Lic Efeap Full Form May 2026

If you mis-typed "EFEAP" for EEFP:

Unlike pure term insurance, EFEAP combines a death benefit with a maturity benefit. If the employee survives until retirement/leaving service, they receive the accumulated corpus. If they die in service, the family receives the sum assured + bonuses.

The full form of LIC EFEAP is:

LIC Employees’ Family Endowment Assurance Plan

Let’s break that down:

In simple terms, EFEAP is not a product sold to the public. It is an exclusive, in-house group savings-linked life insurance scheme created by LIC for the welfare of its own employees.

Eligibility is straightforward because EFEAP is an internal welfare measure: lic efeap full form

Since LIC is a profit-making entity, the corporation often declares loyalty additions or terminal bonuses on the EFEAP corpus based on the employee’s length of service and the fund’s performance.

To understand EFEAP, you need to look back at LIC’s history. Before its establishment in 1956, life insurance was handled by over 245 private insurers. After nationalization, LIC became a massive public sector undertaking (PSU) employing hundreds of thousands of people. If you mis-typed "EFEAP" for EEFP : Unlike

In the 1970s and 1980s, the Indian government and LIC management realized that standard market policies were insufficient to retain talent and provide long-term financial security to employees. Unlike government employees who had the General Provident Fund (GPF) and pension, LIC employees contributed to the LIC Group Superannuation Scheme.

To bridge the gap between retirement benefits and life cover, EFEAP was introduced as a mandatory, contributory group assurance scheme. It ensures that an employee’s family receives a lump sum amount in case of the employee’s untimely death, while also creating a forced savings corpus for the employee’s own future. In simple terms, EFEAP is not a product sold to the public