At GLOBAL FINSOL our endeavour is to encompass a more broader and bolder image for the organization and becoming an end to end financial solutions provider.
LIC Jeevan Bima is not a specific plan but rather a general term used to refer to life insurance plans offered by Life Insurance Corporation of India (LIC), the largest and most trusted life insurance company in India. LIC offers a wide range of life insurance plans designed to meet the diverse needs and requirements of individuals.
LIC is a government-owned insurance and investment corporation with a strong legacy of over six decades. It is known for its reliability, financial stability, and efficient claim settlement process.
Variety: LIC offers a diverse range of life insurance plans under the "Jeevan" series to cater to different needs and requirements such as savings, protection, retirement planning, and children’s future planning.
Plans offer a combination of insurance and investment benefits, providing financial protection against unforeseen events and opportunities to build wealth over time through bonuses and returns on investments.
Premiums paid towards LIC Jeevan Bima plans are eligible for tax benefits under Section 80C of the Income Tax Act, 1961. Additionally, the death benefit and maturity benefit received under the policy are tax-free of the Income Tax Act.
Flexibility: LIC Jeevan Bima plans offer flexibility in choosing the premium payment term, policy term, and payout options, allowing policyholders to customize the plan according to their financial needs, goals.
Assured Benefits: Many LIC Jeevan Bima plans offer guaranteed returns in the form of bonuses, which are declared periodically by LIC and are payable at the time of maturity or along with the death benefit, enhancing the overall returns on investment.
Additional Protection: LIC Jeevan Bima plans offer optional riders such as accidental death benefit rider, critical illness rider, and disability benefit rider, among others. These riders can be added to the base plan by paying an additional premium.
Financial Flexibility: LIC Jeevan Bima plans offer liquidity through loan facilities, allowing policyholders to avail loans against the policy's cash value in times of financial need, providing financial flexibility and ensuring uninterrupted coverage.
Choosing the Right Plan:
Needs Analysis: Determine your financial goals, risk appetite, and insurance needs to choose the LIC Jeevan Bima plan that best aligns with your requirements.
Plan Selection: Select a suitable plan from the wide range of options available, such as endowment plans, whole life plans, money-back plans, or pension plans.
Policy Term and Premium Payment:
Policy Term: Decide on the duration for which you want the insurance coverage, known as the policy term.
Premium Payment: Choose the premium payment mode (monthly, quarterly, half-yearly, or yearly) and frequency (regular, limited, or single pay) based on your convenience and financial capability.
Insurance Coverage:
Death Benefit: In the event of the policyholder's demise during the policy term, the death benefit is payable to the nominee. The death benefit generally includes the sum assured, accumulated bonuses, and any additional benefits as per the chosen plan.
Maturity Benefit: If the policyholder survives the policy term, the maturity benefit is paid out, which includes the sum assured, accrued bonuses, and other guaranteed benefits as per the policy terms.
Bonuses and Returns:
Guaranteed Additions: LIC Jeevan Bima plans offer guaranteed additions or bonuses, which are declared periodically by LIC and accrue to the policyholder's account, enhancing the overall maturity value.
Participation in Profits: Some plans participate in the profits of LIC and offer additional bonuses in the form of loyalty additions, ensuring better returns on investment over time.
Optional Riders:
Enhanced Coverage: Policyholders can opt for additional riders such as accidental death benefit rider, critical illness rider, and disability benefit rider by paying an extra premium. These riders provide extra financial protection against specific risks and contingencies.
Tax Benefits:
Tax Savings: Premiums paid towards LIC Jeevan Bima plans are eligible for tax benefits under Section 80C of the Income Tax Act, 1961. Additionally, the death benefit and maturity benefit received under the policy are tax-free under Section 10(10D) of the Income Tax Act, making it a tax-efficient investment option.
Loan Facility:
Liquidity: LIC Jeevan Bima plans offer a loan facility against the policy's cash value, allowing policyholders to avail loans in times of financial need, providing financial flexibility and ensuring uninterrupted coverage.
Surrender and Withdrawal:
Exiting the Plan: Policyholders have the option to surrender or withdraw the policy before maturity, subject to certain terms and conditions. However, surrendering the policy prematurely may result in a loss of benefits and incur charges.
| Description | Minimum | Maximum |
|---|---|---|
| Age at entry | 3 years | 60 years |
| Premium |
Based on Sum Insured(Minimum SI 1 lac) |
No Limit |
| Premium Payment Term | 10 years | |
| Policy Term | 15 years | |
| Death Benefit | SA – 1,25,000 to 2,00,000(increases as per term) | |
| Inbuilt Rider |
Accidental Death & Disability Benefit Rider |
|
(i) During the Waiting Period of 45 days from the date of commencement of Risk:
This Policy will cover death due to accident only during the waiting period of 45 days from the date of commencement of risk.
In case of death of the Life Assured other than due to accident during the waiting period, an amount equal to 100% of all premiums received excluding taxes, if any, shall be paid and the Basic Sum Assured shall not be paid. In case of death of the Life Assured due to accident during the Waiting Period and provided the Policy is in force,
the Death Benefit amount payable as a lump sum is:
(1) For regular premium or limited premium payment policy, equal to Sum Assured on Death which is the highest of:
(a)10 times the Annualized Premium, or
(b)105% of all premiums paid as on the date of death, or
(c) Absolute amount assured to be paid on death.
(2) For Single premium policy, equal to Sum Assured on Death which is the higher of:
(a) 125% of Single premium or
(b) Absolute amount assured to be paid on death.
(ii) After the expiry of Waiting Period of 45 days from the date of commencement of Risk:
On death of the Life Assured after the expiry of Waiting Period but before the stipulated Date of Maturity and provided the Policy is in force, the Death Benefit amount payable as a lump sum is:
(1) For Regular premium or Limited premium payment policy, “Sum Assured on Death” which is the highest of:
(a)10 times of annualized premium; or
(b)105% of all the premiums paid as on the date of death; or
(c) Absolute amount assured to be paid on death.
(2) For Single premium policy, “Sum Assured on Death” which is the higher of:
(a) 125% of Single Premium or 3
(b) Absolute amount assured to be paid on death.
Premiums referred above shall not include any extra amount chargeable under the policy due to underwriting decision if any. Absolute amount assured to be paid on death shall be an amount equal to Basic Sum Assured.
No Maturity Benefit shall be payable on the Life Assured surviving the stipulated Date of Maturity.
Copyright © 2024 Global Finsol Private Limited. All rights reserved. Powered by Beyondweb Technologies