ICICI Prudential Life Offers Digital Loans Against Policies in FY2025

ICICI Prudential Life Insurance has disbursed over Rs. 900 crore as loans against traditional policies to its customers in FY2025, thus providing customers with liquidity to tide over unexpected financial obligations.

The loan against policy is an extremely useful feature as it allows customers to unlock liquidity, in what is essentially a long-term plan and ensures the life cover and savings objective is not disrupted. In FY2025, the Company disbursed loans to over 42,700 customers.

Mr. Amish Banker, Chief Operations Officer, ICICI Prudential Life Insurance, said, “Life insurance is a long-term product and remaining committed for the tenure of the policy is the key to achieving the financial goal. Also, we also understand that customers may face liquidity challenges and therefore urge our customers to avail the loan feature. This will not only enable them to meet short term liquidity need but also ensure the long-term savings plan is uninterrupted. Customer can avail loan up to 80% of policy’s surrender value.

All our touch points are geared to receive and process loan against policy requests from our customers. Notably, more than 98% loans were disbursed within 24 hours and is paperless.

Among customers availing loan facility, the digital touch points which are website and mobile app are preferred modes. 52% of our customers availed of the loan against policy through our digital touch points such as the Company website and mobile app. We have also simplified and digitised the loan repayment process, ensuring ease of management throughout the loan term for our customers.

We have seen an increasing adoption of the loan against policy feature among our customers with a 60% year-on-year increase in loan disbursals in FY2025. This also shows the commitment of customers to remain invested for the long-term to achieve the financial goals for which the product was purchased.

Notably, availing a loan against policy has no impact on the credit score of customers. Interestingly, the funds can also be utilised for premium payments, ensuring continuity of the policy and its benefits.”