Here is the detailed guide about How to Claim LIC Maturity Amount?

How to Claim LIC Maturity Amount?

When your Life Insurance Corporation (LIC) policy completes its term, it’s time to receive the reward for your long-term savings — the maturity amount.
However, many people are confused about how exactly to claim it, what forms to fill, what documents are needed, and how to avoid delays.

This complete guide explains everything in simple and practical words — from what happens when your LIC policy matures, to the step-by-step claim process (offline and online), required documents, tax implications, and real-world tips.

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What is LIC Maturity Amount?

When you buy an LIC policy with savings or investment benefits (like an Endowment, Money-Back, or Whole Life policy), you’re promised a payout at the end of the policy term — that’s the maturity amount.

It usually includes:

• The Sum Assured — the guaranteed amount mentioned in your policy.

• The Bonuses — like reversionary bonus and final additional bonus (depending on your plan).

• Guaranteed Additions, if applicable.

👉 Example:
If your policy’s sum assured is ₹5,00,000 and LIC has declared ₹1,00,000 in bonuses, you will receive ₹6,00,000 at maturity.

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When Can You Claim the Maturity Amount?

• You can claim your amount after the completion of your policy term.

• LIC usually sends a maturity intimation letter 2 months before your maturity date.

• If you don’t get any letter, contact your LIC branch directly.

The maturity claim is payable only when:

• All premiums are paid,

• The policy is active (not lapsed),

• The policyholder submits the required documents.

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Pre-Check Before Filing the Claim

Before submitting your claim, make sure everything is in order. Here’s a quick checklist:

✅ 1. Check Premium Payment & Policy Status

• Ensure all premiums are paid till the last due date.

• Confirm your policy is active (in force).

• If your policy lapsed earlier but you revived it, keep the revival receipt safely.

✅ 2. Verify Your Bank & KYC Details

• Check that your bank details (account number, IFSC) are updated with LIC.

• Your bank account should be in your name only.

• Make sure your Aadhaar, PAN, and address proof are correct and updated.

✅ 3. Gather Required Documents

Keep ready:

• Original policy bond,

• Aadhaar & PAN,

• Cancelled cheque or bank passbook copy,

• Address proof,

• 2 passport-size photos (if needed).

✅ 4. Note Maturity Date

LIC sends a maturity letter about 60–90 days before your policy ends. But it’s good practice to mark the date in your calendar yourself and start preparing early.

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Step-by-Step Process to Claim LIC Maturity Amount

Here’s the complete guide on how to claim your maturity amount both offline and online.

Step 1: Receive the Maturity Intimation Letter

Around two months before your policy’s maturity date, you will receive an official letter from LIC.
It contains:

• Policy number

• Maturity date

• Expected maturity amount

• List of required documents

• Discharge Form (Form 3825)

If you don’t receive this letter, contact your LIC branch directly and ask for the discharge form.

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Step 2: Fill Out the Discharge Form (Form No. 3825)

This is a crucial form also known as the “Discharge Receipt”.
You can collect it from the LIC branch or download it from their website.

You’ll need to fill in:

• Policy number

• Name of the policyholder

• Maturity date

• Sum assured

• Address

• Bank account details (for NEFT payment)

• Signature (with witnesses, if required)

💡 Tip: Paste a ₹1 revenue stamp if your branch requires it.

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Step 3: Attach All Required Documents

Submit the following with your filled discharge form:

1. Original Policy Bond
   (This is the most important document. Without it, claim won’t be processed.)

2. Photo ID Proof
   (Aadhaar / PAN / Passport / Voter ID)

3. Address Proof
   (Utility bill / Aadhaar / Bank statement)

4. Bank Details
   (Cancelled cheque or passbook copy — make sure IFSC is visible)

5. Two Passport Photos (if asked)

6. NEFT Mandate Form (if not already submitted earlier)

7. NOC from Assignee (if policy was pledged for a loan)

💡 Pro Tip: Always keep a photocopy of all documents before submitting.

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Step 4: Submit the Form at Your LIC Branch

Take all your documents and visit your servicing LIC branch (where your policy is maintained).

• Submit the discharge form and documents to the claims officer.

• Get an acknowledgment receipt with a date of submission.

• Ask for the expected credit date.

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Step 5: Claim LIC Maturity Amount Online (Optional)

If you’re tech-savvy, you can also initiate the process online.

Here’s how:

1. Visit the LIC Customer Portal and log in.

2. Go to “Customer Services” → “Maturity Claim”.

3. Fill your policy number and other details.

4. Upload scanned copies of your documents.

5. Submit.

Note: You may still be required to submit physical documents depending on policy type.

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Step 6: Verification & Processing

After submission, LIC verifies:

• Your identity and policy details

• Premium payment history

• Bank details (for NEFT)

• Assignment or loan status

If everything is correct, your claim will be approved.
Usually, it takes about 7–10 working days after maturity date.

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Step 7: Receive the Maturity Amount

Once approved, LIC credits the maturity amount directly to your bank account.
You’ll receive an SMS or email confirmation once the transfer is done.

✅ Done! Your maturity claim process is complete.

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Documents Checklist (Summary)

Document Type	Required For
Original Policy Bond	Proof of ownership
Discharge Form 3825	Claim form
Aadhaar / PAN	Identity proof
Address proof	Verification
Cancelled cheque	NEFT transfer
Bank passbook copy	Bank verification
Photos (if required)	Record purpose
NOC (if assigned)	Loan release

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Special Cases

1. NRI Policyholders

If you’re living abroad:

• You can authorize a family member in India via Power of Attorney.

• Provide your Indian bank account or NRE/NRO details.

• Submit scanned copies if allowed; some documents may still need courier submission.

2. Assigned / Loaned Policies

If you pledged your LIC policy for a loan:

• Get a “No Objection Certificate” (NOC) from the bank.

• Only after that, LIC can release your maturity amount.

3. Missed Maturity Date

If your policy has already matured and you didn’t file a claim:

• The money will be held as unclaimed amount.

• Visit your LIC branch or check online for “unclaimed maturity funds”.

• Submit your documents to release it anytime later.

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Tax Implications of LIC Maturity Amount

The maturity amount from LIC is mostly tax-free under Section 10(10D) of the Income Tax Act.

It is tax-free if:

• The premium is less than 10% of the sum assured (for policies issued after April 2012).

• The policyholder survives the policy term.

It is taxable if:

• The premium exceeds 10% of the sum assured.

• The policy is single premium with high premium-to-cover ratio.

In such cases, the maturity proceeds are added to your total income and taxed as per your income tax slab.

💡 For NRIs, the same exemption applies if the policy was issued in India and conditions are met.

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Timeline for Claim Processing

If all documents are correct and submitted before the maturity date:

• LIC usually credits the amount on or just after the due date.

• If submitted late, processing may take 7–15 working days.

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Real-Life Example

Example:
Mr. Ramesh bought an LIC endowment plan for ₹10,00,000 with a 20-year term.
His maturity date is 10th August 2025.

Here’s how he proceeds:

1. He receives LIC’s maturity letter in June 2025.

2. Downloads and fills Form 3825.

3. Attaches original policy bond, Aadhaar, PAN, cancelled cheque.

4. Submits at his branch on 10th July.

5. LIC verifies details and approves.

6. On 10th August, ₹14,00,000 (sum assured + bonus) is credited directly to his bank account.

Smooth and simple because he submitted everything early!

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Tips for a Hassle-Free Claim Process

• Start preparing at least 45 days before maturity.

• Double-check your policy number and bank IFSC on the form.

• Attach a small revenue stamp if required by the branch.

• Always take a photo or photocopy of your submission.

• Keep the acknowledgment slip safely.

• Stay calm — LIC usually credits the maturity amount on or before due date.

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What to Do After Receiving the Maturity Amount

Congratulations! You’ve successfully claimed your LIC maturity proceeds.
Now it’s time to decide how to use this money wisely.

Here are a few smart options:

1. Invest in a fixed deposit or recurring deposit for steady returns.

2. Start a new LIC or pension plan if you still need coverage.

3. Use for long-term goals like education, home purchase, or retirement.

4. Pay off any debts or loans to reduce interest burden.

5. Diversify into mutual funds or government bonds for better returns.

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Frequently Asked Questions (FAQs)

1. Can I claim my LIC maturity online?
Yes. You can initiate it through LIC’s online portal, but physical submission of documents may still be required.

2. Is maturity amount automatically credited?
No, you need to submit a claim form and documents for LIC to process it.

3. What happens if I miss the claim?
Your money will remain safe with LIC as “unclaimed”. You can claim it anytime by visiting the branch.

4. Is the maturity amount tax-free?
Yes, under Section 10(10D), it’s tax-free if premiums are within prescribed limits.

5. What if the policyholder dies after maturity but before payment?
Then the nominee or legal heir can claim the maturity amount.

6. Can NRIs claim LIC maturity amount?
Yes, NRIs can claim it through Indian bank accounts or via Power of Attorney in India.

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Conclusion

Claiming your LIC maturity amount is a simple process — if you’re prepared.
The key is to:

• Keep your documents ready,

• Submit the discharge form early,

• Verify your bank details, and

• Follow up politely with the branch.

After years of regular premium payments, this maturity amount is your reward — use it smartly and celebrate your financial discipline!