How to link Aadhar with LIC Policy?

Last Updated on October 9, 2023 by BFSLTeam BFSLTeam

The Aadhar card is a unique identification document issued by the Government of India. Launched in 2010, it serves as a 12-digit biometric and demographic identity number for Indian residents. Aadhar cards are a crucial part of the government’s efforts to establish a digital identity infrastructure, promoting financial inclusion and social welfare programs. The introduction of Aadhar cards in India aimed to address several critical needs. It sought to establish a robust and universally recognized identity system to curb identity fraud, benefitting social welfare programs by ensuring subsidies reach the intended recipients. Overall, Aadhar cards were introduced to foster transparency, improve service delivery, and empower Indian residents with a secure and portable means of proving their identity. Now Let’s understand How to link Aadhar with LIC Policy.

LIC Policy and Why You Should Have One. 

The Life Insurance Corporation of India (LIC) is a government-owned insurance and investment company established in 1956. It is the largest life insurance provider in India and one of the largest in the world. LIC offers a wide range of insurance products, including term insurance, endowment plans, whole-life policies, and more. Known for its trustworthiness and reliability, LIC has played a vital role in promoting financial security among Indians. With an extensive network of branches and agents across the country, LIC has made life insurance accessible to millions, helping them safeguard their future and achieve their financial goals.

Having a Life Insurance Corporation of India (LIC) policy offers several advantages:

• Financial Security: LIC policies provide financial protection to your family in case of your untimely demise, ensuring they have funds to cover living expenses, debts, and future goals.
• Savings and Investment: Many LIC policies offer a combination of insurance and investment, allowing you to grow your wealth over time while ensuring protection.
• Tax Benefits: Premiums paid on LIC policies are eligible for tax deductions under Section 80C of the Income Tax Act, and the payouts are generally tax-free under Section 10(10D).
• Long-Term Planning: LIC policies encourage disciplined savings and help you plan for long-term financial goals like education, marriage, and retirement.
• Loan Facility: Some policies offer the option to avail loans against the policy’s cash value, providing liquidity during emergencies.
• Bonuses and Dividends: Depending on the type of policy, you may receive bonuses and dividends, enhancing the policy’s overall returns.
• Peace of Mind: LIC policies offer peace of mind, knowing that your loved ones are financially protected, and you have a financial safety net.
• Trustworthiness: LIC is a government-owned company with a long-standing reputation for reliability and prompt claim settlement.
• Rider Options: You can enhance your policy’s coverage with riders like critical illness or accidental death benefit riders.
• Retirement Planning: LIC offers pension plans that help you secure a regular income stream during your retirement years.

Also Read: Link An Aadhaar Card With An LPG Connection

Why should I link my Aadhar card to my LIC Policy?

Linking your Aadhar card to your LIC (Life Insurance Corporation of India) policy offers several benefits and is often mandatory for policyholders. Here’s why you should consider linking them:

• Regulatory Compliance: The Government of India has mandated the linkage of Aadhar with various financial services, including insurance policies. Complying with this requirement ensures you are following the law.
• KYC Verification: Linking Aadhar helps LIC verify your identity and address, simplifying the Know Your Customer (KYC) process. It reduces the chances of fraudulent activities and ensures that policies are issued to genuine individuals.
• Seamless Communication: Aadhar linkage ensures that LIC can communicate important updates, policy information, and maturity benefits directly to you. This helps you stay informed about your policy’s status.
• Claim Settlement: In the event of a claim, having your Aadhar linked to your LIC policy can streamline the claim settlement process, making it quicker and more efficient for your beneficiaries.
• Online Services: Aadhar linkage often facilitates online services and transactions related to your LIC policy, making it easier to manage and access policy-related information.
• Eliminates Duplicate Policies: It helps prevent the issuance of multiple policies to the same individual, reducing administrative errors.
• Government Subsidies: If LIC offers any government-sponsored insurance schemes or subsidies, linking Aadhar may be a requirement to avail of these benefits.
• Policy Servicing: Linking Aadhar can simplify tasks like updating your contact information, and nominee details, or making premium payments online.

How to link Aadhar with LIC Policy?

The method of linking Aadhar to LIC insurance online is quite simple. Here’s a step-by-step guide:

Step 1: Launch your internet browser and navigate to the LIC’s official website.

Step 2: Look for the option labelled ‘LIC Aadhaar Link’ and click on it.

Step 3: After reading the instructions, click the ‘Proceed’ button.

Step 4: A screen will appear in which you must enter your name, DOB, PAN data, Aadhaar number, LIC policy number, and so forth.

Step 5: Complete the form after carefully reviewing the information you’ve entered.

Step 6: You will additionally be given a captcha code, which you must enter before clicking on the ‘Get OTP’ button.

Step 7: An OTP will be provided to your registered cellphone number, which must be entered in order for the connection to be completed.

After you obtain an SMS with confirmation on your registered cellphone number, the Aadhaar LIC connection will be considered successful.

Also Read:  Link Voter ID with Aadhaar Card

Conclusion 

In conclusion, linking Aadhar to LIC policies represents a vital step towards ensuring security, compliance, and efficiency in the Indian insurance landscape. This mandatory requirement aligns with government regulations and promotes accurate identity verification, reducing the risk of fraudulent activities. It streamlines communication between policyholders and LIC, facilitating timely updates and efficient claim settlements. Additionally, Aadhar linkage simplifies online policy management, enhancing the overall customer experience. Ultimately, this integration of Aadhar with LIC policies strengthens financial security, transparency, and trust, benefiting both policyholders and the insurance industry as a whole in India.