Jamshedpur, Jan. 9: Life Insurance Corporation of India (LIC) is launching a close ended single premium plan with profits Jeevan Shikhar which would be available from January 11 to March 31, 2016.
It is a non-linked, with profits, single premium plan wherein the risk cover is ten times of tabular single premium providing a combination of savings and risk cover.
Talking about the plan, Ratnakar Patnayak, senior divisional manager, Jamshedpur Division, said, ‘LIC Jeevan Shikhar 837 plan is a Non-Linked, with Profit, Saving cum Protection Single Premium Endowment Assurance plan.
The Insured can avail a Death Benefit of ‘Sum Assured equal to 10 times’ the Tabular Single Premium, which is payable after the commencement of the risk.
Under this plan, the proposer/Life assured will have an option to choose the maturity sum assured and the single premium payable will depend on the chosen amount of maturity sum assured and the age of the assured. The plan is available from ages 6 years to 45 years’, he added.
Addressing a press conference on Saturday, Patnayak said, Minimum maturity sum assured is Rs 1 lakh with maximum basic sum assured having no limit.
Here, the maturity sum assured can be in multiple of Rs 20.000 only, with a policy term will be for 15 years. Loan facility is also available under this single premium plan.
On the policy holder surviving to the end of the policy term, the maturity sum assured along with loyalty addition, if any, shall be payable. In case of death of the Life Assured during first five policy years and after commencement of risk ‘Sum Assured on Death’ equal to 10 times the tabular single premium will be payable.
On death before commencement of risk, single premium without interest after deducting extra charged, if any, will be refunded.
On death after completion of five policy years but before the stipulated date of maturity “Sum Assured on Death” equal to 10 times the tabular single premium along with loyalty addition, if any, will be payable.
‘The new plan is only for a limited period as salaried class prepare themselves to pay the income tax at this time of the year and this plan offers a combination of protection and saving features. We are expecting to do around 200 policies on launching date’ Patnayak added.