LIC’s Jeevan Umang Guarantees 8% of Sum Assured as Survival Benefit
Posted on: May 15, 2017, by : Team ServeTM

LIC, India’s most trusted Insurance brand, is launching a policy on 16th May, 2017 that has attractive benefits in the world of reducing interest rates.

At the end of the premium paying term, LIC is guaranteeing you to get 8% of the sum assured every year. This plan is similar to Jeevan Tarang (178) Plan which is now closed for sale.

Unique Features of the Plan

  • In the scenario of decreasing interest rates, you get lifelong guaranteed return of 8% every year.
  • Ideal gift for your children where they will get 8% benefit every year for life long.
  • Ideal birthday or anniversary gift
  • Acts as a perfect guaranteed deferred annuity plan
  • Accident, Disability, Term Insurance and Critical Illness riders available.

Plan Parameters

Age at Entry 90 Days (Completed)
Premium Paying Term (PPT) 15, 20, 25, & 30 Years
Maximum Age at Entry in Years)
(As per Nearest Birthday)
55 for 15 PPT
50 for 20 PPT
45 for 25 PPT
40 for 30 PPT
Age at Maturity 100 Years (Nearest Birthday)
Policy Term 100 – Age at Entry
Basic Sum Assured 2,00,000 and above in multiples of 25,000
Premium Paying Mode Yearly, Half Yearly, Quarterly & Monthly (SSS and NACH Only)
Premium Payment Mode rebate 2% on yearly, 1% on Half Yearly, Nil on Quarterly & Monthly

Survival and Maturity Benefits

  • On successful completion of premium paying term(PPT), 8% of Basic Sum Assured per year will be paid as survival benefits up to a year prior to Maturity, and
  • on completion of policy term, Basic Sum Assured + Simple Reversionary Bonus +FAB will paid as maturity claim.

Death benefits

  • If death happens before commencement of risk, all premiums paid excluding taxes will be paid to nominee as death claim.
  • If death happens after commencement of risk, then Basic Sum Assured + Bonus + FAB will be paid to nominee as death claim.

Benefits illustration

For Your Retirement Plan

Age: 30 years

Term 30 years

Sum Assured: 25.0 lakhs

Basic Premium: Rs 80,125/-

Premium paid : Rs 24,03,750/-

Survival Benefit payable: Rs 2,00,000

Total survival benefit paid: Rs 80,00,000.

Maturity/Death Benefit: Rs 10,00,000 + Bonus

In simple words, the policy holder is require to pay premium for 30 years and once this premium paying term of 30 years completed, the policy holder starts receiving 2,00,000 (8% of BSA) per year up to his 99 years of age and on completion of 100 years of age or completion of policy term maturity will be paid.

A Gift For Your Child

Age: 15 years

Term: 15 years

Sum Assured: 25.0 lakhs

Basic Premium: Rs 2,00,750/-

Premium paid = Rs 30,11,250/-

Survival Benefit payable : Rs 2,00,000

Total survival benefit paid: Rs 1,40,00,000.

Maturity/Death Benefit: Rs 10,00,000 + Bonus

Bring some certainty in this uncertain life.

One thought on “LIC’s Jeevan Umang Guarantees 8% of Sum Assured as Survival Benefit

  1. LIC has launched couple of policies this month and the good thing about these policies are 2 of them are talking about 8% guaranteed return. The biggest problem with LIC policies are their less insurance coverage and moderate return on long term which is hardly able to beat inflation. Thank you for sharing the information about this new LIC plans.

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