LIC Tech Term: Cheapest Online Term Insurance from LIC

Many people ask me: 'Ajay sir, which term plan from LIC gives the most cover for the lowest premium?' My honest answer is LIC Tech Term. And yes, I am recommending a plan where I do not earn a commission, because my job is to give you the right advice, not the most profitable one.

LIC Tech Term (Plan 854) is LIC's online-only pure term insurance plan. You buy it directly through the LIC website without an agent. Because no agent is involved, there is no commission cost, and LIC passes this saving directly to you in the form of lower premiums. The premiums for Tech Term are typically 20 to 30% lower than Jeevan Amar for the same cover and term.

For a 30-year-old non-smoker male seeking ₹1 crore cover for 30 years, the approximate annual premium for LIC Tech Term is ₹8,500 to ₹10,000, compared to ₹13,000 to ₹15,000 for Jeevan Amar. Both offer the same ₹1 crore death benefit. The only difference is the buying channel.

Tech Term has two plan options: Level Sum Assured (the death benefit stays constant throughout) and Increasing Sum Assured (the sum assured increases by 5% each year, giving inflation protection). I usually recommend the Increasing option for younger buyers, your cover grows with your income.

The medical underwriting is the same as offline plans. You will need to answer health questions and may be asked for medical tests depending on your age and sum assured. The process is fully digital, no branch visit required.

One important consideration: since there is no agent, you handle claims yourself if something happens. This is where I still add value even for Tech Term policyholders, as your advisor, I will help your family through the claims process regardless of which LIC plan you hold. Call me at 9415313434 and I will help you apply for Tech Term step by step over the phone.