LIC Jeevan Vriddhi - New Single Premium Guranteed
LIC Jeevan Vriddhi Insurance Plan is a single premium plan wherein the risk cover is a multiple of premium chosen by you. On maturity this plan offers a Guaranteed Maturity Sum Assured and Loyalty Addition, if any.
Jeevan Vriddhi combines a risk cover (five times the premium), tax benefits under Sec 80C, guaranteed maturity amount, one time payment, liquidity (loans available after 1 year) and also tax free maturity amount. And not to forget a possible return of 12% over the 10 year term
Key Features of LIC Jeevan Vriddhi Guranteed Plan
1) This is Single Premium Plan. No need to worry about paying premium every year
2) Benefit is enjoyed by policy holder for 10 years.
3) In case of death of the Life Insured within the policy tenure, Sum Assured is 5 times the premium paid.
4) On policy Maturity, Guaranteed Maturity sum is assured (approx double the premium paid).
5) Loan Upto 90% of premium paid is available.
6) Higher Return of upto 12% over 10 year term.
LIC Jeevan Vriddhi is Better than other investments / jeevan Vriddhi Queries
Should I opt for the policy?
Yes, because of
a) the high return this policy offer.
b) tax free return
Scenario 1: If you are in 30% tax slab and you invest Rs 1,00,000/- in this plan: You will save Rs 30,000/- as Income tax benefit. So your net investment becomes Rs 70,000/- and on which you are getting Rs 2,21,651 which is 100% Income tax free so the net yield in this plan is more than 12%.
Scenario 2: If you are in 30% tax slab and your Rs 1 lac limit of secton 80 C is already used: It is great investment for you, as you have already invested in banks where you have to pay the Income taxes on maturity @30% (Rs 121651 @ 30% = 36495 goes in taxes ) but here in LIC JEEVAN VRIDDHI you are not taxed at all so still it is a good investment.
How is it better than NSC and Fixed Deposit ? an Mutual Funds?
If you had invested NSC, Fixed deposits,etc, Income tax is required to be paid. Say if you invested Rs 1,00,000 in NSC or Fixed deposit, then you are required to pay Income tax of Rs 30,000/-,
But In Jeevan Vriddhi, You don't have to pay any Income tax
How can I do Tax planning by this policy ?
This is best Income tax planning Plan Say you invest Rs 100,000, after ten years you get double amount approx Rs 2,00,000 /- . This Return in completely Income tax free.
My Daughter is 8 yrs old, can I take Jeevan Vriddhi for her ?
It is ideal gifts and Income tax planning for children. It is best child plan. 1) If you invest Rs 100,000/- you will get Rs 2,00,000 /- when she is 18 years. Amount your get, after 18 years, you can use for her higher education. 2) This is completely Income Tax Free, So you dont have to worry about Income clubbing in parents income.
How is it better than PPF ?
PPF has interest rate of 8% and it doesnot give Insurance
In Lic Jeevan Vriddhi Interest Rate is around 8% and Insurance cover is free with it.
I am HNI (High net worth Individual), Is this plan good for me?
a) This is best plan for HNI (High net worth Individual). You can invest amount In Jeevan Vriddhi without limit
b) Full amount received after 10 years it Income tax free
For example: Say you invest 10,00,000/- In Jeevan Vriddhi after 10 years you will get Rs 20,00,000. The full amount is tax free. In other investments you have to pay tax of Rs 3,00,000/-
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