LIC Jeevan Pragati – Protection And Savings

LIC’s Jeevan Pragati Plan 838 is a non-linked insurance plan, with a profits plan. It offers a combination of protection and savings. This plan provides an automatic increase in risk cover after every 5 years during the term of the policy. Apart from this, policyholders can also take loans against this policy.

LIC Jeevan Pragati Benefits:

Death benefit
In case of death during the policy term, provided all due premiums have been paid,

The death benefit, defined as the sum of

• Sum Assured
• Vested Simple Reversionary Bonuses
• and Final Additional Bonus, if any, shall be payable.
  Where “Sum Assured on Death” is defined as the higher of 10 times of annualized premium or Absolute amount assured to be paid on death i.e.
• 100% of the Basic Sum Assured during first 5 policy years,
• 125% of the Basic Sum Assured during 6th to 10th policy years,
• 150% of the Basic Sum Assured during 11th to 15th policy years
• and thereafter 200% of the Basic Sum Assured.

This death benefit shall not be less than 105% of all the premiums paid as on date of death.

Premiums referred above shall not include any taxes, extra amount chargeable under the policy due to underwriting decision, and rider premium, if any.

Maturity Benefit: “Sum Assured on Maturity” equal to Basic Sum Assured, along with vested Simple Reversionary bonuses and Final Additional Bonus, if any, shall be payable in a lump sum on survival to the end of the policy term provided all due premiums have been paid.

Participation in Profits: The policy shall participate in profits of the LIC and shall be entitled to receive Simple Reversionary Bonuses declared as per the experience of the LIC, provided the policy is in force. The Bonuses shall be declared on the Basic Sum Assured.

Final Additional Bonus may also be declared under the policy in the year when the policy results in a claim either by death or maturity.

2. Optional Rider:
The policyholder has an option of availing LIC’s Accidental Death and Disability

Benefit Rider (UIN: 512B209V01). Rider sum assured cannot exceed the Basic Sum Assured.

Eligibility Conditions and Other Restrictions in Jeevan Pragati

• Minimum Basic Sum Assured: Rs. 1,50,000
• Maximum Basic Sum Assured : No Limit (The Basic Sum Assured shall be in multiples of Rs. 10,000/-)
• Policy Term : 12 to 20 years
• Minimum Age at entry : 12 years (completed)
• Maximum Age at entry : 45 years (nearer birthday)
• Maximum Maturity Age : 65 years (nearer birthday)

Date of commencement of risk: Under this plan, the risk will commence immediately from the date of acceptance of the risk including minor lives.

2. Payment of Premiums:

Premiums can be paid regularly at yearly, half-yearly, quarterly, or monthly mode (through ECS or through salary deductions) over the term of the policy. However, a grace period of one month but not less than 30 days will be allowed for payment of yearly, half-yearly, quarterly mode and 15 days for monthly mode of premium payment.