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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 ECS, mandate forms were required to be attested and submitted to the customer’s bank, whereas under the NACH system , mandate forms  are to be submitted directly ,as hard copies , at the servicing branch of LIC for New Business registration along with proposal papers  and for  alteration in mode of premium payment to NACH debit to the PS department.
 
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. An yearly premium paid certificate will be sent by the servicing branch
4. NACH mode of payment can be opted for ULIP policies including Health Insurance policies also. 
5. NACH mode can be opted for all non-ulip, in-force policies anytime after completion of policy. At this stage any mode (Yly, Hly, Qly) also can be opted.
6. To opt for NACH facility premium must be paid up-to-date and the next premium must be due at least after 1 month from the date of option of NACH facility.
7. Debit dates allowed are 7th, 15th, 22nd and 28th of the month. (Both at NB & PS Stage) and complete grace period too may not be available.

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 31st 22nd of the same month
23rd to 28th 28th of the same month

8. Arrears of premiums cannot be collected through NACH
9. If NACH is dishonoured due to any reason, NACH deduction will automatically stop for the further dues until the premiums are paid up-to-date.10. Under the policies registered under NACH mode, premium cannot be paid through any other payment channel except NACH dishonor or expiry of grace period.
 

How to avail this facility:
1.NACH mandate form, duly signed by the account holder should be submitted along with the proposal form , accompanied by a  cancelled cheque leaf/passbook copy / bank statement 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 at NB stage . 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 ( both for New Business and PS alteration cases) 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 details entered by the customer  from the image with the 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, viz., wrong account number , signature not tallying etc ., SMS to customer informing him / her of the rejection status will be sent on the registered mobile number of the customer in LIC’s database. In such rejections, fresh NACH mandate is to be submitted to LIC 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 or the branch where the policy was registered under ECS earlier
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.LIC will not be responsible for any dishonour raised by the Bank and any dispute regarding same should be taken up with the 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 effected on the lives of the close relatives like spouse and dependent children (i.e.) the relatives on whom policies the policyholder can claim I.T. relief for the payment of premium.
 
NACH Mandate Dishonour:

For the mandate dishonours, LIC sends a letter to the policy holder intimating the dishonour with reason. Up to date payment of remium for these policies is to be done.If the reason is insufficient funds,dishonour charges Rs. 125/- will be payable in addition to the due premiums and the late fee (if applicable). 

 
   Terms and conditions NACH sample Mandate Form - English  
    Instructions to Fill Mandate form NACH Dishonour reasons  

For any further clarification please use our SMS helpline and SMS   LICHELP < Policy Number > to 9222492224 Our Customer Zone Executives will help you.

 

EBPP

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. ICIC Bank
3. Axis Bank
4. Federal Bank
5. Corporation Bank
6. Citi Bank
6. LIC Credit Cards
 

Authorised Service Providers
Tech Process: 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 orQLY Mode. MLY mode policies cannot be registered under EBPP. Premium for ULIP & Health Insurance policies cannot be paid through this mode.

Through this payment option premium can be paid through CREDIT CARDS also.

Policy holder has to register his/her policy in the Banker's site who will send the policies for Verification to LIC. After verifying the policies LIC will send acceptance to the Banker. For any reason (lapse policy, premium mis-match, particulars wrongly entered) if LIC rejects the registration, the information regarding same will be sent by the banker/service provider. In such case the policy is to be registered again on banker's site. Old registration is treated as cancelled.

Invoice from LIC will be generated before one month of its due date and send 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 or manually accepting the bill which can be paid by login to the banker's site and making the payment online. Receipt will be posted to the address mentioned in the policy records after two or three days of payment by LIC. For this mode of payment e-receipt is not generated.

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 Mly Ordinary and SSS Mode are not allowed under this scheme. Policy should be in-force at the time of registration. ULIP policies and Health 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.

PORTAL PAYMENT

Online Payment Gateway is LICs initiative to provide on demand premium collection service within a few clicks! The payment gateway (PG) initiative is an important component of the offer. It provides for real-time payment of renewal premium-dues through the portal. This functionality is available only to registered customers who have enrolled their policies on LICs website - www.licindia.in.

LIC premiums can be paid using Net Banking accounts with following banks: For Authorized Banks Click Here

Relevant Conditions:

1. Premium can be Collected only for Inforce, Ordinary policies under all modes (YLY,HLY, QLY & MLY) . Premium for policies under Salary Savings Scheme (SSS) cannot be paid online.
2. From April,2009 Premium can be collected for ULIP Policies also, however, presently premium for Health Insurance policies is not allowed.
3. Acceptance of premium can be done only 30 days in advance before from the Due Date and till the policy is in force, except for some term insurance policies. For some Term Insurance policies Within 15days only - plans 153- Anmol Jeevan,164-Anmol Jeevan-1, 177- Amulya Jeevan, 190 Amulya Jeevan. 
4. Late fee is computed @8%. Minimum late fee is Rs 5/-.
5. Premium cannot be collected for Next Financial Year. Ex During March 2010 premium cannot be collected for April 2010.
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 self and family members (spouse and children only) can be enrolled as date of birth mentioned in the policy is matched with the same in profile. If Dt of Birth does not match, the policies cannot be enrolled.

Once the policies are enrolled, list of policies where premium is due can be viewed by clicking on the link "Pay Premium Online"

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

After confirming the total payment, Dialog box appears with message cautioning the policy holder not to make the payment again if already tried to pay earlier without checking the bank account. Next screen will appear after clicking at OK.

Next screen displays 2 options for online payment viz 1. Internat banking/Debit Card and 2. Credit card.

After selecting the option, the "Convenience Charges" are displayed for debit card payment and credit card payment.

The payment gateway for Internet Banking/Debit card is BillDesk while the payment gateway for Credit card is IDBI.

Bank is to be selected from the drop-down list.

Browser takes to the Bank site, from where the policy holder can make the payment using his bank user-id and password.

The premium receipt for the payment through Portal/Payment Gateway 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.

Bank balance must be verified after the transaction is complete.

If the premium amount is debited from the PHs Bank Account but error page displayed it may be due to session timed out or network error. In such case a signed 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 user-id at Customer Services :View Pay Premium Online - 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 excess due to double payment, same is refunded to the service provider Bill Desk, who in turn refund the same to the respective bank to credit the customers account directly. 

The updation of premium in real time. 

Benefits

This is a simple process with one time enrollment of the policies. 

Premium can be paid anytime and anywhere. Most convenient method of payment if the policy holder is out of country. 

Valid premium receipt is received instantly. 


It is also a secure arrangement, as the policy data is not shared between LIC and Banks over net as only the amount to be paid is encrypted and transported. The login id at both the sites (LIC and Bank) is known only to the policy holder.

And above all there is no charge for the policy holder to avail this service.

PREMIUM COLLECTION THROUGH AUTHORIZED BANKS

Following Banks are authorized to collect premium for LIC policies:

1. Axis Bank
2. Corporation Bank

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

Premium can be collected only in CASH or CHEQUE drawn on that bank. 

Premium can be paid only for In force, Non-ULIP, Non-SSS policies. 

Acceptance of premium can be done only 30 days in advance before from the Due Date and till the policy is in force, except for some term insurance policies. For some Term Insurance policies Within 15days only - plans 153- Anmol Jeevan,164-Anmol Jeevan-1, 177- Amulya Jeevan, 190 Amulya Jeevan 

Premium cannot be collected for ULIP and Health Policies . Plans are 140- Bima Plus,172-Future Plus,173-Jeevan Plus,180-Money Plus,181-Market Plus,187-Fortune Plus, 188-Profit Plus , 191-Market Plus, 193-Money Plus, 199 , Jeevan Shathi, 901-Health Plus, 902-Health protection plus and any new ULIP/HEALTH plan declared later.

Late fee is computed @8%. Minimum late fee is Rs 5/-. 

Premium cannot be collected for Next Financial Year. Example, During March 2009 premium cannot be collected for April 2009. 

Signed receipt issued by the Bank is a valid receipt and no other receipt will be issued by LIC. 

Premium can be paid six months prior to the due date till the policy is in force.

PREMIUM COLLECTION THROUGH AUTHORIZED COLLECTION CENTERS

Many Service Providers, which include Government & Private Ltd. companies are franchised to collect premium for LIC policies. Relevant conditions for the premium collection through these franchisees

Premium can be collected only in CASH.

Premium can be paid only for In force, Non-ULIP, Non-SSS policies.

Acceptance of premium can be done only 30 days in advance before from the Due Date and till the policy is in force, except for some term insurance policies. For some Term Insurance policies Within 15days only - plans 153- Anmol Jeevan,164-Anmol Jeevan-1, 177- Amulya Jeevan, 190 Amulya Jeevan.

Premium cannot be collected for ULIP and Health Policies . Plans are 140- Bima Plus,172-Future Plus,173-Jeevan Plus,180-Money Plus,181-Market Plus,187-Fortune Plus, 188-Profit Plus , 191-Market Plus, 193-Money Plus, 199 , Jeevan Shathi, 901-Health Plus, 902-Health protection plus and any new ULIP/HEALTH plan declared later.

Late fee is computed @8%. Minimum late fee is Rs 5/-.

Premium cannot be collected for Next Financial Year. Ex During March 2009 premium cannot be collected for April 2009.

Signed receipt issued by the collection centers is a valid receipt and no other receipt will be issued by LIC.

Premium can be paid six months prior to the due date till the policy is in force.

FACILITY OF PREMIUM PAYMENT THROUGH ALL THE ALTERNATE CHANNELS IS FREE TO ALL THE POLICY HOLDERS AND NO SERVICE CHARGES/EXTRA AMOUNT IS TO BE PAID TO ANY SERVICE PROVIDER.

Following Service Providers are franchised to collect premium for LIC policies:

1. APONLINE

It is the official Portal of Andhra Pradesh Government.

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

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

Please Click Here for the aponline collection centers.

 

2. MPONLINE

It is the official portal of Madhya Pradesh Govt.

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

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

Please Click Here for the 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. 

Please Click Here for the Suvidhaa Infoserve collection centers.

 

4. EASY BILL LIMITED

Easy Bill is a business model born out of the consumers dire need for a convenient and reliable bill payment service and offers consumer convenience through a unique alternate bill payment mechanism using the traditional friendly neighborhood store.

Contact numbers : 1800-11-75-75 (Toll free), 0120-4542222 for any query or oto locate a neighborhood Easy Bill outlet.


www.easybillindia.com

Please Click Here for the Easy Bill Pay collection centers.

 

AGENTS COLLECTION PAYMENT

Agents authorized to collect the premium can collect the premium in CASH or CHEQUE and issue a valid receipt with their signature. 

Premium for ULIP policies also can be collected by the agents, however this facility is not yet available for Health Insurance policies.

The Updation of premium in real time.

Relevant Conditions

1. Premium can be Collected only for Inforce, Ordinary policies under all modes (YLY,HLY, QLY & MLY) . Premium for policies under Salary Savings Scheme (SSS) cannot be collected through this channel. 

2. Premium can be paid IN CASH AS WELL AS THROUGH CHEQUE. Outstation cheques are not acceptable. 

3. Acceptance of premium can be done only 30 days in advance before from the Due Date and till the policy is in force, except for some term insurance policies. For some Term Insurance policies Within 15days only - plans 153- Anmol Jeevan,164-Anmol Jeevan-1, 177- Amulya Jeevan, 190 Amulya Jeevan. 

4. Premium can be collected for ULIP Policies; however, premium for Health Insurance policies cannot be collected at present. 

5. Late fee is computed @8%. Minimum late fee is Rs 5/-. 

6. Premium cannot be collected for Next Financial Year. Ex During March 2009 premium cannot be collected for April 2009.

7. No service charges are required to be paid by the policy holders to avail this facility.

 

SENIOR BUSINESS ASSOCIATE

Introduction Senior Business Associate Premium Collection was started from 01/06/2009. 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.

Procedure is same as for agent's collection. Payment is online using LIC portal. Updation is real time. Receipt are issued and signed by the SBA and no other receipt is issued by LIC.

In addition to premium collection, SBA are authorized for following jobs also:
1. Issue of Policy Status Reports.
2. Issue of Revival/Loan/Surrender value quotations.
3. Issue of forms.
4. Issue of Certificates to the policyholders for income tax purpose.
5. ULIP Statements.

Relevant Conditions

1. Premium can be Collected only for Inforce, Ordinary policies under all modes (YLY,HLY, QLY & MLY) . Premium for policies under Salary Savings Scheme (SSS) cannot be collected through this channel. 

2. Premium can be paid IN CASH AS WELL AS THROUGH CHEQUE. Outstation cheques are not acceptable. 

3. Acceptance of premium can be done only 30 days in advance before from the Due Date and till the policy is in force, except for some term insurance policies. For some Term Insurance policies Within 15days only - plans 153- Anmol Jeevan,164-Anmol Jeevan-1, 177- Amulya Jeevan, 190 Amulya Jeevan. 

4. Premium can be collected for ULIP Policies; however, premium for Health Insurance policies cannot be collected at present. 

5. Late fee is computed @8%. Minimum late fee is Rs 5/-. 

6. Premium cannot be collected for Next Financial Year. Ex During March 2009 premium cannot be collected for April 2009.

7. No service charges are required to be paid by the policy holders to avail this facility.

 

RETIRED EMPLOYEES COLLECTION PAYMENT

Retired LIC Employees authorized to collect the premium can collect the premium in CASH or CHEQUE and issue a valid receipt with their signature.

Premium for ULIP policies also can be collected by the retired employees, however this facility is not yet available for Health Insurance policies.

The Updation of premium in real time.

Relevant Conditions

1. Premium can be Collected only for Inforce, Ordinary policies under all modes (YLY,HLY, QLY & MLY) . Premium for policies under Salary Savings Scheme (SSS) cannot be collected through this channel. 

2. Premium can be paid IN CASH AS WELL AS THROUGH CHEQUE. Outstation cheques are not acceptable. 

3. Acceptance of premium can be done only 30 days in advance before from the Due Date and till the policy is in force, except for some term insurance policies. For some Term Insurance policies Within 15days only - plans 153- Anmol Jeevan,164-Anmol Jeevan-1, 177- Amulya Jeevan, 190 Amulya Jeevan. 

4. Premium can be collected for ULIP Policies; however, premium for Health Insurance policies cannot be collected at present. 

5. Late fee is computed @8%. Minimum late fee is Rs 5/-. 

6. Premium cannot be collected for Next Financial Year. Ex During March 2009 premium cannot be collected for April 2009.

7. No service charges are required to be paid by the policy holders to avail this facility.

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