LIC Health Shield (Plan 907): family health insurance that pays you fixed cash
₹2,500 to ₹10,000 for every day in hospital, double in the ICU, and lump sums for 263 listed surgeries, whatever the actual bill. One policy can cover you, your spouse, your children and your parents.
- Plan 907, UIN 512N369V01
- Premium rates guaranteed for 15 years
- Accidents covered from day one
- Family premiums waived if the policyholder dies
LIC has announced Health Shield for sale from 19 October 2026, online and through LIC agents. Explained here by Ali Asgar, LIC advisor, Finance With Ali Asgar.
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Continue on WhatsAppWhat is LIC Health Shield?
LIC's Health Shield (Plan No. 907, UIN 512N369V01) is LIC's new fixed-benefit health insurance plan. It pays a set amount for each day in hospital, a share of a fixed sum for listed surgeries, and lump sums for day-care procedures, five named illnesses and long hospital stays. The amounts are linked to a daily benefit you choose, and they do not depend on your hospital bill. One policy can cover the whole family for 15 years at guaranteed premium rates. There is no maturity payout, and it does not replace a regular mediclaim policy.
If you are looking for an LIC health plan or LIC health policy in 2026, Health Shield is the one to know. Many people search for an "LIC mediclaim policy", but Health Shield is not mediclaim. A mediclaim policy pays the hospital bill. Health Shield pays cash to you, and you decide how to use it: the part of the bill your mediclaim didn't pay, lost income while you recover, travel, an attendant's stay, or medicines at home.
Mediclaim (regular health insurance)
- Pays the eligible hospital bill, up to the sum insured
- Usually cashless at network hospitals
- The bigger the bill, the bigger the claim
- Does not pay for lost income or costs outside the bill
LIC Health Shield (fixed benefit)
- Pays fixed cash per day and per listed treatment
- Money comes to you, not the hospital
- Same payout whether the bill is small or large
- Can be used for anything: income gap, travel, co-pay
Most families get the best protection by holding both: mediclaim for the bill, and a fixed-benefit plan like Health Shield for everything around it.
LIC Health Shield payout calculator
Choose a daily benefit and a hospital situation to see how much the plan would pay, using the formulas in LIC's sales brochure.
The stay must be longer than 24 hours. After the first 24 hours, an extra part-day counts only if it is more than 4 hours; this calculator counts complete days only. Illness claims need the 90-day waiting period to be over, and some conditions have a 2-year wait.
Illustration only, based on the published benefit formulas. Actual claims depend on LIC's assessment, the policy terms, limits, waiting periods and exclusions.
LIC Health Shield benefits explained
Every benefit is a multiple of your Applicable Daily Benefit (ADB). It starts equal to the daily benefit you choose (₹2,500 to ₹10,000, in steps of ₹500) and can grow through the No Claim Benefit. Each limit applies to each insured person separately.
Hospital Cash Benefit
Paid when a stay is longer than 24 hours. After the first 24 hours, an extra part-day counts if it is more than 4 hours. A day with at least 4 continuous hours in ICU is paid at the ICU rate.
Limits: 30 days in the first year, 90 days a year after that, 900 days in total.
Major Surgical Benefit
LIC lists 263 major surgeries, each paying 100%, 60%, 40% or 20% of a reference amount equal to 100 × ADB. At ₹5,000 a day, bypass surgery (100%) pays ₹5,00,000 and a single-stent angioplasty (20%) pays ₹1,00,000. Hospital Cash is paid on top.
Limits: up to 100 × ADB a year, 10 times that over the policy. Each surgery is paid once.
Extras with major surgery
Ambulance: ₹1,000 extra when a medically needed emergency ambulance was used for a covered major surgery.
Premium waiver: after a Category 1 or 2 surgery for any member, base premiums for the whole family are waived for one year, starting from the premium due on or after the surgery date. Rider premiums are not waived, and the waiver is given at most once a policy year.
Restoration: if a member uses up the year's surgery limit, one more major surgery that year is still covered, up to the full reference amount, if it is not caused by the earlier surgeries, is in a different body system (for example heart versus digestive) and is a different procedure. Once a year, up to 10 times per member.
Quick Cash: for a Category 1 or 2 surgery at a listed network hospital, the policyholder can ask for 50% of the surgery benefit in advance during the stay, subject to LIC's approval. It is adjusted in the final claim.
Day Care Procedure Benefit
For any of 243 listed procedures, including cataract surgery, tonsillectomy, appendectomy, lithotripsy, chemotherapy and radiotherapy sessions. Up to 3 a year and 30 in total. Hospital Cash is not added, except for dialysis and radiotherapy.
Other Surgical Benefit
For a needed surgery that isn't on either list, with a stay over 24 hours. Paid on top of Hospital Cash. Limits: 15 days in the first year, 45 days a year after that, 450 days in total.
Medical Management Benefit
For admission due to dengue, malaria, pneumonia, pulmonary tuberculosis or viral hepatitis A, plus Hospital Cash. Twice a year, 20 times in total. Not paid if a surgical or day-care benefit is paid for the same stay.
Extended Hospitalisation Benefit
An extra payment when a single continuous stay goes beyond 30 days, on top of everything else for that stay. Once a year, 10 times in total.
Health Check-up and No Claim Benefit
After 3 policy years, LIC repays a health check-up up to half the ADB, once every 3 years. For every 3 policy years in a row with no claim from anyone in the family, 10% of the starting daily benefit is added to the ADB. This raises future cover; it is never paid as cash.
Auto Health Cover: if the policyholder dies
If the original Principal Insured (the person who bought the policy) dies while the policy is in force, all future base premiums for the surviving family members are waived from the policy anniversary on or after the death. Their cover continues at the same daily benefit, and the No Claim Benefit keeps working. The spouse becomes the new policyholder, or else the eldest surviving adult.
Things to know: any half-yearly premium due before that anniversary must still be paid, the spouse's rider premiums are not waived, it applies only once (on the original policyholder's death), and it doesn't apply to suicide within 12 months of cover or revival. The base plan pays no lump sum on death. If one of the other members dies, nothing is paid and that member's premium stops.
Optional riders
Only the original policyholder and the covered spouse can add riders, at an extra premium.
- LIC's New Term Assurance Rider (UIN 512B210V02): a lump sum on death during the rider term, up to that person's major-surgery reference amount. It can be added only when joining the policy, before the policy anniversary on which their age (nearer birthday) is 60.
- LIC's Accident Benefit Rider (UIN 512B203V03): a lump sum on accidental death, up to the same reference amount. It can be added later too, if at least 5 years of premiums remain, before the anniversary on which age (nearer birthday) is 65. Cover runs for the remaining premium term or until (70 − entry age) years, whichever is shorter.
Both riders together cannot cost more than 30% of that person's base premium. Even at the highest daily benefit, rider cover tops out at ₹10 lakh, so a separate term plan is the right tool for family income protection.
Eligibility: who can be covered
Ages are age last birthday. A child must have completed 90 days.
| Member | Entry age | Cover period | Cover ends by age |
|---|---|---|---|
| Principal Insured (main holder) | 18 to 65 | 15 years | 80 |
| Spouse | 18 to 65 | Remaining policy term, minimum 5 years | 80 |
| Parents | 18 to 65 | 15 years | 80 |
| Children | 90 days to 20 | Remaining policy term, minimum 5 years | 35 |
Policy term and premium paying term: 15 years. No monthly mode.
Choosing the daily benefit
- Main holder: ₹2,500 to ₹10,000, in steps of ₹500
- Spouse: up to the main holder's amount
- Parents: up to the spouse's amount (or the main holder's), and both parents get the same
- Children: up to the spouse's amount (or the main holder's), and all children get the same
- One person can't have more than ₹10,000 a day across all Health Shield policies
Family rules to decide on day one
- Parents: both or neither. If both are alive and eligible, you can't cover only one.
- Children: all or none at the start.
- Left out now means left out for good. Existing family members can't be added later.
- Only a new spouse (within 12 months of marriage) or a newborn or adopted child (within 12 months) can join later, with at least 5 years left. Their cover starts at the next policy anniversary, with fresh waiting periods.
- A member can be removed after death or divorce. A spouse's cover ends on divorce or legal separation.
LIC Health Shield surgery list: what common operations pay
Payout = listed percentage × (100 × your ADB). Selected examples from LIC's Major Surgical Benefit list of 263 surgeries, with amounts at a ₹5,000 daily benefit.
| Surgery | Category | % paid | At ₹5,000/day |
|---|---|---|---|
| Coronary artery bypass (CABG) | Category 1 | 100% | ₹5,00,000 |
| Heart valve replacement | Category 1 | 100% | ₹5,00,000 |
| Kidney, liver or bone marrow transplant (as recipient) | Category 1 | 100% | ₹5,00,000 |
| Brain surgery for a malignant tumour (craniotomy) | Category 1 | 100% | ₹5,00,000 |
| First permanent pacemaker | Category 2 | 60% | ₹3,00,000 |
| Hysterectomy for cancer | Category 2 | 60% | ₹3,00,000 |
| Radical mastectomy | Category 2 | 60% | ₹3,00,000 |
| Complete thyroid removal | Category 2 | 60% | ₹3,00,000 |
| Angioplasty with two or more stents | Category 3 | 40% | ₹2,00,000 |
| Total knee or hip replacement | Category 3 | 40% | ₹2,00,000 |
| Gallbladder removal (cholecystectomy) | Category 3 | 40% | ₹2,00,000 |
| Lumbar spinal fusion | Category 3 | 40% | ₹2,00,000 |
| Angioplasty with a single stent | Category 4 | 20% | ₹1,00,000 |
| Thigh-bone fracture fixation (femur) | Category 4 | 20% | ₹1,00,000 |
| Prostate removal (suprapubic) | Category 4 | 20% | ₹1,00,000 |
Category 1 and 2 surgeries also bring a one-year base-premium waiver for the whole family (from the premium due on or after the surgery date; riders excluded) and access to the 50% Quick Cash advance. Knee or hip replacement (unless after an accident) and gallstone treatment have a 2-year waiting period. The full surgery and day-care lists are in LIC's sales brochure (PDF).
A family example with real numbers
Vikram, 40, buys Health Shield for himself and his wife Neha, 35. Each has a daily benefit of ₹5,000, so each has a major-surgery reference amount of ₹5,00,000. As standard lives buying offline, their brochure premium is ₹9,446 + ₹6,357 = ₹15,803 a year, or ₹2,37,045 over 15 years if no premium is waived.
These events happen to the same couple, one after another. Because there is a claim in each of years 2 to 5, no No Claim Benefit is added, so the daily benefit stays ₹5,000 throughout. We assume LIC accepted both of them, premiums are paid and waiting periods are over.
| Situation | Working | LIC pays |
|---|---|---|
| Year 2: Neha has dengue, 3 days in ward and 2 in ICU | 3 × ₹5,000 + 2 × ₹10,000 + 2.5 × ₹5,000 | ₹47,500 |
| Year 3: Neha has a laparoscopic appendectomy (a listed day-care procedure) | 5 × ₹5,000; no hospital cash for day-care | ₹25,000 |
| Year 4: Vikram has a single-stent angioplasty, 3 days in ICU | 20% × ₹5,00,000 + 3 × ₹10,000 | ₹1,30,000 |
| Year 5: Vikram has bypass surgery (CABG), 6 days in ward and 3 in ICU, emergency ambulance | 100% × ₹5,00,000 + 6 × ₹5,000 + 3 × ₹10,000 + ₹1,000 | ₹5,61,000 |
The bypass is Category 1, so one year of base premiums (₹15,803 at yearly mode) is waived, starting from the premium due on or after the surgery date. Up to ₹2,50,000 could also be requested in advance at a listed network hospital, subject to LIC's approval. If the hospital bill was ₹3,50,000, LIC still pays ₹5,61,000; if it was ₹7,00,000, LIC still pays ₹5,61,000. The payout follows the formula, not the bill.
Year 7: Vikram dies. Neha's future premiums are waived from the next policy anniversary (any half-yearly premium due before then is still payable). She stays covered until the end of year 15. Without a rider, no lump sum is paid.
If nobody ever claims: the daily benefit grows to ₹5,500 in year 4, ₹6,000 in year 7, ₹6,500 in year 10 and ₹7,000 in year 13. At the end of 15 years, cover stops and nothing is paid back.
Waiting periods, exclusions and policy rules
Waiting periods
- 90 days from each person's cover start for illness claims. Accidents are covered from day one.
- 2 years for 23 conditions and their complications, including cataract, hernia, piles, fistula, gallstones, kidney stones, tonsils, sinus, slip disc, varicose veins, thyroid and prostate enlargement (benign), uterine fibroids, stomach ulcers, retina problems, osteoarthritis, knee or joint replacement (unless after an accident) and chronic kidney failure.
Pre-existing diseases
Any condition diagnosed, treated or advised by a doctor in the 36 months before cover starts is excluded, unless you disclosed it and LIC accepted it. Tell LIC everything. Hiding facts can lead to claims being refused.
Main exclusions
- Pregnancy and childbirth, including caesarean (ectopic pregnancy is covered)
- Treatment before and after hospitalisation
- Stays under 24 hours, except listed day-care, dialysis and radiotherapy
- Treatment outside India
- Cosmetic surgery, dental work (unless after an accident), infertility, obesity and sleep disorders
- AYUSH treatment outside government hospitals or recognised institutes, or under 24 hours
- Self-inflicted injury, alcohol or drug misuse, hazardous sports, war and terrorism
- Procedures done only to diagnose, such as an endoscopy for testing
| Rule | What it means |
|---|---|
| Grace period | 30 days after the due date. Cover continues; an unpaid premium is deducted from any claim in this time. |
| Lapse | After the grace period, the policy stops. Nothing is paid for events while it is lapsed. |
| Revival | Within 5 years, by paying missed premiums with interest (9.5% a year, compounding half-yearly, for May 2026 to April 2027) and meeting health requirements. Waiting periods apply again: a 45-day wait if you apply within 90 days, otherwise fresh 90-day and 2-year waits. |
| Maturity, surrender, loan | None. Nothing is paid at the end of 15 years, and nothing comes back if you stop. |
| Free look | 30 days to return the policy. LIC refunds the premium minus stamp duty, medical test costs and risk premium for the days covered. |
Tax benefits on LIC Health Shield
- Premiums qualify for the health insurance deduction under Section 126 of the Income-tax Act, 2025 (the old Section 80D) from tax year 2026-27.
- Up to ₹25,000 a year for yourself, your spouse and dependent children, and a separate ₹25,000 for your parents. Each limit becomes ₹50,000 for a senior citizen. Preventive check-ups count within these limits, up to ₹5,000.
- Pay by UPI, bank transfer, card or cheque. Cash payment of premium does not qualify.
- Only under the old tax regime. The new regime doesn't allow this deduction.
- No GST on individual health insurance premiums since 22 September 2025.
LIC's brochure asks you to consult a tax adviser about premiums and benefits. We haven't confirmed the tax treatment of claim payouts from official sources.
Is LIC Health Shield right for your family?
A strong fit if you
- Already have mediclaim and want cash for the gaps it leaves
- Are self-employed or a daily earner whose income stops in hospital
- Want parents (up to 65) and children in one policy at guaranteed rates
- Rely on one earner and want family cover to continue if they die
- Only have company health cover, which ends when the job does
Get other cover first if you
- Have no mediclaim at all: start there, because a fixed daily amount can't pay a large surgery bill
- Have dependants but no term plan
- Need maternity cover or cashless treatment
- Want savings or returns: this plan has none
- Can't commit to 15 years of premiums: stopping means losing the cover
| Pros | Limitations |
|---|---|
| Fixed cash you can use for anything | May be less than a large hospital bill |
| Spouse, children and parents in one policy | Parents both-or-neither; existing members can't join later |
| Premium rates guaranteed for 15 years | Cover ends after 15 years |
| Family premiums waived if the policyholder dies | No lump sum on death without a rider |
| Up to 100 × daily benefit for listed major surgeries | Most surgeries pay 20% to 60%, not 100% |
| Accidents covered from day one | 90-day and 2-year waits for illness |
| One year of base premiums waived after a Category 1 or 2 surgery | No cashless; only a 50% advance for some surgeries |
| Cover grows with claim-free years | Growth is slow (in a 15-year policy, up to 4 increases of 10% of the starting amount) and one claim restarts it |
LIC Health Shield vs mediclaim vs other cover
| LIC Health Shield | Mediclaim (indemnity) | Critical illness cover | Term life insurance | |
|---|---|---|---|---|
| Pays for | Hospital days and listed treatments, fixed cash | Eligible hospital bills up to a limit | Diagnosis of a listed serious illness | Death of the insured |
| Linked to the bill? | No | Yes | No | No |
| Cashless | No (50% advance for some surgeries) | Usually yes | No | No |
| Helps with lost income | Yes, partly | No | Yes | Yes, for the family |
| Premium | Guaranteed for 15 years | Can change at renewal | Depends on product | Usually fixed |
| Best role | Add-on cash layer | Foundation of health cover | Big-illness lump sum | Income replacement |
Other products' features vary by insurer. No single cover is best for everyone; the sensible order for most families is mediclaim, then term life, then a fixed-benefit plan like Health Shield.
How to buy LIC Health Shield
LIC has announced Health Shield for sale from 19 October 2026. You can buy it in two ways:
- Online, directly on licindia.in. You get a 10% rebate on the base table premium, and you handle the choices and paperwork yourself.
- Through an LIC agent or intermediary. You pay the standard premium and get help choosing members and daily benefits, filling the health disclosures correctly, and making claims later.
Most mistakes with this plan happen on day one: leaving out a family member who can't be added later, picking a daily benefit the family can't sustain, or not disclosing a past condition. Those are what an adviser is for.
What happens after you enquire
- We call youWithin one working day, at the time you chose.
- Your illustrationThe premium and benefits for your exact family, and whether Health Shield fits alongside your existing cover.
- Proposal and disclosuresAge proof, ID, address proof, bank details and an honest health history for each member.
- LIC decidesLIC underwrites each member. Cover starts when LIC accepts the proposal.
- Claim supportHelp with documents and follow-up whenever you need to claim.
LIC health insurance plans in 2026: which are available now
LIC's official health insurance page now lists two plans: Health Shield (907) and New Cancer Cover (908). Older LIC health policies are no longer on sale, though existing policyholders stay covered under their own policy terms.
| Plan | What it does | Status |
|---|---|---|
| LIC's Health Shield (Plan 907) UIN 512N369V01 | Fixed cash for hospital days, listed surgeries, day-care procedures and named illnesses, for the whole family. Explained on this page. | For sale from 19 October 2026 |
| LIC's New Cancer Cover (Plan 908) UIN 512N370V01 | Cancer-only cover for one person: 25% of the sum assured on a specified early-stage cancer, 100% on a specified major-stage cancer, plus 1% of the sum assured every month for 10 years after a major-stage diagnosis. Entry age 18 to 65. | For sale from 19 October 2026 |
| LIC's Jeevan Arogya (Plan 904) | Earlier hospital cash and surgical benefit plan. Read about Jeevan Arogya 904 | No longer on sale |
| LIC's Cancer Cover (Plan 905) | Earlier cancer plan, replaced by New Cancer Cover. Read about Cancer Cover 905 | Withdrawn 25 April 2023 |
Planning cover for cancer specifically? Health Shield and New Cancer Cover do different jobs and can be held together. Ask us for a combined illustration.
See your family's numbers before you decide
Tell us who you want to cover. You'll get the premium, the payouts for common situations, and an honest view on whether this plan suits your family.
LIC Health Shield FAQs
What is LIC Health Shield Plan 907?
It is LIC's fixed-benefit family health insurance plan (UIN 512N369V01). It pays set amounts for hospital days, listed surgeries, day-care procedures, five named illnesses and long stays, linked to a daily benefit you choose. It does not depend on the actual hospital bill.
When can I buy LIC Health Shield?
LIC has announced it for sale from 19 October 2026, online at licindia.in and through LIC agents and other intermediaries.
Is LIC Health Shield a mediclaim policy?
No. Mediclaim reimburses hospital bills. Health Shield pays fixed cash to you, regardless of the bill. It works best alongside a mediclaim policy.
What is the premium for LIC Health Shield?
LIC's brochure shows ₹7,195 a year for a 30-year-old man and ₹6,883 for a 30-year-old woman, for a ₹5,000 daily benefit, standard life, bought offline. Your premium depends on each member's age, gender, daily benefit and health.
Who can be covered under one policy?
You (18 to 65), your spouse (18 to 65), your parents (18 to 65) and your children (90 days to 20 years). If both parents are eligible, both must be covered, and all eligible children must be covered at the start.
Can I buy LIC health insurance for my parents?
Yes, if they are 65 or younger at entry. Both parents must be covered if both are alive and eligible, and their cover can continue up to age 80 within the 15-year term.
How much does LIC Health Shield pay for surgery?
A listed percentage of 100 times your daily benefit. At ₹5,000 a day, bypass surgery pays ₹5,00,000 (100%), a pacemaker ₹3,00,000 (60%), knee replacement ₹2,00,000 (40%) and a single-stent angioplasty ₹1,00,000 (20%). Hospital cash is paid on top.
Is there a waiting period?
Yes. 90 days for illness and 2 years for 23 listed conditions such as cataract, hernia and gallstones. Accidents are covered from day one.
Are pre-existing diseases covered?
Only if you disclosed them and LIC accepted them before cover started. Conditions diagnosed or treated in the previous 36 months are otherwise excluded.
Is cashless treatment available?
No. For Category 1 and 2 surgeries at listed network hospitals, you can request a 50% advance of the surgery benefit during the stay. Other benefits are paid after you claim.
What happens if the policyholder dies?
Future base premiums for the surviving family members are waived from the next policy anniversary, and their cover continues. Any half-yearly premium due before then is still payable. The base plan pays no lump sum.
Does the daily benefit increase over time?
It increases by 10% of the starting amount after every 3 policy years in a row with no claim from anyone in the family, up to 40% over 15 years. It is never paid out as cash.
Will I get money back at the end of the policy?
No. There is no maturity benefit, surrender value or loan. It is pure protection.
Can I pay the premium monthly?
No. Only yearly or half-yearly payment is offered.
Can I save tax with LIC Health Shield?
Yes, under Section 126 of the Income-tax Act, 2025 (formerly 80D), within the limits, if you choose the old tax regime and pay by a non-cash method.
Is it cheaper to buy LIC Health Shield online?
Yes. Buying directly on licindia.in without an agent gives a 10% rebate on the base table premium. Buying through an agent costs the standard premium but includes guidance on members, daily benefit, disclosures and claims.
Which LIC health insurance plans are available in 2026?
LIC's health insurance page lists two plans: Health Shield (Plan 907) for family hospital and surgery cash, and New Cancer Cover (Plan 908) for cancer. Both are announced for sale from 19 October 2026. Older plans such as Jeevan Arogya (904) and Cancer Cover (905) are no longer sold.
Can I cover my parents-in-law under LIC Health Shield?
No. The plan covers the main holder's spouse, children and parents. Your spouse can take a separate Health Shield policy as the main holder to cover their own parents.
Should I buy it if I already have company health insurance?
It can make sense. Company cover usually ends when you leave the job, and its limits are often shared. Health Shield gives your family its own cash cover for 15 years at guaranteed rates.