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LIC’s JEEVAN LAKSHYA (Plan No.833) launching soon

LIC soon to launch a new plan Jeevan Lakshya (Plan No.833) in the month of March, 2015. IOE brings the plan details in advance just for you!
LIC’s Jeevan Lakshya will be a limited premium paying conventional With-Profits Endowment Assurance plan. This plan will provide Annual Income benefit that may help to fulfill the needs of the family, primarily for the benefit of children, in case of unfortunate death of Policyholder any time before maturity and a lump sum amount at the time of maturity independant of survival of the Policyholder. The benefits and other details of the plan are given below.

BENEFITS:

The benefits payable under an inforce policy are as under:

a) Benefits payable on death:

Death Benefit, defined as sum of “Sum Assured on Death”, vested Simple Reversionary Bonuses and Final Additional Bonus, if any, shall be payable at various durations as mentioned below:

Where “Sum Assured on Death” is defined as the sum of:

– Annual Income Benefit equal to 10% of the Basic Sum Assured, which shall be payable from the policy anniversary coinciding with or following the date of death of Life Assured, till the policy anniversary prior to the date of maturity.

– Assured Absolute Amount equal to 110% of Basic Sum Assured, which shall be payable on due date of maturity; and The vested Simple Reversionary Bonuses and Final Additional Bonus, if any, included in the Death Benefit, shall be payable on due date of maturity.

The Death Benefit defined above shall not be less than 105% of all the premiums paid as on date of death.

The premiums mentioned above exclude taxes (including service tax), extra premium and rider premium(s), if any.

b) Benefits payable on maturity:

On survival to the end of the policy term provided all due premiums have been paid, “Sum Assured on Maturity” along with vested Simple Reversionary bonuses and Final Additional bonus, if any, shall be payable. Where Sum Assured on Maturity is equal to Basic Sum Assured.

c) Participation in Profits:

The policy shall participate in profits of the Corporation and shall be entitled to receive Simple Reversionary Bonuses declared as per the experience of the Corporation, provided the policy is in full force.

Final Additional Bonus, if any, at such rate and on such terms may also be declared under the policy as on due date of maturity.

In case of death under a policy which is in full force, the policy shall continue to participate in profits upto the due date of maturity and the entire vested Simple Reversionary Bonuses and Final Additional Bonus, if any, shall be payable on due date of maturity.

Hence, the Simple Reversionary Bonus and Final Additional Bonus, if any, shall be payable under the policy on due date of maturity irrespective of survival of the Life Assured. In case the premiums are not duly paid (except in case of death of the Life Assured under inforce policy), the policy shall cease to participate in future profits irrespective of whether or not the policy has acquired paid up value. However, the policy shall be considered as inforce on death during the grace period. Final Additional Bonus shall not be payable under reduced paid-up policies.

3. OPTIONAL BENEFIT:

This plan provides the following optional rider by payment of additional premium:

i) LIC’s Accidental Death and Disability Benefit Rider:

LIC’s Accidental Death and Disability Benefit Rider (AD&DB) is available as an optional rider by payment of additional premium. This rider can be opted for at any time within the premium paying term of the Basic Plan provided the outstanding premium paying term is atleast 5 years. The benefit cover under this rider shall be available during the policy term. If this benefit is opted for, an additional amount equal to the Accident Benefit Sum Assured is payable on death due to accident, provided the rider is inforce at the time of accident. In case of accidental permanent disability (within 180 days from the date of accident), an amount equal to the Accident Benefit Sum Assured will be paid in equal monthly installments spread over 10 years and future premiums for Accident Benefit Sum Assured as well as premiums for the portion of Basic Sum Assured which is equal to Accident Benefit Sum Assured under the policy, shall be waived. If the policy becomes a claim by way of death or maturity before the expiry of the said period of 10 years, the disability benefit instalments which have not fallen due will be paid along with the claim amount. The premium for this rider shall be paid during the premium paying term of the Basic Plan.

If there be more policies than one and if the total Accident Benefit exceeds Rs.100 lakhs, the benefits shall apply to the first Rs. 100 lakhs Sum Assured in order of date of policies issued. Accidental Death and Disability Benefit Rider shall not acquire any paid-up value and the rider benefit will cease to apply, if policy is in lapsed condition. Beyond the specific details as mentioned in this circular in respect of this rider, additional details i.e. requirements of claim, definition of disability etc, may be referred from the rider circular Ref: CO/PD/44 dated 2nd January, 2014.

ii) LIC’s New Term Assurance Rider : – LIC’s New Term Assurance Rider is available at the inception of the policy on payment of additional premium. The additional premium for this Rider will need to be paid along with the premium of the Basic Plan and any other rider, if opted for, during the premium paying term of the policy. If this rider is opted for, on death of the Life Assured during the policy term an additional amount equal to Term Assurance Rider Sum Assured shall be payable provided the rider cover is inforce. If there be more policies than one and if the total Term Assurance Rider Sum Assured exceeds Rs. 25 lakhs, the benefits shall apply to the first Rs. 25 lakhs Term Assurance Rider Sum Assured in order of date of policies issued.

 4. ELIGIBILITY CONDITIONS AND RESTRICTIONS: For Basic Plan:

1) Minimum Age at entry for Life Assured : 18 years (last birthday)

2) Maximum Age at entry for Life Assured : 50 years (nearer birthday)

3) Maximum Maturity Age : 65 years (nearer birthday)

4) Policy Term : 13 to 25 years

5) Premium paying Term : (Policy Term – 3) years

6) Minimum Basic Sum Assured : Rs. 1,00,000/-

7) Maximum Basic Sum Assured : No Limit The Basic Sum Assured shall be in multiples of Rs. 10,000/- only. Age at entry for the Policyholder is to be taken as age nearer birthday except for the minimum age at entry i.e. 18 years. For LIC’s

Accidental Death and Disability Benefit Rider:

1) Minimum Entry Age : 18 years (last birthday)

2) Maximum Entry Age : The cover can be opted for at inception or at any policy anniversary thereafter provided the minimum premium paying term left under the Basic plan is 5 years.

3) Maximum cover ceasing Age : 65 years (nearer birthday)

4) Minimum Accident Benefit Sum Assured : Rs. 10,000/-

5) Maximum Accident Benefit Sum Assured: An amount equal to the Basic Sum Assured subject to the maximum of Rs.100 lakh overall limit taking all existing policies of the Life Assured under individual as well as group policies including policies with inbuilt accident benefit taken with Life Insurance Corporation of India and the Accident Benefit Sum Assured under the new proposal into consideration.

The Accident Benefit Sum Assured shall be in multiples of Rs. 10,000/-only.

For LIC’s New Term Assurance Rider:

1) Minimum Entry Age : 18 years (last birthday)

2) Maximum Entry Age : 50 years (nearest birthday)

3) Policy Term : Same as Basic Plan

4) Premium Paying Term : Same as Basic Plan

5) Minimum Term Assurance Rider Sum Assured : Rs. 100,000/-

6) Maximum Term Assurance Rider Sum Assured: The maximum Term Rider Sum Assured shall be less than or equal to the Basic Sum Assured under the basic plan, but not exceeding the overall limit of Rs. 25 lakhs taking all Term Assurance Riders Sum Assured under all existing policies of the life assured including the new proposal under consideration.

The Term Assurance Rider Sum Assured can be taken in multiples of Rs. 10,000/- only.

5. MODE OF PREMIUM PAYMENT: The modes of premium payment allowable are Yearly, Half Yearly, Quarterly, and Monthly (ECS only or through salary deductions).

We’ll soon update the circular and ready reckoner . So stay tuned… 

Till then you can check other new plans launched by LIC

Download LIC’s Jeevan Sangam circular

Download LIC’s Children Money Back Plan circular

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One comment on “LIC’s JEEVAN LAKSHYA (Plan No.833) launching soon

  1. Pawan kumar
    April 10, 2015

    Good and explantory article.

    Like

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This entry was posted on March 10, 2015 by in Uncategorized.

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