LIC Jeevan Shree 1 Policy

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LIC Jeevan Shree 1 Plan

 

LIC Jeevan Shree-I Plan is a special category plan as it is a Life Insurance Policy especially for the High Net Worth Individuals. It is basically an Endowment Plan with Limited premium Paying Term which caters to the requirements of high net worth individuals.

 

In this plan, premium needs to be paid for a maximum period of 16 years but the life cover continues for the entire policy term of a maximum of 25 years. The Sum Assured + accrued Reversionary Bonus + Guaranteed Additions would be paid to the Life Insured on the policy maturity or to his nominee on earlier death of the Life Insured.


Hence this plan is a simple Endowment Plan along with Bonus and Guaranteed Additions. This plan caters to the high net worth individuals because the minimum Sum Assured is Rs 5,00,000.

 

 

Key Features of LIC Jeevan Shree-I Plan

 

§  This plan is an endowment plans which is especially for high net worth individuals

§  This plan has limited premium paying term of a maximum of 16 years.

§  The Sum Assured + Guaranteed Additions + accrued Bonus is payable on policy maturity or on earlier death.

§  There are Guaranteed Additions every year for the first 5 policy years.

§  Optional higher cover through 3 additional riders

 

 

Benefits you get from LIC Jeevan Shree-I Plan

 

Death Benefit – In case of death of the Life Insured, the nominee receives Sum Assured + Guaranteed Additions + Accrued Reversionary Bonus

 

Maturity Benefit – At the maturity of the policy, the insured will get the remaining Sum Assured + accrued Reversionary Bonus + Guaranteed Additions.

 

Income Tax Benefit – Premiums paid under life insurance policy are exempted from tax under Section 80 C and maturity proceeds are exempted from tax under Section 10 (10D)

 

 

Eligibility conditions and other restrictions in LIC Jeevan Shree-I Plan

 

 

Minimum

Maximum

Sum Assured (in Rs.)

5,00,000

No Limit

Policy Term (in years)

5

25

Premium Payment Term (in years)

1

16

Entry Age of Policyholder

18

65

Age at Maturity

-

75

Single Premium (in Rs.)

NA

NA

Payment modes

Single, Yearly, Half-Yearly, Quarterly, Monthly and SSS

 

 

Sample illustration of premium of LIC Jeevan Shree-I Plan

 

The below illustration is for a healthy Male opting for a Sum Assured = Rs 5,00,000and Policy Term = 25 years and Premium Paying Term = 16 years respectively.

LIC Jeevan Shree 1 policy Sample Premiums

 

Additional Features and Benefits of LIC Jeevan Shree-I Plan

 

Riders – There are 3 Additional Riders available:

·         Accident Benefit Rider

·         Term Assurance Rider

·         Critical Illness Rider

 

 

What happens if?

 

You stop paying the premium – f you stop paying the premiums after 3 policy years, the policy acquires a Paid Up Value for a Reduced Sum Assured but the policy would be eligible for any future regular additions.

You want to surrender the policy – There is a Guaranteed Surrender Value after 3 policy years
Guaranteed Surrender Value = 30% of all premiums paid – 1st year’s premium

 

You want a loan against your policy – Loan facility is available under this policy

 

 

Alternate Endowment Plans from different insurance companies

 

1.     Aegon Religare iMaximise Plan

2.     IndiaFirst Secure Save Plan

3.     SBI Life -Flexi Smart

 

 

Other Endowment Plans from Life Insurance Corporation of India

 

1.     Endowment Assurance - with profits

2.     Endowment Assurance Limited.  Payment - with profits

3.     Endowment Assurance Policy - with profits

4.     Jeevan Saral

5.     Jeevan Mitra

6.     New Jana Raksha Plan

7.     Jeevan Mitra Triple Cover

8.     New Jeevan Shree 1

9.     Jeevan Pramukh

10.   Bima Nivesh 2005

11.   LIC's Jeevan Amrit

12.   LIC's Bima Account -I

13.   LIC's Bima Account -II

14.   LIC's Endowment Plus

  

~ By Deepak Yohannan
Note: This is a statement of facts based on the information collected from the LIC Jeevan Shree 1 Policy brochure and insurance company's website. It should not be construed as a Critical or Favourable LIC Jeevan Shree 1 Policy Review, Analysis or Recommendation.
Insurance is a subject matter of the solicitation.


Leave a Comment

Hi Sir,
i am planning to take a Jeevan Anand policy, but i have few doubts before i take this plan, basically this policy is popular for risk extended after maturity period as well till 100 years.
but few agents are telling that, there is an other option also, this plan, which, once we get our maturity ammount, the risk will continue till the death or 100year, in case we donot want to take risk cover after our maturity, we can cancel our risk till death and surrender our plan get some ammount. is it true. why any company will second surrender option. once we get our maturity ammount.. ?
could you please reply.
thanks
krishnaveni

By Krishnaveni on Sep 06, 2013 Reply

Hi Krishnaveni, there is no such option after receving your maturity amount.

Replied By Deepak Yohannan (MIC Staff) on Sep 07, 2013 Reply

hi,
i would like to take a retirement policy, and LIC agent is recommending, LIC Magic Retair-2, which is a combination of 15 to 20 Jeevan Anand policies. looks bit confusing and this Magic Retire-2 is not exactly a LIC policy. if i take this policy. is there any risk occurred in future ?

kindly reply,
Vishwanath

By Vishwanath on Sep 06, 2013 Reply

Dear Vishwanath, this is not a plan but a bunch of plans which the agents have renamed as Repair 2. There are different names which are given to such options. So it is not an LIC plan but a number of LIC plans which they stitch together. There are pros and cons to it. On the pros, they tend to provide you an annual payout with the maturity year being one after the other. On the cons, you now have to manage a really large number of plans which is not an ideal scenario.

There is no risk as such as they are LIC plans.

The easier and better option for LIC is to go for LIC New Jeevan Nidhi Plan which is actually a pension plan and then go in for an Immediate Annuity Plan like LIC Jeevan Akshay 6. Thatg way you get regular income post retirment. The agent may advise you otherwise as he gets to do lesser number of plans and his income will be less.

Do write back in case any further clarification is required.

Replied By Deepak Yohannan (MIC Staff) on Sep 06, 2013 Reply

Hi Deepak,
Thank you for your advice, i have few more doubts, my age is 43 years, i can afford to pay maximum 70 thousand to 1 lack for my annual retirement plan as a yearly premium. i would like to get my returns or retirement income from either 58 or 60 years onwards,
as you said above, if i go for both LIC new jeevan nidhi plan and LIC jeevan akshay 6, how can i split my 70 to 1 lack annual amount into these two plans ? and how much monthly or annual income i will get after my 58 or 60 years of age. (am 43 years old now).
i greatly appreciate your time and suggestions.
Vishwanath

Replied By Vishwanath Raju on Sep 06, 2013 Reply

Hi Vishwanath, let me first explain how this works. Let us assume you retire at age "60". So from age 43 to age 60 you pay annual premiums to build a "corpus" of funds to use for retirement. Read more on New Jeevan Nidhi. You get nothing back in this period. This is how a Pension Plan or Deferred Annuity Plan works. On reaching the age of 60, this plan matures and the amount which accumulated (your corpus) will be used to buy and Immediate Annuity Plan from the same company. The immediate annuity plan will give you a regular monthly/annual payment till you are alive (there are multiple options you can opt). Read more on Jeevan Akshay 6. When New Jeevan Nidhi matures, you will have an option of withdrawing upto a maximum of 1/3 of the accumulated amount for your immediate needs. The balance will have to be used to purchase the annuity.

So you don't have to invest in both the above mentioned plans. Just New Jeevan Nidhi is required for now.

I would not recommend putting your entire (70k to 1 lakh) in pension plans through insurers to build your corpus. Use some part of it here, use some part for buying mutual funds, try the NPS route also for sure. This of course depends on how comfortable you are with various investmetn avenues.

Do write back in case you still have any questions. Pls feel free.

Replied By Deepak Yohannan (MIC Staff) on Sep 07, 2013

Hi,
i have a jeevan shree-1 policy for 5 lacks, and payed all my premiums from the last 16 years, now there is a waiting period for 9 years to get my matured amount back. now my question is..
since i have paid all the 16 years, in the 17th year if i want to surrender my policy. how much ammount i will get back. i dont want risk cover from this policy. since i have another polilcy is running for next 20 years.

kindly give me your advice.
raju

By Vishwanath on Sep 06, 2013 Reply

Dear Vishwanath, surrendering a plan gives you a very small component of the premiums you have paid till date. I would not recommend it at all.

The Guaranteed Surrender Value 30% of all premiums paid minus the 1st year's premium. You may get a little more in your case. Surely not something you want to get into after having paid all the premiums.

I would recommend waiting out the time.

Replied By Deepak Yohannan (MIC Staff) on Sep 07, 2013 Reply

hi
I have taken jeevan-shree policy in the year 2003. Ihave paid all the 16 premiums. Sum assured is Rs.500000/- Policy will mature in the year 2028. If I want to surrender it now how much returns will I get

By 03.09. 2013

By Manmatha Bingu on Sep 03, 2013 Reply

Dear Manmatha, surrendering a policy will result in a huge financial loss as you will get back less than 30% of all premiums paid. So it does not make any sense to surrender the policy. 

We recommend that you wait out and get complete benefits of bonus and additions if any. 

Replied By Admin (MIC Staff) on Sep 03, 2013 Reply

HAI, I HAVE JEEVAN ANAND FOR 20000 PREM. YRLY AND WANT TO HAVE 1 MORE POLICY HAVING MAX. RETURN WHAT WOULD BE THE OPTIONS AND BENEFITS D.O.B. IS 10.04.1988 FOR 15YEARS TO 20 YRS PLAN SAVING AROUNR 20-25000 YRLY

By Harish Bansal on Aug 15, 2013 Reply

Dear Harish, if you are looking at maximizing returns I would recommend going in for ULIPs. With a 15 to 20 year horizon, chances are that you will be able to get good results.

With traditional plans it would be difficult to get any great returns as they are very conservatively managed.

Replied By Admin (MIC Staff) on Aug 17, 2013 Reply

I have taken jeevan-shree policy in the year 1995. Ihave paid all the 16 premiums. Sum assured is Rs.500000/- Policy will mature in the year 2020. If I want to surrender it now how much returns will I get?

By Riya Bedekar on Apr 10, 2013 Reply

Hi Riya, in case of surrender you would not get a lot of benefits. The guaranteed surrender value is 30% of the basic premiums paid excluding the first year’s premium. There is a component which you might get over and above this. But that can only be found out by contacting the local lic office.

Replied By Admin (MIC Staff) on Apr 10, 2013 Reply

i am glad to comment that i am a proud policy holder of this policy..peace of mind guarnteed

By Aman Sethi on Feb 22, 2013 Reply

i want to invest in long term, can u suggest me about the plan of jeewan shree n table no 5 ...... then call me or mailed on my id ........


abhay

09759679795

By Abhay on Mar 07, 2012 Reply

I really appreciate free, succicnt, reliable data like this.

By Harim on Feb 17, 2012 Reply

Sir.i have jiwanshree policy tble 162 which was opened on 2005 @25176 yearly for 25yrs how much get when time of maturity.

By Santosh Thapa on Feb 04, 2012 Reply

i want to invest in jeevan shree t.no-162 S.A. Rs.950000 as single premium for 10 years

is it possible or not.

By Indrajit Chatterjee on Dec 23, 2011 Reply

Hi Iam interested to go for this plan but iam having conginental heart disease from child hood but apart from that i dont have any problem. and iam NRI, and i want to go for 50 lacs . please give me your confirm opinion.

Thanks and Regards,

By Chandra on Dec 04, 2011 Reply

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