LIC’s Komal Jeevan, a children’s money-back plan, was designed to provide financial security for children while also ensuring periodic payments at key life stages. Although the plan has been withdrawn from sale as of 2025, its features and benefits remain relevant for those who may have purchased it or are considering similar products in the future.
Summary of LIC Komal Jeevan
LIC Komal Jeevan offers financial protection against death during the policy term and provides survival benefits at specified intervals. The policy can be purchased by parents, grandparents, or legal guardians for children aged between 0 to 10 years. Premium payments cease when the child turns 18 years.
Key Features and Benefits
- Maturity Age: The policy matures when the child turns 26 years.
- Survival Benefits: Paid in four installments:
- 20% at age 18
- 20% at age 20
- 30% at age 22
- 30% at age 24
- Guaranteed Additions: Rs 75 per Rs 1,000 sum assured paid annually until maturity.
- Loyalty Additions: Additional benefits based on policy duration and sum assured are provided upon maturity.
- Death Benefits: If the life assured dies after the risk cover starts, the full sum assured plus guaranteed additions are payable without deductions for earlier installments.
Premium Payment Options
Premiums can be paid:
- Yearly
- Half-yearly
- Quarterly
- Monthly
- As a lump sum (single premium)
Eligibility Criteria
| Criteria | Minimum | Maximum |
|---|---|---|
| Age at Entry | 0 years | 10 years |
| Sum Assured | Rs. 1 lakh | Rs. 25 lakhs |
| Maturity Age | N/A | 26 years |
| Premium Paying Term | 8 years | 18 years |
Additional Information
- Risk Commencement: Risk coverage begins after the child turns seven or two years after policy commencement, whichever is later.
- Medical Examination: No medical exam is required for the child; however, the proposer must undergo a medical examination.
- Premium Waiver Benefit: Available for an additional premium, ensuring that premiums are waived if the proposer dies before the child turns 18.
Tax Benefits
Policyholders can avail tax deductions under Section 80C of the Income Tax Act for premiums paid, while maturity benefits are tax-free under Section 10(10D).
Conclusion
While LIC Komal Jeevan is no longer available for new purchases, understanding its structure and benefits can aid current policyholders in maximizing their returns and planning for their children’s future education and other financial needs. Parents looking for similar products should consider other child plans offered by LIC or other insurers that provide comparable benefits tailored to securing their children’s financial future amidst rising education costs.
