How to Apply for LIC IPO as a Policyholder?

Linking the PAN Card with LIC policy

Linking your PAN card with your LIC policy is non-negotiable as the company has made it a qualifying criterion for existing policyholders to apply for its IPO under the policyholder category that gives certain benefits. Thanks to the online mode, you can now link your PAN card to your LIC policy account in a few steps within minutes. 

Here’s how the process of linking your PAN card with your LIC policy works–

• Click on https://linkpan.licindia.in/UIDSeedingWebApp/ to visit LIC’s PAN linking page
• Provide the following details on the form –

• Your date of birth (as stated in your PAN Card)
• Gender
• Email ID
• PAN Card number
• Your name in full (as mentioned on the PAN Card)
• Mobile number
• Policy number

• Tick the box which contains a declaration and acceptance for linking your PAN Card details to your policy
• Enter the captcha code displayed
• Click on ‘Get OTP’
• An OTP would be sent to the mobile number that you have entered
• Verify the OTP 

and your LIC policy account would be linked.

Also Read, Things to know before investing in LIC IPO

Updating Your Details on the LIC Policy

To ensure that your application for the LIC IPO is valid and accepted, make sure that your KYC details mentioned in your LIC Policy are updated.

If your address, contact number, or email address has been changed from what is currently mentioned on your LIC policy, you will have to update it before you apply for the IPO. This is also why LIC has been running campaigns, urging policyholders to update their KYC details.

Here’s how you can update your details in your LIC policy:

• Log in to the LIC website at https://licindia.in/ and click on ‘eServices’
• Select the ‘KYC update’ option in the dropdown
• Upload all the latest documents and await verification by the LIC authorities
• Your KYC will be updated after successful verification

Checking the Status of the PAN and LIC link

If you think that you had linked your PAN Card number with your LIC policy earlier, you can check the status of the link to ensure everything is in place before you apply for the IPO when it launches. Moreover, after you follow the aforementioned process and link your PAN Card, you can check the linking status online through the LIC website. 

Here’s a brief description of how the process works- 

• Click on https://linkpan.licindia.in/UIDSeedingWebApp/getPolicyPANStatus to visit the online page of LIC which allows you to check the PAN linking status
• Enter your policy number, date of birth, PAN Card number and the captcha code displayed 
• Click on ‘Submit’ and the linking status would be displayed

Getting Help from LIC agents

You can also get in touch with your LIC agents and ask them to help you link your PAN card with your LIC policy. The process is, however, digital and can be done within minutes. Your agent can help you get your PAN card linked and even check the status of linking. 

What if you don’t have a PAN Card?

If you do not have a PAN card, you need to get one if you want to enjoy the privilege of being a LIC policyholder when applying for the IPO. You can make an application for PAN online through NSDL or through UTITSL. Just fill in the required fields, submit your documents and pay the application fee and your PAN card would be issued. You can also apply for an e-PAN to get your PAN card in digitized form quickly so that you can link it to your LIC account and apply for the IPO.

Other things to know about the IPO

LIC IPO was initially proposed in the Union Budget of 2020-21. When the issue is listed on the markets, it is expected to raise between Rs 40,000 and Rs 1 lakh crore. Ever since a lot of buzz has surrounded the Government’s disinvestment in LIC.

While the details of the IPO have not been disclosed yet, the Government made a smart move mentioning that existing policyholders would be given preferential treatment. The finance ministry proposed 10% of the total IPO size be reserved for bidding for the existing policyholders of LIC.

This allows them a higher potential to get an allotment in the IPO, giving the policyholders subscribing to the LIC IPO an edge over other investors. 

The Bottom Line

While the exact date for the IPO is not known yet, every investor with a Demat account and valid PAN card can apply for the IPO.

Existing LIC policyholders may get a preferential status as the finance ministry proposed that 10% of the IPO be reserved for them. This basically means that if you are an existing policyholder, your chances of getting the allotment become a little higher.

To facilitate this, it is crucial to open a Demat account in your name (if you already don’t have one) and link your PAN number to your LIC policy to apply for the IPO whenever it opens. The process is online, simple and quick. What else can you ask for!