LIC Jeevan Labh (Plan no. 836) is a Limited Premium Endowment Plan. This is not a linked plan, which means it is not going to affect the insurance policy in case of ups and downs in the share market. It is a saving as well as a protection plan for the policy buyers. The policy is made in such a way that the buyer can have a fixed period of 16 years or 21 years or 25 years as per his choice as the term of the policy. In this insurance policy buyers have to pay the premium payment 6 years less than the actual premium plan such as, If a buyer takes a policy of rupees 10 lakh for 21 years then he will have to pay only 52 thousand for 16 years. Along with this the LIC Jeevan Labh plan also provides many benefits to the buyers like term insurance, disability benefit, and accidental death benefit as additional.
Features and details of the policy
It is a limited premium paying non linked plan
In case of death of the insured person, the company provides the protection in form of the sum insured + simple reversionary bonus + plus a final bonus if any.
- This plan is available for the person between the age 8 to 59 years
- The minimum sum that can be assured is 2 lack and there is no maximum limit.
- For 16 years of policy turn, the premium payment term will be equal to 10 years.
- For 21 years of the policy term, the premium payment term will be equal to 15 years.
- For the 25-year policy term, the premium payment term will be equal to 16 years.
- Maximum Basic Sum Assured: No Limit (in multiples of Rs. 10,000/-)
- Maximum Maturity Age: 75 years (nearest birthday)
The modes of payment premium are monthly, quarterly, half-yearly, or yearly as per the choice of buyers.
LIC provides 30 days grace period for the payment of Premium for yearly, half-yearly, and quarterly premium mode and 15 days for monthly mode of payment.
The premium amount that is paid is fully exempt from the income tax, also the maturity amount is tax-free.
Benefits provided within LIC Jeevan Labh plan
If the insured person meets to the death during the running policy turn if he or she has paid all his premium then the death benefit is provided including sum assured on that plus bonus if applicable.
In the case of policy, the buyer survives after the term of the policy completed then the benefit will be provided as the sum assured plus a bonus if applicable.
Other details of the policy that the buyer should know is following
Buyers can take a loan on their policy according to the terms and conditions of the policy.
It provides you with tax savings as the whole policy is tax-free.
One can surrender his policy after the premium payment of 3 years if needed within 3 years one cannot surrender his policy.
If the policy amount will not be paid within the period, the policy will Lapse, but it can be continued within two years from which you have not paid the premium by paying all unpaid dues along with the interest rate of LIC, Which is compounded half-yearly.