LIC will arrange money in emergency, know how the work will be done

LIC: Trouble never comes unannounced. But in difficult times, both the support of loved ones and money prove to be very helpful. However, many times we consider it better to take the help of a bank than to reach out to a friend or relative for financial help. But the bank charges a lot of interest on the loan. In such a situation, your help, Life Insurance Corporation of India (Life Insurance Corporation) Can do. Crores of countrymen invest in this insurance company with the trust of the government. But, do you know that LIC also provides loan facility against your insurance policy. This simply means that in times of trouble, instead of taking a personal loan from the bank, you can take a loan against your policy from LIC. Taking a loan against an insurance policy is considered safe. In this, your insurance policy is kept as security. This means that if a person is unable to repay the loan, his loan amount is compensated from the insurance amount.

How much loan can one get against insurance?

Loan against insurance through LIC is quite easy. In most of the cases, the loan is given in three to five working days. To know how much loan you can get against your insurance policy, you can take the help of LIC’s e-services. Generally, LIC gives up to 90 percent of the total surrender value of insurance as loan. Whereas, on some pre-paid schemes this amount is up to 85 percent. However, the thing to keep in mind is that you get the facility of loan against the policy only when your insurance policy is more than three years old. For this loan you have to submit the policy paper and other documents.

Also Read: Investors rejoiced, company will give two dividends of Rs 118 each, record date fixed

How to apply loan online

You can apply online for loan from LIC. For this, first of all register yourself in LIC e-Services. There is a loan section in it. Go there and give the complete information requested. Along with the documents, also complete the KYC process. After completion of the online process, a form details will be generated. It will have to be printed and sent to the branch office of LIC along with all the documents. After this, loan approval message and mail is received in three to five days.