LIC's SB Policy will be Revived Immediately

This article on Jeevan Bima Bazaar will prove to be very useful for those Agents who work for Life Insurance Corporation of India. An Insurance Agent can be really successful only if new customers keep coming to his Agency and old customers keep paying their Life Insurance Policy Premiums on time.

Think for a moment, if you keep selling New Insurance Policies every month and old Insurance Policies keep lapsing, what will be the effect on your Agency? If this happens to any agent of LIC, he will never be successful.

If you are also troubled by lapsed policies, then I assure you that if you follow the methods mentioned here, then your problem can be overcome to a great extent.

Make Efforts to Revive the Lapsed Policy-

For the moment, assume that you are a Policyholder. You bought a Life Insurance Policy five years or six years ago. For which you have also deposited the premium for one year or two years. After this, for some reason you have not deposited the premium for that Policy.

Suppose it is the month of February and you come to know that if your Policy was in-force, you would have got the Survival Benefit of Rs.20,000. What thoughts would arise in your mind as a Policyholder?

Surely your first question will be that if you deposit the Premium of this Life Insurance Policy immediately, will you get Rs 20,000 from LIC? I am sure as a customer you would also like to know that if you want to revive this Policy then how much money you will have to deposit?

Will the Life Insurance Policy be Revived-

Suppose I am your Life Insurance Advisor or your Life Insurance Agent and I say to you, "Sir, you bought this Life Insurance Policy five years back and you have paid the Premium for this Policy for two years. You have taken this Policy for a term of 20 years."

Next I say, "Sir, if you deposit Rs 27,755 immediately in this Policy, then you will get the benefit that you will get Rs 20,000 immediately from LIC and your Policy will complete its term of five years. After this, you will have to deposit Premium only for 15 years in this Policy and your Policy will mature."

Continuing my talk, I say, "Sir, today this policy of yours is closed. Due to which the policy is not giving the benefit of risk cover. If you deposit the Premium for this Policy, then you will start getting the benefit of risk cover from this Policy. If you stop the premium of your policy forever, then its biggest disadvantage will be that all the money you have deposited in this policy will be lost. Because, You have only two years' premium accumulated in your policy."

Finally I say, "Sir, when you bought this policy five years ago, you were five years younger. Your premiums were lower because of your younger age. If you decide to buy a new policy today, Due to the higher age, you will have to deposit more premium. That means you will pay more premium, but still get less benefit on maturity."

After knowing all this, what would be your decision if you were a policyholder? I can say with 100% guarantee that you will want to revive your policy. But here the problem can arise when the customer does not have enough money to pay the premium. Now I want to describe my point on the basis of two possible situations.

First Possible Situation-

Suppose, in the month of January, you should have received a payment of Rs 20,000 from your policy. The policy was lapsed so the customer has not received the payment. Now it is the month of February. If the customer deposits Rs 27,755 from himself in the month of February. So his policy will be in-force and he will also get the payment of Rs.20,000.

But the problem is that the customer does not have Rs 27,755. Because of which he is unable to deposit the premium of his policy. So you can give your customer the information to in-force his policy in this way.

Now what happens here is that if the customer deposits Rs.27,755 from himself. So after depositing the premium, the corporation has to pay Rs.20,000. To in-force this policy, you can do this by getting the customer to deposit Rs 7,755 in his policy and submit an application from the customer, in which he agrees to deposit the amount of his survival benefit in his policy.

Now you can get your customer's policy revived.

Second Possible Situation-

Suppose, in the month of January, you should have received a payment of Rs 20,000 from your policy. The policy was lapsed so the customer has not received the payment. Now it is the month of February. If the customer deposits Rs 17,755 from himself in the month of February. So his policy will be in-force and he will also get the payment of Rs.20,000.

But the problem is that the customer does not have Rs 17,755. Because of which he is unable to deposit the premium of his policy. So you can give your customer the information to in-force his policy in this way.

Now what happens here is that if the customer deposits Rs 17,755 from himself, So after depositing the premium, the corporation has to pay Rs.20,000.

To in-force this policy, you can get an application from the policyholder. In which he agrees to revive the policy by depositing Rs 17,755 in his policy from the amount of his survival benefit.

Complete the revival process of the policy with this application. Your policy will be revived. In this way, when the policy is operational, LIC will deduct Rs 17,755 from the amount of survival benefit of the policy (Rs 20,000) and deposit it in the policy and pay the remaining Rs 2,245 to the customer's bank account.

Make your Policyholders Aware-

There is a general rule in the Insurance Business, the rule is that as long as your client is making a profit, you are also making a profit. If your client will suffer, you will also not be able to avoid loss.

You get commission every time your customer pays the premium for his policy. If the client does not deposit the premium, then you also do not get the commission. If the customer's policy lapses, it will adversely affect your club membership.

Therefore, you should try that not a single policy of yours should lapse. But even if any of your policy has lapsed, then for that you must make some effort in such a way that you get your policy revived as soon as possible.

To revive the lapsed policy, you have to make your customers aware continuously. For this you can call your customers, share inspiring images on social media. Can send email.

To make this task easier for you, two links are being shared here below. By following this you can get different types of images, email templates and messages. You can download it and use it to revive your lapsed policies.

Material for Revival of Lapsed SB Plans(If the date of survival benefit of the policy has passed. The material to be used for such lapsed policies is available here.)
Material for Revival of Lapsed SB Plans Part 02(If the date of survival benefit of the policy is to fall in the future. The material to be used for such lapsed policies is available here.)

04 March 2023