time basis.

Relevant conditions for the premium collection through these franchisees

1. Premium can be collected only in CASH.

2. Premium can be paid only for Inforce, Non-ULIP, Non-SSS policies.

3. Premium cannot be collected for SSS, ULIP, Health and e-Term policies.

4. Acceptance of premium can be done up to 30 days before the Due Date.

5. Late fee is computed @ current rate i.e. 9.5%. Minimum late fee is Rs. 5/-.

6. Premium cannot be collected for Next Financial Year. E.g. In March premium cannot be collected for April due.

FACILITY OF PREMIUM PAYMENT THROUGH THIS CHANNEL IS FREE TO POLICY HOLDERS AND NO SERVICE CHARGES/EXTRA AMOUNT IS TO BE PAID TO ANY SERVICE PROVIDERS.

Following Service Providers are franchised to collect premium for LIC policies:
1. APT ONLINE

It is the official Portal of Andhra Pradesh Government.

Premium through this collection channel can be paid in Andhra Pradesh and Telangana State.

Kindly visit www.aponline.gov.in for further details.

Please click at for AP ONLINE outlets.

2. MP ONLINE

It is the official portal of Madhya Pradesh Government.

Premium through this collection channel can be paid only in Madhya Pradesh State.

Kindly visit www.mponline.gov.in for further details.

Please click at&for MPONLINE collection centers.

3. SUVIDHA INFOSERVE PVT. LTD.

It is s-commerce company providing many kind of consumer services under one roof.

Their toll free Helpline number is 180022 5225. For more details visitwww.suvidha.com

Please Click Here for the Suvidhaa Infoserve collection centers.

4.CSC e-Governance Services India Limited

Premium can be paid at Common Service Centres (CSC) all over India. Please click atfor CSC outlets. Kindly visitwww.csc.gov.in

5. Premium collection through “Paytm App”

Renewal premium can be paid through Paytm App by clicking on the LIC logo under the Insurance category.

To download LIC premium receipt on Paytm App, policyholder is requested to visit “My order” section on Paytm app, select the order and click on “Download Receipt”. No other receipt will be issued by LIC. Premium position will be updated on real time basis.

6. Premium collection through INSTAPAY

To enhance the facility of online payment of renewal premium to LIC policyholders, a new option under the generic term “INSTAPAY Service” which is available across all banking platforms in India has been integrated through the existing Bill desk supported platform .

This is an existing user friendly service on the banking applications of scheduled banks widely used by bank customers to pay their bills. Briefly, the service in the perspective of renewal premium payment of LIC policies will function as under:

1. The customer will open the website of his / her bank in the browser OR invoke the Banking App on his / her mobile device
2. SELECT ‘Pay Bills ‘
3. Choose “insurance” as the category of Biller
4. Click on “Insurance” and view the list of insurance companies in dropdown menu
5. Click on ‘Life Insurance corporation Of India”
6. Proceed by keying in the policy number, name, email address, mobile number. The premium due dates, total amount due (with GST, late fee if any) is fetched from the LIC customer portal and displayed to the customer.
7. The online payment happens from the net banking enabled account of the customer instantly on clicking “submit”.
8. The limit for making payment through the Instapay facility is Rs.50000.00 per transaction.
9. There are NO charges for the transaction.
10. E receipt is emailed to the email address of the customer keyed in at the time of initiating the transaction in the display screen.
11. There is an option to download the e receipt as a pdf onto the customer’s device.

 

Presently this service is facilitated through 24 scheduled banks (Click here for list)

PREMIUM COLLECTION THROUGH MERCHANTS

1. EMPOWERED AGENTS (PREMIUM POINT)

Selected Agents are authorized to collect premium at Premium Points in CASH or CHEQUE w.e.f. 18/09/2007. A valid receipt will be issued with their signature and no other receipt will be issued by LIC. Premium position will be updated on real time basis.
 

2. SENIOR BUSINESS ASSOCIATE(LIFE PLUS OFFICE)

Premium Collection is started from 01/06/2009 through this channel. Senior Business Associate(SBA) are the Development Officers selected on the basis of certain conditions. The Eligibility criteria for this scheme is decided by Central Office, Marketing Department.

3. RETIRED EMPLOYEES PREMIUM COLLECTION POINT(PREMIUM POINT)

Authorized Retired LIC Employees are allowed to collect the renewal premiums in CASH or CHEQUE and issue a valid receipt with their signature on behalf of LIC w.e.f. 01/09/2010.

4. LICA – LIC ASSOCIATE (LIFE PLUS OFFICE)

LIC Associate Premium Collection is started from 01/07/2016. LIC Associate(LICA) are the Retired Development Officers selected on the basis of certain conditions. The Eligibility criteria for this scheme is decided by Central Office, Marketing Department.

5. Chief Organizer (LIC Direct MARKETING )

Premium collection through Chief Organizer is started from 05/09/2018. The Eligibility criteria for this scheme is decided by Central Office, Direct Marketing Department.

Relevant Conditions for Premium collection.

1. Premium can be Collected only for In force, Ordinary policies under all modes (YLY,HLY, QLY & MLY ordinary) except for E-Term plan (Table 825) .
2. Premium for policies under Salary Savings Scheme (SSS) mode cannot be collected through this channel.
3. Premium for NACH mode cannot be paid through this channel. However premium will be accepted only if last NACH transaction is dishonored and during the pendency of the NACH mandate.
4. Renewal Premium can be collected for ULIP & HEALTH Policies also.
5. Premium can be paid IN CASH as well as through CHEQUE. Outstation cheques are not accepted. POS terminals are also allotted at selected Premium Points on pilot basis.
6. Late fee is computed @ current rate i.e. 9.5%. Minimum late fee is Rs. 5/-.
7. Acceptance of premium can be done up to 30 days before the Due Date.
8. Premium cannot be collected for Next Financial Year. E.g. In March premium cannot be collected for April due.
9. It is advisable to refrain for paying premium through this channel if the policies are already registered under BILL PAY option of Electronic Debit to avoid duplicate payment.
10. No service charges are required to be paid by the policy holders to avail this facility.

LIC PORTAL

Online Premium Payment is LICs initiative to provide on demand premium collection service within a few clicks! It provides for real-time payment of renewal premium dues through the LIC portal. Premium payment facility is available to both registered as well as Non-registered customers by using PAY DIRECT option on LICs website - www.licindia.in.

Relevant Conditions:

1. Premium can be Collected only for In force, Ordinary policies under all modes (YLY,HLY, QLY & MLY ordinary).
2. Premium for policies under Salary Savings Scheme (SSS) mode cannot be paid online.
3. Premium for NACH mode cannot be paid online. However premium will be accepted online only if last NACH transaction is dishonored.
4. Renewal Premium can be collected for ULIP & HEALTH Policies also.
5. Late fee is computed @ current rate i.e. 9.5%. Minimum late fee is Rs. 5/-.
6. Acceptance of premium can be done up to 30 days before the Due Date.
7. It is advisable to refrain from paying premium through this channel if the policies are already registered under BILL PAY option of Electronic Debit to avoid duplicate payment.

Facility of Premium Payment in Advance

1. Policyholder can deposit the premium in advance, subject to maximum dues allowed i.e. up to the end of financial year. E.g. Premium falling due upto 31st March can be collected in current Financial Year.

2. Premium due in Next financial year can also be deposited in advance for a maximum period of three months in advance of the due date of the premium.

Deposit Receipt for Advance Premium will be generated for these transactions. On the due date, adjustment against advance deposit will be done and E-Receipt will be sent to the email id registered by the policyholder and it will also be available in his/her Portal account.

ONLINE LOAN REPAYMENT & LOAN INTEREST PAYMENT

A policyholder can repay his/her outstanding Policy loan and loan Interest Payment online without visiting the servicing branch. The option is available in CUSTOMER PORTAL under Online Payments Tab. Policyholder can also pay it by using PAY DIRECT option after keying in relevant information like Policy number, Insurance Premium, Date of Birth, Mobile number and Email id.E-Receipt will be sent to the email id registered by the policyholder and it will also be available in his/her Portal account.

A customer should not attempt two loan repayment transactions on the same day , if the amount is debited from his bank account. This may result in to wrong Interest Calculation or Duplication of the transaction.

Here is a simple step-by-step guide regarding premium payment using this facility:

Policies are to be enrolled on LIC website after obtaining user-id. Enrollment must be with correct premium amount. Policies on the life of spouse and minor children can be enrolled under same user-id as date of birth mentioned in the policy is matched with the same in profile. If Date of Birth does not match, the policies cannot be enrolled.

Once the policies are enrolled, list of policies where premium/loan interest is due can be viewed by clicking on link, “Online Payment”.

Policies for which premium is desired to be paid are selected by clicking in the selection box.

Before clicking the “Check & Pay” button, policyholder must read the instructions displayed on the screen. “Premium should be paid on the policy owned by you only. A receipt would be mailed to your registered email-id.If Premium Receipt is not Generated /Error Page Displayed: If the premium amount is debited from your bank account but error page displayed, a receipt will be sent to your email-id in three working days after receiving the confirmation from your bank. If receipt is not received in three working days you can report such occurance to bo_eps1@licindia.com. If Re-trying : Please first check whether your bank account is already debited with the amount of earlier transaction.If debited please do not pay again.Receipt will be sent as stated above.”

LIC premiums can be paid by using Net Banking accounts with following banks: For Authorized Banks Click Here .Other modes of payment are Debit-Cards (VISA/MASTER/RUPAY), Wallets, Payment banks, UPI and Credit cards (AMEX/VISA/MASTER/RUPAY). There are no charges for payment through Debit-card, Net-banking, Wallet and UPI.

Payments through Credit Cards are subject to a "Convenience fee" . After selecting the option, the "Convenience Charges" are displayed for credit card payment. This fee is not collected by LIC, but is paid to the card network company.

The premium receipt for the payment through Portal/Pay Direct can be printed online and will also be e-mailed to the Policy Holder at the same time. Simultaneously successful/unsuccessful transaction message will be flashed.

If the premium amount is debited from the Policyholder’s Bank Account but error page displayed it may be due to session timed out or network error. In such case a receipt will be sent to his profile email id in three working days after receiving the confirmation from his Bank. The premium receipt will also be available under his PORTAL under My app->Basic Services->Online Payment Receipts.

Policy holder must check the bank account before trying for the second payment for the same due. If bank account is debited they are requested not to attempt for second payment.

If the amount is debited twice for the same due , it is refunded to the service provider , who in turn transfers the amount to the customer’s bank / card issuer .

Benefits

· This is a simple process with one time enrollment of the policies.
· Premium can be paid anytime and anywhere.
· Valid premium receipt is received instantly.
· It is also a secure arrangement, as the policy data is not shared between LIC and service provider.
· There are no charges for payments made through Debit Card / Net-banking / UPI/e wallets .

For any further clarification please use our SMS helpline. SMS LICHELP < Policy Number > and send it to 92224 92224. Our Customer Zone Executive will shortly contact to resolve your query.
LIC Call Center Services is also available 24 x 7 at 022-68276827.

Life Insurance Corporation of India – Corporate Office : Yogakshema Building, Jeevan Bima Marg, P.O. Box No – 19953, Mumbai – 400 021 IRDAI Reg No- 512
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