Difference between Post Life Insurance and LIC, this article is about the difference between the PLI and LIC of India. Post Life Insurance and LIC which is best. Postal Life Insurance Vs LIC-Which is best? This article acknowledges investors about the difference between the both and gives than opinion on what should be taken and where they will be getting the more returns or benefits from the same. Now you can scoll down below n Check Difference Difference between Post Life Insurance and LIC.

Difference between Post Life Insurance and LIC

What are the differences ?

  • Firstly we will go to the eligibility criteria, where the eligibility criteria for the PLI investors is that the policy of PLI is specifically for the government employees and no one else could subscribe to it, rather in the latter case, LIC can be taken by any citizen of India. So here the PLI fails to offer to each and every individual of India.
  • Now coming to the taxability of the same than both are at the same level, Post Life Insurance and LIC both are eligible for the deduction under section 80C.
  • The Age limit in case of PLI is from 19 years to 55 years where as in case of LIC, it is up to 75 years which is better for investors who want long term returns over a period of time.
  • The ownership of PLI is under the control of Post Department; where as the ownership of LIC is under the control of Central Government.
  • The Bonus sharing Ratio in case of Post Life Insurance is much much higher (Normally around 7%) than in comparison of LIC (Normally around 4 to 5 %), which is better monetary advantage than any other advantage.
  • Now comes the claim settlement procedure and the claim passing percentage is very much hard and is very much less in comparison to the LIC claims settlement procedure and the passing ratio or percentage.
  • The premium amount for PLI is much less than that in comparison of LIC. This difference maximum of the individuals and intend them to take the Post Life Insurance instead of the LIC policy.
  • In case of PLI policies, you need to visit the Post Office personally and get the procedure for the same to be conducted, while as LIC policy can be taken from online and no need to get from the LIC building individually.


Looking to the differences above, PLI looks good but the policy still looks for the traditional and is not modernization according to the needs of the modern man. Maximum people of India have covered their Life with the policies of Life Insurance Corporation of India.

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