Are you also facing cash crunch during the COVID-19 pandemic? Did you know that in case you are unable to pay your premium, you can pay your LIC insurance premium using money from your Employees’ Provident Fund (EPF) account. This facility is available at the time of purchase of LIC policy or at the time of payment of premium thereafter.
What to do
You can instruct EPFO to pay premium by filling Form 14 at the time of purchase of LIC insurance or at any time after the initial premium payment. Form 14 is an application for paying premium for a life insurance policy with LIC using your contribution to EPF account, which you can access from the EPFO website. After filling the application, as the process progresses, your LIC insurance premium will be deducted from your EPF account on or before the due date.
The whole process understand
Now, let’s look at LIC Who is eligible to how to obtain funds in advance EPF for premium payments and take advantage of this in advance? Form 14 needs to be submitted to EPFO for making LIC premium payment from EPF account. There is an important condition in this that the balance of your EPF account should be equal to the LIC premium amount for at least two years.
Policy details as mentioned in Form 14-
- Address of the branch office or unit of LIC where the policy account will be maintained
- Policy/Proposal number and date
- Sum Assured or Proposed to be assured
- Potential to buy Date
- Whether the offer has been accepted and if so, by which date the first premium is to be paid
- Amount of Annualized Premium.
- Due Date (the premium)
- What age went to accept, if not, provide information about the certificate presented to LIC
- Insurance Act, 1938, the name of the nominee under section 39
- Guardian, if any, appointed under section 39 of the Insurance Act, 1938 in respect of a minor.
- CBT before signing any details of previous policy or have removed any amount prior to the financing of any insurance policy is to certify “that I have your fund account (EPF).”
