LIC Alternate Channels of Premium Collection

LIC Alternate Channels of Premium Collection

ECS PAYMENT

ECS facility for payment of premium has been 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. To avail of ECS facility, policy holder submits mandate form to LIC and also authorizes bank to deduct premium. Bank deducts premium on the basis of invoice received from LIC.

Electronic Clearance Service of Reserve Bank of India is a well established, quick, reliable and economic processing for periodic bill payments. LIC is happy to offer this facility to its valued customer totally FREE for payment of premiums. The policyholders having accounts in the banks in the cites , which are members of clearing house can avail of this facility for all policies irrespective of the LIC branch to which these policies are attached for servicing.

Relevant Conditions to avail this facility:

1. ECS facility can be availed at the time of inception of the policy or later after completion of policy. 2. In ECS(MLY) mode, 5% extra premium charged under normal Monthly mode is waived. 3. No receipts will be printed and dispatched for ECS(MLY) mode policies. An yearly premium paid certificate will be sent by the servicing branch. 4. ECS mode of payment can be opted for ULIP policies including Health Insurance policies also. 5. ECS 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. ECS(MLY) will be allowed only for the policies where Mly mode is allowed. 6. To opt for ECS 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 ECS facility. 7. Debit dates allowed are only 7th, 15th 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 28th of the same month

8. Arrears of premiums cannot be collected through ECS 9. If ECS is dishonoured due to any reason, ECS deduction will automatically stop for the further dues until the premiums are paid up-to-date at the branch cash counter 10. Under the policies registered under ECS mode, premium cannot be paid through any other payment channel.

How to avail this facility:

1. A Mandate form is to be submitted to any of the LIC Branch, which should be

i. Duly signed by the policy holder ii. Signed by the account holder/s iii.Must be attested by the customer’s bank iv. Must be attested by the customer’s bank v. Copy of the form MUST BE submitted to the bank2. MICR code & Bank details must be clearly and correctly mentioned in the mandate form. MICR code is 9 digit code given at the bottom of the cheque where cheque number is mentioned. For “All India Clearing” cheques, MICR code is given on the first page of the Cheque book. MICR code should not begin or end with “000” 3. Account number must be only of 15 characters. If the same exceed 15 digits as in case of PNB bank accounts, bank should be enquired regarding the correct account number of the digit which should be dropped 4. 3 copies of mandate forms should be filled. One is to be submitted to the bank, one to LIC and third copy can be retained by the policy holder after getting acknowledgement by the LIC branch 5. If ECS is opted at NB stage, where policy number and exact premium amount is not available at the time of attestation of the mandate form by the bank, copy of the mandate form should be submitted after completion of the policy and filling the details (Policy number & Premium). 6.Policy holder should have a bank account in any of the cities mentioned in the “LIC ECS Centers List”. Apart from these centers, Policyholder having account with the banks with Core Banking facility in the Karnataka, Andhra Pradesh, and Tamilnadu states can opt for the R-ECS. R-ECS will be enabled in other states also as and when same is implemented by the RBI. 8. Mandate form can be given in any LIC Branch across the country but at least one policy should be serviced in that branch 9. After registration of the ECS, acknowledgement letter should be obtained from the branch and correctness of the data entered specially the bank details must be checked 10. 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. At the top of the form CHANGE IN BANK DETAILS should be prominently written 11. Policy holder should ensure that sufficient funds are available in the bank account at the time of debit date and mandate is not dishonoured 12. 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

LIC’s Utility or User Code for premium collection through ECS is 4009056. Many LIC ECS centers are registered with different user code, policy holder should obtain the correct User code from his LIC branch office.

ECS Mandate Dishonour:

Dishonour of ECS mandates may happen due to following reasons:

1. A/c closed / Transfered 2. No such Account 3. A/c description does not tally 4. Insufficient Balance 5. Not arranged for 6. Payment stopped by drawer 7. Payment stopped by court order 8. Mandate not received by bank 9. MiscellaneousFor the mandate dishonours, LIC sends a letter to the policy holder intimating the dishonour with reason. Premium for these policies is to be paid at the branch cash counter. 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).

If the reason of dishonour is mandate form not received, it may be due to non-submission of the mandate form to bank, copy of the mandate form should be submitted to the bank. For reason 1 , either alternate bank details should be given or payment mode should be changed from ECS to Normal. For reason 2 & 3, bank details must be checked for the correctness and in case of any error should be got rectified by the Servicing LIC Branch Office.ANY ISSUE REGARDING DISHONOUR IS TO BE TAKEN UP WITH THE BANK ONLY

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Benefits to the policyholders:

1. This is a free service to our policyholders 2. This will save their time in visiting LIC Office to pay the premiums 3. This will save their cost and effort in sending across the premium payments to LIC through postal/courier service/ through their representatives 4. This easy and automatic method of premium payment will keep the insurance protection intact and the chances of lapse of the policy will be eliminated 5. The one time standing instructions in the form of a Mandate is sufficient to pay the future premiums as and when they fall due 6. 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 premiums

For any genaral queries, please contact LIC call center at 1251

* Regional ECS (R-ECS) started in 3 states viz AndhraPradesh, TamilNadu and Karnataka with all major banks having Core Banking Facility

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.

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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 digitally 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 The digital receipt received for online payment is to be validated, till then “invalid signature” message will appear on the reciept. Procedure for the validation is given on URL http://www.licindia.co.in/images/eReceipt_Verification_Help.pdf. The certificate can be downloaded by Clicking Here and is to be added to trust settings as trusted root, after which the signature will appear as “valid signature”. This is a one time process. Receipt is valid without signature validation also. 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. For detailed documentation on how to verify the digital signature on the e-receipt, Click Here

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:

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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.