What is fully paid up in lic

A paid-up life insurance is a life insurance policy that is paid in full, remains in force, and you don't have to pay any more premiums. It stays in-force until the insured's death or if you terminate the policy. Paid-up life insurance is only an option for certain whole life insurance policies.

What is paid up value in LIC policy?

Paid-up value indicates that your policy has received enough premium input to cover you till the policy tenure runs out even if you make no additional premium payments on the policy. You can choose to surrender such a paid-up policy and end the benefits so as to withdraw the money from the policy.

How is paid up policy calculated?

Paid up Value = No. of Premiums Paid / No. of Premiums Payable X S.A=10/20 X 100000 = 50000/-. This means that the policy is effective as before except that from the date the 11th premium was due, the sum assured is 50,000/- instead of original 1,00,000/-.

Does paid up policy get bonus?

No profits or bonuses are added to the sum assured if a policy becomes a paid-up policy. The riders added to your policy do not acquire any paid-up value. For ULIPs, a paid-up value can be acquired only after the lock-in period.

What is reduced Paidup in LIC?

Meaning of Reduced Paid-Up in LIC\n\n When the policyholder cannot further pay premiums for the life insurance policy for any reason, the sum assured for the policy is reduced by the insurer (LIC in this case). After 3 years of premium payments, a policy has a guaranteed surrender value.