LIC launches 'Jeevan Kiran' plan: All you need to know
On Thursday, the Life Insurance Corporation of India (LIC) unveiled "Jeevan Kiran," a new life insurance plan that combines life cover with a return of premium. This non-linked, non-participating, savings, life insurance plan, caters to individuals aged 18-65. It offers substantial life coverage at a reasonable cost, as stated in the insurer's official press release on Thursday upon the launch of the product.
LIC announced the new plan via an official tweet
Benefits on maturity
If your policy is still active when it reaches the maturity date, the amount you receive as "Sum Assured on Maturity" will be equal to the total premiums that LIC has received from you (excluding any additional premiums, rider premiums, and taxes) for either the regular premium or single premium payment policies. Once the policy matures, the coverage will be terminated immediately.
Benefits payable in case of death
In case of death, while the policy is active, the beneficiary will receive the "Sum Assured on Death." For regular premium payment policies: Highest of seven times of annualized premium or 105% of "total premium paid" up to the date of death or basic sum assured. For single premium policies: Higher of 125% of single premium or basic sum assured.
Death benefits choice
Death benefits can be paid as per the policyholder's preference: 1. Lumpsum: The entire amount will be paid to the nominee in one go. 2. In installments: Instead of a lump sum, the nominee can choose to receive the death benefit in five equal installments. These installments can be paid at regular intervals, such as annually, half-yearly, quarterly, or monthly.
Key details
The plan provides a minimum basic sum assured of Rs. 15,00,000 with no maximum limit. However, this plan is not available for housewives and pregnant women. Female applicants can submit proposals after six months after their last delivery. There might be restrictions if the proposed insured person is not fully vaccinated against Covid-19. The policy duration can be 10 to 40 years.
Other key details
The premium rates vary for non-smokers and smokers. You can pay the premium either in a single payment or regularly throughout the policy term. If the sum assured is above Rs. 50 lakh, you may get rebates on the premium amount. For regular premium policies, the minimum installment premium is Rs. 3,000, and for single premium policies, it is Rs. 30,000.
How to buy the plan?
You can buy the plan online from LIC's official website. For those who prefer a more traditional approach, you can also buy through LIC agents who will assist in selecting the most suitable one based on your needs. Additionally, corporate agents and brokers can also help you with the purchase process, offering expert advice on the available plans and their benefits.
