LIC Premium Payment Online — All Methods, Steps & Grace Period Rules

What is LIC Premium Payment?

Life Insurance Corporation of India (LIC) is India's largest life insurance provider. When you buy an LIC policy, you must pay premiums at regular intervals — monthly, quarterly, half-yearly, or annually — to keep your policy active. Missing premium payments can lead to your policy lapsing, which means you lose insurance cover and may forfeit benefits.

LIC now offers multiple online payment methods so you can pay premiums from home without visiting a branch. Whether you use the LIC website, mobile app, UPI, or your bank's net banking — paying your LIC premium online takes just a few minutes.

Online Methods to Pay LIC Premium

Here are all the ways you can pay your LIC premium online:

1. LIC Official Website (Pay Direct)

The easiest method — no registration needed.

Steps:

1. Visit licindia.in/premium-payment
2. Click on "Pay Direct" option
3. Enter your Policy Number and Date of Birth
4. Verify your policy details and premium amount displayed
5. Choose payment mode — Credit Card, Debit Card, Net Banking, or UPI
6. Complete the payment through the payment gateway
7. Download or save the e-receipt for your records

Note: Credit cards can be used for premium payment but not for loan repayment.

2. LIC Customer Portal (Registered Users)

If you have an LIC online account, you get additional features like policy management, fund value checks, and premium history.

Steps:

1. Go to licindia.in/lic-portal
2. Log in with your User ID and Password
3. Select the policy you want to pay for
4. Click on "Pay Premium"
5. Choose your payment method (Debit Card, Credit Card, Net Banking, UPI)
6. Complete the transaction and save the receipt

First-time registration:

1. Visit the LIC portal and click "New User"
2. Enter your Policy Number, Date of Birth, and Mobile Number
3. Verify via OTP sent to your registered mobile
4. Create your User ID and Password
5. Log in and link all your policies

3. LIC PayDirect App (Mobile)

LIC offers the "LIC PayDirect" mobile app for quick premium payments.

Steps:

1. Download LIC PayDirect from Google Play Store or Apple App Store
2. Open the app and enter your Policy Number
3. Enter your Date of Birth for verification
4. View premium details and select payment mode
5. Pay using UPI, Debit Card, Credit Card, or Net Banking
6. Payment receipt is sent to your registered email/mobile

4. UPI Apps (PhonePe, Google Pay, Paytm, BHIM)

You can pay LIC premiums directly through any UPI app.

Steps:

1. Open your UPI app (PhonePe, Google Pay, Paytm, etc.)
2. Search for "LIC" in the bill payments or insurance section
3. Enter your Policy Number
4. The premium amount is fetched automatically
5. Confirm and pay using your UPI PIN
6. Save the transaction ID as proof of payment

5. Net Banking (Through Your Bank)

Most major banks in India offer LIC premium payment through their net banking portals.

Steps:

1. Log in to your bank's net banking portal
2. Navigate to "Bill Payments" or "Insurance" section
3. Select "LIC of India" as the biller
4. Enter your Policy Number and premium details
5. Confirm the amount and authorize the payment
6. Download the payment confirmation

Banks that support LIC premium payment: SBI, HDFC Bank, ICICI Bank, Axis Bank, Bank of Baroda, PNB, Canara Bank, Union Bank, and most nationalized and private banks.

6. NACH / ECS Auto-Debit (Automatic Payment)

Set up automatic premium deduction from your bank account so you never miss a payment.

How to set up NACH/ECS:

1. Visit your nearest LIC branch with a cancelled cheque and policy documents
2. Fill the NACH mandate form (or ECS form)
3. Specify your bank account details and deduction frequency
4. Submit the form — LIC will register the mandate with your bank
5. Premiums are auto-debited from your account on the due date

Tip: You can also set up NACH through some bank net banking portals. Check with your bank.

7. Bharat QR Code

LIC supports payment via Bharat QR Code scanning.

1. Visit licindia.in/payment-through-alternate-channels
2. Enter policy details to generate a QR code
3. Scan the QR code using any Bharat QR-enabled banking app
4. Complete the payment

Grace Period Rules for LIC Premium Payment

If you miss the exact due date, LIC provides a grace period — extra days to pay without penalty:

Key points about the grace period:

• No extra charges are levied during the grace period — you pay only the regular premium
• Your policy remains active during the grace period — if a claim arises, it will be honored
• The grace period starts from the premium due date
• If you pay within the grace period, your policy continues without any interruption

What Happens If You Miss the Grace Period? (Late Payment)

If you fail to pay the premium even within the grace period, your policy lapses. Here's what that means:

Consequences of a Lapsed Policy

• Insurance cover stops — no death benefit or maturity benefit if the policy lapses
• Paid-up value — if you've paid premiums for at least 2-3 years (varies by plan), the policy may acquire a "paid-up" value, meaning a reduced benefit is still payable at maturity
• Surrender charges apply if you surrender a lapsed policy
• Riders and add-ons (like accident benefit) stop immediately

How to Revive a Lapsed LIC Policy

• A lapsed policy can be revived within 5 years from the date of the first unpaid premium
• Within 6 months of the first unpaid premium — simply pay all dues with interest (ordinary revival)
• After 6 months — you may need to submit a health declaration or undergo a medical examination
• Revival interest is charged on unpaid premiums — LIC counts up to 45 days as one month, 45-75 days as two months, and so on
• Revival can be done at your nearest LIC branch or through the LIC portal for eligible policies

Important Tips for LIC Premium Payment

1. Set reminders — Mark premium due dates on your calendar or phone to avoid missing payments
2. Use NACH/ECS — Auto-debit ensures you never miss a payment and your policy stays active
3. Keep receipts — Always save payment receipts (digital or physical) for tax filing under Section 80C
4. Verify payment status — Log in to the LIC portal to confirm your premium payment is reflected
5. Update contact details — Ensure your mobile number and email are updated with LIC for payment alerts and OTPs
6. Pay before grace period ends — Don't wait until the last day; payment processing may take 1-2 working days
7. Check tax benefits — LIC premiums qualify for deduction under Section 80C up to ₹1.5 lakh per year. See our income tax saving guide
8. Avoid third-party sites — Always pay through official LIC channels or your bank to avoid fraud

Related Guides

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• Electricity Bill Payment Failed — How to Fix
• How to Pay Water Bill Online — Municipal & Jal Board
• How to Pay Property Tax Online in India — Municipal Tax Payment Guide
• Property Tax Online Payment Failed — How to Fix

Frequently Asked Questions (FAQs)

Can I pay LIC premium online without registration?

Yes. Use the "Pay Direct" option on the LIC website at licindia.in/premium-payment. You only need your policy number and date of birth — no login or registration required.

What payment methods are accepted for LIC online premium payment?

LIC accepts Credit Card (Visa/Master/RuPay), Debit Card, Net Banking, UPI, and Bharat QR Code for online premium payments.

Is there any extra charge for paying LIC premium online?

No. LIC does not charge any additional fee for online premium payments. However, your bank or payment gateway may charge a nominal transaction fee for credit card payments.

How long does it take for the LIC premium payment to reflect?

Online payments are usually updated in real time or within a few hours. In some cases, it may take up to 24-48 hours for the payment to reflect in your policy account.

Can I pay someone else's LIC premium online?

Yes. You can pay the premium for any LIC policy as long as you have the policy number and the policyholder's date of birth. Use the Pay Direct option — no registration is needed.

What happens if my online payment fails but money is debited?

If your payment fails but the amount is debited from your account, it is usually auto-refunded within 5-7 working days. If not, contact LIC customer care at 1800-227-717 (toll-free) or raise a grievance on the LIC portal.

Can I pay LIC premium through NEFT or RTGS?

LIC does not directly accept NEFT/RTGS for premium payments through its website. However, some banks may allow it through their bill payment systems. The recommended methods are Pay Direct, UPI, or net banking.