In a public notification, the Life Insurance Corporation of India stated that it does not impose any fines on customers who fail to update their Know Your Customer (KYC) information for life insurance policies. The warning follows the spread of false information on social media that targets consumers.

LIC in a tweet stated: “LIC would like to clarify that although we encourage our policyholders to update their KYC details to help us serve you better, there are no penalty charges levied by us for failure to do so.”

Additionally, LIC listed the official channels via which clients could inquire about their policies and receive explanation.

• Customers could contact LIC by phone at (022) 6827 6827
• Visit online at www.licidia.in
• The official social media account LICIndiaForever on Twitter, Facebook, Instagram, and YouTube,
• Visit any designated LIC agent or branch.

What is KYC

KYC stands for “know your customer,” which is a useful approach for an organisation to check and afterwards verify a customer’s legitimacy. In order to achieve this, the customer must provide all necessary KYC papers.

How to update contact details in LIC

Step 1: Visit https://merchant.licindia.in/LICEPS/portlets/visitor/updateContact/UpdateContactController.jpf

Step 2: Enter full name, DoB, Contact number

Step 3: Tick mark the declaration and click submit

Step 4: In the next page, enter policy details and verify the same

Your contact details will be updated.

KYC fraud

Many banks have issued a warning to their customers to not to respond to fake KYC messages. Many SBI customers this year, received the message stating: “Dear customer, your SBI Bank account has been suspended for KYC, please complete your KYC 10 minutes promptly by clicking this link.” If you have received this SMS from a personal number then it is yet another KYC fraud you should be aware of.