LIC- Anmol Jeevan

Anmol Jeevan: This is pure Life Insurance Term plan. The plan is available to standard & sub standard lives (upto Class VI).
You need to submit a standard age proof with the proposal form.
Feature of Anmol Jeevan
1. Entry Age- Minimum age- 18years & maximum age 55years.
2. Policy Term- Minimum 5yeras & maximum 65years of tenure.
3. Sum Assured- Minimum Rs.5, 00,000/- & maximum Less than 25, 00,000.
4. Mode of Premium- Yearly, Half- Yearly and Single premium.
Other Features of Anmol Jeevan
a. Sum Assured Rebate: In case of regular premium payment the rebate is NIL.
b. Mode Rebate: In case of yearly mode the annual premium is of 1% and NIL in case of 6months.
c. The policy does not require any paid-up value.
d. No surrender value is available under this policy too.
e. No claim concession will be applicable to this policy.

JEEVAN SARAL - ATM PLAN

'JEEVAN SARAL' is a unique plan having good features of the conventional plans and the flexibility of unit-linked plans.

Salient Features
Risk Coverage : First policy which provides 250 times of basic monthly premium + Return of premiums + Loyality Addition (if any).
Children between age 1 to 12 years are eligible.
Term Assurance Rider Option: An amount equal to the Term Assurance Sum Assured is payable only on death of the policyholder during the policy term.
Benefits
Maturity Benefits: Maturity S.A. + Loyality Additions, if the policy was in force for a minimum of 10 policy years.
Death Benefit: 250 times the monthly basic premium + return of premium paid (excluding extra/rider premium and 1st year premium) + Loyality additions, if any.

Surrender Value: Policy can be surrenered after a minimum 3 years premiums have been paid. Surrender Value will be more than Guaranteed Surrender Value.
Guaranteed Surrender Value: Guaranteed Surrender Value will be equal to 30% of the total premiums paid (excluding the 1st year premium + all the extra premiums + accident benefit + term rider premiums).
Special Surrender Value:
If less than 4 years premiums paid - 80% of the maturity S.A.
Between 4 & less than 5 years premiums paid - 90% of maturity S.A.
If 5 years and above premiums paid - 100% of maturity S.A.

Interest from the date of first unpaid premium till the date of surrender in above 3 points. Interest to be paid is taken in whole months and fraction of a month will be ignored.
Loyality Additions, if any, valued as at 31st March, preceding the date or surrender will be paid.
Paid up Value: The policy will acquire paid-up value if atleast 3 years premium have been paid.
Partial Surrender: A portion of the policy can be surrendered and money can be received from LIC, if premiums, have been paid for a minimum of 3 years, subject to the following conditions:
The basic annual premium and all other benefits will be reduced to the extent of partial surrender.

If a policy loan is outstanding, partial surrender is not allowed.
Any no. of times, partial surrender is allowed.
There should be a gap of minimum of one year between two successive partial surrenders.
The mimum basic annual premium that can be surrender at a time is Rs.1,200/- p.a. and should be in mumtiples of Rs.600/- p.a. thereafter.
The reduced basic annual premium after surrender shouldnot be less than Rs.3,000/- p.a. for age upto 49 years and Rs.4,800/- p.a. for age 50 and above.
The accident benefit, term rider benefit and additional premium payable will also be reduced proportionately.

Restrictions
Minimum Age at Entry : 12 years
Maximum Age at Entry : 60 years
Maximum Maturity Age : 70 years
Minimum Term : 10 years
Maximum Term : 35 years
For Age 12 to 49 years : Minimum Premium is Rs.250/- p.m.
For Age 50 to 60 years : Minimum Premium is Rs.400/- p.m.
Maximum Premium : Rs. 10,000/- p.m.
Premium in multiples of Rs. 50/- p.m. thereafter
Mode of Premium : Yearly, Half-Yearly, Quarterly, Monthly
Accident Benefit & Disability is allowed (with extra premium) Standard age proof required.

What should be the Insurance Amount

The rule of thumb in financial planning says that life cover should be worth 6-7 times of your current annual income.

If your current annual income is 4 lakh then the insurance policy should provide a cover of Rs 24 lakh.
This calls for a pure-risk policy, which offers an extensive cover at minimal cost. Hybrid investment products, with moiney back option cost several times more for the same amount of risk cover.

A term plan is the best option when the purpose is life cover.

Are you Insured-Term Life Insurance

Have you taken enough life insurance to ensure that if you die too early your family will get a sum that will ensure that they do not have to make any adjustments in their life style?
If you died tomorrow would your spouse or family have sufficient funds to pay the mortgage, pay off credit card debts or send the children to college?

Term life is a pure risk cover which provides a tax-free death benefit to your dependents in case of your early or unfortunate demise within the term of the policy. If you do not die within the term, the policy expires and you receive nothing.

Term plans are not the favourite of many of the life advisors because they get low commission on their sale. So they do not recommend the same to their clients .

The other reason why term plans are not favorite is because its very hard for most of us to grasp the concept of insurance as purely a death cover. We still want to get something back if we do not die during the policy term.

LIC’s Jeevan Saral V/s Monthly Recurring Scheme

*This is like a Post Office’s R.D. Scheme. You can deposit Yearly, Half-yearly, Quarterly or Monthly (ECS) in LIC Scheme.

*Maturity received in LIC Scheme is Tax Free under section 10(10D) of Income Tax Act.

*You can withdraw partial or full amount if necessary after 3 years.

*The amount deposited in LIC is exempted under section 80C of Income Tax Act.
You can continue LIC Scheme after 10 years . You cannot continue Post Office Scheme after 10 years.

*In case of death 250 Times monthly premium + total premium paid (- 1st year premium & extra premium paid) + L.A., if any, payable.

*If you forget to take maturity at the end of 10 years, you can get return beyond 10 years in LIC Scheme. This is not available in Post Office Scheme.

*Age group 12 to 60 years

*This Policy has earned Golden Peacock Award.

LIC introduces scheme for the underprivileged

PUNE: The Life Insurance Corporation of India (LIC) has announced a special life insurance scheme for the underprivileged, those whose income patterns are highly irregular and unpredictable.

Partha Samal, senior divisional manager for LIC's Pune divisional office, told media persons on Tuesday that the scheme will offer life insurance cover of between Rs 10,000 and Rs 50,000 to persons falling in this category for a nominal premium of Rs 15 per week onwards. The scheme, targeted at the ABCD or bottom of the pyramid' population, is being introduced on the occasion of LIC's anniversary. "The person covered under this policy can pay a very small premium to get insurance protection of up to Rs 50,000," Samal said, adding that considering the nature of the policy, the corporation has decided to market it through non-governmental organisations (NGOs) working for the betterment of these people. A policy-holder under this scheme will get the amount of the accumulated premium back at the end of the policy term, Samal informed.

He said 25 NGOs have been identified by LIC for distribution of these policies. Samal said that LIC's Pune division has achieved a high 98 per cent death claim settlement ratio and claims worth Rs 260 crore (including death and maturity) were settled during the year ended March 2009.

Samal said LIC has maintained its leading position in the life insurance business with a market share of 60 per cent. The corporation has been able to attract investors to many of its guaranteed returns schemes as the interest rates on bank deposits have nose-dived, he said. Also popular is LIC's pension plan Jeevan Akshay (now in its sixth series) because of its flexibility and relevance for the investors, he stated

Claim LIC benefits from any branch by 2011

The country's largest insurer Life Insurance Corporation, has decided to operationalise a system within two years that will allow policy holders to claim benefits and pay premium at any of its over 2,100 branches.

"Premium payment can be done from anywhere in India. That's what we have done it. Now claim payment we would like to take it to any office. That's next major issue," LIC [ Get Quote ] chairman T S Vijayan told PTI.
"Once all documents are available on the net then any office can do it. As I said it depends on the completion of EDMS (Enterprise Document Management System) project which we plan to complete by 2011," he said.
It will enable LIC to extend 'AnywhereAnytime' service, he added

Where should I pay my premium?

Is there a way in which your premium can be paid automatically?

You can pay your life insurance premium through any of the following channels:
· Insurance offices: Main office or branch offices

· The Internet: Through banks that your insurance company has tie-ups with

· The bank: You can provide your bank with standing instructions (auto-pay) to debit your

account as and when the insurance premium becomes payable, or use phone-banking facilities

· Authorised service providers such as BillJunction.com or BillDesk.com

HEALTH PROTECTION PLUS

LIC launches a unique Health Insurance Plan “HEALTH PROTECTION PLUS”

Health is a major concern on everybody’s mind these days. With sky rocketing medicalexpenses, the possibility of any illness leading to hospitalisation or surgery is a constant source of anxiety unless the family has actively provided for funds to meet such an eventuality. Financial planning regarding Health is, therefore, very important as any emergency might force one to dip into one’s savings which would have been reserved for other goals. The purpose of health insurance is to help you in any such a situation. Most families rarely provide for health insurance, and even if they do, it is grossly inadequate.

LIC has always been sensitive to the changing needs of the Society and has respondedsuitably by introducing matching products to suit these needs. Its latest offering on Health front is “Health Protection Plus”.

LIC’s Health Protection Plus plan is a unique long term health insurance plan that offers health insurance covers for the entire family (husband, wife and the children) – Hospital Cash Benefit (HCB) and Major Surgical Benefit (MSB) along with a ULIP component (investment in the form of Units) that is specifically designed to meet Domiciliary Treatment Benefit (DTB) / Out Patient Department (OPD) expenses for the insured members.

Hospital Cash Benefit (HCB) is a daily benefit payable in case of hospitalization . It can range from Rs.250/- to Rs.2500/- for the Principal Insured (the person who proposes for insurance). For the Spouse or the children, the maximum amount of HCB is Rs.1500/-. The amount of daily benefit doubles in case of hospitalization in ICU. The IDB (Initial Daily Benefit) is applicable during the first year of risk cover. The amount of daily HCB willincrease @ 5% simple p.a. every year on policy anniversary until it hits a cap of 1.5 times the initial benefit.

Major Surgical Benefit (MSB): In the event of the insured undergoing one of the major surgeries defined in the the policy, a lump sum benefit (regardless of the actual costs incurred) equivalent to the percentage of the sum assured mentioned against that surgery will be payable. The sum assured for major surgical benefits will be 200 times of the HCB you choose.

Domiciliary Treatment Benefit (DTB): The Principal Insured can claim an amount equivalent to the actual expense he or she has incurred in respect of any domiciliary treatment or to meet the medical expenses incurred over and above the hospital cash/major surgical benefits in respect of either oneself or the others insured under the policy.

Both HCB and MSB covers are available subject to a waiting period from thecommencement of the risk cover – in respect of each insured member: No death insurance cover is available under the plan.

All eligible existing family members are to be covered at the beginning (proposal stage) itself. New members can however be added under certain specified conditions.

Modes of Payment allowed are: Yearly, Half-Yearly, & Monthly (ECS Mode only). The premiums allocated to purchase units will be strictly invested in a Health Protection Plus Fund (Income and Growth – Low Risk).

One of the important features of the Plan that makes it doubly attractive is thatthe premiums paid under the policy are eligible for Tax Rebate under Section 80(D)of Income Tax Act, 1961.