LIC’s online Term Plan e-Term-Review and Benefit

Finally the wait is over for those who are very much interested to buy term insurance with LIC and especially ONLINE. Today LIC launched it’s first online term plan to all. So let us see it’s feature. This is the second online plan from LIC after the launch of pension plan Jeevan Akshay VI.

LIC Online Plans

Below are the few features of this plan.

  • You will buy this plan only through online mode.
  • There are two categories in this plan.
  • One is called Aggregate lives. Here you can buy whether you are smoker or non smoker. So there is no such difference in this.
  • Second is called Non-Smoker lives.
  • For Sum Assured upto Rs.49,00,000 only aggregate premium will be applicable.
  • From Rs.50,00,000 onward you have option to choose whether you are smoker or non smoker. If you are smoker then aggregate category only. But if non smoker then you need to mention it and accordingly premium will vary.
  • Proposal on own life will only be considered. So you can’t propose for your wife’s life.
  • Death benefit will be equal to Sum Assured opted.
  • There is no maturity benefit under this plan,
  • Minimum Sum Assured for Aggregate category is fixed Rs.25,00,000.
  • For non smoker it is Rs.50,00,000.
  • There is no maximum limit.
  • Minimum Age at entry is 18 Yrs.
  • Maximum Age will be 60 Yrs.
  • Maximum cover you can opt upto 75 Yrs.
  • Minimum Policy Term is 10 Yrs.
  • Maximum Policy Term is 35 Yrs.
  • You have to pay premium only on annual base.
  • Grace period of 30 days will be available for premium payment.
  • You can pay the subsequent premiums online either through net-banking/credit card/debit card.
  • You need to disclose all the existing policies while buying this plan (irrespective of company).
  • Medical Test requirement will be based on individual.
  • For further details about this plan, you can contact on[email protected] or call to toll free number 1800-22-7717.

Whether NRI’s can buy this plan?

As of now there is no information available on LIC site about eligibility of NRIs. But good feature is, once you are covered under this plan and if afterward you moved to other countries due to your job then too the cover will continue irrespective of your stay across globe. So it is best whoever planning to move can buy this plan and move.

How to buy this plan online?

For detailed video tutor on how you can buy, visit my latest postVideo Tutor on how to buy online term plan of LIC’s e-Term“.

1) Visit LIC Online Plans Page by clicking LIC DIRECT. You will get below screen and rest of the process is displayed in below images.

LIC Online Plans

2) Select your residential status by clicking as below and click on the tab called Confirm & Proceed. Here you have two options too. One is for new customer and another is for those who calculated previously, for them need to enter Access ID (10 digit number which will be sent to your provided mobile number and to mail id).

LIC s e Term_2

3) Calculate your premium in next step. Enter details like Sum Assured, Date of Birth, Term and whether you are smoker or not.

e Term  Premium Calculator

4) Premium will be displayed as below and you can either recalculate or proceed further.

e Term  Premium Calculator

5) Proceed to fill your personal details in below step. Please remember that this online purchase is set for cities only. So if you not belong to any of cities mentioned in drop down then select city which is nearest to you.

e Term  Contact Info

6) Access ID will be generated and which will be sent to your mobile number and email id. Now below are some instruction to proceed and complete the process of buying online.

  • You must be in India while buying a plan as you need to undergo the health check up.
  • PAN Number is must.
  • Form 16 or ITR of last three years is must.
  • Details of all your existing insurance (irrespective of insurance company.
  • Details of family members.
  • Details of medical history.
  • Details of Bank like Account number and MICR code etc.

e Term Access Id

Click on Proceed tab and which asks for 10 Digit Access ID. Provide the same and click on proceed.

7) Provide Personal details, Correspondence details, Identity details, employment details, employment details, lifestyle details, nominee details and finally add family members details. Now add your previous policy details, medical details, provide bank details, personal financial quarries and confirm finally that you understood all the policy details.

Finally view the proposal form in PDF format. If you found any incorrect data then modify once again. Otherwise proceed for buying it through net-banking/credit card/debit card.

Hope above information will be useful for you all.

How much cheaper it is?

In below chart I tried to compare LIC’s online plan with offline plan of  Amulya Jeevan, HDFC Click2Protect and ICICI iCare II. You notice that price difference between this new plan to offline plan of LIC is very much. It is around 37% !!!. But if we compare with private insurers online term plans, then still this looks costlier. But not that much. So if you are very much interested to go with LIC brand name then definitely this is best buy.

Even whoever already own  Amulya Jeevan then they can plan to switch to this plan. But do remember that cancel your plan once your proposal approved by LIC and also compare the price difference for your individual age.

LIC e-Term Premium Comparison

So whoever planning to buy online term plan may definitely consider this plan as it is from LIC with highest claim settlement ratio in industry.

Interesting points to note before proceeding

  • Compare to existing offline term plans of LIC, this looks cheaper.
  • Maximum age is 75 Yrs.
  • No accidental benefit rider.
  • No additional riders attached to it. So it is plan vanilla product.
  • You must undergo medical test.
  • It is too early how LIC will give service as currently it is heavily depending on agents force.

806 Responses

  1. Sir, I purchased 2 crore tech term plan. after multiple medical tests in 2 months, now they replied ” without commitment postpone for six months”.
    What does it mean and what steps should i take now ?
    I am a kidney transplant recipient.

    thanks and regards

    1. Dear Sampat,
      Better to interact with the LIC in this regard. Because they may be in a better position to provide the clarifications and reasons.


  3. I say just avoid it. The website is crap. I have made payment twice while purchasing policy. Medical will happen immediately since it’s automated. But no one is contacting me now. All numbers given are either out of order/busy. No response to emails for refund of excess amount. My 17k stuck with them, with no idea when I will get insurance/refund. Avoid Tech Term online plan. Better go with pvt. insurers.

  4. Good luck to anyone looking to purchase LIC Tech term policy. I applied for this policy six months ago. In those six months, I was asked to undergo medical tests twice as my sum insured was greater than 2 Crore. The response from both LIC and the medical team has been extremely poor and lacking. Both of these teams wasted a lot of time. Finally, as per LIC policy, my insurance proposal was rejected as it had been more than 180 days since the proposal was submitted.

    I would strongly recommend against purchasing LIC Tech Term. Their website for collecting documents is poorly designed and absolutely not user-friendly. They are extremely slow. There is almost no internal coordination between their departments. If this is how they handle applications for first-time customers, I can only imagine what may happen in the event of a claim file.

    1. Dear Nikhil,
      Thanks for sharing your horrific experience with LIC. I completely agree that LIC still have to develop a customer-friendly approach rather than 1947 attitude towards customers.

  5. Hi Basavaraj, I am 24 years and single working in private concern and my current annual income is 2,16,000 also I am doing agriculture and earning nearly 2.5 to 3 lakhs annually…I have not paid any income tax yet as my salary not falling under that category…I am thinking for policy sum of 10000000…as I checked in lic found I am eligible for that with total of my salary and agriculture income for 400000 per annum…but I have only salary slip for annual income of 216000…agriculture income not deposited in Bank account…can apply for this sum amount…i need to know that my application will be accepted by lic as I am only submitting my salary slip of last 3months which have income of 18000. Please help me to know. Thank you.

  6. Mr Basu – Greetings of the season!! I have recently purchased this e Term Plan for myself . I am a 32 year old professional working in the corporate sector. Interested in buying standalone CI and Disability Insurance, solicit your opinion.

      1. Mr.Basavaraj i am a govt servant aged 44.My annual income was around 4.5 lakhs.i want to take eterm policy for Rs,10000000.but whenever i apply online it always shows that” for the declared income you are not eligible for the sum assured(even i have tried sum assured upto 40 Lakhs)”.how could i know the maximum eligible cover for me.and whom should i contact since its a online policy.

        I am also contact lic through email.But they giving some unconvincing and general reply to me to try again.

        thaks in advance .

  7. Hello sir,

    Regarding e term plan of LIC –
    (1) What is the process of claim settlement for e term plan ? Since it has been brought online, whom to contact during claim?
    (2) Is process of claim settlement for online purchased term isurance plans differs from that of offline mode purchased?
    (3) Whats is difference between online and offline term insurance plan with respect to ease of claim settlement ?


    1. Vinay-1) You can approach the branch which will be informed to you during the process of issuance.
      2) BOTH ARE SAME. But Agents spread this misleading news that ONLINE purchased products are least bothered by LIC.
      3) BOTH ARE SAME to LIC. But for agents perspective it is ENTIRELY DIFFERENT 🙂

  8. I paid premium online and on the same day received call for medical test. Within 2 days i completed medical tests (14th Aug, 2017) but till date there is no further communication from LIC. Despite repeated calls and emails the process has not moved forward. The LIC representation told me first that the agency conducting medical test has not yet submitted report and next said that the people responsible are new to this process and hence taking time. It is hard to understand what is new in this process and why are they taking more than a month to take this forward. I selected this plan based on trust in LIC but this delay is making me think.
    If they do not process in next 15-20 days then i shall ask them for a refund and will take some private policy.

  9. Hi Basavaraj ,

    I am a 37 year old salaried professional in IT (with more than 12 years professional exp). I wanted to take SBI Life – eShield (Term Policy) for 50L. My salary is in the 7 Digits. Now i had sent my “Employer certificate” to the SBI underwriter, but they still insist of last 3 Salary Slips. I am not comfortable in handing them my salary slip since it contains data on my PF , UAN & Salary account and what not… The Employer certificate should be sufficient to let them know about my employment. Wouldn’t it be termed as an attempt to breach my financial privacy, since this kind of data about an individual can easily get into wrong hands!. Why are they so desperate to know my salary components via pay slips only? Is there any other instrument i can use to let them know my salary only ? Is there any other safe process here ?
    Also they can check my details in C-KYC. Will that help?

    Thanks & Regards

    1. Harishanker-I can understand your concerns. But they need the salary slip or IT return. If you have such concern then you can send them the last 3 years IT returns. Using CKYC, then can’t check your income.

  10. I am in middle of e-Term plan purchase. I have paid the premium for Non-smoker category as I neither consume alcohol nor do smoking. Undergone medical examication. After 10 days I received an email stated that you are not eligible for Non-smoker category but eligible for aggregate rate. Hence you need to pay 6000 rs more to get policy.
    I am damn sure that my blood and urine test must be normal & must not reflect any kind of alcohol or nicotine.

    Then why LIC is asking for Agreegate rate? how can I proove my self Non-Smoker? Is there any way to proove myself?

    1. Ritesh-I am not sure what went wrong with your medical report. However, being a customer, you have all rights to ask for the reasons for considering you as an aggregate category than the normal (but you can’t question their hiked premium). Hence, communicate with them and get the answer.

      1. Sir, I undergone retest for Urine Cotinine and got it negative. so after a month of proposal, finally i got my policy without change in premium or compromising proposed term and amount.
        Must say, Bombay office personal are very cooperative. Whenever you mail on [email protected], they always reply very quickly ( all the time i got reply within 15 mins, which never happened with any service provider).

        I am happy much happy with the LIC online term plan service.

        Thanks again for your valuable suggestion.

        Ritesh Oza

  11. I have bought online LIC e-term plan. After 24 hours of the submission of the online form, I noticed that I made some error while filling the form. Now I have to update the data before proceding it but not getting any response from the LIC customer care and can’t update it online also.

    Can you please suggest what should I do?

  12. Dear Sir,
    I have already purchased Amulya Jeevan-II from LIC in 2015, but now after launching Online eTerm I want to switch to it. Is it possible to do so. Because I have previously purchased policy of Sum Assured Rs. 25,00,000 Only and now I want to take of Rs. 1,00,00,000/- which will be more better than that of previous. Hence, you are requested to guide me and how to do this as well.

      1. (1) But Sir, If I am going to buy a new policy then I would have to declare the previously sum assured amount and due to which may be my eligibility to apply for a higher amount will decrease (I don’t know please guide in this sentence). But here (In new policy) I want a lump sum amount of 1,00,00,000/- (One Crore) then what should do to get this cover bcz I am in urgent need.
        (2) Second question: I am already purchased an Income Protection Plan from AEGON you know well that how it works i.e (Annual Salary Vs Sum Assured) then what should be mentioned in new upcoming policy’s Previous Policy Details column where Sum Assured is required by the new Insurer. Please guide in this regard.

        1. (1) Further, I have purchased ICICI Pru i Protect (All-in-one) and want to convert it into Only Life Option Plan. Is it possible?
          (2) If again I apply afresh for ICICI Pur Life Option plan then what is the possibility to accept by the under writing decision. Is it possible?

          1. My annul salary is 7.58 Lacs only (Post tax) and Rs. 7.58 (Pre Tax). Please guide.

            Finally, I want to buy – (i) LIC eTerm for Sum Assured Rs. 1,00,00,000/- (ii) I want to convert ICICI iProtect into Life Option only.

        2. Kishor-1) If you are sure of buying new and dumping the old one, then let you not disclose the existing policy. Otherwise, you can let the old policy to lapse and buy new one. But the risk in this act is that you will be out of cover until they issue new policy on new.
          2) The existing cover of the Aegon policy.

          1. The insured with 3 kids, has nominated his spouse as nominee, If the Insured dies then nominee will get the death benefit of the Insurance and after one year if that nominee dies then who will be next nominee if monthly 1% of sum assured is fixed for more 100 months after the death of the Insured?

  13. Sir,
    It’s stated that ITR of 3 years is a must. But while filing online form there is no option regarding ITR. So please explain when those ITR documents are required and also if is it possible to buy e term for those who do not have either ITR or Form 16.

      1. Hi Sir,
        My age is 24 and I am working from last 1.6 years. Hence, I have only 1 ITR with me.
        So, Is there a way to get any of the LIC term plans : e-term or Amulya Jeevan?

  14. I am a Lecturer in Sr. College, My annual income s abt 7Lks. I have only last year form no.16.
    Can I got term plan for 50lks. Pls provide me contact number to fill online term policy form.

  15. If a BSF or Army person who has policy got died due to war or terrorist attack. than in that condition is death claim cover or not ?

      1. generally lic agent fill the application, he tells me just to sign in the application after giving the related xerox document. in the profession column he fills only government servant though I am a para- military force personal . I think I should change my policy detail ?

  16. Hi,

    I submitted the e-term proposal and made a online premium payment through net banking but payment confirmation is not generated but amount is deducted from my account. How to get the status and to whom query needs to be raised?

    Can i get a customer care number who can share the status of my proposal?

  17. Hi Basavaraj, what are your views on “HDFC Life Group Term Insurance” being offered to Jet Privilege members? It is surprisingly cheap with no documentation and no medicals! Please, need your advise before considering it. Thanks.

      1. Hi Basu, but I’m a Jet Privilege member and I got invitation from jet, asking to join this program. So, are there any cons with this type of group term policy (being offered with HDFC)? Please advise. Thanks.

  18. Hi

    I had undergone angioplasty 1.5 years ago after a mild heart attack and I am looking for any (Online/Offline) term insurance policies.

    In the last week couple of on line term policies were rejected/declined due to my health condition (I am in a good health now).

    Is there any insurance company offering online / offline term insurance for the above condition?

    Thanks in Advance

  19. Hi..sir
    I passed out PG in 2015. I started working from July 2016. I am getting pay slips every month. I haven’t filed IT returns till now. Am I eligible to get lic e term policy. Please tell me

  20. Hi ,

    Thank you for the effort in clarifying questions/doubts. I have couple of queries

    Query 1:
    I am planning to buy LIC E- Term policy Insurance, I have been outside india on a ON and OFF between 2012 and 2014 with stay close to 6 months twice in 3 years.

    There a question , if my work involes travel outside the country, Do I need to mark as “Yes” because I travel was only for an assignment and this is not something I do every year.

    Query 2:
    What is the overall time frame for the policy to get issue after submitting the medical records.


  21. hi sir.. i have following queries below
    1. last 3 years itr foms or last 3 months pay slips are enough to take lic-e term. is it true .
    2. is around 3 lakh per annum package necessary to take e term for 50 lakh and above.

  22. Hello,
    I have paid LIC eterm policy online (Rs. 8900) for 50 Lakh policy amount. I have no health related problem and to my surprise after medical test, LIC comeback and say to pay more Rs9000 totaling my premium to some Rs 18000. I wouldnt like to take the policy with such huge premium. Can I ask LIC to pay back my earlier paid premium ie, Rs8900, because I am no more willing to go for the policy. Does this fall under free look up period. Understand generally it is considered 15-30 days after I get the policy document. As now they ask me pay extra premium and I am not willing to proceed with the policy, is LIC liable to pay back my premium paid?

    1. Pratap-Your policy is not yet issued. Hence, it will not comes under the free look-in period. Either you have to pay the additional premium to issue policy or else inform them that you don’t want to pay the additional premium. Hence, request them to return the premium. They will pay you the paid premium (excluding taxes and medical examination cost).

  23. i want amulya jeevan 2 policy. my salary is above 1.5 laks to 2 laks from bank fd , home rent and agri business.
    but i dont have ITR . lic agent told me that ITR is must like this. how i get term insurance policy. please guide me.
    thank u

      1. ok thanks., and another one policy is anmol jeevan 2 is eligible or not eligible for me?
        sir i want term insurance for 15,00,000/- fifteen laks only.

        but some body is saying anmol jeevan 2 policy provide insurance will give up to 10,00,000/- without ITR
        person like this.
        is it possible?

        or where i get S.A.15,00,000/- policy for me? term insurance.

        thank u

  24. Hi,

    I am a female, school teacher age around 35 years, working in a private school. My current gross salary is 23,000 per month. Till now I have not received any Form 16 nor filed any ITR. I can get my salary certificate form the authorized signatory. Can I go for e-term plan for 2500000?


    1. Sabitrimanjari-Yes, you can get it. But I surprised how can your employer not provided you the Form 16? Check with your employer. Because income proof is must to buy term insurance (either from LIC or others).

  25. My weight is 115 kg and BMI IS 33 with no other health issues. Will LIC charge higher premium from me just on the basis of BMI.

  26. Hello Sir,

    I want to buy Term plan, please suggest me which plan i Should buy?
    Shall I go for LIC? or any other pvt companies?
    I want my family shouldn’t face any problems while claiming for summered?
    Which is the company which is good, easy & helpful for claiming process?

    Planning for 1cr. term insurance, Age 29.

    please suggest.

  27. Dear sir,
    I gone through lic e term n like other companies they don’t have definition for smoker. I used to make 6 yrs back n all private companies are treating me as non smoker but in lic e term the question is ” do u use ot ever used tobacco in any form “? If I click yes then I’ll be smoker and can’t go for high sum assured.. Kindly suggest me should I proceed as smoker or non smoker for lic e term.

      1. Dear Mr. Basavaraj Tonagatti,

        I have completed 31 years . My DOB is 11-8-84. Mumbai resident.
        My concerns regarding term plan are below:

        1. I wish to take 2 term plans (LIC E-Term & HDFC Click-to-protect Plus) for 1 CR each respectively. The reason is HDFC offers additional riders and LIC does not. Can I opt for both the policies at a time?

        2. If yes then, is it mandatory for me to inform both the companies that about both the plans while applying?

        3. I am not a smoker. But I drink occasionally. In that case, will there be any extra premium load for me?

        1. Onkar-1) Try to buy critical or accidental covers separately from general insurers. Avoid riders. Also, go with any one insurer.
          2) I replied.
          3) Yes, based on underwriter’s decision of respective company’s.

          1. Sir,

            Thanks for your quick suggestion.

            Related to above point no. 3, while applying LIC E-Term plan there is no provision to declare drinking habits. It is a pure online application, in such case, how can I declare my drinking habit???

  28. Hi Basu,

    Thanks for your valuable information.
    I want to buy lic e-term but I have confusion about income proof. I have filed ITR this month for first time.
    Can I apply with single ITR or salary slip?

    Please reply

  29. OK and Thank U once again for Ur prompt reply. Now I have no confusion in this regard, and will follow ur suggestion in future.

    1. Hello sir, I jst want to know that can I change the nominee detail after marriage in lic e-term policy? if possible, how to do that?

      Thanking You

  30. Its nice to see someone answering so promptly to every qsn arises from various parts of the country. Thank You Mr. Basavaraj.
    In this context I too have query regarding choosing between Lic e-term and icici prudential I protect smart policy. This product from icici provides not only term insurance bt provides medical support up to 10lk, with disability, rider, double accidental coverage at a very cheap rate!!! That’s where my confusion began, and I am asking U to please reply me in this matter which one to buy. I am in doubtful mind for 6month or so. Is icici insurance a trustee one?

  31. Hi,

    I am 25 years old and planning on buying a 1 crore cover. I completed my MBA in April 2016 and started working at a reputed firm from June 6, 2016 with a salary of 15 lakhs. Since I was not earning prior to this and do not have previous income, will my proposal get rejected?
    Please help since I do not want to delay buying a Term plan and consider it very important. Thanks inadvance!

  32. SIR



      1. thank you very much for prompt reply.
        can i buy with single return slip of one year as as i filed for one year for 2013-2014 only.
        kindly let me know.

  33. Dear Sir,

    The information that you have provided and your replies to the questions posted by various people has been of immense help.

    I wish to apply for LIC e-term (online Term Insurance policy) for my life coverage.

    It would be of much help if you can clarify these for me?

    1.I already have Amulya Jeevan policy with a coverage of about 25 lakhs . Do I need to surrender this policy before applying for LIC e-term ? If so, can you please provide me the steps to surrender the policy ?

    2. Can I increase the coverage amount or period of term in e-Term at a later date, if needed ? If so what are the steps ?

    3.Should I bear the medical expenses for any tests required or will the expenses be borne by LIC ?

    4. Will the premium at the time of applying be fixed or will it be changed after the medical tests ?

    5. Will I get access to the medical reports or will it go directly to LIC?

    6. In case of rejection based on results from medical tests what would happen to the payment made online already? Can I get an option for coverage with increased premium

    7. After few years, can I increase the term or coverage amount if needed?

    8. How long will it take for the whole process to be completed ?


    1. Dileep-1) It is not required. But is purely your wish to continue or discontinue. Surrendering term plan is easier. You just need to stop paying the premium.
      2) You can’t increase coverage or tenure in middle. If you desire to buy additional cover, then you must apply for NEW one.
      3) If the policy is accepted by you and LIC, then the cost of medical examination will be beared by LIC. If it got rejected or you not accepted the terms they put on you, and proposal cancelled means, you have to bear the cost.
      4) It will be fixed.
      5) NO.
      6) If you accept then policy be issued. Otherwise, they refund it. Yes, you can opt initially.
      7) I already replied to in your point No. 2.
      8) It depends on case to case. We can’t generelize and say so.

      1. Thank you very much for your reply. Some more additional queries.

        If I retain Amulya Jeevan, then can the dependents of the insured will be able to claim against Amulya Jeevan Coverage and also e-Term for life coverage?

        Do I need to mention about Medical Insurance policies while applying online ?

          1. What will happen if term plan is cancelled by LIC due to any reason. will they refund all first paid premium amount

            1. Dear Jeetendra,
              It is a contract between you and the insurance company. They have to honor it as long as you pay the premium. Hence, they can’t close the plan for the existing buyers. However, they can stop offering to new customers.

  34. Hi Basvaraj,

    It is a nice initiative and you are doing a great job answering all the queries promptly. I am facing certain issues while applying for this plan. Please find the details below.

    Sum Assured: 1 Cr, Premium: 15k pa, Salary: 7 lpa

    1. Latest Year
    2. Prior Year

    My first job was from Oct 2011 to Jun 2014. I did full time post graduation from Aug 2014 to Feb 2016. I joined my current organization from April 2016. I entered my current salary in “Latest Year” textbox and kept the “Prior Year” text box as blank since I was a student in last year.

    When I clicked on Submit, I got following error:
    “* Income cannot be blank”.

    So, I tried submitting my application without filling the Annexure. But I got this error:
    “* As per your declared income you are not eligible for chosen insurance cover. However, you can modify income details if you have proof of any additional income”

    As a result, I am not able to buy e-term policy. Can you please suggest me, how I can go ahead with this? Does it mean that one has to wait for at least 2 years to buy term insurance so that he can produce income proof of past 2 years?


  35. Hi
    I opted LIC eterm policy for 1 Crore policy for a term of 35 years.
    when i tried to complete the application, i got an error”* As per your declared income you are not eligible for chosen insurance cover. However, you can modify income details if you have proof of any additional income”

    what should be the income to opt for the above Policy.
    Please let me know how we can calculate.


  36. Hi,

    While submitting LIC E-Term insurance questionnaires online, I got an error message as follows: “* As per your declared income you are not eligible for chosen insurance cover. However, you can modify income details if you have proof of any additional income.”

    I am 39, Male, Annual income 6.98 Lakh CTC. I wish to know, how much CTC is needed for eligibility.

      1. Hi,

        I opted for 1 crore coverage. I had a email communication with LIC-Direct personnel. Based on their response, I have reduced the coverage from 1 Crore to 70 Lakh & problem resolved.

  37. Hi.

    I have a doubt –
    I have an existing LIC term policy for 25l.
    I want to take another policy for 25 l with LIC. However, now I have got sugar and my hb% is 8.6% and if I take with LIC, I am afraid if they will raise any issues .

    Should I now take it with another insurer…like SBI Life…can you please help

      1. Thank you, Sir –
        Will LIC reject my proposal and will they make any problem of my existing policy with them. I am very much concerned on that
        I would prefer LIC but I am afraid that if they reject, I cannot get insured again.
        Or should I wait till I reach my hb1% less than 8 and then approach LIC again

        Please help me

  38. Hi,

    I have a couple of queries on this LIC eterm insurance
    – Is critical illness covered in this scheme? any premium waiver?
    – Is death by Natural disasters (ACT OF GOD) is covered?

  39. Thanks for the detailed information.

    Looking at details, it seems LIC eTerm is better choice. I do have one doubt, after insured person’s death what is the claim procedure for this plan? How it will be compared to settlement by an insurance agent?
    Buying an insurance by considering the claim settlement is very important as our dependents have to do this.
    It will be great if you could provide some information on this.

    1. Mahesh-This is an online plan. So, there will be no agent to help you. However, you no need to worry also. Your nominee must visit the concerned branch with death certificate, their bank details, and original policy document. LIC officials will help you.

      1. Thanks for swift response. This is was I thought of.
        The only followup question is, can we select the LIC branch when we enroll the policy? If not, can we claim from any of the LIC branch?
        Sorry for bothering you a lot 🙂

  40. Hi Sir,

    Why term plans are only for working or business persons. Can a normal person who is not working, take insurance ? please let me know if there is any such opportunity.

      1. Thanks for your valuable support

        I purchased LIC E-term plan on 13.04.2016 and completed my medical test on 16.04.2016. My date of birth is 01.05.1987,

        Is there any chance to increase my premium due to my age factor, if my policy commencement date on or after 01.05.2016.Please clarify this.

          1. hi,
            i purchased LIC e-term for 75 lakhs for premium of Rs 11679 /- on 13.04.2016, first medical test conducted on 16.04.2015, i mentioned in my proposal kidney stone in 2013. After the second medical test on 10.05.2016, the revised premium is 27137 /-. i want close the proposal. Please tell me the procedure.

  41. Thanks for the information

    Pl tell, How much disocunt i’ll get in annual premium every year, i want to buy Endowment policy table no 814,

    Sagar J

  42. If i go with Online LIC & not to buy policy through LIC Agent .. then can i get discount every year.

    Sagar J

  43. Hi,

    My age is 46. After entering all my the details, I run PDF report and verified. When I click on Pay button to make payment, the premium amount is displaying as Zero (0). Due to this, I am not able to make payment?

    In the proposal document, it is asking to paste my photo graph and many signatures in many pages..

  44. Hi,

    I want to get insured with critical illness and accidental disability.
    Please suggest me one good company where i can get it.
    I tried searching but ups and downs are there in term and conditions.

  45. my LIC policy (15L) got lapsed. when i checked to pay the amount LIC office which is in my native from were the policy had been taken informed my agent that i need to get the medical certificate done.
    now in bangalore i do not know were i can get this done. please guide. i need at indiranagar reagion

  46. I am planning to buy HDFC I protect and LIC E term policies. Do I need to inform them individually ? If I miss to mentioned previous term policy details , will it cause any issues when actual claim settlement time. Kindly confirm.

      1. Reason, I choose is that one is Semi GOVT and other one Private.. I have plan for take 1 cr. So split into 2 term policies. If any insurer rejct claim other can approve. Just for safer side.. Is that good choice?

        1. RAvikumar-When you apply for second insurance, you have to share the first insurance details. When claim arises, do you feel the second company not communicate regarding this claim? They always look for ways to find fault. Let us say company B not found fault and they are about to accept claim, but due to the information you provided about earlier insurance, they may communicate and what if company A rejected? Also, wait for few years, all database will be centralized. No cheating from anyone.

  47. Hi its Dattatray,
    I am 28 now.Annual income is 6 lac.
    I want to buy term plan.I was thinking like buy 50 lac eterm plan from Lic for 30 yrs and 50 lac from icici for 30 yrs with riders .
    1.Is there any hidden reason appears at the time of claim rejection?

    2. Claim procedure will be the same for both policies?

    3.pls provide 1 or 2 name of general insurance companies with riders?

    1. Dattatrau-1) There will not be any hidden reasons. Because if they reject on their own, then they have to answer to IRDA.
      2) Yes.
      3) General Insurance Companies with Riders? Unable to understand your requirement.

      1. Is it good thing to buy 50 lac cover from Lic e-term and 50 Lac from Icici with riders?

        3. Do you know any insurance that comes with options of riders like accedent benefits,critical illnesse,terminal illnesses etc?

  48. Dear Sir,

    These days insurers ask for history of previous and other current life insurance policies, if any?
    Sir, what impact does it have if someone does not discloses the number of life insurance policies he/she has?
    I am asking this because life insurance is different from general insurance and the Principle of Indemnity does not apply on life insurance…this is what I know so am requesting a clarification.

    By the way, I was unable to purchase the LIC’s online eterm policy bcoz I’m in my first year of job and cannot give the annual income for previous year.

    Thank you.

    1. Sushil-They ask existing LIFE insurance policies ONLY. They not ask for general health insurance details. This question makes them of how much actually is your human life value. So hiding this vital information is wrong and it can trouble in future.

  49. Hi,
    I am planning to buy a 50Lac cover in LIC e-term. I would like to know whether death here means whatever way it is or do they cover only natural death? i couldn’t find any terms and conditions for this policy. Also i would like to know even if i stay abroad for quite a while and during that if anything happens, will they honor the claim?

  50. Hello Sir,

    I plan to purchase the LIC e-term policy for sum assured of atleast 50L and I’m a non-smoker.
    My query is what is the medical test procedure after I purchase the e-term policy?
    Will LIC tell me which laboratory to go and the city too, OR can I ask for the choice of city and date?
    I am asking all this bcoz currently am posted in a village far away from city, so can i ask LIC for date and city as my choice for medical tests?

    Thank you.

    1. Sushil-Your medical examination will be before they issue the policy. Yes, based on your location, they suggest you the laboratory which is near to you and authorized by LIC. They will inform of what documents you have to carry, timing and the name of laboratory.

  51. Dear Basu,

    In LIC e-Term policy, after entered Basic information like this statement appeared above the family details “….. There cannot be multiple entries/no entry for Father/Mother “. There onwards no progress and confirm and proceed option also not responding. Kindly give me suggestion for further steps

    1. Dear Basu,

      Thank you, I successfully submitted LIC e-Term policy after watching your video . I have one more clarification, They sent list of (8) medical tests. Will they conduct these tests or we need to go for private labs? And all required documents and Proposal form send in Offline / Online mode ?

      Thanks n regards

  52. Hi Basavaraj ,

    While Opting LIC e-Term Plan , if we add only one nominee (Ex: Wife) and any unforeseen risk happened for Nominee (Wife in this case) and Insured(Husband) at the same time then who are eligible to receive the SA amount in case if they have children and parents .

    Here the question is the SA amount will be handover to only Nominee or any other dependant in the family of insured in the demise of nominee .

  53. Sir, I have applied for 1 cr. e-term policy online for non-smoker. But after medical check-ups LIC has reply me to pay Rs.6000 more as my test results are of Smokers category. I had never smoke or drink in my life, please advice what should i do?

  54. Hi,

    I wanted to know:
    (1) Does online term insurance policies cover permanent disability at par with death? Specifically for LIC e-term plan.
    (2) which term insurance policy covers the largest types of deaths like terror atack etc.

  55. Hi Basavaraj,
    Really nice write up with all details and comparison.

    I have a monthly income (take home) of 70,000/- rupees and I wish to take a cover for 1 CR. I felt LIC plan is bit costly with a premium of Rs.17000/- per year with no riders.

    . I somehow liked ICIC iProtect smart which gives 1 CR cover + waiver of premium for PD & Rs, 20 lakhs critical illness rider for a yearly premium of Rs.17500/-

    Do you think this is a good move to go ahead with mixed options which gives cover + riders?
    PLease help.


      1. Hi, everyone suggests to buy accidental insurance products separately and not as a rider. Why? Please explain.

          1. Can you please explain what you exactly mean by “features are restrictive along with sum assured” and how “standalone accidental insurance” differs from a rider?
            I am a newbie to this field. So have some doubts which might sound plain to you. Please help.

            1. Indraneel-The whole comparison can’t be explained in this comment section. If you need proof, then consider the rider feature of term insurance which you want to buy and then compare the same with ANY of the accidental insurance features. You find the difference 🙂

              1. OK. I will do that.
                Just one query, Can you please compare between the premium amounts of term rider and a separate accidental disability policy.
                Please suggest some website where this comparison can be made.

                Thank you for your quick replies. I really appreciate your help.

                  1. OK. Thanks. Will do.
                    Any suitable website if you can suggest? LIC’s own website is inappropriately managed and difficult to interpret.

  56. Hi,

    My name in Passport is full but in 10th class and PAN is in abbreviations.
    Please suggest which one should I use when buying insurance.

    Thanks in Advance.


  57. Hi Basavaraj,

    I applied for LIC E-term on 1 Nov 2015 online. And successfully submitted all the necessary documents before 10 Nov 2015. They said there is no need of medical checkup. After completing all the documentation, still they didn’t processed my application yet.
    I’m continuously chasing to LIC office. I have submitted my documents again and again as they requested many times. Every time they say, it will be processed in 2-3 days. I’m not sure why it is getting late. And today almost 50 days passed.
    Should this take generally 50 days ?
    What should I do now ?
    Is there any grievance cell ?

  58. Hi sir,

    I am confused to choose term plan between LIC (e-term) and HDFC (click to protect).
    as per my age LIC amount is more than HDFC plan please suggest me…

    May I know LIC cover which type of death please?
    Like HDFC cover Terrorist attach,natural calamity,suicide,critical decease death & of course Accident.

  59. Hello Basu,

    I am interested to buy. LIC Amulya Jeevan term plan.

    Can we buy it directly from LIC office instead of going through any agent or should i go for e-term.


  60. Dear Basavaraj ,

    In LIC E-Term policy covers Accidental death and Critical Illness ? or I can able to add those additional coverage in LIC policy ?

    pls tell me best e-term policy with above mentioned benefits


  61. Sir,
    I am 36yrs old , married, 3 yrs old son. My annual income is 4 lakhs.

    I am Type 2 diabetics and non-smoker.

    Can i prefer HDFC Click2Protect or Some other Life term policy.

    I need policy with Accident death cover, and

    I wish that, there should be no PROBLEM WHILE CLAIMING because of DIABETICS.

    Please guide me.
    Thanks in advance
    Raam Kumar, Coimbatore

    1. sir , i applied e term plan , and iam completed with all procedure including special bio meteric test for Diabetic , 20 days over , approched the concern they are telling it is kept under writter approval , what can i do next

  62. Hi Basavaraj
    I really appreciate your valuable guidance for investments. I applied for a eterm policy of 60L from LIC and they revised my premium to almost double after the medical reports. Is it possible to know the calculation of their logic for increasing premium. Is it possible to reduce the risk coverage age


  63. HI ,

    My mother is a TTD (trust) employee. its follows all rules(salary etc..) like a govt employee norms. and she is 51 years old.
    my queries are .she wanted to do term policy for her doughter and her take home is 18ooo PM.
    1. Will she eligible for LIC e-term policy? because her yearly income does not cross 3 lacs. But she get pension as well. if it includes it may cross 3 lacs. & .she is diabetic and she does not have any other policies(do not know if ttd is giving any govt polocies.)
    2.As she did is not fallen under income brackets she did not file any IT return. she get payslips everymonth. Is pay slip enough for applying the policy? or she need to collect her for 16’s.
    3. she belongs to non smoker category, on what amount(SA) she can apply.
    4.Do you suggest that if she consult any LIC office will be better?


        1. HI ,

          I recently contacted the LIC for this term insurance. they are telling since she is 49 years we can not provide the term insuarnace instead they are forcing us to take endowment or jeevan anand.

          My mother is a govt employee and she can pay premium why they are rejecting while discussion it self.

          I spoke in LIC people only not agents.


  64. My age 32 i am willing to take term plan from LIC of Sumassured of 25 lakh so kindly advice which plan is best is it pure term plan or Refund of premium i am confuse in between these two . I compare all term plan i find LIC is best in all sence except premium because premium is high as compare to others. But still i can manage it but which one is best term plan or term plan with refund of premium.

  65. Hi,

    I need to put multiple nominees(Parents & spouce) for my LIC online term plan for 50L. Kindly let me know how to opt for multiple nominees for LIC online term plan.

          1. While filling LIC online term plan, After entering nominee details it’s shows error as “We are not in a position to process your request. kindly try later or contact ….”..

            Please clarify

  66. Hi Basavaraj,

    Can you please explain the basic difference between (apart from the premium amount) Amulya Jeevan and e-Term Policy of LIC? Is there any difference in claim process for the e-Term policy? Why should one go for the e-Term policy instead of Amulya Jeevan? Also, is it LIC look out for arranging the medical test if I am buying e-policy?

    Thanks in advance!

    1. Vineet-Apart from premium and ease of buying of e-Term, there is no DIFFERENCE between both (even in claim process). Cost effective is the major force to go for e-Term. For both plans, LIC manages the expenses of medical test. However, if the proposal rejected then in both the plans, they deduct the premium equal to the cost of medical test and return the premium.

      1. Thanks for your reply.

        And, the premium is low with e term as compared to any offline policy, is due to no agent commission involved. Is that right? Also, does LIC provide the hard copy of policy or will it be the soft copy only because of online policy?

          1. Thanks for all the detailed information. At last, I have given the proposal for LIC e-Term policy. Waiting for the next steps whatever communicated from LIC. Fingers crossed.

            Thanks again for your help.

            1. Plz let me know that if their is natural death, accidental death and medical insurance corvered in term policy or not and how the claims are taken do let me know in details
              Thanks in advance

            2. Hi Basavaraj,

              I register this policy on 12th Oct and went for medical test on 20th Oct, now since then the eterm team in LIC saying that the proposal is with underwriter for the decision. But that thing is still pending since last 25 days. E term customer care are not responding as well. How to escalate this matter and to whom? Please advise if you are aware of such situation.

  67. Hi Basu,
    Your information are very useful to all readers. I have some doubts about LIC E-term policy. Please clarify the same.

    1. LIC E-term policy includes the accidental death benefits?

    2. While applying on-line, in the family details which are the details to be entered. Myself, My wife and son are living away from my native place. My parents alone are living in native place. My two brothers are living separately along with their families. Should i include my parents and brothers also in my family details while applying online policy.

    Expecting your valuable reply….

  68. I am willing to go for LIC E-term policy, and have few queries as below. Can you please help me to clarify the doubts?

    1) Can I take 2 different policies of 30L each and put my wife as a nominee in one and my father in another policy?
    2) What is the maximum amount for which I can opt for the Term insurance?

    1. Girish-1) Yes, you can do so. But it cost slightly higher. Second, even if you nominate your father, the first legal heir will be your WIFE ONLY. Hence, she can claim from your father.
      2) It depends on your income, age, health and other issues which underwriter consider while issuing a policy. Usually, they allow insurance of around 20 times of your yearly income.

      1. Thanks a lot for your reply Basu,

        Does that mean there is no other way in which I can ensure that some amount should definitely be received by my father only?

  69. Hi,
    I had purchased E term online. after medical i got an email as below. What should I do?

    Dear Sir/Madam,

    The following is the decision of the underwriters


    We thank you for your proposal No 5247 for assurance but regret to inform you that it is not possible to accept this proposal at present. The consideration of your proposal is postponed .

    Kindly let us have your consent for the postponement of the said proposal, as above, or you could also request for refund of the deposit amount (subject to deduction of cost of medical examination/special reports fees), if you so desire.


    Admn.Officer, LIC Direct

    1. Pounacha-Who take care the risk of the period until they get GYAN and issue the policy? Strange and worst decision from LIC. Just come out or let them specifically mention for what reason they are postponed and when they issue. If they are not specific then it is wrong to wait. Move with private players.

  70. Hi Basu,

    I’m unable to decide between taking Amulya Jeevan II or LIC e-term.
    For a sum assured of 50 L, the difference in premium is roughly 40%. The term is 35 years (I’m 31 year, and 6 months now).

    The 3 main queries I have are:

    1) The LIC agent who is helping me with Amulya Jeevan II clearly mentioned that in that plan, I’m assured till end of life, EVEN AFTER the tenure ends i.e. even after I stop paying premium 35 years from now. Is this accurate? How does this compare the LIC E-term policy? The information online doesn’t really clarify this clause.

    2) Can you confirm that neither Amulya Jeevan 2, nor LIC E-term have any “disability”, “disease”, or “unemployment” benefits? Does the LIC E-term policy also cover Suicide?

    3) Is there a way of skipping the medical test while signing up for the LIC E-term policy (by way of changing the sum assured, or tenure, or specifics about my health). I’m a healthy non smoker, non drinker and am not excited about being poked with needles.

    Thanks for your assistance.


    1. Icarus-1) The biggest mis-selling and the cheater is your AGENT. Amulya Jeevan II works exactly like LIC eTerm. In both the plans life risk ends if your death occurs, at maturity or if you stop premium payment. Now decide yourself how much you have to believe your AGENT and his service for the rest of years.
      2) Both plans not support any disability riders or unemployement benefit. Both the plans covers suicide only after a year of policy start.
      3) If you skip the medical test then they may have more reasons to reject the claim. If you don’t want to go for medical test, then simple solution is to STAY AWAY FROM TERM INSURANCE.

      1. Basu,

        Thanks for your prompt response, and for clarifying my doubts.

        Can I assume you recommend that I book the LIC E-term policy online directly? Is there any benefit at all in signing up for the more expensive Amulya Jeevan II ?
        I noticed some comments around the claim to payment ration being unknown for the E-term, and that it could be risky to buy it?


        1. Icarus-There is no special benefit to you in buying Amulya Jeevan II. But yes, your agent have good benefit in terms of commission. Hence, he may build up lot of theories. For your information, claim settlement of Amulya Jeevan II are also not known. Becuase it is a raw data which not classify whether the settled claim is of term insurance, endowment or ULIPs. Hence, don’t worry and go ahead with online term plan.

  71. Hi Basavaraj,

    Thank you for the information in the article. I have one doubt which I would request you to please help clarifying it.

    I was a smoker and quit smoking about 3 years back. So last 3 years I am not smoking.

    Last year I purchased a LIC e-Term plan for 50 lakhs. While applying I got confused whether I should apply as a non-smoker or smoker. I e-mailed them and asked this question. They asked me to apply in non-smoker category. I applied in non-smoker category and finished medical checkup and got the policy as well.

    Now my doubt is,

    There was a question – Are you a smoker or have you ever smoked. I answered “No” to this question.
    I answered “NO” to that question because I was applying as a non-smoker.

    1. Will that make my policy invalid because I was a smoker previously?

    2. Can I cancel this policy and apply for a new policy declaring that I was a smoker before?

    Waiting for your valuable help.

    I think I committed a mistake by purchasing a policy without consulting an insurance expert. 🙁


      1. Thank you Basavaraj for answering my Query.

        My annual income is 15L. So I was planning to buy another term plan also for 50L from HDFC (or any other provider). To avoid this confusion, I am planning to declare as ‘smoker’ in the new term policy. If I declare as ‘smoker’ in the new term policy will that create any problem? Because I declared as ‘non-smoker’ in the LIC policy and declare as ‘smoker’ in the HDFC policy? When applying for HDFC policy I have tell them that I have a LIC policy also right?

        Thanks in Advance.

        1. Augustine-If you quit smoking since 3 years and you no longer continue that habit in future, then I don’t think it is required to mention about this habit with HDFC too. Yes, while applying for HDFC, you have to mention about the existing LIC policy details.

  72. Hi Basavaraj,

    Let me appreciate you for providing your valuable suggestions to many people who have doubts on insurance policies.

    On Aug 27th 2015 I have applied for 25Laks LIC e-term policy, paid the amount on the same day. Still LIC not issued the policy number. Current status is praposal with LIC underwriter.

    On 01-Sep-2015 I have applied for 25 laks AEGON Religare iTerm Insurance Plan, today I got policy number via SMS and awaiting for soft and hard copies.

    When I was applied for LIC e-term I was not having AEGON Religare policy, When I was applied for AEGON I was not ( still not ) having LIC e-term policy numbers. So I was not able to declare these details.

    Does this impact on claim ?

    Please advise.


    1. Adityakumar-If LIC accepts your proposal at later date than that of Aegon then you have to inform to LIC. However, if policy period start date is prior to Aegon, then you have to inform to Aegon. Informing either of insurers based on the policy commencement date of LIC will relieve you.

  73. Thank you Basu sir for your timely reply.
    I have one more doubt. Please clarify. You say that the acceptance of my application for term insurance will be based on my income, health issues and current insurance. I have already told my income level. I am a Non-smoker category and am maintaining good health. As I already said, I have to pay around Rs.8000/- per annum for Jeevan mithra upto the year 2020 and Rs.4400/- per annum for Anmol Jeevan upto the year 2025.
    1. Please advise me whether I should close these policies before taking term insurance of Rs.1.5 crore for 30 years from any one of the companies so as to get the eligibility for the desired amount and term period of insurance.

    Madurai Suresh Kanna

    1. Suresh-That you have to decide. Because I don’t know for what purpose you bought these policies. But the reality is, endowment plans provide you returns of around 5% and offline term plan is costlier. My suggestion is to apply for term plan without mentioning both these policies. Once you get the term insurance policy issued, then go ahead and cancel these policies immediately.

  74. Dear Basu,
    I am 45 years old. Central Govt officer. My wife housewife. I have two daughters at the age of 14 and 7 respectively. I draw anuual GROSS income of Rs.7.25 lakh at present. You know that this income is to be revised around Rs.9.25 lakh (minimum) from next year due to recommendation of pay commission w.e.f. 1.1.2016. I have read your various blogs. I bought 10 years ago one LIC Jeevan mithra – 1 lakh policy (triple coverage policy) covering upto the age of 50 (Rs.7892/- per annum) and I bought 5 years ago LIC Anmol jeevan for Rs.10 lakh covering upto the age of 55 paying Rs.4400/- per annum. Now I want to buy term insurance for a sum of Rs.1 crore to Rs.1.5 crore and for a period of 20 years to 30 years i.e., upto the age of 75. The premium amount of LIC e-term, HDFC click 2 protect, ICICI prutential I protect, MAX Life, AVIVA and Kotak e preferred for Rs.1 crore and Rs.1.5 crore in respect of term period of 20 years, 25 years and 30 years are given below for your ready reference. Please advise me, after analyzing the tables and my opinions in order to come into conclusion and to take the right decision.

    20 years 25 years 30 years
    1 Cr. 1.5 cr. 1 Cr. 1.5 cr. 1 Cr. 1.5 cr.
    LIC e-term 38988 58482 46170 69255 54378 81567
    HDFC click 2 protect 24443 36665 28878 43318 36252 54378
    ICICI i protect 29526 44289 34086 51129 NA NA
    MAX Life 19200 28800 21200 31800 NA NA
    AVIVA 24169 36254 24792 37188 NA NA
    Kotak e -preferred 21119 30296 22430 32234 24567 35397

    My opinions are:
    1. As per your advice, the risk coverage period need not go beyond the retirement age or some more years based on our financial commitments like children studies, marriages etc., i.e., not beyond 65 at any cost because thereafter it would be a burden to us. But what I feel that if I am covered upto the age of 75, the chances of receiving the sum assured are much more to our nominee / children and that I ask why it should not be considered as one of our additional investments made to our children like House, Land , jewels, FD etc.,
    2. You frequently say that the amount of coverage should be reviewed at the interval of every 5 years because we will earn more in future and the value of coverage might be considered lesser at that time. In this regard, what I feel that though the amount of coverage of 1 crore is considered enough at present it would not be definitely suffice in future. If I increase the coverage amount by separate policy at that time , I will have to pay higher premium and above all there would be possibility of rejection of my application due to medical reason, if any. So I want to increase my coverage upto Rs.1.5 cr. Moreover, I feel that it would not be a burden to me because I pay nearly Rs.3000/- pm now and after a period of 15 years i.e., in post retirement the value of Rs.3000/- would be definitely drastically diminished due to inflation. Hence, it would not be such a heavy burden to me even though I will be getting pension only.
    3. You say that all these pvt companies are much reliable like LIC since they are all have good solvency ratio with IRDA regulations. Moreover, when we do not have the claim settlement ratio of these companies including LIC e-term with regard to term insurance, why I should not go with Kotak for Rs.1.5 crore for 30 years If am not able to go with LIC e-term for 30 years for a sum of Rs.1.5 crore.
    4. All these are only my opionions based on your argument. Please inform me whether my thinking is right and any omission is there in arriving at my conclusion or any hidden clause is there in kotak for their such lowest premium when comparing to others.
    5. I came to know that Kotak e-preferred started only 1.1. 2015.
    Expecting your valuableand timely reply,

    Date: 05.09.2015
    Madurai Suresh kanna.

    1. Madurai-1) Yes, the possibility to get RETURN from Term insurance is more when you turn around 70 years. But what about the value of this sum assured when you turn to 70 years??
      2) First check whether they issue the policy of Rs.1 Cr or Rs.1.5 Cr. It depends on your income, health issues and current insurance. If they issue then go ahead.
      3) No issue, you can go ahead.
      4) I already shared my experience.
      5) So what?

  75. Hi, Can someone help me ? I have recently finished my MBA and joined a company. I didnt file my IT return for the last 2 yrs. Will I be able to get LIC e-term Insurance ?

    Note: I have 3 years IT return filed before I started my MBA. But dont have IT return for last 2 years.

  76. Dear Basu,

    I have applied for HDFC Click to protect life insurance. After medical tests they came back saying wanted to postpone “Elevated blood sugar levels , liver enzymes levels and MER findings” they are not going to share the medical reports me and would like to refund the full money.

    I immediately planned go with LIC though its costly compared to HDFC.

    Do I need to disclose postponement of the policy with HDFC and its reasons while applying with LIC?


      1. There was section in the policy online form it says

        “I further agree that if after the date of submission of the proposal but before the issue of First premium Receipt”

        “if a proposal for assurance or any application for revival for a policy on my life made to any office of the Corporation or any other insurer has been withdrawn or dropped, deferred or accepted at an increased premium or subject to lien or on terms other than as proposed i shall forthwith intimate the same to the corporation in writing to reconsider the terms of acceptance of assurance”

        this should be fine right ?


        1. Mahesh-The first sentence of what you shared is about start of risk. Insurance companies not provide any claim if death occurs during the submission of proposal and issue of first premium. I don’t think the second point create any issue. Because they again suggest you to go for medical examination, where they surely find this issue.

  77. Dear Basu,

    I am 34 yrs old and would like to buy a Term insurance. What is the Policy Term or Tenure in Term insurance policy? and on what basis we should select the Policy Terms (Ex. 20 yrs term, 30 yrs and 35 yrs term). Could u please explain?


  78. Hi Basavaraj,

    1. Can we buy more than one insurance policy?
    2. Is it ok to declare the previous insurance details to second insurance provider if he ask for, or we can hide
    3. If we hide, is there any effect while claiming from both the insurance providers.
    4. If answer the q.1 is ‘Yes’, then how claim process works, if I am submitting all my document to 1 insurance provider, then how to claim from second insurance provider.


      1. Hi Basavaraj,

        Thanks a lot!! for you your valuable reply.

        I more thing i wanted to know is that, all the insurance policy by default cover the accidental death also or only when we buy out for Accidental Death Benefit rider.


  79. Hi,

    I am 26 years old,smoker and wishing to go for 1Crore sum for 34 Years.

    I was applying for LIC e-Term insurance. At initial stage I came across below the question,

    Do you wish to opt for:- 1. Aggregate Rate(For sum assured upto 49lacs, ONLY for aggreagate rate is applicable)
    2. Non-Smoker Rate(For sum assured 50 lacs and above proposer can opt for non-smoker rates subject to findings of urinary continine test )

    I guess i should select option 2, right?
    But I didn’t get the meaning of the terms inside the brackets, for both the cases.

    please elaborate what does it means? If i am choosing sum to be 1 crore then what the bracket sums are saying.

    it will be much helpful.

      1. Thanks Basu.

        But I am confused with the description provided inside the brackets as in below.

        2. Non-Smoker Rate(For sum assured 50 lacs and above proposer can opt for non-smoker rates subject to findings of urinary continine test )

        Can you please elaborate von it.

  80. Hi Basu,

    First off all I would like to appreciate you for your service which is valuable.

    I am planning to opt for LIC e-term plan. I am just curious about below simple doubts/queries regarding e-plans,

    1. As currently I am unmarried, I am putting my parents as nominee. But they are illiterate/unfamilier about internet or anything online. Is it necessary that the nominee be should able to claim online?

    2. If No, Then can they claim offline by contacting LIC peoples.

  81. Hello Basavaraj,

    Thanks for sharing all the above questionnaires.
    Could you please clarify one of my question regarding State of Health in Family History.

    I am planning to take LIC e-term policy. In the online form one has to fill the “State of health” of all the family members.
    There are only 2 options “Good” and “Not Good”.
    My Father is healthy person. But he has diabetes. I am confused how to highlight this point in the online form.

    In this case should I mention Fathers State of health as “Good” ?
    In that case can I manually write regarding his Diabetes using a pen on the application form (where Family History Details are mentioned) before submitting to the TPA ?


  82. Hi Basavaraj,

    I want to buy a term plan with S.A 1cr.I need rides as well with term plan.SO as such i have a plan to purchase two term plan as below.

    LIC(50L)-no rider
    SBI(50L)-rider available(50L). it ok to take two term plan instead of taking one single term plan?what are the disadvantage of taking two term plan?
    2.taking two term plan will create any problem in case of claim scenario?
    2.SBI is having accidental death rider, but what if there is no loss of life and ocurred permanant disability due to any accident?
    3.if SBI is not providing anything in above case then what should be my strategy to cover above as well (2nd question)along with term insurance.


    1. Jagadish- 1)I don’t see any valid logic behind splitting your term insurance. 2) Not at all. 3) Separate your accident insurance with life insurance. 4) That is the reason, I suggest to separate accidental insurance. You get more features with opting facility of higher sum assured.

      1. Hello sir,
        I want to buy LIC e Term policy . My question is while declaring existing policy details whether the policy in the name of my minor son should also be mentioned? Or existing policy details in the name of the proposer only to be mentioned. Again in the liabilities disbursed loan details or the sanctioned loan detail are to be mentioned. Pl clarify

  83. Hi Basu,
    I am trying to buy a LIC e-term for sum assured one cr for 35 yr. term in aggregate category but not able to submit my final application.
    While submitting my application after filling last stage annexure I form (details of current year income and previous year income) it shows a message of “as per your declared income you are not eligible for chosen insurance cover however, you can modify income details if you have proof of any additional income”
    My current per annum income is 4.8 lac p.a and my previous year income was 1.53 lac p.a. I am a salaried person with one year service period…am I not eligible for this plan??
    I am trying to contact LIC but not able to get a response from them…..after looking their service I am thinking to buy the term plan from other private companies. Do LIC improve their service in future.


    1. Prakash-It is considering your last year income (which is Rs.1.53 lakh). Hence, they are saying you are not eligible for Rs.1 Cr sum assured. Now the only option for you is to change the sum assured. Otherwise, try with private companies.

      1. I got a mail from LIC regarding this:-
        “Dear Sir/Madam, Eligible sum to be insured depends on age and your annual income(average of last 3 years) for age less than or equal to 35 years—total insurance cover allowed is 20 times of annual income for age 36-45 it is 15 times of annual income total cover includes your earlier insurance policies also. On calculating this way,if you are not eligible for 1 crore ,try for 75 lakhs or 50lakhs or so”

        Whether sum assured of 75 or 80 lac would be advisable for me or this amount is less(as you said term insurance SA should be 20 to 25 times of your current income).
        To change sum assured do I need to recreate access id.
        Thanks for your reply.

        1. Hi basis, would you please suggest me if 50 lac sum assured be good enough for me as per my salary for 35 year term plan.

  84. Dear Sir,

    I have apply for a e term of LIC.
    Now they call me for medical check up, the location is 250 KM away from me.
    it will cost me some extra, so i want to cancel my proposal.
    please suggest me how i cancel my proposal.

  85. Hi Basu

    My below 2 queries are related to online Term Plans (related to LIC e-Term as well as HDFC Click to Protect)

    (A) Regarding declaring the Previous Insurance details: I have 4 existing policies:

    1)HDFC Classic Assure (Traditional plan) Sum Assured = Rs. A
    2)MAX Life (Max Life Life Gain Plus) Sum Assured = Rs. B
    3)Aviva ULIP Sum Assured = Rs. C
    4)Aegon Religare ULIP Sum Assured = Rs. D

    ## query For LIC Term Plan: Does it matter what kind of policy it is (like ULIP or Traditional) while mentioning different policies. All should be mentioned?

    ## query For HDFC Term Plan: Should the Total Sum Assured by previous insurers = A+B+C+D
    In HDFC website detailed breakup is not asked.

    (B) My Father had heart operation 15 Years before and Hernia operated 3 years before.
    He is fit and able to perform everyday tasks and activities on his own.

    ## query For LIC Term Plan: Does he comes in Healthy or Not-Healthy category.
    (How can I confirm the same with LIC?)

    ## query For HDFC Term Plan: How should I mention these details in the webpage as it doesn’t give an option to write in detail.

    Please advise. Thanks!

    1. Sharma-Yes, existing insurance policies matters more to arrive at further insurance requirement for you. Yes, it is A+B+C+CD for HDFC Life. It is bit tricky. However, currently if he is purely fit then you can mention as fit. Provide whatever they asked for. If you feel it is insufficient then you can write a mail or letter to HDFC Life.

  86. Sir,
    I applied for LIC eterm policy and was issued as well with normal premium which was mentioned on the website. I am 32 yrs/married non smoker. I did not realize what does good state of health mean and I mentioned my fathers health in good condition. But he suffers from diabetes and BP. I worry if there will be problems in claim settlement in case of an unfortunate event. Should I go for a new policy next year since the premiuim for this year is already deducted. Please advice.

  87. I want to purchase LIC term plan of 50,00,000/- fifty lakh.
    I smoke and drink and my current age is 28 yrs .
    Am i eligible for the 50 lakh term plan and how much amount will my wife receive on my death.
    As per your blog i can relate that i can only get 25 lakh ,is my assumption correct.
    for Smoker what will be my premium amount.

      1. I was planning to take a 50 Lac term plan . Will it be wise then to take two term plans of 25 lac each and nominate my mother in one and my wife in the other . In that case i was thinking of LIC e term and HDFC click to protect plus ( Life Option ). i want your advice.

          1. So even if i nominate my mother for one of the policy , my wife will receive the money for that policy if i die ? Hence in that case what should i do ? Should i then go for only one policy of 50 lac and nominate my wife in that ?

  88. I want to purchase a LIC E-term policy.

    After filling the online form, do we need to send any documents to LIC. If yes then who and when we get this info.

    Is it wise to go for LIC Online or Offline Term insurance.

    By going through your post i also think ICICI Term insurance is also good to go.

    Please suggest?

  89. Hi Sir,

    I have submitted online e-Term proposal last week (May 27th,2015) till now none of TPA guy called me for medical tests. And i called LIC number – 022-67819282 / 9284 and mailed them several times ..but no body responded. I think it’s waste of time.. Planning to go with some private(HDFC) term plans.

    Can you tell me how to cancel this proposal and get my money back?

  90. Hello Sir,

    I had kidney transplant in 27-Feb-2006 till then to now ,I am fit and don’t have any problem.I am healthy fit.
    I have already two policies from LIC those have been 5 years old but on that policies i have not declared my medical condition.

    now i want to take e-term plan of INR 1 Cr. where , i will have to declare my medical condition for medical checkup.
    So , Can LIC issue e-term policy for me ? Please suggest.

    Date- 01/06/2015

  91. Sir,

    As per FAQs posted on e-term website the premium once quoted is for the entire period/term. What would b the effect of future revision in service tax, if any. Suppose LIC has quoted a premium of Rs. 34900/ incl. ST for Rs. 1 cr cover, wd it remain the same? or the amount excluding ST wd remain constant over entire cover period?

  92. I want to go with LIC e-term. My age 36 & weight is 95 kg and medically fit. Is my weight create any problem to issue a policy??

  93. Hi Basu,

    I am planning to buy LIC e-term plan.

    Pl let me know do they consider all these way for suddenly demise from accident, Act of God, Suicide, Natural Death (Heart attack or any future illness ) or any else..

    Thanks !


      1. Hi Basu,

        Yes, Its true. Do you have any declaration documents of LIC E-term plan regarding death causes to be consider while settlement policy if anything goes wrong\happen to holder..

        i.e if anybody die from act of god like earth quack or any else.. or somebody suicide in critical condition then do they consider it and settle policy..

        Thanks !


  94. I have purchase online lic e term plan for 25 lakh for 30 years term. After making a payment when I download my proposal form for signing and submitting I found that I have wrongly choosen term 30 years instead of 34 years.

    Is it possible to change term from 30 to 34 years with paying extra premium?

    Is it possible to cancel my 30 years e term policy and newly proposed 34 years term policy after refunding of my previously paid premium?

    I have not submit any document till now, hence my proposal is under consideration.

  95. Dear Sir,

    I have taken LIC e term policy. We have shifted to a new house and I dont have any address proof for the same. Initially I have given address of my new house in proposal form but due to no address proof. I have asked them to change my address in the proposal form to old address as I had address proof for the old one.
    They have accepted my proposal application with my old address. I am planning to change it to my current address later on after having address proof.
    Please suggest and is there any problem…

      1. Thanks sir, but I am getting communication all my email.. What all communication they send on home address??

          1. I don’t have anyone to collect that documents now… We have sold that house and shifted to new city.. What should I do now?

            1. As per recent Rbi circular you can get your address changed in ac on declaration and submit new address proof within 6 months get the same changed and submit passbook copy to lic

    1. Hi Sir,

      Going through the article and the comments have cleared many of my earlier doubts. I have intended to take a term insurance policy from LIC online for 1cr my age being 31.However, there are a couple of clarifications which is requested :-

      (a) Can i link the payment of premium for subsequent years i.e after the 1st year through ECS by giving a standing instruction to my bank.

      (b) Also, i am serving in the Armed Forces and likely to retire in 2yrs time. Will there be any change in the premiums.

      Clarifications will be very helpful,


      1. Sir,

        1. Thank u for the clarifications.I have further ventured out on the options of term insurance and have understood that “riders” can be attached to policies. I am interested to buy policies with riders especially that offers “critical illness” and “disability”.

        2. Have checked SBI e shield. However, they offer disability only due to accidents and not due to any disease, can u suggest any other policy?


        1. Sudarshan- 1) I don’t know which source provided you that information. However, LIC portal still confirms that this plan will be offered without any RIDERS.
          2) That is the reason, I always insist to buy riders separately than bundling them with Life Insurance.

          1. Sir,

            (1) Yes, LIC does not offer riders.

            (2) Can Critical or Disability insurance taken separately not as a rider but as a policy in itself? . If yes , can u please tell some products?.



            1. Sudarshan-You can buy such riders as an independent products from general insurers. But Critical illness and accidental insurance. Nowadays they offer at very cheap price. Check with general insurers.

              1. Dear Sir,

                1. I did check for stand alone policies for critical illness. But majority of them offer a cover of upto 20 Lakhs (ICICI Crisis care). However, SBI offers equal to sum assured or 50 Lakhs as upper limit. Further, keeping track of one more policy is not the case with riders.

                2. Request reply.


                1. Sudarshan-The major difference between going for standalone to riders is, these life insurance companies provide you claim only due to an accident. However, what if someone met with an accident and bedridden or survive with a disability? In such a situation, the standalone companies offer you solution but not the life insurance products.


  97. Respected SIR,

    I want to purchase LIC E-Term Policy. But my problem in 02 points.

    1. Filling of details of Family Members in the proposal. My first marriage held 1997 and a daughter about 16yrs. Since, year 2009, I am living separate with wife & daughter. Several criminal & Famlier cases run in the court. No any chances to Compromise/Divorce near future. She only harasses to me and damaged to my life. She is taking maintenance regular from me.

    But, I did second marriage in year 2013 (not legal/without divorce) and a 01year old son.

    I want to purchase LIC E-Term Plan and as a nominee, nominate to my son (Minor/2nd wife) and appointee name is 2nd wife (mother of minor). Please advice. Can any problem to receive of insurance amount to nominee/appointee, after my death?

    2. Filling of details of existing insurance policy. I have some LIC Policies. In one policy of my daughter’s name (first wife’s). In 2nd policy (Health Plan) Joint with Self + Daughter’s name. In 3rd polcy – nominee is my first wife.

    If, I show above old policy details in the purchase of LIC E-term policy, can any problem to receive of insurance amount to nominee/apointee, after my death?

    If, I prepare a ‘WILL’ in favour of ‘2nd wife and his son’ in this regard. I can safe the above mentioned problem. Please give me clear advice.

    Thank you,

    1. Sanjeev-1) Consult the lawyer on this matter. Because legally I think your first kid also be considered as legal heir. 2) You can provide details without any doubt. They are asking your existing insurance to arrive at actual insurance requirement based on your income. You will not face any problem in that.

  98. Hi,
    I bought the LIC eterm plan for SA 75lakh. I am 33 yr old, and I paid premium of 18100 3 days back. Yesterday I went for the medical. After the tests I asked pathology people about getting a copy of my reports. They denied and said they are only allowed to share that with LIC. You have to contact them. I called the LIC direct marketing guy in Noida and asked about seeing my reports. He denied that they dont have the permission to share. I asked who can give the permission. He cut the phone without answering. I am wondering why my reports are not going to be shared with me. I understand I have the full right to see the findings related to my health, irrespective of accept or reject of proposal. Can you please help me in this regard like what is the way to see the reports. Is it legal to hide the information about client health from the client itself? Or there is some proper way to find out.

    1. Sandy-I don’t think LIC will share the medical reports with you. However, you can ask after the result like rejection or approval. They may share that. But I am not sure they share.

  99. (11 May 2015)
    Hi. Thanks for your initiative.

    Just before I start a Life Insurance Policy and hopefully either in LIC or SBI, I would like to be well informed on the following query.

    I am currently 32 years old & am a NRI for the past 7.5 years now. I would like to start receiving pension from the age of 55 years onwards until death and then for my spouse (or if I died earlier, then the annuity to my spouse). I would like to start investing from November 2015 (I will be 33 years old).

    I would like to know the best policy for such type of annuity.

    I would like to receive at least 1.5 L INR per month then.

    Can you please guide me on this query? Thanks a lot.

  100. You are doing a great service…. I have few queries….1) I work in PSU…Steel Sector..should I click hazardous material and working with conveyer in LIC e term policy form filling…will they ask for extra premium for this….2) I am fully healthy 31 years old non-smoker…but my mother has blood pressure and father is diabetic….will they charge extra premium for this info… 3)I have Amulya Jeevan Term Plan with 25 lakh cover. its next premium is due on 21th june…should I cancel it before taking this eterm policy of LIC…. I plan to take policy of 50 lakh… in non-smoker category….

    1. Gautam- 1) Your work in a steel sector depends on a job profile. For example, whether it involves table job or factory job and what are the risk involved if you have to work in a factory. Hence, analyze yourself and if there is risk, then I suggest to mention it. 2) If left your habit since long and in no mood of going back then mention as a non-smoker. Better you mention parents health status with LIC. They may or may not raise the premium. I can’t say that at this stage. Because it is entirely underwriter’s decision. 3) First let this online policy be issued, then cancel the existing insurance. If they reject your proposal and before that you cancelled your existing insurance then you will not have both.

      1. Thanks a lot for such a prompt reply… I couln’t frame my question about parent’s health properly…In filling the form, they ask whether your parent’s health is good or not good…My parents are leading a normal life…In this age diabetes and BP is quite normal and managable…So, my question is what this good and not good means….and what should my answer be in this case….

  101. Sir, I paid for lic’s e-term policy (plan 825) online on date 05/03/15 and went for medical check up on date 15/03/15 having proposal number 10179.
    I want to know my policy current status please tell the contact numbers and mail address for which to I have to contact?

  102. I recently opted for LIC e-term and after medical check up they have increased premium to 22584 of initial value of 13483. It seems me too high in comparison to other private players in market. Is it possible if i choose to HDFC click2Plus, there also my premium would get increase after medical check up comparable to this? Would it be fine to go through HDFC and check if they can provide me this around 12-15K rs after that i can withdraw from LIC.

    I am non smoker and rarely drink alcohol(almost nil, once in one to two months) but have bronchitis(only experience seasonally when exposed frequently to dust and pollution). This is declared in proposal.

    One this i have stated my father and mother health status as good(since while filling nothing was mentioned about what is “good” ) but thay are suffering from Diabeties. Would there be any problem of claim settlement regarding this. If yes, how to rectify if i go ahead buying this.

    Please advise

    1. Deve-Same happened to me and later on I felt it cost and moved to private insurer. They offered me without any loading. You can try private insurer. It is better to bring in notice of insurer about your parents health.

      1. Hi,

        Are the private insurance companies trustable to term policy? I mean to ask why private companies are giving in cheaper price compared to LIC? any hidden T&Cs in private companies?

          1. Hi Sir,

            I got to know from XXXX life insurance company’s (private) customer care represenative..that based on my current imcome, location and SA, they are going to process with out Medical tests..will it be reliable?


            1. Ram-But I insist you to go with a medical test. If they are offering you without medical test then better to change the insurer. Because they must know you fully about your income and health.

  103. Sir my annual salary is 7 lac in previous year having two dependents. I have taken 50 lacks lic e term, I have 34 lacs group insurance from my employer covering my liability of 24. Lacs +10 lacs additional group insurance. Now what will be my additional insurance eligibility and how much insurance should I go for.

    1. Sanjay-Forget about insurance coverage from your employer. Because we don’t know when they kick you off (harsh but a reality sometime) or you leave the job. Hence, have your own life insurance. Ideally life insurance must be around 15-20 times of your yearly income+any liability.

  104. I bought term policy on mar 09. which assess id is – 673841528. and after all check uo proposal no. is -10263. but till now i have not receive any positive reply and i called many times to direct marketing no. and do no but not recive any proper ans. what should i do.

  105. I applied for a online LIC term plan yesterday. The payment was done online. after doing everything, I received a message ” proposal could not be completed at this juncture, pls. mail to [email protected] for details quoting your acess ID” I mailed them couple of times but they are not responding. Is it a normal process. pls. guide me

  106. Sir after online e term lic plan I went through medical now I have received message that your proposal is completed as policy no ######## does this mean that they have accepted my proposal without any extra premium or they can increase the premium even now

      1. How long it take after giving medical test for providing a policy number by LIC ? I have undergone a medical test on 28th April but still waiting for my communication on policy number. just got one email on 5th May saying that my proposed application and medical reports are shared to LIC for consideration.

  107. I am 34 years old. Looking for purchase of 1. LIC eterm or 2. SBI Eshield for 50 Lakhs for 30 years term. Questions are

    1. Is it good to go with accident cover if I choose SBI? If we take accident cover will it be processed correctly?? Or can Insurance company deny/void the accident cover for any reason?
    2. Do we have any options to cover permanent disability? (in online term plans).

    Pls suggest a plan that can cover permanent disability also? Also state what all are considered as permanent disability

    1. Suresh- 1) My suggestion is to buy accidental insruance from general insurers than with Life insurance companies as riders. 2) This can be easily covered by buying accidental insurance from general insurance companies. But not sure with life insurers. Even though few offers, they restrict many features. Hence, avoid clubbing Life Insurance with Accidental Insurance.

  108. Dear Sir,

    I am going to take Life Insurance Term Plan but bitterly confused. Pl advice.

    * What is best term insurance plan among (LIC, ICICI, SBI) on behalf of their services & claim settlement.

    * In ICICI, for Age 35, Sum Assured 50 Lakh, time preiod 30 year, the preimum is Rs. 8750 and with
    extra (8750+2300) preimum for accidental they increase sum assured to 1 crore.
    for same condition LIC term insurace preimum is Rs 12978, I want to know IS the LIC has also a option for
    accidental preimum or not.
    At ths same amount ICICI give Death benefit of 50Lakh & accidental benfit of 1 crore.

    * I m from Delhi and try many time to LIC customer care or regional number but they not responding, some faith in LIC but scared if this is their poor sale service then what I accept them for claim settlement.

    * after filling LIC onling eTerm plan, what is next process to get this policy bond/hard copy.

    kindly reply soon to get the same at earliest…..

    1. Chitra-1) All the three are best. You can go ahead with anyone of them. 2) LIC not offers accidental rider. But in my suggestion it is better to buy accidental insurance from general insurance companies separately. 3) It is you to decide. Personally, I feel LIC still lags in case of adopting technology and making process customer friendly. 4) They communicate you through mail. Ideally the next process will be of medical examination.

  109. I had a simple question . I want to take a loan in the next one year from HDFC and want to buy term plan now onwards.

    I opted for LIC Term Plan Online but one of my agent suggested that if I take only LIC term plan it will not be considered when I take the Loan from HDFC and if I take a normal LIC term plan then only HDFC will consider it.

    Is this true or he is just misguiding me for his commission.

    I did check may of the post but no one had asked this question. So sorry to bug you on it.

    1. Roshan-It is completely falls. Even there is no mandatory that you must buy term insurance while going for home loan. But to be at safer side, you must buy a term plan to protect yoru liability. This insurance may be from any company of your choice and offline or online, it is purely your take. If you planned to go for online LIC term plan, then go ahead.

  110. Hi
    I have applied for the e-term policy of LIC over a month back now, my medical examination was also completed then only and I also submitted the requisite documents to advised person only. Thereafter I got email from LIC that my policy has been submitted to the underwriter for the requisite action. It has been approx one month now, but I haven’t heard from LIC since then. What to do? How to check what is the status of my policy proposal?

  111. Hi Basavaraj,
    My husband has an insurance of Jeevan Anand for 40L coverage , and he earns 12L per annum and is 32 years old ,and the premium amount is 75K per annum . But the sum assured of 40L is too low and hence we think of cancelling it and starting a new e-term policy. But reading the diverse information here, I now feel that we should retain it as it is better to keep the e-term only till age 55 to 60 , by when we shall be in a good financial state and also because Jeevan Anand has certain benefits also ( it is also a pension scheme and life cover is till the insured is 100 ) .

    Can you please advise us on the right move here ?

    Many thanks in advance,

    1. Srmenon-Jeevan Anand is good if you feel 5% to 6% return is BEST on your investment for such long period. Otherwise think seriously to come out. Buying term insruance seems to be best solution that retaining this. For your information, this plan not provide any pension benefit. Also do you feel insurance required for your husband after his retirement? What will be the value of this Rs.40 lakh after say 20-30 yrs??

  112. I am turning 29 years next month , May 2015.
    How this 35 years of maturity is calculated, I mean shall I buy this plan now or next month after turning 29 years old ?
    I have checked and premium are same in both cases- now and next month after me turn 29 years.

    1. Akshay-They calculate based on your nearest date of birth. Suppose currently your age is 28 Yrs and 5 months then your age will be 28 Yrs only. However if your age is 28 Yrs 7 or 29 Yrs 4 months then age will be 29 Yrs.

  113. Hi.
    I plan to take LIC Eterm. Am having the following doubts for filling online application.
    1. I have purchased a land taking home loan 2 months back. I will inlude this in the loan details. Whether I should include this land under my assets details.
    2. In future if i purchase loan for construction will i need to inform LIC.
    3. I have opted my Aunt(sister of my mother) as my nominee. Am staying with my
    grandparents, away from my parents. My father died few years back and his death
    certificate is not available with us. Whether any need for death certificate of my
    father or presence of my mother will be needed by my nominee during claim.
    Application needs to fill the family details. Whether I need to add my aunt in the
    family details(aunt is staying seperately).

    Kindly reply to the questions or please suggest any options/links to get the answers of the questions. Am dialling to LIC on the contact numbers given on the page for last 2 weeks. But no one is attending.


      1. I have purchased the plot by the financial help(50% 0f land value) of my aunt. So I am nominating my aunt.
        My father died because of blood cancer(liquor).
        1. Whether I need to mention the cause of death as natural or others.
        2. In this case whether during claim any need of health report or other things of my father will be needed by my aunt.

        1. Nair-Whatever may be the reason, but in case you are unmarried then first priority should go towards your mother. It is left with you to whom you want to nominate. 1) Better to mention it (defnitely they raise the premium). 2) You father health reports not required.

          1. Thanks a lot for your kindly advice. I will think and decide about nomination.
            May I know why they raise the premium. Its not a genetical/heriditary disease.
            Am a non-alcoholic and non-smoker too.
            If they don’t need any health report during claim then to avoid extra premium why shouldn’t I mention death by accident or simply mention my father as alive. Will it cause any problem??

            1. Nair-Especially LIC is too apprehensive in issuing policy. For small issues I know they raised around 20% to 50% of premium. But hiding materiel facts may lead to claim rejection. Hence don’t hide anything. If they issue then go ahead. Otherwise rest of companies are there.

  114. Great to see such a social service in this era.

    Pls tell in LIC e term plan:

    1. Can we change nominee
    2. Can we appoint nominee, if he is not in blood relation
    3. Will nominee get money on accidental case death
    4. will insurer get money if he mets accident
    5. after giving money online while filling lic e term plan, if i felt, premium increaed after medical tests
    & i dont want to go further, will i get my money back & how.

    Thanks in advance

    1. Ankur-1) Yes 2) Nominee must be within family. 3) Yes 4) Life insurance is meant for death. So if death occurs due to death of insured then his nominee will receive. 5) Yes you get it less of medical examinaiton cost.

  115. Dear Basavaraj Tonagatti,

    I have go through with your Post,
    i am planing to buy a term plan to secure my family. request to help me buy a best term plan for me.

    I am 31 year old and income is 6L/A, depend are my wife only hope after few yr a kid also.
    i am smoker a day 3-4 max and light drinker in month only.

    i am confused with LIC, HDFC and ICICI, i want to buy a term plan which accidental death also.
    please help for 50 lacs cover


    1. Kripa-All the three are best. No doubt in all three. Go ahead with your premium affordability. Also don’t forget to mention your habits without hiding. Better you buy accidental insurance separately from General Insurers.

  116. Hello Sir
    I came across your blog randomly and found it very useful and informative for people like us.

    I am a 27 yr. Male, central govt employee with one and half yr service period and want to buy a e term, would be thankful to you for answer of following queries.

    1. Is it necessary of having 3 yr. Service period to be eligible for this plan, am I eligible for this plan?

    2. Is it necessary to inform lic about change in life style after getting the policy like if someone start smoking or drinking after buying the poliicy, if yes then how.

    3.for 1 cr sa for 35 yr. term an lic agent told me for offline term of premium around 24k p.a and offered me medical would be done with all o.k report and when I checked same in e term with aggregate category premium is around 22k p. a should I go with agent for offline term plan???

    4. I used to smoke 2-3 cig a week for 1 year but recenty i quit smoking, can i go for non smoking category in e term.

    5. I don’t have any policy, other than this what other insurance should I take .
    Questions are long but hoping for your reply.

    1. Prakash- 1) It is required to average it your income. But you can show previous year ITR and buy term plan. 2) Not required. Because they ask only while issuing a policy. 3) If he is claiming that all medical report be ok then he is not only cheating you but to LIC. What guarantee that he will not cheat your family when your death occurs? Stay away from such cheaters and buy it online. 4) If you are sure that in future you not smoke then mention as a non-smoker. 5) NONE.

      1. Thanks for your advice.
        Actually one year was my training period and I was getting stipend for one year which was non taxable and after that I joined my job since last six month so I don’t have ITR, am I eligible for this plan?

        Secondly Because they are also doing medical test and on the basis of that they may increase the premium then how does it matter to lic if I will not smoke in future……just asking.

        1. Prakash-You are eligible. But still, I suggest you to discuss with LIC officials on the same. It does not matter to LIC because rules they follow allow them to check during policy issue but not throughout your life.

  117. Dear Sir,
    I have gone through some of the query and your reply, I feel you are correct person to clarify my query.

    Sir, I have LIC Term Plan of 30 yrs,with Sum assured 2500000 opted in year 2011. On 2014 I have taken Home loan of 2450000 along with insurance. Home loan is on name of me and my wife. She is house wife. Requesting you to clarify Following:

    1) If I die, do my wife will get the waive-off from paying Home loan EMI(Home loan is in name of both of us)?
    2) Is it advisable to take Home loan with insurance or Separate Term Plan?
    3) Insurance taken on Home loan is possible to cancel?
    4) Is it possible to increase Sum assured on existing Term Plan?

    Thanking you in advance,
    With best regards,

    1. Jignesh- 1) What policy wordings say about this? 2) Better to buy separately. 3) You can do so. But they usually not allow. Because you have given initial ECS mandate 🙂 4) Yes you can increase it any time.

  118. Hi Mr Basavraju Garu,

    Thanks a lot for this website and helping us in understanding the insurance details. I am a 35 year old and looking to take 1 Crore e-term policy from LIC website.

    I used to smoke earlier but I stopped smoking about 1.5 years back. I am very confident that I will never smoke in my life again. Should I declare myself as a smoke or non-smoker in the website? I didn’t see any option, which says used to smoke earlier but stopped now.

    Second, I take about 60-90 ml of once in a week (strictly once in a week), should I declare myself as drinker? I feel, 60ml for week is very less to call myself as drinker and have any potential threat to my life expectancy. Kindly help me with these doubts.

    Thanks again.


  119. Sir,
    Thanks for nice article!!!
    I was interested for LIC e-Term plan but I found that I cannot buy the plan through Credit Card.
    Is there any other way in order to buy thru Credit card pl.

    Rajiv Hota

  120. Hi sir,
    Am planning to take e-term policy. Could you suggest whether taking policy through service brokers is good or not. Or better to purchase online myself. Where should the nominee contact in terms of claim. If purchased through service brokers will they help the nominee during claim.
    Kindly explain within how many days of my death should the nominee need to submit for claim. What happened if I died when the policy is active but my nominee submitted for claim after lapse of policy (including grace period).
    Two years before I purchased a endownment plan with other insurance company. But now the policy lapse because I had not paid the premium. Should I enter the details of this lapsed policy in the form. Am not able to surrender that policy because paid premium for only one year.


    1. Nair-Better to go online. Because who knows he will be same business at your death? Who knows whether he support your family or not? Regarding claim procedure, better you contact insurer. No need to enter lapsed policy details.

      1. Thank you for the reply..
        Kindly explain within how many days of my death should the nominee need to submit for claim. What happened if I died when the policy is active but my nominee submitted for claim after lapse of policy (including grace period).

  121. Sir,i want 2 know wether term assurance rider is available with new jeevan anand.if present what is the maximum amount of term assurance rider i can take?

  122. Hi Basavaraj, I applied for LIC eterm in Jan 20015 undergone medical also, but still i did’t get any response. So, i called the customer care, they told my proposal is postponed for 6 months and told i will be getting email regarding same. But still i did’t get any email, when ever i call customer care they are telling same, but did’t get any email. Its been more than a month.

    Whom to complain????

  123. Hi Basavaraj,

    I really appreciate your effort in providing required information to people. I have not gone through each and every comment and response of yours. I just want to ask about LIC eterm insurance, it might possible that similar queries are already asked and replied by you.

    Basavaraj, kindly suggest which insurance option is good for Rs 50 Lacs. These days LIC eterm insurance policy is very popular. What is the benefit of buying online insurance as compared to offline insurance except from premium amount.

    What all exclusions in LIC eterm insurance?

    Looking forward for your response.

    Ankit Garg

      1. Basavaraj, what is your opinion on SBI eShield? I found that LIC is only providing Life insurance whereas SBI is providing Life insurance along with accidental insurance. Whether person should go with separate insurance for Life and accidental or combined is also good?

          1. Thanks for your response.

            Is there any specific reason for having separate insurance for life and accidental?

  124. Sir,
    Thanks for providing so much valuable information and helping people with the complex things.

    I have recently baught term plan from HDFC. While submitting the proposal I had three active Life policies
    2 LIC policies (Term + Endowment), 1 ULIP from Max. Based on my discussion with advisor of
    I did not mention about these policies in the online application form as I had decided to cancel/surrender those
    after getting new term plan. Now I have closed these three policies.

    Was it a mistake of not mentioning those while submitting the proposal?

    Do I need to inform HDFC about other policies cancelled after getting their Term plan?

    Nilesh Sawant.

  125. Hi Basaravarj,

    After going through one your comments on someone’s question, I have got this doubt please advise..

    1. While filling LIC e-term proposal, should we even need to furnish the details of the infant(who could have been younger sibling to me) who died at the time of delivery, because of complications arose. The only reason trying to understand this is that, there should not be any problem in future after taking the policy.

    Thanks in advance for your response.

  126. I am sorry, some how I could see my first question after submitting hence I submitted it again, answering either of that will help me, I really apologize for any trouble caused here

  127. Hi Basavaraj,

    I appreciate your efforts in providing the iformation on Insurance….

    I have a question on furnishing the family details in filling proposal form of LIC e-Term..

    – There were an elder kid to me in our family who passed away at the age of around 7-months, at the time our parent used be in a small village where there was no good medical faclities and they were not much educated so not sure the medical reason why he passed away(other than) just fell sick. I request your advice whether to provide this information or not. If need to provide, can you guide me on what further details do I need have when they(LIC) contact for with any additional requirement.

    Thanking you in advance for your response with guidance.

  128. Hi Basavaraj,

    Nice initiative and you are doing a great job for solving issues and clarifying doubts.

    I have recently opted LIC’s e term plan without any additional premium.
    My query is regarding the premium which I need to pay every year –

    Instalment Premium 14700
    Service Tax 1764
    Education Cess 53
    Total Premium 16517

    Is this mean I need to pay 16517 every year or only 14700 every year?

    Thanks for your advice.


      1. This means service tax and educations cess is applicable every year?
        BTW I have registered this policy and online portal shows 14700 premium.

  129. Hi Mr. Basavaraj,

    I had applied for LIC Eterm policy (Age 31 years, 40 lacs) recently and received an email on 31st January, with the Premium receipt and Welcome Letter.

    Today on February 7th, I have received the hard copy of My Policy but it has a cancelled seal on the back. I had filled all the information required in the Policy form.

    My age is 31 and i had declared that i smoke. They have not attached any test reports with the policy that they have sent. I had paid a premium of Rs. 11142 online.

    What should i do now. Does the Insurance companies share the medical reports among each other through IRDA.?

    Will i be able to get the term insurance through others. Will i get my premium back. Please share your views.


    1. Mani-How they can issue policy document when they not accepted your proposal? What they mentioned in their policy document? Usually LIC not share the reports. None of insurance companies share the medical report. First check with LIC whether the policy was issued or not. If not then go ahead with other insurers.

      1. Dear Mr. Basavaraj,

        Thank you for your reply. Also you have written a very nice article here. I was travelling last week hence could not reply.

        Yes, they have sent me the policy document on 7th Feb with policy number and other details mentioned on it. But in the back side, there is a seal of “cancelled” on it. I am trying to reach them on the provided contact numbers of their concerned office in Santacruz, Mumbai but there is no response from them. My call is being put either on hold or nobody picks up.

        I have emailed them twice on the provided email id (No reply) and dont know how to get the further information from them. Please advise what i should do now. I didn’t expect this from LIC at least.



  130. Dear Basavaraj,

    I really appreciate your effort in responding each and every comments. Also a very well written article.

    Below is my situation:

    I applied for LIC e-Term plan for non smoker category. My premium was 9663. After going through medical tests, in the final decision, they increased the premium amount by more than 50% (now 13933).

    Below reason they mentioned:

    “Kindly note that your e Term plan has been accepted with extra premium of Rs 0.76 per thousand Sum assured. The extra premium is charged on opinion of our medical referee on medical reports submitted along with the proposal form.
    Your revised (including service tax)premium is Rs. 13,933/- (including service tax). You are requested to kindly remit the balance amount of Rs.4,270/-”

    Also below was the disclaimer:

    “The extra premium is required under this policy is based on the assessment of the specialist medical examiner and underwriter on the long-term implications of the current health status of the life proposed and are in no way indicative of any immediate serious health problem. Since LIC of India is covering the risk for a long period of time, the extra premium proposed is based on the implications of current health position if remain unaltered over along period of time. The extra imposed under this policy does not necessarily mean that the same shall be applicable for future policies also as every policy is issued after assessing the risk independently at that particular point of time. It is also possible that future policies may be issued without any extra if the medical reports so warrant at that point of time.”

    Please suggest, should I continue with that or should drop it.

    Thanks in Advance

      1. Thanks Basavaraj for your reply. I just got reply that they have increased the premium on account of the high GGTP. I inquired at the test center and found out my level of GGTP was 72 whereas normal level is <65. I am pretty much sure that there was some problem with the test at the test center as the level should not that high as I don't consume any kind of alcohol,smoking. I am planning the get that test done again on my own from some of the renowned diagnostic centers like "SRL Lab" or "Dr Lal PathLabs" etc.

        But the thing is if I found from outcome of test that my GGTP level is normal, how can I proceed with that? Or suggest some other way.

        Thanks for your time.

        1. Nitin-The problem is they not accept your theory. It happened with me, they found some fault in ECG. But private insurers done the same test and issued the policy and that private insurer’s appointed test lab not found any wrong. So try your luck.

          1. Just to make sure, I got the GGT (Liver function test) done by myself from SRL Lab and found the level to be 52. Normal range for my age male should be between 0-41. I don’t know why my level is up as I am completely non smoker but yes, the level is high. I also found out on net that it can be up for several other reasons for example fatty liver etc i.e. not only due to smoking.

            Therefore I gave up the idea of quitting LIC (although premium is still high in comparison to other private players but I can live with it only because its LIC) and paid the rest of the premium. Now I am relaxed because if I was ready to pay 10000 premium in an year, I can easily afford to pay 4 more thousand and live with a piece of mind.

            Anyway, thanks for your valuable suggestions.

  131. Dear Sir,

    My income is 4.4 lacs per annum and I am 27 years old and so far I have not made any investment. Kindly advice me on how and where to invest. I have been reading articles and reviews on insurance policies, mutual finds, PPFs. But Still I am confused.
    I Want to invest in plans where in I can get money at certain junctions, like when my child goes to college, when he/she is getting married. Does LIC offer any plans for this.

    1. Jacqueline-First buy term plan, health insurance, accidental insurance or critical illness. Once they are at place then create emergency fund. Finally identify your financial goals and based on that choose products.

  132. Sir,
    I purchased LIC E term plan and paid the mentioned on the same day through net banking. After medical test the premium amount increased 85% from the original amount. after so many request, still they not mentioned the reason and simply say high i decide i will check my health and after that i will purchase t it. so, now i want to withdraw my proposal. please give me advice to claim my paid amount.

    1. Seenivasan-Usually LIC not provide any health reasons. But the short way for you is to contact the testing center where you undergone the medical examination. They may provide you the details like what went wrong to raise the premium. If you feel the loading is more to you then shift to other companies.

  133. I want to take lic e term plan
    But I have not filled ITR of last 3 years
    instead I have filled it for 2 years.
    whether it is valid or not>>
    whether in future there is problem regarding claim or not??

  134. Hi,
    I am planning to buy LIC eTerm plan for my self, but I have few questions which confuse me, and I am not able to take the buying decision. Kindly help me out in these questions:

    – Does LIC eTerm plan cover death due to terror attack or death due to natural disasters like tsunami or earthquake, as I have checked with ICICI which is providing the same cover.
    – How much time does they take for claim settlement after ones death.

    Kindly help me out with these queries.

  135. Hi Basavaraj,

    I apreciate your efforts in providing the information which is very helpful on term plan.

    I am planning to take “LIC e-Term” plan for self.

    My question here is while filling up enroll ment form online for “LIC e-Term” , in family information section they asked a question like, State of Health (options being “Good or Not Good”) of family members, my Mom is a daiabetic patient , should it be considered as “Not Good” in fillign up the forms. if so please guide if this will have any impact on my premium(for your information I am not daiabetic)

      1. Hi Basavaraj,

        thanks for the information provided on my previous query, and request you provide me the info on following questons.

        1. Under “Medical details fo the life to be insured”, we have a question “Did you ever have any accident or injury”, Please guide if I need to Yes/No, I did not met with any accident but fell down from bike couple of time, But no major injuries so I am confused what to update while filling the proposal form.

        2. I would like to know if we can nominate(share certain % among my family members).

  136. Hi Basavaraj,

    Thank You for this information. Its really helpful for people like who are thinking about buying their first insurance policy. I am currently thinking of buy LIC eTerm. However I have the below questions. It will be really helpful if you could clarify those.

    Does LIC eTerm cover Accidental deaths such as road accident or any other type of accident? (eg. a building collapse, etc?)

    I am hearing from people that LIC eTerm will cover only deaths due to illness. (such as cancer, heart attack etc)

    I want to buy one term policy that covers everything. That is why the question.

    1. Roy-Yes it covers the death reason mentioned by you. But this policy not offers any riders. So you will not get any additional benefit like accidental rider benefit and all. Instead they pay you the sum assured amount.

      1. I am already having a LIC term policy Jeevan Amulya for Rs.70 Lakhs taken in 2013. I am paying a premium of Rs. 21630/-
        Now when i checked premium for same SA , premium comes to only 11000.
        Should i continue with previous policy or get a new policy with all medical formalities. They may increase premium due to drinking.
        I am confused with this.
        Please help.

        Thanks in Advance.

  137. And in my prtfolio i am with three funds from last two years ,they are


    SHOULD i continue with this or what ever else you are feeling please tell me

      1. Hi

        one of financial advisor give me those funds and now i want to review my investment
        please suggest me are they good or i have to change please give my portfolio if you can ,i am investing in these funds from last two years .

        1. HELLO

          i am really impressed from your knowledge hats off to you.

          basu sir actually i want to start a new SIP for my newly born child for long term say for his education and all that .i want to know the funds you mentioned in your top funds for 2015 are good or any other funds for children’s.

          And in my new investment i want to do it from DIRECT plan without that adviser how can i proceed
          and please guide me so that i would take this step for my benefit.

          And there is any way of getting in touch with as soon as possible through phone or any other medium ,if its ok for you sir

          Thank you
          Nitish Kumar

                1. Hello

                  Ok sir i would like to add icici focussed fund and in first line are you saying about change form SBI ?

                  if it is then pz tell me which fund from large cap or small cap what ever ?
                  and what is the best way of going from one fund to another
                  is it redeem and start new one ?
                  any other way
                  kindly suggest

                    1. hmmm

                      sir i am confused about

                      are you saying ICICI focussed instead of sbi FMCG
                      icici focussed
                      and change from sbi

    1. Hello sir how are you?

      sir thank you for your valuable feedback and giving so much imp information about my profile

      sir can you tell me one more fund which suites my profile and risk ratio?
      right now i decide to go with

      icici prudential discovery fund
      icici prudential focussed bluechip fund (previously sbi fmcg fund)
      and one tax saving
      BNPP tax saving fund

      please also tell me i choose icici focussed bluechip fund in place of sbi fmcg
      and i want to add one more SIP so for that either i choose another one or remain with SBI fmcg,
      if you think not to remain with sbi then give me name of one more fund for bettering my profile and risk ratio.

      please tell me

      Thank you
      NIitish kumar

        1. Hello

          I was thinking of one new fund because of

          ICICI focussed entirely for child
          ICICI discovery for future needs
          and other BNPP as tax benefit

          and one new more for reserve kind of.
          but Now i think according to you i divide my new SIP in those existing funds.

  138. Hello Mr. Basu,

    My regards for you.

    I am planning for buying LIC e-term plan.

    But i got confused on the detail they are asking . They ask many details.

    I need somebody who can professionally fill the form with no error.

    Taking online term is a tedious job.



    1. Paritosh-It is more simple than letting your agent fill the form and signing it with blind folded. Also non riskier than buying through agents. Because you know what you are disclosing. If you find any difficulty in filling the form then either you can contact their customer service or comment here. We can discuss further.


  140. Hi,
    I have taken term plan from LIC, my medical test all has been done before couple of weeks.
    I am trying to call them, but no response and no mail reply.

    I called on phone 022-67819284, one lady picked up and ask me hold the phone, I was waiting and she dropped after 5 minutes.

    Please suggest where can I complain about this lady.

    Guys, please dont go for LIC term plan, very poor service.

    1. Bhawana-In my case I applied and everything was smooth until I get back my paid premium (They raised premium so I rejected their quote). Don’t know what went wrong in your case. Hope for the best and early resolve 🙂

    2. Even i am facing same issue… Worst customer service. I am calling 022-67819282 and 022-67819284 from past 3 months they picked only twice and told they’ll call back with in five min, but its been months there is no response. Can anybody help whom to approch??

  141. Hi,

    I have purchased AVIVA online term before 3 years for 1 CR for which i have provided all relevant information and my medical test is also done. but i have not checked AVIVA settlement ratio at that time.

    Now my friends is suggesting me to shift to LIC as their claim settlement ratio is best in the market.

    Now I am confused. Please help me in selecting best option for me.
    1) Continue with AVIVA and purchase separate 50Lacs term plan from LIC online.
    2) Close AVIVA plan and purchase 1CR term plan from LIC online.
    3) Any other which comes in your mind.

    Thanks in advance.

    Taranjeet Singh

      1. Thanks for your quick response.

        One more query-
        I have just checked that HDFC Click 2 Protect plus policy is providing term for 40 years as compare to LIC which is for 35 years.

        HDFC have a option for single payment as well which is about 45% as compare to annual premium aggregate till term. So can i go with HDFC, if yes then which payment option – single or annual.

  142. Thank you for good article.
    Just need one suggestion from your side as I m thinking to take on term plan.
    As LIC is not having any riders so is it better to go with HDFC as they cover accidental,giving other options also.
    I am getting confused with LIC OR HDFC with whom should I go as LIC is just simple term plan nothing covered e.g illness,accidental etc…then what is use of that term plan?
    Please advise, what I am thinking is in right way or something missing.
    could you please post one article of comparison between lic eterm and hdfc cover 2 protect.

  143. Hi Sir,
    This is Mahipal from Hyderabad planning to buy term insurance for 1Cr 50L each from LIC and AVIVA is it good idea please advice.


  144. Hi Sir,

    Are unemployed people get Term insurance either from LIC or any other Private Insurance like HDFC. I am a salaried and planning to take a Term insurance for my Wife(unemployed).?

  145. Mr. Basavaraj,

    Can you tell me, if risk is covered during sailing on the ships (for merchant navy person – on duty).


  146. Hello Sir,

    They can increase the premium every year. Right now I am entry at the age of 25 for term of 30 year policy.

    The premium is 6k+. I know there is service & Education cess charger.

    I want to know that they can increase the premium amount too.

    Thanks & Regards,

  147. Dear Sir,

    Once I have entered details in online form of LIC E- Term and saved, can I go back and edit the details.

    Thanks & Regards


      1. Sir how can I changed the details in condition, when my proposal form is already submitted but still not gone through medical exam.

        Please suggest

        1. Kamlesh-That you not mentioned. But if the policy is still not issued, then you can write to LIC and request for change in that. Based on your change, they again do underwriting process and finally accept the proposal if it suites to their risk.

  148. Dear Sir,

    In case of LIC E Term, once I have saved the details entered in the online form, can I go back and edit the details.



  149. Hi,

    I submitted for LIC ETERM policy for 6000+ for 25 lac. After submitting, I noticed other companies provide 1 crore for almost same premium. I want to cancel this proposal.. I tried calling and send sms on that.. but no response.. need your help to know the procedure to cancel it.

  150. Hi Basavaraj,

    Thanks for sharing such a nice article having all required details in it. I am thinking of getting LIC e-term plan but as i have checked online , they dont have opetion to nominate more than 1 person. I want to nominate my wife and daughter for 50-50% share in the maturity amount.

    Please let me know how to provide details of both nominee with percentage details.

      1. Hi Basavaraj,

        I just wanted to be sure that both family member would get money in time when i will not be there. Anything can happen any time, so i think it would be good if I divide % nomination among wife and kid.

        Also i want to know what would happen to the maturity amount if the nominee would not be alive that time? Would the maturity amount be provided to kids of the insured person?

        How this can be achieved? Please share your views in this.

  151. HELLO SIR

    i am purchasing online mutual funds ,i want to know should i select broker,direct etc.
    which is best ,and my SIP is going through broker.

    nitish kumar

      1. And kindly suggest me a mutual fund ,which i want to buy for my newly born child for his studies any need of him,please suggest me best one .

          1. Hello sir

            Tell me what is the difference between direct buf MF from online and from broker ,which is better and in what sense?

  152. I read while filling the form for e-term policy that ‘accidental rider not included’. What does that mean? And if I want a cover for accidental death too, then how should I go about it?

  153. hi

    i am nitish kumar my DOB is 13-11-85 ,i am thinking of buying lLIC E term plan of 50 lacs ,
    the thing is i am confused by sm one that online is not safe because there claim settlement in not upto the mark

    secondlyis LIC e term plan is better than any other online of offline plan

    and is it sbi term plan is better or eqvivalent to lic eterm plan
    and is lic launch online term plan just few months ago is it trustworthy

    is it gud to opt for two companies term plan

    and if you dn mind please tell me have you taken LIC eterm plan

    after two days my premium goes upto 700 because of my age increasing on 13 nov please reply me ASAP
    its very urgent

    1. and i have surrendered aviva term plan just 4 months ago is it necessory to declare that
      because now i have no policy
      please reply ASAP

  154. Hi,
    Please advise if seafarer can buy LIC Term plan. I am a citizen of India residing here but employed by a foreign company. Resident status changes depending on how long I have stayed outside India. Alternately if you could suggest some other plans also.
    Thanks in advance.

  155. Please do not buy LIC e-Term Plan. they simply don’t respond to your mails/calls.
    I purchased a policy and made the payment of 20500 online. I got 2 mails about payment and TPA will contact you. THATS ALL…. I have been trying to call them since long but no reply. finally i am thinking to lodging a complaint with IRDA. Think before you buy.

    1. Prashant-In my personal experience (But at the end I dropped the idea of continuing it as they loaded heavily citing medical issues), it was total smooth sail, even while refunding the amount also.

    2. Same happened to me as well. Medical tests are done just after 2 days of making the online payment. But since last one month, waiting for their response. They even don’t bother to reply your mails.

  156. Sir, I have taken the Policy Table no. 14 in Sep-2011, when i am checking vested bonus it’s showing only for 2 years, 3rd year is already completed in Sep-2014, can you pls. advise, why vested bonus of 3rd years is not showing. & when will be show

  157. Hi Basavaraj,

    I have taken LIC e-Term Plan for 50 Lacs and i have done with my Medical tests couples of days back. I am waiting for approval from LIC.

    1) I have Overall 3+ years of work experience , but i have only one form 16 from current employer(1.5 years Exp). Previously i worked in a small company so that, i don’t have form 16. Even i told same thing to customer care executive, so he advice me to submit last 3 month pay slips. It will going to have any problem?

    2) I have Max Life Insurance policy of SA 4 lacs where i need to pay premium for 10 years. i have already paid 4 premiums, more 6 premiums left. I didn’t mentioned it in the e-term policy(I thought that only LIC policies to be mentioned). It will going to have any problem in future?

    Please let me know…

  158. Thankyou sir for the information .

    I have a further query as i was filling this online eterm form; i could not understand this below mentioned line though i have answered ” NO” in my reply.

    what is meant by”Is your life now being proposed for another assurance or an application for revival of a policy on your life or any other proposal under consideration in any office of Life Insurance Corporation of India or to any other insurer?”

    i would like to bring to your kind notice that i have a offline term plan of LIC since 15th nov’2011 which i have already declared in my previous policy data sheet.

    one more doubt is in my mind as the current term plan (offline) is very costly so once i will get this e-term plan approved; i will surrender the previous offline plan. what are the chances that i will get the approval for the new e-term plan now.

    1. Bhoomika-It states that currently you sent a proposal to either LIC or to any other insurers or not. Also whether you sent an application to revive any of your lapsed policy either with LIC or with private insurers. So if nothing in the way or proposal or revival then say NO. You need to declare all existing insurance policy details while buying, whether they are with LIC or others. If you are decided to cancel the existing term insurance then I don’t think it is required to mention it. Because sometime due to the existing insurance coverage, insurance companies may offer you lower insurance. But don’t forget to cancel the existing one.

  159. Thank you very much Sir to share the details and answer to the various queries.
    I am planing to take LIC e-Term policy and reading various blogs. Though lot of info available, I am missing to figure out details of claim procedure for online term policies. I am trying to reach out the LIC help line and ICICI pru help line(which is available in the FAQ), but I am unable to get connection. I think LIC customer care services is not up to the mark with respect to online policies.
    Appreciate if you could provide me claim procedure for LIC e-Term policy.


    1. Sridhar-There is no such special rules to settle online term plans either by LIC or by other insurers. You need to undergo the normal procedure. But personally I felt that LIC online term plan support team is best to ICICI (But finally I settled with ICICI due to some other reasons).

      1. Thanks for the reply Sir. I have one doubt on filling of Family history, my wife and myself are staying in Tamilnadu and other my family members are staying in AP, so do I need to provide their names as well? Is it required to provide my brothers/sisters details along with their family details?

  160. I am IT professional and started job from may 2013. I am eligible for e term of LIC or not.
    If not what should be done for term plan.

  161. sir, i have purchased LIC table no. 814, sum assured Rs. 9,50,000/- for 26 years, now LIC has giving bonus Rs. 48 per thousand per year for this policy. my question is if LIC will give the same bonus per year. what amount i will receive after maturity. my calculation is, bonus per year – 48/1000*950000 = 45600/-. bonus of 26 years = 11,85,600/-, total maturity amount after 26 years – (sum assured) 9,50,000 + (Bonus of 26 years) 11,85,600 = 2135600/-, sir, pls. advise am i right or wrong.

  162. Sir,

    I have purchased HDFC SL term policy. I’m 34 years male. I did mention that, I have diabetes in my application. I’m heavy weight guy (Height 6.2, Weight 124 KGs) The annual premium was Rs. 17000. Now they rated up to Rs. 41,000 based on the body build and diabetes.

    Is it OK to accept it ? Please advice.


    1. Nagarajan-Accepting it or not depends on your own experience. Who know some other insurers may reject your application (considering health complications you have), load premium than what HDFC offered you or they may give you at cheaper rate too. So I am unable to guide you. It is you to decide on this.

      1. I do not have any experience sir. This is my first term policy. I went for medical test also. If I can go and opt this.

        My questions are:

        1. Is it safe?

        2. How the claim will be ? Will they give the claim to my nominee without any issues?

        3. Shall I go with other term policy with LIC?

        4. Shall I go with retirement policy with LIC?

        5. Based on this my premium will get increased everywhere?

        Please help.


        1. Nagarajan- 1)Safety in what sense? 2) Each individual claim is different and treated differently based on insured person’s death. So we can’t judge now itself. 3) What is a reason choosing other term plans within LIC? 4) Currently LIC offers immediate annuity plan. So if you are retiring from work immediately then go for that. 6) Premium increasing depends on your health and underwriter’s decision. So can’t say on that.

  163. Hi Sir,

    I was in NRI status for last Financial Year, I returned on 01-April-2014 and have no plans to travel abroad(as of now) for this year. Can you please advise if I can buy or eligible to buy LICs e-Term Plan.

    Thank you

  164. Hi
    I am 26 n planning to take this insurance.
    I am switching company now and my LWD is 17 oct and will be joining next company on Oct 30.
    I dont have any problem about the product but i just worried about timing.

    I read from disclosure that
    “”And I further agree that if after the date of submission of the proposal but before the issue of First Premium Receipt
    (i) any change in my occupation or any adverse circumstances connected with my financial position or the general health of myself or that of any members of my family occurs. I shall forthwith intimate the same to the Corporation in writing to reconsider the terms of acceptance of assurance. Any omission on my part to do so shall render this assurance invalid and all moneys which shall have been paid in respect thereof shall stand forfeited to the Corporation.””

    1. If I apply today, when I will receive the First Premium Receipt?
    2. Should I go ahead and buy now or after I join the new company and then submit a letter if i dont receive receipt before oct 17?
    Should there be a problem in future stating that i didn’t disclose ….. obvious i can’t show my relieving letter because i am still on payrol.

    1. bharathy-1) Such changes are very much matters when one is employed in safe kind of professions like desk job to risky jobs like any mining jobs. So if you are changing the job within a same profession then it does not matter so much.
      2) First premium receipt will be available immediately. But it is valid only after the policy issued. Otherwise it is of no use.
      3) Better to buy it now after I clearing your doubt in my 1st comment.

      1. Thank you.
        I am an IT employee moving to another IT company. guess it won’t be problem.
        I tried to call their customer care to get detail but their phone service is very bad. I have tried calling for more than 50 times but line was busy. I have also dropped mail, but no response.

        I saw from one blog that it took 35 days to accept the application, i know it may differ.

        I just wanted to know how to intimate the company change to them. i do not want the claim to be rejected because of their inefficiency to address queries.

        1. Bharathy-If you are changing the company within a same profession then I don’t think it is necessary to inform them. Because they analyse the risk based on profession you are into but not by company.

  165. Imy proposal of INR 1 93 was processed and medical test was done. I never smoke or even have never touched tobacco. However after medical test premium goes up by INR 15000 . What is your advise on this matter

  166. Hi Basavaraj,

    I was an a NRI for 6+ years and returned to india for good 2 months back. I do not have form 16 as i was not getting any salary in India. Since LIC requires form 16 for 3 years, does it mean that i am not eligible for LIC Eterm policy for next 2.5 years (April 2017).

    I was planning to close my Jeevan Anand policy which i had started 2 years back after lot of pressure from my relatives. I dont like jeevan anand as i am paying so high premium for 15 lacs policy (78k per annum).

    Please advise as to what should be my course of action. I don’t want to wait for 2.5 years to get the LIC Term policy.


  167. Hi Sir,

    I have a question on e-term..

    by going through the article and questions from others it is understood that for taking LIC e-term plan one should have been working for last three years, my question is how if some once is meeting this requirement at the time of taking policy and in future may plan to go for bussiness instead of salaried empolyee. Will that create any trouble in clami settlement.

    Looking forward to your asnwer and thanking you in advance

  168. Hi Basavaraj,
    Thanks for replying to so many queries from all of us.

    I am looking to buy LIC eTerm policy. I worked for 3 years, after that went for higher studies for 2 years and have been since working for about 2 years 4 months. Can I apply for the eterm policy? (as dont have 3 yr continuous working right now). My friends have got the LIC term policy offline regular format without having 3 yrs continuous work experience.


    1. Rishabh-I think if you provide all these history details to them then there is no harm in issuing policy to you as your working is about complete 3 years. But it is not wise to go for offline only for this reason.

  169. Hi Nivesh,

    After I filled all details for eTerm online, I got the proposal in PDF format. However, the premium amount is showing as 0 (Zero). Is it correct? However, it should have been some amount and I expected to be Rs 8989.


      1. Thanks for your reply. I could successfully generate the PDF and paid the premium amount 8989 online. After that TPA contacted me had to undergo medical tests today as prescribed by LIC. The medical officer told that I’ve mild hypertension (BP level is high). This is my worry and quite sure that other tests would come out positive.
        1. Do you know how much they would increase the premium from current premium which is Rs 8989?
        2. How do I get the medical reports?
        3. What is the time taken to complete the whole process?

        1. Jyoti-Not sure but be ready for increase of around more than 50% 🙂 They will give it to you with bond document if policy issued. I think the whole process after medical examination may take another 10 days.

          1. Thanks for your reply. As you said they would increase the premium, it would become around 14000 from current which is 8989 and it seems costlier to me.
            1. If I say to them that I don’t want then can I get another from HDFC Click2Protect which does not need any medical test for up to sum assured 50 lakh. What is your thought on this?
            2. What amount would be refunded from LIC if I don’t consider the policy? Any deduction? How much?
            3. Can I get another policy from LIC ?

            1. Jyoti-Term Insurance with medical examination is safer. So that is the reason I stayed away from HDFC when I need to top up my insurance coverage. Yes they deduct the medical examination cost and rest of the amount will get payable. Another policy in the sense?

                1.They have increased the premium by 6000, so now the new premium is 15000. I think premium is bit higher. What do you advice? Should I take the policy?
                2.I’ve already a LIC policy with sum assured 1 lakh with annual premium 9000. Do you think I should close this policy if I take the eTerm policy? What loss I’m going to incur on close?
                3.What is HEALTH EXTRA CLASS III and REIN LIFE? Please explain.
                4.Will LIC provide the medical reports if I take the policy?

                1. Jyoti-If you feel the premium is too high then opt for other options. But at the same time if faith is more than cost then go with LIC. Regarding your existing policy, I am not aware about details and so how can I guide you? Health extra Class III is something internal underwriter standards which general public unable to understand. But if you ask them specifically then they may share the real issue in your health and because of which premium raised. I don’t think so they provide medical report to you.

  170. please let me know the following:

    1. Whether three year regular income is compulsory for obtaining eterm policy of lic.
    2. If any person has served for 2 years in three financial years i.e. 2012-13, 2013-2014 and 2014-15 and left the job in 2014 september, whether eterm policty will be available or not.

  171. Dear Basavaraj, I have gone through all comments and must admire your efforts in responding each and offcourse a very nice article.
    My situation is like this and hence the questions:
    I am 41 year old male with almost no insurance in my pocket. Presently I am in India and making 16+ LPA. I am looking forward for moving abroad in next 3-4 months. I might settle there. Looking at such situation, would you recommend for term insurance now. if yes, then
    1) As per your screenshots, it asks whether you are NRI and whether are you resident of India or not? If I answer yes to them now, would it be like lying to them?
    2) In case of death abroad, how much time and efforts my family may have to put in for claiming settlement?
    3) In case of death abroad, how would they confirm the death, reasons, medical history and all that?
    4) Based on your experience how much time and efforts vary for claim settlements with LIC and any other private players (SBI, HDFC and so on)
    5) Based on present income and future with abroad settlement what sum assured amount would you recommend (2 Cr with 1 company or 1-1 cr with 2 different companies)

  172. Hi

    I am 31 yr old. I already hold an Online term plan from Aviva for 65 lacs. Is it sufficient. I have home loan which is now only came to 8.5 lacs.

    Please suggest if I need more cover, also suggest which plan should i go for

  173. Hi Sir,

    I bought a term policy in HDFC SL directly.

    I received a call from policy bazaar and they are asking for the application number. I asked why? They said they will help in case of problem in medical reports or claiming.

    I’m confused on this. Please help.


  174. my birthday is coming on 18th september’14, if i make the payment today; what will be the date considered in my documents for the policy; as after 18.09.14 my premium will change by approx. Rs.1400 which i don’t want to waste. will lic etrm is better ir sbi- eshield is better for my case as i want to get the policy before my birthday. please guide.


    1. Bhoomika-There will be no change in premium until 18th March 2015. Because from 18th March 2014 to 18th March 2015 your age is considered as same. Because suppose if your age is 30 Yrs and 5 months then your age is considered as 30 years. But if your age is 30 yrs and 7 months then it will be 30 years. Also all insurance companies same conditions for considering age (age nearer to your birthday).

  175. hi,

    i have gone throu’ ur aticle, it is very informative. i am planning to buy online e-term but have some queries :

    1. should i mention my surrendered ulip policy which i have surrendered in 2011.

    2. i have off line term plan of lic which i m mentioning. should i mention it or not.

    i could not understand the meaning of ” HOW ACCEPTED ” with options: “OR/ EXTRA” in the previous policy detail sections. I have offline plans so i have mentioned: OR for all the above policiies ( surrendered and inforce).

    if i will not mention my extact assets and liabilities; will it be a false case as i could not understand properly this section. We have a house which is in home loan so all the principle is not paid by us but the net value of it is around 40 lacs out of which we have to still pay 28 lacs. so what will i fill under:

    a) value of house

    b) current loan

    1. Bhoomika-1) Not required. 2) You must mention it. How accepted means if there were any issues with policy due to which either sum assured was decreased or premium was hiked. If no such issues then no need to mention or/extra. Regarding networth, no need to worry. Mention it according to your own calculation.

  176. Hi Sir,

    Could you please explain below two points?
    1.) No accidental benefit rider.
    2.) No additional riders attached to it. So it is plan vanilla product.

    Is that mean if death happens due to an accident your nominee will not get anything? Much appreciated if you can also explain the above two points.


      1. Anshu-Accidental benefit will come into picture when you opt for accidental rider. So if death occurs due to accident then along with the sum assured available in term insurance your nominee will also receive the sum assured equal to accidental rider opted. So in this case no such accidental rider available means no additional rider benefit to his/her nominees. But whether death is due to accident or normal the sum assured opted will be payable to nominee.

  177. Hello Basavaraj,

    Thanks for sharing all the information.
    I went through the online form which one needs to fill for the policy.
    It asks for the previous policy which you already have taken.

    I have taken SBI life RiNn Raksha for my home loan. It is term insurance against death and the sum assured reduces per month based on the principal part in the EMI of the home loan.

    Do I need to declare this policy and if yes , what should be the sum assured amount as it decreases every month ?

  178. Dear Sir,

    I purchased LIC E term plan on 17th Aug and paid Rs. 8984 on the same day through net banking. After that I got a mail from Lic Direct that online proposal has been registered with acess id and proposal number. I also got a mail about the list of documents that I need to have. After that there is no communication from LIC. Neither for the documents nor for the medical tests. I want to know how much time they take for the process. I tried calling the helpline number but they are always busy. Please help……

    1. Rimply-I think it is too much delay. Usually they call for medical examination within a week time. Better either write to them or call to them. But I hope they respond well with easy (my own experience).

  179. Hi,
    I am 39 Years old. My job is travelling, I have taken Apollo Munich, My CTC is 6 lakhs .Now I going to take the take the policy which it will covers Disability( Percent), and with Death benefit . Could you suggest me good policy? Weather it will cover income tax(80 C)?

  180. Hi BasavaRaj,

    I am planing to take 1 Crore of term policy, i short listed the few policies based on my requirement ,claim ,solvency ratios.

    LIC -12360
    SBI- 10034
    MAX- 7079+(Tax)

    If i take the two policies one from LIC(premium: 6180 for 50L), another other pvt companies(approx 4500 for 50L) . I could save some premium amount here . Could please suggest me which is the better option to take or advice me with other better options .

    Thanks in advance,

  181. Thank you for your propmt reply sir,
    okey iam not eligible a insurance. Then i am able to invest 5 lakh in any investment plan like fd,bonds etc, which is giving best returns(income). I am alone alone with my wife and only one daughter is married and settled. So we both are concerned ourselves,if something happens to her life must be secured with a good income. Please suggest one good plan get the best benifit investing 5lakh.

    1. BP-In your case our priority should be safety of principal, constant stream of income and along with that easy access of money in case of emergency. All these are very much essential considering your age and dependency status. So you can opt for Senior Citizen Savings Scheme.

  182. Hi Basavaraj,

    What a great Q and A sessions, thanks for educating 🙂 I have some basic (may be silly) questions to ask for term insurance :

    1. I hardly smoke 1 or 2 cigarettes in a month but not frequently, is that mean I came into smokers category? Also drink 90 or 180 ml alcohol in 6 or 8 month. So do I have to inform this while taking term insurance? is there any specified level for smokers or all smokers came into same category?

    2. what if some one don’t smoke or drink before taking the insurance, but after some year he starts smoking or drinking , so should he have to inform this to insurance company? is it cause increased in premium?

    3. what are the cases, causes company can reject giving claim (do they need postmortem reports)? its all depend on company to give the claim or claimant can go through court if claim gets rejected?

    4. if some one changes the company, job should he have to inform this to company?

    5. term insurance includes any kind of death right? also includes accident? so what is this accidental benefit option?

    will be glad if you clear these doubts.

    Thanks 🙂

    1. Aditya-
      1) Better to specify it. If they get noticed about your smoking or drinking habit during medical test then either they may load the premium or reject the proposal.
      2) It is hypothetical question. Because lot of things may change after buying insurance like your health habits, job, your stay or some other things. Which no one can neither predict nor raise the premium now itself. So it is up to you to maintain your health and wealth.
      3) Claim rejection have so many reasons. So better not to dwell on this. Instead declare all the things properly at your side. Yes if they reject due to false claims then you have right to approach IRDA or Court.
      4) Not required.
      5) Yes it includes any kind of death. If death occurred due to accident and you opted for accidental rider then along with opted insurance coverage sum assured your nominee will also receive the sum opted for accidental benefit sum assured.

  183. Sir,
    i am 68yrs old and my wife 55. I am a small grocery shop owner and not a tax payee and dont have pan card. I want to take a term policy of SA 1cr, my wife as nominee.i can pay primium 90 thousand/anuam. Can you suggest which policy i shoud take? If term policy is not fit for me please suggest one best policy which assure the best benifit and secure life of my wife after me as my nominee.

  184. Sir

    could you pls suggest me that any one can opt for multiple term insurance plans of different companies , is there any risk of claim settlement ( if disclosed with each other) example If i have eligibility of 3 crs, can i opt for 1cr each with different insurance companies,


    1. Raj-Yes anyone can avail multiple policies from different companies. There is no restriction. You can do so. But what purpose it serves? Diversifying is just for people’s mind sake of diversification. Also no harm in that too. So it is good as well as bad.

  185. Thanks for the info.

    I am confused with HDFC and MAX Life term insurnace, as MAX life premium cheaper than HDFC and in MAX Life they are providing riders too. So please do suggest me which one should I prefer?

    Thanks in advance.

  186. hello Basavaraj,

    I appreciate your effort in providing such a good information on the insurance. Please help me with following question.

    1. There is one year difference in my Actual DOB and the DOB in Proof of Birth/Certificate(1year less than the actual age and am not sure on the reason for this difference) and am planning to take Term Policy pleae advise which should I provide while submitting the proposal(FYI..I have no proof for actual DOB). Please advise

  187. Hi Mr. Basavaraj,

    This is Imran here, 36 yrs. I’m an NRI, working & living in Kuwait, married & I have a son 1 1/2 yrs old. Being an NRI, Can you plz suggest me which term insurance plans should I go for both short term & long term?

    Are NRI’s eligible to buy term insurance plans or health plans in India? If yes, which ones to go for?

    Thanks & Regards,

  188. Hi,

    I have the following queries related to the “Basic Information” section of e-term life insurance’s application process:
    • Address Proof: Do we need to furnish address proof for “Address for Communication” or “Address for Residence”?
    • Length of service (as years): Does this pertain to current employer or across all previous employers?
    • Source of Income: What exactly are we supposed write here?
    • Appointee Details: What is the difference nominee and appointee? Are we supposed to write both the details or either of the two?

    1. Puneet-You need to provide the address proof for communication. It pertain to current employer I think. Whether your income is from salary or business, that you need to mention in Source of Income field. Appointee will come into picture when nominee is minor. If nominee is minor then appointee is not required.

  189. Upto March 2014 I have worked in India for an IT company. I have form 16 for the last 8 years. right now working as a Software contracter in Singapore .Every month I am travelling to India to see my family.
    So whether I can apply for LIC eTerm policy as I am working in Singapore right now.I am having plan to come back to India next year end permanently to Join again In in Indian Software firm.

    1. Devadas-NRIs are not eligible for this plan. So check your status as per tax rule. If you are still considered as Indian then you can buy it. But do remember that you need to be in India to complete the medical formalities.

  190. Dear sir,
    I have the following questions:-
    1) Can I have 2 nominees(After my marriage i want to add my wife, leaving my mother with some percentage)
    2) Can sum assured be increased in future
    3) Should i pay extra for medical tests.
    4) How much time will the whole process take?

    I am unmarried Govt employee

    1. Naveen-You can nominate. But it may bring legal war between your nominees. What guarante you can give that after your death they will not fight for claim? Yes you can increase sum assured by buying new plans but not the same one. Also one must not buy term insurance now and forget it. You must review your income, financial goals and dependency and review it once in a 5 years at least. Medical cost will be taken care by LIC. But in case they increased your premium due to health issues then if you don’t want to pay more then they will return premium deducting the medical examination cost. It hardly takes more than 10 days.

      1. Dear sir
        Thanks for the prompt reply,

        I am not understanding what legal wars will that bring……. The decision to include 2 nominees was based on experience of one of my relative who ended up in old age home after her son’s death.

        I thought of buying an annuity plan but i dont have money right now (iam taking many long leave to prepare for higher posts )

        Also where can i get complete offer document (LIC e term).

        1. Naveen-Legally your wife will have all rights on your investments. What if in future your wife go to court and ask for full maturity amount? This is the common question I am asking. But I don’t know about your family details. So it is hard to enter or guide in such matters. Hence decision is entirely left with you. You can visit LIC site for more information of the same.

  191. Dear sir,

    i am 30 age and my annual income is 8.5L. i have a plan to take term insurance. based on ur previous comments and internet survey i have finalized LIC, HDFC, ICICI, SBI, MAX, reliance and AVIVA. in this AVIVA , reliance and max only showing the lowest premium. can u suggest me to further iteration of companies. and is there any term insurance plan will they return the premium paid.?

    and also please suggest me for best investment plans for short time and long time. (like RD, FD, etc.,)

  192. HI,

    suppose i take life insurance plan (term plan) from any private company and they are not taking any medical test of me. will it any problem in future for claim.

  193. Dear Sir,
    I have taken a iterm plan from aegon religare before 2 years. As my premium is due this month before renew the policy I want know is this good plan. As i came to know there claim settlement ratio and other parameter are not good. What your opinion.

      1. Thanks for your instant reply. What do you mean by Claim settlement of term insurance policies alone not available in India. As when I have checked for C R for aegon for period 2012-13 is only 66%. Just only CR should be the criteria or any other parameters should be checked.
        At present I have 50,00,000 Rs cover for 70 years. My age is 42 years. my yearly income is 6,50,000Rs. So i have sufficient cover or have to increase the cover.I have 2 daughters age 11 and 6 years. wife is housewife.
        Pl guide me. Thanks.

        1. Sunil-Claim settlement ratio available in India includes Term Insurance+Endowment+ULIP Plans. So there is no separate data like which company have highest claim settlement ratio for Term Insurance. That is the reason I told don’t over believe on claim settlement. Better to have around Rs.1 Cr to Rs.1.5 Cr.

          1. Thanks for your explanation and kind words. To take extra cover I should have to top up in existing policy or I should have to take another policy.

  194. hi sir
    I want to ask u about which insurance plan is better
    Term plans or insurance cum investment plan ( jeevan saral policy LIC palns).

    Thanking u

        PLZ SUGGEST.

        THANK U……

        1. Rajendra-All term plans are best if they suit your need and within your budget. At the same time all are bad if you hide something and possibility of claim rejection 🙂 Ideal cover should be around 15-20 times of your yearly income. So think and buy.

  195. Hi Basavaraj,
    Thanks for this informative post and timely reply to all the comments. You have mentioned that the ideal cover should be around 15 times of your yearly income. Could you please tell me “Is there any calculation behind that?”. I’m 29 yr old & my yearly income is 9L. I’m planning to buy an e-term for SA 50L/35 years.


    1. Karthik-If one need to calculate insurance need then the actual process involves current values of all your future earnings+current values of all your dependents financial goals+existing debt. But ideally we say 15 times of yearly income. It meant that if something happens to you today then at least for next 10-15 years your dependent may survive without any financial burden.

  196. I am surprised that lic online questionaire contains only your family name and age, but not their medical history (apart from the good and not good fields), while all other online policies do. Wonder why.

    1. Prasanna-They have just one question like how is your family members health status. Please check it. Also this plan is with medical. So that might be reason of not going too depth into family history. Not sure but my assumption.

  197. Dear Sir,

    I occasionally drink alcohol i.e. once in 2-3 months. However that comes out to be around 1-2 ml per day. Now if I select yes to the question asked in the LIC E- Term form, they have provided options for units conumed per day i.e. less than 30 ML as so on. Should I select this option when actually the consumption is not per day and it is negligible.



  198. Dear Sir,

    Why is LIC asking for details of policies lapsed in last three years. Like if I have closed 3-4 policies, does it form a basis for LIC to reject my policy or increase my premium.



      1. Dear Sir,

        But will LIC reject my proposal or increase the premium as I have surrendered 3 policies in last 3 years.



  199. Dear Sir,

    Request you to clarify the following queries w.r.t. LIC E- Term-

    1) Do I have to mention health insurance policy in Insurance details. There are two options in insurance type- Life & Health
    2) In Previous insurance details, there is tab-How Accepted. Options are OR/Extra. What is the meaning of these options.
    3) In Insurance details, there are two options in Benefit type- Basic SA/Rider SA. In case of ULIPS, benefit is higher of fund value/SA. So what should I select.
    4) I have Birla Vision plan. I am policy owner but life insured is my minor daughter. There is waiver of premium rider. Do I have to mention this policy in insurance policy details.
    5) I have to mention personal Income details for latest 2 years. My Income is from business profits and I have not yet computed and filed ITR for FY 2013-14. Can I mention details for FY 2011-12 and 2012-13.
    6) Under construction house will qualify as House or investment in page-value of assets
    7) Should I show cost price of car gifted to me. I did not purchase it and it is not in my name.



    1. Mohit-1) You need to mention only existing Life Insurance policies.
      2) Usually if there is no issue then the policies will be issued without charging the extra premium. So they want to know whether the previous policies were issued with normal premium or raised due to some complications.
      3)In ULIPs you need to mention SA only because you don’t know the future fund values.
      4) If you are only proposer but not life assured then no need to mention.
      5) Yes if as of now you not filed any return for FY 13-14 then mention details of previous years. But why till this time you not filed return?
      6) Yes it is considered as asset.
      7) Better to declare it.

      1. Dear Sir,

        In my case last date to file ITR is 30/09. Therefore I have no yet filed the ITR.



        1. Dear Sir,

          In my current service, I get fixed consultancy. Income is shown as Businees profits in ITR. I want to ask that in employment page, I will show consultancy fee received in FY 2013-14 as my annual Income. However in the personal income details page, I will show details of business profits of FY 2011-12 and 2012-13 as I have not yet computed and filed ITR for 2013-14.

          Pls clarify.



      1. In the application process, do we need to give details of both current and discontinued insurance policies or just the former ones?

  200. Pls Let me know which insurance company (best 2) is better for a term Max life, HDFC, SBI Life or Kotak Insurance, considering all aspects.

    thanks in advance

  201. Sir, I want to buy HDFC click2protect term policy. But I want to know whether it cover both natural and accidental death benefit or not as there is no rider option.

  202. Hello Basavaraj,

    This site is very helpful. I appreciate your guidance:).

    I am 42.5 years old female with an annual income of 7 lakhs. I might choose to retire in another 10 years. So, should I take a term policy for a period of 20 years or just 10 years. Also, I currently have the following policies:

    1) LiC’s Endowment Policy with SA 50000 maturing in 2019
    2) Anmol Jeevan policy with SA 5 lakhs maturing in 2030. Yearly premium is 2371 Rs.
    3) One more Anmol Jeevan policie with SA 5 lakhs maturing in 2030. Yearly premium is 2371 Rs.
    4) CDA Endowment @ 18 – This policy is for my son who would turn 18 years in feb 2015. I took this policy in 2008 for a term =19 and SA= 6 lakhs.

    Please suggest me a term policy. How much SA do u think i should opt? Should i continue with the above mentioned policies. Can u tell me the benefits/drawbacks of each of the above mentioned policy?
    Thanks for your help.

    1. Anu-First let me know why so early retirement? Are you prepared well to sustain at your retirement life from around 52 yrs to till 65-70 Yrs? Think and decide your retirement plan seriously. Apart from LIC’s term insurance (which again are costliest in market) none of them are true insurance policies. Hence my suggestion is to come out of those dummy products at the earliest. Ideal insurance coverage for you should be around Rs.1.5 Cr+Your financial goals current values. Ideally one need term insurance till his/her retirement. So think and decide about the term.

  203. Hi basavaraj,

    Thank you for the excellent post.

    I’m a 37 year old NRI, planning to purchase an online term plan. It looks like lic e-plan doesn’t cover NRIs. Can you please suggest any other company that provides online policy cover for the NRIs?

    Thank you in advance

  204. “You need to disclose all the existing policies while buying this plan (irrespective of company).”

    Must we also disclose group (life) insurance we may have via the employer? Similarly, via the car insurance?

    Or is it enough to disclose just the stand-alone life insurance policies that were purchased on our own?

  205. Is any products in market where I can have for coverage for both me and my wife.
    Say 1 Cr coverage for me and wife, if some thing happens to any one of us, the family should get benefitted.
    Waiting for your reply.

  206. To me this LIC e-term plan seems a cheater. I filed a proposal and pais 19K online for 1 cr cover. Now after medical test they are asking for extra premium which is almost triple – near 50K . Now I like to cancel this proposal and get my money back. In this situation LIC will deduct medical exam charges whatever they can and also they used my 19K over a week for 0% interest. Good Business rt !!!! I will never go with LIC atleast when it comes for Medical Tests…..

      1. Hi Basavraj,

        LIC did not disclose the medical test outcome . All what I can see that they have rated it as 5 thats it. To me I did a separate blood test on same day and do not see any major issues than a bit higher blood sugar level. This should not make them to triple the premium. I am still awaiting my refund. Nowadays they are not even picking calls and reply to emails…very wrong decision to chose LIC


          1. Hi Basavraj,

            Received the refund after deducting Rs. 2050/- for medical tests. Now I emailed them to provide me the test reports and the cause of tripling premium. Lets see what reports says.


            1. Vishal-They may just neglect you. Because they already closed the case. Also they may send you the reason for premium raise but not share medical report. Let us see what will happen and share the same with me.

  207. I am 52 years – Nonsmoker Teetotaler. Gross annual income 42 L. I have taken a home loan of 28 Lakhs – for 8 years; but may end up repaying the same in 3-5 years. Unsure of continuing job, but if I remain alive will have an annual income of at least 3 Lakh. Current insurance – ICICI life Guard – 5lakh + 2.5 L accidental rider – for last 10 years. I want to cover following in order of priority:

    1. Protection of my wife – not required to pay home loan in event of my death.
    2. If possible then why not provide some money to my wife and children – for their support after I am not there.

    What should be done?

    1. Shall I take separate mortgage backed policy – what happens if I prepay the loan? – Please tell the name of companies that offer such policies.
    2. Take separate term policy on my life for a maximum period – 75 – 80 years and so on.
    3. Take a mortgage based policy and a Personal accidental policy – one do not expect to die of medical reasons these days.

    Please advise – which company and policies to take. your advice will be highly appreciated.

    Thanks in Advance.


    1. Neeraj-Include home loan in our sum assured requirement. Buying life insurance is itself will provide your wife and kids money which is equal to sum assured. Otherwise I suggest you to buy term insurance excluding your home loan and separately buy one more term insurance equal to outstanding loan. If you repay loan early then you can close the term insurance which is meant for home loan and continue the another term insurance as usual. Better to restrict your term at 70 years maximum. Personal accidental policy is must and equal importance as is life insurance.

  208. dear sir,
    I have generated the proposal form.
    what is requires further, payment option and the submission of proposal form and something else?
    can anyone give some guidelines on this…

  209. Dear Basu,

    Its seems, u are doing a great job by solving many queries… its a real help for those who actually need that… please suggest me about the LIC e term Policy.. I have a LIC Anmol jeevan of Sum of 10 lkhs, which was bought by in last july… Now I have certain questions…

    Is Online e term plan is safe in terms of getting claims..???
    I m planning to close my existing anmol jeevan and to go for 25 lakhs e term plan which is costing almost the same premium… will it be right..??

    Please help..!!!

    1. Manish-Before closing existing plan, first let LIC issue the online term plan for you. Once that is in your hand then go ahead for cancellation (stop paying premium). There is no harm in buying online term plans.

  210. My age is 41 yrs. if I choose a term policy of ICICI prulife of 50 Lacs,I get an optional of 50 Lacs as rider for accidental death and including that my yearly premium for 20 yrs policy is approx 19326 PA whereas with LIC Term-Eplan there is no accidental benifit rider and for an insurance amount of 1Cr the premium is Rs 36629

    Plz suggest shd i go for ICICI or LIC Term E-plan
    thnkz in adv

  211. Sir, my dob is 01/06/1964,pls let me now the offline term insurrence policy premium to me,wheather i go for lic or some other private like reliance itis so cheap & what is risk in claim settelment

      1. But u said in one of the replies tgat it covers suicide also but only after a year of policy. Am I right??

  212. Dear Base… Thank you for assistance through ur blogs… I feel educated after reading them.
    My question is related with LIC e term. My age is 29 yrs. While checking the premium quote, I found if I reduce the term period from 25 yrs to 20 yrs (keeping sum insured constant = 1cr), the premium reduces significantly. Is it wise to reduce the term period instead of the sum to keep premium within affordable range. I think so because of 2 factors: 1) Inflation 2) I feel after 20 years of life, I hope to be in a better position to cater all needs thereafter. I am right?? Plz suggest.

    Yuvraj Saini

    1. Yuvraj-Keep it to minimum at 25 years. Because another 20 years means in my view you will still working. So need insurance till your retirement age. Also insurance is not one time buying. You need to review your situation at least once in a five years and need to increase sum assured accordingly.

      1. Hi Basu… Thanks for your kind advise. I have done the same. I would like to know 1 more thing. While reading one of your replies, you have given equal importance to personal accident policy to as of term insurance. What are the benefits of personal accident cover. Does it comes as a separate plan or comes as a rider with other term plans. As far as I remember, my Aegon religare e term plan offered such accidental rider to which I DID NOT subscribe. Should i subscribe for it from my next premium. Also now LIC e term did not offered any such rider. what should I do?

  213. Sir,
    i chose 50L for LIC eTERM plan.
    i have got the proposal form which is generated by the website.
    i have some questions..

    1. after getting the proposal form should i pay the premium through net banking.?
    2. without knowing our medical details how come they approve my policy?
    3. Suppose if they didnot approve it will they return the amount i paid.?
    4. kindly give us the procedure what is to be followed after getting the proposal form..?

    awaiting your response Sir,…

    1. Raja-Yes you need to pay through net banking. They will not issue without medical test. Once you pay the premium, someone will contact you and arrange for medical test. Yes, if not approve then they return premium. This is recently launched by LIC, so no one knows exact what they do and how manage as of now. Suggest you to buy it.

  214. My age is 33 yrs, having yearly income of 5.5 lakhs.I am married and have a child.I met with road accident 7 yrs ago(intensity)high.From the last 5 yrs i am working.I want to take a LIC term plan of around 50 lakhs .Wether i am eligible for the policy or not.

  215. I am of 47 year age, I am planning to go for e-term LIC Policy for 50Lacs. I am not having much more insurance but only 5lacs from LIC.

    Shall I go for coverage upto 75 years age?

      1. Dear Sir,
        You inform me about upto 70 years coverage to be taken. Any particular reason?

        Why not upto 75years of age?

        Please explain.


  216. Hi
    Iam 35 yrs old,Non Smoker & Currently having Amulya jeevan 1 LIC term policy taken in Dec,2013.The premium appears high as i have to pay 40,500 rupees per annum.So, I wish to go for another policy (Amulya jeevan 2 or Lic e term plan or SBI e shield).Please suggest which one is better.Is there any option of shifting from one LIC policy to another LIC policy or i have to apply as new customer only.If so is it necessary to Undergo medical test again

    1. Dr Sreedhar-You can buy LIC’s online plan. But do remember to cancel the existing one only after having new policy issued in your name. There is no such facility to shift from one plan to another. Yes, you need to undergo medical test once again. But this will remove your headache in future. So better to go for medical test if they are asking for the same.

  217. Dear Basavaraj,

    1) I want to buy LIC e-Term insurance of 75 lakhs.
    What are the exclusions for this policy ? In which case, claim gets rejected ?

    2) I’ve SBI Life insurance against my SBI home loan, so as you said we can buy 15 times of our yearly income, do I need to mention/consider this SBI Life insurance in this ?

    Thanks for nice article.

    1. Suhas- 1) May I know what exclusions you want to know? Claim rejection have so many reasons. So I can’t list them here. It depends on case to case.
      2) Yes you need to mention all your existing insurance policies, whether they are term insurance, traditional plans or ULIPs, also whether they belong to LIC or to other insurers.

      1. Regarding terms and conditions of LIC e-term plan, I did not find the terms and conditions, so I wanted to know about exclusions.
        I understand that listing all conditions here may not be possible for you. Is it possible for you to re-direct me to the website where I can read all terms and conditions before buying LIC e-Term plan ?

        Thanks in advance.

        1. Suhas-When they will issue the bond then all will be listed on bond document itself. If you not satisfied then you have free look in period of 15 days, during this period you can cancel it.

  218. Sir :

    I’m 32 years old, if i buy the LIC e-term policy by choosing 25 years term, i will be covered till 57 years or till 75 years? Please let me know; thanks

  219. Hi Basu,

    I am a software professional(25yrs,5.6 LPA CTC) and interested to take LIC eTerm Policy for 30yrs with 1Cr SA. I expect my CTC to become close to 10 LPA in the next 1-2 years. As you said earlier, the SA should be 15 times the current annual income. So, should i go with the 1Cr SA?or more than that keeping in my mind my future CTC? If more, how much should it be?Also, would it be good if i take this policy for 35yrs(till i reach 60)?

    I also want to take policies for my parents(father-54yrs earning 7k/month,mother-45yrs,housewife). Please let me know what are the policies i should consider.


    1. Sai-First remember that life insurance will be issued on one’s HUMAN LIFE VALUE, but according to your wish. If that was the case then the person who earns around Rs.5 lakh per year might have opted for Rs.5 Cr policy. So you must understand that ideal cover should be around 15 times and in future if your income as well as liabilities increases then proportionally once in 5 years you need to increase you cover by adding new term plan. Better to go maximum 65 years. If you are planning to buy for your father then it will be costliest. So understand the requirement of insurance then decide. Regarding your mother, as she is housewife and no financial dependents on her no need of insurance.

      1. Thanks Basu !
        I prefer to go for 1Cr,35 years(eTerm’s max term). As per your advice, after 5 years, I will analyse my liabilities & income, and then add another term policy if required.

  220. My cousin has taken term plan in a private insurance company last year.but now he is having some medical illness( detected by a doctor while doing routine blood test ,but which is not harmful told by doctor).Now my question is,Is there any problem in getting settlement if something happened? and at the time of buying policy no medical test was done by company

  221. Dear Basavaraj, I am planning to take Term Plan,

    1) I have quit smoking from last 4 Years, Should I consider myself as Smoker/Non-Smoker ???

  222. Hi,

    I have an question about the definition of “SMOKER”. for insurance company

    1- If a person did not smoke till the policy purchased and after purchased he/she will start the smoking, will that person would be considered as SMOKER????

    2- If a person smoke only occassion during the parties with friends else he/she dosen’t smoke. Should that person will also considered as “SMOKER”???

    Thanks in advance for your answer

    1. Chhetrapal-Wonderful questions.
      1) If person not smoking at time of buying then how can they consider him as smoker? But it is always advisable to inform about your habit afterward to avoid claim complications.
      2) Whether the smoking is habitual or occasional, it is better to disclose it as smoker. What if due to this occasional habit someone get the diseases which cost the life?

  223. Hi Basavaraj,

    Thanks for your excellent views,
    I am 32 and have a 1 year old baby girl, I am planning to buy a Term plan to secure my dependents Future (Wife and Kids) my wife is not working, I currently earn 9-10 lakhs per annum.
    I see most of the companies offer coverage till 75 years, but the max term period is 35 years, so in my case if i buy a plan now, my coverage will end by the age of 67.
    1. So it is advisable to buy a Term plan now or later in the age to increase the coverage during old ages and secure others future? what is your view?
    2. Once the policy is purchased, will the premiums in Term plans increase after certain years?

    Thanks for your response 🙂

    1. Vinay-1) What if something happens to you during this period? Insurance is much need during your working age than retirement age. So don’t be in mindset to cover till 75-80 Yrs. But restrict your cover to planned retirement age.
      2) It is not health insurance. So once policy issued then the premium will be same for the rest of policy period.

      1. Thanks for your response sir,

        I am reviewing different Insurance companies in the market who offer Term plan, i find LIC and SBI charging higher premium rates compared to other smaller players like Relience, Aviva, HDFC, AXA.
        1. How should one consider the company while buying Term plans as we are not sure if these small players will be in the market in long term??
        2. If a person is insured with one of these small players and in future if these insurance companies close out, is there any government institution which backs the customers who are impacted by them? and will they get total insurance benefit in case of claims?

        1. Vinay-1) How about scenerio like SBI (it is entirely different entity to Bank, so don’t be in mind set that SBI Bank and SBI Life are same or LIC (currently strong recommendation to move away from Govt clutches)will shut shops one day like UTI?? So don’t either go with only premium or brand. Instead choose the plan which suites you and you are comfortable with the company. There is a regulator to take care of all those things. They can’t run away simply they lost business. They need to keep aside some amount as solvency ratio. So don’t worry and go ahead with the plan which suites you.
          2) There is something called solvency ratio to protect. Please google it on this.

  224. I am going to take the LIC e-term policy today is 11th June 2014, I have already purchased LIC term policy (endorment )and I want to close this policy, but 28 June is the policy payment date.

    If I close this policy, according to LIC terms, LIC will not allow me to buy policy in next 3 years.

    If today i will take this LIC e-term policy, actual policy i will get after 20-30 days.

    Could you please suggest on this.

    1. Manoj-In my view buy it today itself. But confused whether your plan is pure term plan or endowment? If endowment then you don’t need to worry. If it is term plan (hope you pay yearly payment), then you have grace period of one month from 28th June. So you have enough time to get this online plan and secure your life.

  225. I have applied for this policy recently. And i have given the medical to TPA and submitted the docs. Please let me know, how many days it will take to get policy now. And do you have any idea, whether Lic will share the medical report with the Policy holder or not?
    To whom can i contact for all these queries?
    Thanks in advance!!

    1. Vicky-Usually it takes around 15-20 days. But in some complicated cases it may take more than that too. We can’t say within how many days they issue policy. You can check medical details with the servicing branch they allocate to you.

      1. thanks for your prompt reply!!

        One more question, that they haven’t informed me about my servicing branch. So, please let me know to whom can I contact for the same?

  226. hello sir,

    My query is regarding the Term insurance. Please advise which term
    insurance is best for the coverage of home loan of about 30 lacs for a
    loan period of 15 years. I am 39 now and having NRI status. Is there any
    differnce in term policy against home loan coverage and the other normal
    term policies. Awaiting for a reply, thanks in advance.

    1. Vinod-When you buy typical term plan then the sum assured as well as premium you pay will be constant throughout the policy period. But when you buy mortgage backed term insurance then year on year your sum assured will be equal to existing outstanding loan and premium will decrease accordingly.

  227. Hi Basavaraj,

    I’m turning 27 this year (salary 12LPA CTC). I already have SBI eShield (Increasing cover with Accidental cover) worth SA 50 Lakhs.

    Now, I’m planning for LIC’s eTerm for another 50 Lakhs. Your views?

    May be in future, I’ll be adding another policy (may be some different and private insurer for comparatively bigger cover). Your views?

    Can I also increase my SA in SBI’s eShield and LIC’s eTerm in future?

    Thanks & Regards,

    1. Aman-Buying additional term insurance depends on your human life value. But ideal cover should be around 15 times of your yearly income. So if you feel short of the same then you can buy. First understand your need and accordingly choose a plan. I can’t say blindly that whether SBI is good or LIC.

      1. Thanks Basavaraj.

        If I see… my total SA post LIC policy will be less than 10 times my CURRENT salary.

        But, these (SBI+LIC) both are costing too much… So, I was planning for a cover of 1 Crore for now. And may be in few years as liabilities increases (right now I have a home loan of 50 Lakhs and I’m single), I can get a bigger cover from some comparitivly cheaper vendor or may be will extend these SBI and/or LIC covers.

        Your views.

        Is it possible to extend my SA cover for eTerm policies from SBI and LIC in future?


        1. And if lets say in next 2 years my salary reaches 20 (or plus) LPA… I think we can’t always maintain this 15 (or some X) times SA….or we’ll end up buying policies every year or two…or extend SA of existing policies…if possible…. 🙁

          1. Aman-Exactly…you need to increase your cover based on income, liabilities and financial dependents. Never say that if you buy around Rs.1 Cr term plan today will suffice you for entire life.

        2. Aman-How about dumping (surrendering) the worst products (SBI+LIC) and buy term plan of SA as I suggested to you? In that case you will come out of your past bad financial decisions. Also buying insurance early will cost you cheaper than postponing it. Future will be uncertain and also what if something happens to you in middle?? Think and decide.

          1. Thanks Basavaraj.

            Do you think, that this LIC’s online Term insurance policy is equally reliable as early insurance policies and offline term from LIC?
            Like in terms of claim rate, claim process etc.

            I’m a little concerned about it…. as its very new in the market and we can’t say much about it claim process and settlement. 🙁

            Your views?


  228. Thank you for the confirmation that place of death does not matter for settling life insurance claims. Please answer one more question from me.
    I have LIC Amulya Jeevan with 25Lacs SA with a premium of 7725. Now I plan to increase life cover/SA to 75L atleast and am planning to buy 2 policies from SBI and IPru with 25L SA each.
    1) Pls suggest if its a good idea to have 3 policies for 75L SA
    2) In the event of unfateful death, what is the time frame for our families to get the claim settlement process initiated and approved?
    3) In the event of unfateful death, do the families have to run pillar to post for claim settlement?multiple policies making it worst ever experience? Pls throw some light here. Thank you !!

    1. Raj-My splitting your sum assured? Time frame of settlement depends on each individual case. So I can’t say how much will be maximum limit. Usually if it is early claim (within 2 years of policy start) then insurance companies will do full research before settling a claim. But after this period, if death occurs and it is genuine then I don’t think they have any right to prolong.

      1. Thanks Basu. My questions are still not answered so elaborating more… appreciate your timely responses to each posts. Thank you for that.
        1) Some experts claim it is easier on companies (and hence us, the buyers) to settle claims of small amounts…. and would suggest breaking 1Cr SA between 2 to 3 companies rather than relying on one company. So settling a claim of 75L for LIC or SBI or Max etc may be difficult than 25 L each by these companies. Your thoughts on this pls?
        2) By timeframe, I meant the timeframe within which claim settlement process must be initiated or approved etc from the date of death? Is it within 1 month of death?
        3) In case of online policies, where agents are not involved, is it observed that dependent family members have to run here & there to settle claim etc?

        1. Raj- 1) Let us say there are three policies from companies A, B and C. Now while buying at first you not mention any existing insurance, but further buying will makes you to share existing insurance policies. In such a cases, let us say company C rejected your claim and transferred the information to A and B? All will get rejected?? At the same time, there is no hard rule from IRDA or from any insurance companies themselves that they can settle claims of smaller amount without scrutinizing. They are into business but not in social service activity. So they do their best to justify their act. So it seems hypothetical that splitting sum assured will be safer than going at one shot.
          2) Not required, they must only know where to go and whom to contact. That’s all. Also it is your responsibility to ensure that they know all the things about process.

          1. Thank you for the information. It helps. One last question though. Can we update the policy information later with information such as any new policy taken, medical history etc?

  229. Hi Basu
    Great information and great job done by providing these useful information. Thank you and keep it up.
    My question is: What happens in the case of unfortunate death in abroad while on temporary assignment (status during the period may be NRI). Hope claim will still be settled with no hassles. Can you pls confirm? Thank you

  230. Hi Basavaraj,

    First of all I want to Thank you from bottom of my hear for the service you are doing and the pain you are taking to reply to each comment. I really do not know how to appreciate.

    I am planning to buy LIC eTerm Insurance, and I am a non-smoker. However this is the first time ever in my life I am taking an Insurance plan.

    Coming to my question:
    Let suppose a person X take eTerm policy, in which of the following circumstances insured amount will be paid.

    1. if X is hospitalized and dies of illness ?
    2. if X dies suddenly without any hospitalization prior ?
    3. if X dies in an accident.

    If LIC eTerm doesn’t cover all the above, then which insurance plan you suggest that covers all forms of death.

    Your reply is much appreciated and it values me a LOT.

    Thanks in advance.

    1. Siva-In all above cases death is the result. So insured person’s nominee will receive the sum assured. But in the first case, if the illness present during time of buying and someone hid that information and later on insurance company come to know about this fact then it is hard part to get settlement. Hence it is always advisable to disclose all facts without hiding anything.

  231. I have an Offline term plan from Aviva for 50L which was purhcased during 2010 and also planning to add another 50L from Aviva Online term plan. . In my opinion if you want to increase the SA later we can go to same insurer instead of others, the reason is insurer will be already knowing you when you purchased the first plan and in case any claims arise it can be settled without any hassle.

    Does this sounds good or do you have different opinion.

    1. Satish-They know you while buying the first plan. But they are not sure about your health issues raised post buying. So how can you claim that the health status you provided during first buying will be same throughout the period? What if you gain weight in middle and before buying second plan? It is illogical to think that buying with same insurer of second plan will ease claim settlement. It all depends on cause of death.

  232. Very helpful website. I made my mind for LIC online policy But i am not able to buy it online as the transaction failed all the times after payment. I tried three times. Money has been deducted but transaction has not been completed. So, I am planning to go for HDFC one.
    Please suggest me, what should i do. Is it a good decision to go with HDFC as it is private company. We don’t know, how long they will be doing business in India. What, if they leave after few years??

    1. Hello Sir,
      I am 33 yrs non smoker bought an Aviva ilife online term plan for 50 lacs & 35 years. Also bought their critical illness of 10 lacs with 3300 premium. There are few queries
      1) they didnt advise for medical check up…is it fine or shall i request them to have medicals to avoid any problem in future
      2) they have told my premium will be same across 35 years. But saw some review they increase it . Is it true? Thanks to guide.

      1. Sandeep- 1) If they are not insisting for medical check up then leave it. It is their risk what they are taking by offering you insurance without going by medical check up. But at the same time, do remember that to disclose all materiel facts without hiding anything from your end.
        2) Is it mentioned on policy document? Because usually in life insurance premium changes for each year. Please confirm about the same by going through policy document, so that we can discuss further on this.

  233. Dear Mr. Basavaraj,

    For the below criteria,
    SA – 1 crore | Age – 40yrs | Policy Term – 25 yrs | Non-smoker
    HDFC (Click2Protect) – Rs. 20787
    LIC (e-Term) – Rs. 30225

    Kindly suggest which one to choose. Thanks

  234. Thansks Bsavaraj… based on your input planning to buy e-Term Policy. Since it does not covers riders, I would like to take permanent disability rider & probably also cover critical illance rider. You mentioned even though LIC does not offer these riders, we can guy these addtional riders from general insurance companies. Can you please educate on which are the company , from whom we can opt these two (permanent disability & critical illance) riders and also your feedback on these companies. Also let us know what is process to buy these riders, having brought LIC e-term Policy.


  235. Hi Basavaraj,

    I’m from bangalore, aged 31 years and married.
    I want to know couple of things

    1) If there are any good child policies under LIC which would ideally cover thier education during any uneven event occurs? Do you think e-term can play a vital role here ?

    2) Which is the best instituion where I can go for any additional SA especially for accidental death ie: Accidental Rider which is not currently unavailable in the new LIC e-term policy.


  236. Hi,
    can you please advice which plan I should buy SBI e-shiled or LIC online term plan. My age is 33 will be of 34 in Aug14. I am non smoker category.


  237. Hello sir,

    I am 28 year old female and want to buy lic e-term plan but i dont have form 16. Actually I joined Indian Overseas Bank last year in october. Since my tax liability was nill I was not given form 16 by my employer. Is there any other way other than form 16 or ITR to get lic e-term plan…please advice…

    1. Rimpy-You can give income proof like salary slip and appointment letter which concludes that you started to earn recently. Based on that they can issue the policy. They need IT Return proof only to get to know the income status and average it. In your case you are new so I think they will ask you educational certificates, offer letter and latest salary slips.

  238. HI Basu,

    I have jeevan anad policy. I had enrolled this in LIC website and saw the status. I am surprised to see there is vested bonus which is almost equivalent to the premium paid ( i paid premium for 4 years ).. how come this is possible. In this case is my money doubled in 4 years which is more than 12% ? please clarify.


    1. Ram-Let ask your LIC officials or agents whether you are eligible to get back that bonus and what you paid, if you are then you are most luckiest person 🙂 Whatever your getting information about your Bonus information is not available for you till the policy expires or death occurs. So the same amount will be kept there itself. Now suppose they declared Rs.100 as bonus and it is showing in your account then this amount neither will grow nor will they give it to you. It will remain same. So having Rs.50 now is better than Rs.100 after 15-20 years (your policy period). That is the reason returns from such policies hover around 5% to 6%.

      1. hey Basu thanks for the reply.. I am not the only one, even one of my colleague’s lic policy also has the same situation. the word says ‘vested bonus’ which means accrued right, whether I get it now or after the expiry of the policy. As you said i will speak to any LIC agent. I hope after seeing my query some blog readers will go check their polices and get some additional facts. Is there any way i can share a screen shot in the comment section ?


        1. Ram-I have counter question for you. Which values more to you “having Rs.50 now in your pocket or same Rs.50 after 15-20 years”???? Please think and let me know for further discussion.

  239. Is the amount received on death of the life assured, from a pure term insurance plan, tax free? If yes, then I may have to go for a higher sum assured.

  240. Hi,

    I was applying for lic e-term policy yesterday. After filling all the details when I submitted the form for payment, my transaction failed but amount was deducted from the bank account. I dropped an email on their mentioned email id – [email protected], even tried to contact through lic helpline no#022- 67819281, 022-67819282, 022-67819284, 022-6127304. but all went in vain.

    Do you have some alternatives to contact lic customer care.

    1. Vivek-Such things happen due to slowness in internet at your end or site loading time. So don’t worry as this is considered as failed transaction. So the amount will get credited to your bank account within a day or two (exactly like IRCTC).

  241. Hi, I m planning to buy online term plan from LIC. Kindly guide me about what are the types of death considered while claim settlement? Is accidental death considered?

      1. Thanks for your guidance. I am 37 years of age and the only earning member of my family. I have an 8 year old daughter and my mother dependent on me. My income being 7 lakhs P.A. Do i need to take a term plan to secure my dependents future? Kindly suggest what should be the term and sum assured for the policy as for my income.

        Thanks again

        1. Renu-You must first have Term Insurance to secure your financial dependents future. Generally it should be around 15 times of your yearly income. Term must be till your retirement age.

  242. Hi,

    I want to take term plan from two or three insurers for 50 lacs each. Is it correct to take from multiple insurers or believe on only one. Reason behind this is claim rejections.

    Kindly suggest

  243. good morning sir,i have two question regarding term insurance, which is most safe policy online or offline,because my personal adviser insisting me offline that claim settelemetnt in offline term plan more than online?i am very much confused by this.second que is i plan to buy 50 lac for 30 yrs my age is 32yrs and annual income 7-8lac.which is best between hdfc click to protect and sbi e shield,please clear my confusion betwen both,please reply as early as possible thank u very much.

    1. Vijaykumar-Both are equally safe. Your personal adviser insisting for offline only because he earns commission. If you go online then your nominee need to take care of claim process. But it is cheap. Once you make them udnerstandable to your family members then there will be no issue. What guarantee that your adviser not be in same profession after 10-15 years? Then will he come and give you the service? Instead better to go for online and learn the basic things. Stay away from offline.

  244. Hi,
    I am 33 years old and planning to buy term insurance. My agent is suggesting to buy Birla Life term plan with premium of 7200 for 50 lacs cover for 30 yrs. However above statistics shows they are not very well in claim settlement ratio. However he is insisting that its an old and reliable company. So kindly advise…Also if i go online is there any possiblity of rejection since while filling form may have some glitch ?

      1. Birla is offline…Also if i consider online i got a quote for Aviva for 35 years and rider of 10 lacs critical illness for 5920 rs . Kindly help me suggest best plan.

      2. Hello Sir,
        Whats your siggestion on Birla easy term offline plan ? Also whether its better to include critical illness rider in Aviva online term plan..thanks to advise

  245. I will be really thankful if you should solve my dilemma.
    I am 23 years old. About 6 months back I had bought term insurance of 1 crore from SBI Life for 30 years. The premium is Rs 8034/-. ( I had shortlisted SBI, HDFC, ICICI after considering CSR & premium). My problem is that it will cover me till only 52 years of age. Insurance Cos. providing greater coverage had very low CSR, so I did not consider them.
    Now LIC e-term provides coverage upto 35 years. So if I take a policy now i will be covered till 58 years but the premium is 50% more at Rs 12135/-
    I can afford the premium but is it worth paying 50% more for 5 years more cover?

  246. I want to buy term insurance of ? 1 cr,
    Pls help me where to buy ? It is advisable to splits between two companies ? My annual income is 5 lakh and also have lic traditional policy of 20 lakh S.A. . Is company provide me cover of 50 lakh each ?

    Thanks in advance

    1. Mahaveer-First understand your insurance need. Ideal insurance cover should be around 15 times of your yearly income. Also my suggestion is to come out of traditional plans. I think you are paying hefty premiums to cover that Rs.20 lakh SA. You can buy with LIC, HDFC, ICICI, SBI or Max. Choice is your’s. Issuing the term insurance depends on your eligibility (which again depends on individual company underwriting rules). So it is hard to say that whether company will issue term insurance for you. Hope you understood what I am saying.

  247. Thanks Basavaraj. Based on few recommendation, I am basically trying to split the my term insurance 1. till my retirement 2. till my youngest child graduation – to provide me flexibility to close one if I don’t need one at a future date. Is there any advantage/disadvantage in splitting across insurance companies? Or Do you recommend me to go for 2nd/addl 75L insurance with HDFC itself (which is my first preference)?

    1. Vijay-Let us say you have term insurance spread across three companies. You need to disclose your existing insurance while buying. Suppose at the time of claim one company reject it and shared the reason for rejection with others then what you will do? Hence it is not prudent to diversify your risk. Instead you can buy with one insurer by disclosing the facts.

  248. I am 38.5yr old, while most term insurance companies consider my age as 38yrs; LIC e-term calculates my age as 39yrs (nearest age as i am 5 mths away to my 39th birth dt) & premium works higher than others by 30%. so now I am planning to buy additional 75L online level term cover insurance for 20 yr term and short-listed Kotak e-preferred (Rs 13,370) & SBI e-Shield (Rs 13,678) – Pl advise which one to choose between SBI & Kotak?
    Note I already have 75L term insurance from HDFC click2protect so want to diversify CS risk with another company.

  249. Hi,

    I have two requirements (a) Covering the Home Loans (b) Life term Insurance. My age is 38 years

    Regarding the Home loan coverage, this is planned with objective of , in case of unfortunate event (Death or physically handicap) the dependents do not have any liability of paying EMI of home loan, and the protection coverage can take care of outstanding load, the remaining EMI are either paid off by protection coverage or exempted… So please let me know what is best & affordable way covering the home loans till the loan period.

    Secondly the Best Terms Insurance Policy. I have seen the LIC new on-line term Policy, where you have given your feedback. My question are (a) I have seen Metlife & few others, covering term policy till age of 100 Years, where as the LIC (on-line new) is covering till age of 75. So is this disadvantage in case of LIC policy, or which is option is better. (b) What is process of claim in case of these on-line Term Policy and what is expected service


  250. Hi,

    I have two requirements (a) Covering the Home Loans (b) Life term Insurance. My age is 38 years

    Regarding the Home loan coverage, this is planned with objective of , in case of unfortunate event (Death or physically handicap) the dependents do not have any liability of paying EMI of home loan, and the protection coverage can take care of outstanding load, the remaining EMI are either paid off by protection coverage or exempted… So please let me know what is best & affordable way covering the home loans till the loan period.

    Secondly the Best Terms Insurance Policy. I have seen the LIC new on-line term Policy, where you have given your feedback. My question are (a) I have seen Metlife & few others, covering term policy till age of 100 Years, where as the LIC (on-line new) is covering till age of 75. So is this disadvantage in case of LIC policy, or which is option is better. (b) What is process of claim in case of these on-line Term Policy and what is expected service