Making sure that you and your loved ones have a safety net in place to provide financial security in case of unforeseen events is crucial in a world full of uncertainties and risks. One such financial tool that can provide assurance for your family’s financial security and peace of mind is life insurance. LIC term insurance plans are a popular option among the many available life insurance options for many individuals and families. We’re going to tell you about LIC term insurance plans in this blog.
How to Choose The Best Term Insurance Plan?
- You must first and foremost be aware of your financial needs. You should purchase a term insurance policy that, over time, will satisfy your financial needs based on your income.
- Additionally, you ought to review the services that various term insurance providers provide. This will assist you in determining which term insurance provider is the best option for you.
- It is imperative that you verify the claim settlement ratios of various term insurance providers. Reliability for claim settlement increases with a higher claim settlement ratio.
- Purchase a term insurance policy from a provider that provides round-the-clock assistance with claims.
Benefits of LIC Term Insurance Plans
- Certain plans can be changed to different LIC plans.
- The public sector insurer in India is the oldest and most reliable.
- Options for flexible insurance terms, coverage amounts, and premium payments.
- Clients can purchase specific plans from the comfort of their homes by shopping online.
- Under pertinent provisions of the IT Act, of 1961, customers are eligible to receive certain tax benefits.
How to Claim LIC Term Insurance Plans?
You must gather the necessary paperwork and turn it in at the LIC office in order to be eligible for the death benefits. LIC will process the claim and release the assured amount once the documentation is received, the claim is validated, the policy is in force, and the claimant is the beneficiary.
Documents required:
- To be eligible for any policy’s death benefits, you must present three important documents.
- The initial version of the policy.
- The policyholder’s death certificate
- Claim Form A or Form No. 3783 are other names for the claim form.
- A NEFT mandate authorizing LIC to deposit the funds into your account.
LIC Term Insurance Plans
Under its term insurance plans, LIC provides five variable options, all of which are conventionally available for purchase through LIC branches. Some plans are also available for purchase through LIC’s portal for those who prefer a speedier and more technologically advanced method. These plans have straightforward terms and conditions and require little to no paperwork to be obtained. In addition, these plans provide tax advantages for premium payments as well as the final sum assured that is given to the designee. These LIC term plans can also be substituted with loans; this range of products from LIC is also referred to as Term Assurance Plans.
LIC Amulya Jeevan II
| Features | Description |
| Entry Age | Minimum – 18 years
Maximum – 60 years |
| Maturity Age | Maximum of 70 years |
| Premium | Minimum: Depending on the insured’s age and the minimum sum assured value
Maximum: No limit |
| Premium Payment Term | Regular Pay – premium paid for the duration of the policy (five to thirty-five years) |
| Policy Term | Minimum – 5 years
Maximum – 35 years |
| Premium Payment Mode | Annual and semi-annual |
| Sum Assured | Minimum – INR 2500000
Maximum – No limit |
| Death Benefit | The nominee will receive payment in full for the Sum Assured value. |
LIC Anmol Jeevan II
| Features | Description |
| Entry Age | Minimum – 18 years
Maximum – 55 years |
| Maturity Age | Maximum of 65 years |
| Premium | Minimum: depends on the insured’s age and the term of the policy, subject to the sum assured
Maximum: No limit |
| Premium Payment Term | Regular Pay – Premium paid for the duration of the policy |
| Policy Term | Minimum – 5 years
Maximum – 25 years |
| Premium Payment Mode | Annual or semi-annual |
| Sum Assured | Minimum – INR 600000
Maximum – INR 2400000 |
| Death Benefit | The nominee will receive payment in full for the Sum Assured value. |
LIC Bhagya Lakshmi Plan
LIC Bhagya Lakshmi Plan
| Features | Description |
| Entry Age | Minimum – 18 years
Maximum – 55 years |
| Maturity Age | Maximum of 65 years |
| Premium | Minimum: depends on the policy term, insured’s age, and the amount assured
Maximum: subject to an INR 50,000 Sum Assured. |
| Premium Payment Term | Limited Pay –
Minimum – 5 years Maximum – 13 years |
| Sum Assured | Minimum – INR 20000
Maximum – INR 50000 |
| Policy Term | Premium paying term plus 2 years |
| Premium Payment Mode | Annual, semi-annually, quarterly or monthly. Salary deductions are also |
| Maturity Benefit | Sum Assured on Maturity = 110% of all premiums paid |
| Death Benefit | Sum Assured on Death |
LIC e-Term
| Features | Description |
| Entry Age | Minimum – 18 years
Maximum – 60 years |
| Maturity Age | Maximum of 75 years |
| Premium | Minimum: depends on variables that the insurer determines
Maximum: No cap subject to the total selected guaranteed sum |
| Premium Payment Term | Limited Pay – Premium paid for 5 years
Single Pay – One time lump sum payment of premium |
| Sum Assured | Minimum –
Maximum – No limit |
| Policy Term | Minimum – 10 years
Maximum – 35 years |
| Premium Payment Mode | Annual only |
| Death Benefit | Sum Assured on Death |
LIC New Jeevan Mangal
| Features | Description |
| Entry Age | Minimum – 18 years
Maximum – 55 years |
| Maturity Age | Maximum of 65 years |
| Premium | Minimum – depends on variables that the insurer determines
Maximum – No cap subject to the total selected guaranteed sum |
| Premium Payment Term | Regular Pay – Premium paid for the duration of the policy
Single Pay – One time lump sum payment of premium |
| Sum Assured | Minimum – INR 10000
Maximum – INR 50000 |
| Policy Term | Single Pay Premium – 5 years to 10 years
Regular Pay Premium – 10 years to 15 years |
| Premium Payment Mode | Single, annually, semi-annually, quarterly or monthly |
| Maturity Benefit | Sum Assured on Maturity |
| Death Benefit | Sum Assured on Death = 105% of all premiums paid for regular pay and 125% of premium for single pay policies |
| Accidental Death Benefit | Above and beyond the Base Sum Assured Additional Sum Assured |
FAQs of LIC Term Insurance Plans
Q1. What kinds of LIC Term Plans are there?
LIC Amulya Jeevan – II, LIC Anmol Jeevan – II, LIC Bhagya Lakshmi, LIC e-Term, and LIC New Jeevan Mangal are the five different kinds of term plans.
Q2. What are the different benefits that come with the LIC plans?
LIC term plans offer varying death benefits and add-on benefits based on the selected riders; however, the basic benefits enable a lump sum payout of the assured amount.
Q3. What is the LIC Term Plan minimum assured sum?
The New Jeevan Mangal Plan offers a minimum sum assured of INR 10,000, which is available under the various LIC term plans .
Q4. Is it possible to receive a premium rebate?
LIC offers females and non-smokers discounted premium rates on certain LIC term plans.
Leave a Comment