LIC Policy Revived After 4 Years Lapse: 28 Lakh Sum Assured Restored

By Hari Kotian, IRDAI-Certified Insurance Advisor · 2026

Case Study: LIC of India · BTM Layout, Bangalore · 28,00,000 · 30 days · Result: Policy revived with full benefits, no medical exam

A BTM Layout resident's LIC Jeevan Anand policy lapsed 4 years ago due to financial hardship. The policy had 28 lakh sum assured and significant bonus accrued. We used LIC's Special Revival Scheme (available once per policy) which shifts the commencement date — no medical exam needed for lapses up to 3 years, but we got an exception. Full policy restored in 30 days.

The Situation

Policyholder lost job during COVID, couldn't pay premiums for 4 years. Policy had 28 lakh SA + 8 lakh bonus. Wanted revival but feared medical exams at age 52.

The Challenge

Revive a 4-year lapsed policy without medical examination. Maximize benefit retention.

How We Solved It

  1. Confirmed policy eligibility for Special Revival Scheme (once per policy lifetime)
  2. Calculated revival amount: all back premiums + 9.5% interest compounded half-yearly
  3. Negotiated with LIC branch for medical exam waiver citing controlled BP
  4. Submitted DGH (Declaration of Good Health) instead of full medical
  5. Followed up daily with servicing branch until revival letter issued

The Result

Policy revived in 30 days with full 28 lakh SA + 8 lakh bonus restored. Only DGH required — no medical exam. Revival amount: 4.2 lakh including interest.

Key Lessons

Client Testimonial

"I thought my 28 lakh policy was gone forever after 4 years. Hari Sir found the Special Revival Scheme. No medical test, just a health declaration. Got my policy back with all bonus in a month."