How to Surrender LIC Policy

If you have lost your LIC policy bond, you will need to follow a different procedure to surrender your policy. Here are the steps you can take:

1. Lodge an FIR: The first step is to lodge a First Information Report (FIR) at your nearest police station. You will need to provide details about your lost LIC policy bond, including the policy number, date of issue, and other relevant information.

2. Advertise in Newspaper: Next, you will need to publish a notice in a newspaper about the loss of your policy bond. The notice should contain details of your lost policy, including the policy number and date of issue. You will need to keep a copy of the newspaper advertisement as proof.

3. Request for duplicate policy bond: You can then request a duplicate policy bond from LIC. You will need to submit an application for the same along with a copy of the FIR and the newspaper advertisement. LIC will then verify your details and issue a duplicate policy bond.

4. Surrender the policy: Once you receive the duplicate policy bond, you can then proceed with the surrender process as per LIC’s standard procedure. You will need to submit the original policy documents, including the duplicate policy bond, along with a surrender form to your nearest LIC branch.

It is important to note that the surrender value of your policy may be reduced if you have not paid all your premiums. Additionally, there may be other charges or deductions that apply, so it is best to check with LIC for more information.

No, you may not get the full amount if you surrender your LIC policy. The surrender value of an LIC policy is calculated based on several factors, such as the policy term, premium paid, and the number of years the policy has been active. Additionally, LIC may charge surrender fees and other charges, which can reduce the surrender value of the policy.

To know the surrender value of your LIC policy, you can follow these steps:

1. Contact your LIC agent or visit the nearest LIC branch office.
2. Provide your policy details, such as the policy number and your personal information.
3. Request for the surrender value of your policy.
4. The LIC agent or branch office will provide you with the surrender value of your policy, which is the amount you’ll receive if you surrender your policy.

It’s important to note that the surrender value of an LIC policy is not fixed and can vary depending on several factors. So, it’s a good idea to review your policy documents and speak with an LIC agent to understand the factors that can impact the surrender value of your policy. Additionally, before surrendering your policy, make sure to understand any fees or penalties that may apply.

LIC calculates the surrender value of a policy based on several factors, such as the policy term, premium paid, and the number of years the policy has been active. The calculation of the surrender value differs depending on the type of policy. Here are the general factors that LIC considers while calculating the surrender value:

1. Premium paid: The total amount of premium paid till the date of surrender is considered.
2. Policy term: The longer the policy term, the higher the surrender value.
Number of years the policy has been active: The longer the policy has been active, the higher the surrender value.
3. Type of policy: Different types of policies have different surrender values. Policies that offer higher returns and have a longer lock-in period generally have higher surrender values.
4. Bonus: If the policy has earned any bonus or loyalty additions, they will be included in the surrender value.

In addition to these factors, LIC may also deduct surrender charges, service tax, and other charges from the surrender value, which can reduce the final amount that the policyholder receives. It’s important to note that the calculation of the surrender value is not fixed and can vary depending on several factors. So, it’s a good idea to review your policy documents and speak with an LIC agent to understand the factors that can impact the surrender value of your policy.

The surrender form number is the form that needs to be filled out to surrender an LIC policy. The form number may vary depending on the type of policy, but the most commonly used form for surrendering an LIC policy is Form 5074.

1. Download Form 5074 from the LIC website or obtain a physical copy from the nearest LIC branch office.
2. Fill out the policyholder’s personal details, such as name, address, and policy number, in the appropriate sections of the form.
3. Indicate the reason for surrendering the policy, whether it is due to financial difficulties or any other reason.
4. Provide details of the bank account where the surrender value will be credited.
5. Sign and date the form.
6. Submit the form along with the original policy document and other necessary documents, such as identity proof and address proof, to the nearest LIC branch office.

It’s important to note that the surrender process may take some time, and the surrender value will be credited to the policyholder’s bank account only after the necessary formalities are completed. Additionally, surrendering an LIC policy may have financial implications, such as surrender charges and reduced surrender value. So, it’s a good idea to understand these implications and speak with an LIC agent before surrendering the policy.

In addition to the surrender form and original policy document, the following documents may also need to be attached while surrendering an LIC policy:

1. Identity proof: A copy of the policyholder’s identity proof, such as Aadhaar card, PAN card, passport, or driver’s license, may need to be attached to the surrender form.
2. Address proof: A copy of the policyholder’s address proof, such as electricity bill, telephone bill, or bank statement, may need to be attached to the surrender form.
3. Cancelled cheque: A cancelled cheque of the bank account where the surrender value will be credited may need to be attached to the surrender form.
4. PAN card: A copy of the policyholder’s PAN card may need to be attached to the surrender form if the surrender value is more than Rs. 50,000.

It’s important to note that the documents required for surrendering an LIC policy may vary depending on the type of policy and the surrender value. So, it’s a good idea to check with the nearest LIC branch office or an LIC agent to confirm the documents required for surrendering your specific policy.

The time taken to receive the surrender value after submitting the surrender form and the necessary documents can vary depending on several factors. Generally, LIC takes around 10-15 working days to process the surrender request and credit the surrender value to the policyholder’s bank account.

However, the actual time taken may vary depending on factors such as the type of policy, the amount of surrender value, and any outstanding dues or loans on the policy. Additionally, if the documents submitted are incomplete or there is any discrepancy in the information provided, the processing time may be further delayed.

It’s a good idea to check with the nearest LIC branch office or an LIC agent to get an estimate of the time taken to receive the surrender value for your specific policy.

The surrender value of a Jeevan Anand policy depends on various factors such as the policy term, premium paid, number of premiums paid, policy type, and surrender period. However, based on the information provided, I can provide an approximate surrender value calculation.

For a Jeevan Anand policy, the Guaranteed Surrender Value (GSV) is calculated as a percentage of the total premiums paid, excluding the first year’s premium. The percentage varies depending on the policy term and the number of premiums paid.

As per LIC’s surrender rules, for a Jeevan Anand policy, the GSV is as follows:

For policies with a term of 10 years or more, but less than 15 years, the GSV is 30% of the total premiums paid, excluding the first year’s premium.

For policies with a term of 15 years or more, but less than 20 years, the GSV is 50% of the total premiums paid, excluding the first year’s premium.

For policies with a term of 20 years or more, the GSV is 90% of the total premiums paid, excluding the first year’s premium.

In this case, assuming the policy term is 21 years, and premiums have been paid only for 5 years, the GSV would be calculated as follows:

Total premium paid = Premium paid x Number of premiums paid = Premium paid x 5

Total premium paid excluding first year’s premium = Total premium paid – Premium paid = Premium paid x 4

Guaranteed Surrender Value (GSV) = 30% of (Total premium paid excluding first year’s premium) = 30% of (Premium paid x 4)

Please note that the actual surrender value may vary based on the policy’s bonus and other factors. Additionally, there may be surrender charges and taxes applicable, which will be deducted from the surrender value. It’s a good idea to check with your nearest LIC branch office or agent to get an accurate surrender value calculation for your policy.