LIC Policy Revival in 2026: How to Bring a Lapsed Policy Back to Life

By Hari Kotian, IRDAI-Certified Insurance Advisor · 2026

Reviving a lapsed LIC policy restores your original premium rates, keeps your accumulated bonus intact, and protects tax benefits under Section 80C. Surrendering or buying fresh means higher premiums at your current age and a new waiting period on riders.

What revival actually costs

The revival amount is outstanding premiums plus interest, typically around 9.5% per annum on arrears. No separate penalty applies for most policies - the interest is the cost.

Documents you will need

Policy bond, Aadhaar or PAN, address proof, bank account details for ECS mandate, and medical reports if revival requires underwriting. Keeping these ready pre-empts the most common stall points.