Table of Contents
- 1 Can I reduce the term of my LIC policy?
- 2 Can I change premium paying term?
- 3 How can I change my LIC policy payment?
- 4 How do I cancel my term insurance?
- 5 Can I modify term plan?
- 6 Can I switch my term plan?
- 7 How do I surrender reduced paid up policy?
- 8 How can I change the premium paying mode of LIC?
- 9 How can I lower my life insurance premiums without losing benefits?
- 10 Can I reduce the face value of my life insurance policy?
Can I reduce the term of my LIC policy?
After the policy is issued, the policyholder in a number of cases finds the terms not suitable to him and desires to change them. LIC allows certain types of alterations during the lifetime of the policy. However, no alteration is permitted within one year of the commencement of the policy with some exceptions.
So, yes, you can change the frequency of premium payment. You will need to approach your insurer and request for a change in the premium paying frequency and the time from when the change has to be effective. Typically, such changes are incorporated on the policy anniversary date.
Can LIC premium be reduced?
There are limited ways to reduce the premium of life insurance policy but is possible. The amount of coverage you purchase, the inclusion of riders and. The challenge is that there are some things about yourself that you simply cannot change.
How can I change my LIC policy payment?
If you stop paying the premiums, you will continue to enjoy the cover and the policy will acquire a paid-up value, which is given on maturity. The policy turns into a paid-up plan if premiums are not paid for two consecutive years. You can also convert it by approaching the branch office or the agent.
How do I cancel my term insurance?
How to cancel your term life insurance policy
- Stop paying premiums. If you miss a premium payment and don’t pay it within the grace period—the 30-31 days after your due date during which you still have coverage—your insurance is canceled.
- Write a letter.
- Call your provider.
What happens if I stop paying term life insurance?
In the case of term insurance, if you do not pay your timely amount to the insurance company within the due date, then the policy will have lapsed. This policy lapse will forfeit the insurance benefits along with the premiums paid.
Can I modify term plan?
You can change your term insurance basis the circumstances of life.
Can I switch my term plan?
Under current IRDAI rules, only health insurance plans can be transferred from one insurance provider to another. Transfer of life insurance is not allowed. If the transfer of life insurance from one insurer to another is allowed, it will save policyholders the cost of volunteering while changing their policies.
How do you surrender reduced paid-up LIC policy?
Surrender – you can surrender the policy if at least 3 years’ premium has been paid, i.e. the policy has acquired a paid-up value. On surrendering, the Surrender Value is paid immediately to the policyholder and the plan terminates.
How do I surrender reduced paid up policy?
LIC premium paying mode can be changed but month would remain the same. In case the policy holder wants to change the month, the other way is change the mode of payment to half yearly or yearly which can be done on completing a year from date of commencement. These things can be done at branch level and agents presence is not at all required.
Can I reduce the term of premium payment of an existing plan?
No, you can’t reduce the term of premium payment of existing plan once you have taken the policy. If you have received the policy bond and its less than 15 days till you received it, then you can change your plan by cooling off the policy. Yes you can. But it’s not advisable.
This will allow you to lower your premiums without losing all the benefits of your life insurance. If you have a universal life or whole life policy with some cash value built up in it, you may be able to reduce your premiums without affecting your policy’s guarantees.
Can I reduce the face value of my life insurance policy?
Thankfully, most term and permanent life insurance carriers allow you to reduce the face value of your policy one time! Yep! You heard me right. This will allow you to lower your premiums without losing all the benefits of your life insurance.