LIC Digi Credit Life Plan Details & Review 

LIC digi credit life plan details

LIC Digi Credit Life (Plan 878) is one of LIC’s newest offerings. LIC Digi credit life is designed to protect borrowers by covering the outstanding loan amount in case of an untimely demise. 

In this article, we’ll dive deep into the features, benefits, eligibility criteria, and why this plan might be the right choice for you.

What is LIC Digi Credit Life Insurance For (Plan 878)?

LIC’s Digi Credit Life is a decreasing Term Assurance plan wherein the death benefit will be reduced over the policy term. It is a non-ULIP, non-participating*, term insurance plan.

 It is designed specifically for borrowers who want to cover their outstanding loans in case of unforeseen circumstances

The plan ensures that in case of the policyholder’s death, the burden of loan repayment doesn’t fall on their loved ones.

The LIC Digi credit life plan is available online only and can be purchased directly from the website www.licindia.in.

This is a Non-Par Product where policies are not entitled for any share in surplus (profits) during the term of the policy.

LIC Digi Credit Life Benefits

1. Loan Protection– The LIC Digi Credit plan covers the outstanding loan amount, making it a great choice for home loans, personal loans, and other financial liabilities.

2. Term Insurance– It provides pure risk cover which also means, there is no maturity benefit. The sum assured is paid only in the event of death during the policy term.

3. Digital Application Process– As the name suggests, LIC Digi Credit Life is a fully digital plan, ensuring a hassle-free and paperless process from application to policy issuance.

4. Affordable Premiums– The premiums are relatively lower than traditional life insurance plans, making it an affordable option for borrowers.

5. Flexible Tenure- The policy term can be customized according to the loan tenure, allowing flexibility in planning your financial coverage.

6. Single and Joint Life Options- The plan can be taken in single and joint life name, making it suitable for co-borrowers.

7. Peace of Mind- Borrowers can enjoy peace of mind knowing that their financial obligations are covered, securing their family’s future.

Eligibility Criteria for LIC Digi Credit Life (Plan 878)

Minimum Sum Assured
Rs 50,00,000/-
Maximum Sum Assured
Rs 5,00,00,000/- ( above 5 crore on the basis of underwriting)
 Policy Term – 5 Years to 30 YearsSingle Premium Payment
 Policy Term -10 Years to 30 YearsPremium Paying Term -5 Years
Policy Term -15 Years to 30 YearsPremium Paying Term -10 Years
Policy Term -25 Years to 30 YearsPremium Paying Term -15 Years
Minimum Age at entry18 years (completed)
Maximum Age at entry45 years (last birthday)
Minimum Maturity Age23 years (completed)
Maximum Maturity Age 75 years (last birthday)
Mode of installment premium Please choose the frequency of your payments: single premium, Half-Yearly, or Yearly.

LIC Digi Credit Life – Maturity, Death Claim

Maturity Benefit

No maturity benefit is payable on successful completion of policy.

Death Claim (For Limited premium payment policy)

In case of unfortunate death of assured, the nominee will get the higher of the below mentioned amounts:

  • 105% of “Total Premiums Paid” up to the date of death
  • Absolute amount assured to be paid on death

Death Claim (For Single premium policy)

Sum Assured is paid.

Who Should Consider LIC Digi Credit Life (Plan 878)?

1. Loan Borrowers– If you have taken out a significant loan (e.g., a home loan, car loan, or business loan), this plan offers vital protection for your family and loved ones.

2. First-Time Loan Takers– New borrowers can benefit from this plan by ensuring their loan is protected from the outset.

3. Joint Loan Applicants– If you’re applying for a loan with a co-borrower, LIC Digi Credit Life offers joint coverage, securing both individuals.

4.Individuals Seeking Simple Term Insurance- This plan is suitable for those looking for a straightforward term insurance plan specifically linked to their loan.

How to Apply for LIC Digi Credit Life?

  • Visit the LIC Website & Navigate to the LIC Digi Credit Life section ( https://esales.licindia.in/CustomerQuote?plan=878)
  • Keep ready your documents such as Income/ investment proof, self cancelled Cheque, Address Proof, photograph, online ekyc.
  • Fill in your basic details
  • Submit your loan details – such as loan amount, tenure, and co-borrower details (if applicable).
  • Click on Calculate premium
  • Proceed with the paperless application, upload the required documents, and make the payment.
  • Once approved, the policy will be issued digitally.

LIC Digi Credit Life (Plan 878)- Review

LIC digi credit life plan premium details

This plan is a pure decreasing Term Assurance plan wherein the death benefit decreases over the policy term. The Policyholder shall choose the Basic Sum Assured depending on the loan amount.

LIC Digi Credit Life (Plan 878) is a smart choice for borrowers seeking loan protection. Its affordability, ease of application, and coverage make it ideal for individuals with loans. Whether you’re a first-time borrower or someone with multiple financial obligations, this plan ensures that your loved ones are not burdened with loan repayments in your absence.

If you’re looking for financial security with a focus on loan repayment, this policy can serve as a reliable safety net. By opting for LIC Digi Credit Life, you’re not only securing your financial future but also providing peace of mind for your family.

Frequently Asked Questions (FAQs)

Can I apply for LIC Digi Credit Life (Plan 878) if I have an existing loan?

Yes, you can apply for this plan even if you have an existing loan. The plan will cover your remaining loan balance.

Is there any maturity benefit with LIC Digi Credit Life?

No, LIC Digi credit life plan is a pure term insurance plan, meaning there is no maturity benefit. It provides financial protection only in case of the policyholder’s death.

Can I cover multiple loans under a single policy?

No, the plan covers one loan at a time. However, you can purchase multiple policies to cover different loans.

Can I apply for LIC Digi Credit Life (Plan 878) if I have an existing term insurance from LIC/ other company?

Yes, life-proposed (LP) may buy multiple online policy(ies) if the LP needs more life-insurance cover subject to your financial eligibility.

Life-proposed has to disclose their income details & existing life-insurance cover details in corresponding sections while applying for cover under this plan.

Existing insurance coverage, if any, will be added to the current proposed Sum Assured to arrive at your overall eligibility.

Based on the income and overall eligibility, online proposal for risk-cover will be decided by LIC as per its rules.

On Key

Related Posts