LIC Jeevan Labh, introduced by the state-owned insurer –Life Insurance Corporation of India on January 4, 2016, is an endowment plan which offers the benefit of both savings and insurance.
Policy Term & Premium Payment
LIC’s Jeevan Labh is is a limited premium paying, non-linked, with profit endowment assurance plan available for ages 8-59. The options for policy term are 16 years, 21 years, 25 years with premium paying term of 10 years, 15 years and 16 years respectively. Maximum maturity age is 75 years. Limited premium payment means that premiums are paid for a duration shorter than the term of the policy.
The plan provides death benefit or sum assured in case of unfortunate death of the policyholder within the maturity period and maturity benefits for surviving policyholder. Maturity means a fixed date on which benefit may become payable either absolutely or contingently
Other benefits
“The policy shall participate in profits of the Corporation and shall be entitled to receive Simple Reversionary bonuses declared as per the experience of the Corporation, provided the policy is in full force,” according to LIC website.
This effectively means that the policyholder will also be entitled to bonuses based on financial performance of LIC and a final additional bonus. Final Additional Bonus which is also called as Terminal Bonus, is an additional amount payable along with the bene?ts on termination of the policy, if applicable.
Loan can be availed provided three years’ premiums have been paid
Add-on Covers
LIC’s Accidental Death and Disability Benefit Rider: The policy provides the option for accidental death and disability benefit add-on cover on payment of additional premium. This rider is not available for minors but can be availed once the policy holder completes 18 years of age.
LIC’s New Term Assurance Rider: On death of the policyholder during the policy term an additional amount equal to term assurance rider sum assured shall be payable provided the rider cover is inforce. The maximum cover for this rider shall be Rs. 25 lakhs.
In Nutshell:
Entry Age
Minimum: 8 years (completed)
Maximum:
59 years (nearest birthday) for Policy Term 16 years.
54 years (NBD) for Policy Term 21 years.
50 years (NBD) for Policy Term 25 years
Maximum Maturity Age
75 years (nearest birthday)
Policy term & Premium
Policy term
Premium Payment
16 years
10 years
21 years
15 years
25 years
16years
