LIC is going to launch a traditional limited premium paying endowment plan ?Jeevan Labh Plan 836? on 4th January, 2016.
Beginning of financial year is considered as a tax savings season because employer start asking for tax-savings investment proofs to ascertain our tax outgo and employee start seeking tax-saving investment options. Thus LIC follows a practice of coming out with a new plan mostly at this time only.
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LIC?s Jeevan Labh Plan 836 Features
Jeevan Labh is a limited premium paying endowment plan which means premium paying shall be less than the policy tenure and policyholder?s nominee will receive the maturity benefit together with any other benefits at the end of the policy term or on the death of the policy holder, whichever is earlier.
|Minimum Sum Assured (SA)||Rs.2 lakh, than in multiplication of Rs.10,000|
|Maximum Sum Assured (SA)||No Limit|
|Minimum Entry Age||8 years|
|Maximum Entry Age||59 years (nearest birthday) for 16 years policy term
54 years (nearest birthday) for 21 years policy term
50 years (nearest birthday) for 25 years policy term
|Policy Term||16 years / 21 years / 25 years|
|Premium Paying Term||10 years / 15 years / 16 years|
|Maximum Maturity Age||75 years (nearest birthday)|
|Frequency of Premium Payment||Yearly, Half-Yearly, Quarterly or Monthly (through ECS only or salary deductions)|
Benefits of Jeevan Labh Plan 836
On the death of life assured during the policy tenure, the nominee will receive the Sum Assured on Death together with the revisionary bonuses and Final Additional Bonus, if any.
However, death benefits shall not be less than 105% of the total premiums paid as on the date of death.[AdSense-A]
In case of life assured survives through the policy term, s/he will receive Sum Assured on Maturity together with vested revisionary bonuses and Final Additional Bonus, if any.
Riders / Optional Benefits
Jeevan Labh comes with two riders i.e. Accidental Death and Disability Rider and Term Assurance Rider.
- Accidental Death and Disability Rider
If buyer opted for this rider, an amount equal to sum assured will be payable if death occurs due to accident.
In case of permanent disability due to accident, future premium will be waived and the amount equal to Sum Assured is payable in 10 years equal monthly installments.
- Term Assurance Rider
If policy holder opted for this rider, an amount equal to term assurance rider sum assured will be payable on the death of the life assured during the policy term.
Jeevan Labh Plan Illustration
Mr. Jain aged 35 years, bought Jeevan Labh plan for 16 years having a sum assured of Rs.3 lakh. For 16 years policy term, premium paying term would be 10 years which means after paying premium for 10 years he will continue to be covered for 6 years more.
What happens if:-
- He dies during policy term than?His nominee will receive sum assured + revisionary bonuses + Final Additional Bonus (if any). OR
- Survives through the policy term than?His nominee will receive sum assured + revisionary bonuses + Final Additional Bonus (if any).
Jeevan Labh?Ready Reckoner
Download?Jeevan Labh?Ready Reckoner
Other features of Jeevan Labh
- After at least three full year?s premiums have been paid, LIC Jeevan Labh Plan shall subsist as a paid-up policy.
- The policy can be surrendered at any time during the policy term offred at least three full years? premiums have been paid.
- Loan facility is available under LIC Jeevan Labh plan, after payment of premiums for at least three full years, subject to conditions: Maximum loan for inforce policy-90% of surrender value and for paid up policies 80% of surrender value.
- If policy holder is not satisfied with the terms and conditions of the policy than he/she can cancel the policy within free look period of 15 days from the date of receipt of the policy along with the reasons.
- If the policy has expired, it may be revived during the lifetime of the Life Assured but within a period of 2 consecutive years from the date of first unpaid premium and before the maturity date.