LIC Limited Premium Endowment Plan No. 830 launched by LIC that provides saving as well as protection to the policyholders and his family, As it provides good savings after the end of the policy term and the protection to the family financially, If the policyholder meets an unfortunate death. It also provides bonuses that are declared on an early basis. As the name says the plan is a limited premium plan that means the policy buyer will have to pay the premium for a Limited period of time that is 8 years or 9 years mostly. For example, If a policyholder takes a policy for 21 years, he will have to pay the premium maximum for 8 years to 9 years. This is the main feature of this plan that makes it unique. The maturity amount is payable to the policyholder after the completion of the policy term or to the nominee of the policyholder in case of the death of the policyholder within the policy term.
Benefits provided under LIC Limited premium endowment plan 830
Two main benefits which are provided are maturity benefit and death benefit.
If the policyholder meets to death within the policy term, then the nominee will get the sum assured on death and a simple reversionary bonus + final bonus if any.
In case of maturity of the plan after the policy term, The policyholder will get the maturity benefit as the sum assured on maturity + simple reversionary bonus and final additional bonus if any.
There are two additional benefits that are term assurance and accidental death and disability benefit that can be added to the policy as an add-on plan by paying an extra premium along with the main premium.
Some other benefits of LIC Limited period endowment plan
The policyholder can take a loan upon the policy premiums after the completion of the 2 years of the policy term. There is a fixed value by the company up to which the loan can be taken that is 80% in case of paid-up policies and 90% in case of policies in force.
The premium paid under LIC Limited premium endowment plan is tax-free according to Section 80c and the maturity amount that is provided by the company is also tax-free which means it is going to save your tax that is imposed on that amount.
Eligibility criteria and the details of the LIC Limited premium endowment plan.
- The policy term that can be chosen is 12 years, 16 years, or 21 years.
- The premium paying terms will be equal to 8 years or 9 years
- The premium can be paid monthly, quarterly, half-yearly, or annually mode. The monthly payment is only available with the ECS system.
- The minimum sum that can be assured is rupees 3 lakhs and there is no limit on the maximum sum that can be assured.
- The minimum accidental death benefit provided is rupees 1 lakh and the maximum accident death benefit which can be provided is 1 crore.
- The maximum maturity age is 69 years for 12-year policy terms and 8-year premium paying term and 70 years for all other cases.
Documents required for purchasing LIC Limited premium endowment plan
- Fully filled application form with photographs
- Age proof of policy buyer.
- Address proof.
- PAN card and Aadhar card for KYC document
- Accurate medical history
- Medical examination report if required.
Other information that the policy buyers should know.
Cooling off period
After purchasing the policy if the policy buyer is not satisfied with the policy then within 15 days the policy can be return after the receipt of the policy document.
There is a grace period of 15 days for the payment of the monthly mode of premium and 30 days for the half-yearly and early mode of premium payment. If the premium would not be paid within the grace period the policy will lapse.
If the policy gets lapsed then it can be revived within the 2 years from the last premium paying date. If the policy will not be revived within 2 years then the policy will get terminated.
There is a discount allotted on the half-yearly and early mode of premium payment. 1% for half yearly premium payment and 2% for early premium payment.
The policy attains a surrender value after the completion of 2 years of the policy as per the terms and conditions of the corporation.