Hi Sundar, let me elaborate your question a bit. Your question has 2 parts :
1. Can I take a loan on my LIC policy?
2. Does LIC offer Home Loans?
Answer to question 1 - yes, you can avail a loan on your LIC policy, if it is an endowment policy. You can get upto 90% of the surrender value of the policy as loan amount. Read more about it on the LIC website - https://www.licindia.in/Customer-Services/Policy-Condition#16
. Looks like the interest rates now are 10.5% or something.
Answer to question 2 - you are asking about LIC Housing Finance :) . They are a separate company and they provide home loans.