Life Insurance Corporation of India (LIC)'s Jeevan Labh Policy is an endowment plan which offers a combination of protection and savings. The plan provides a lump sum amount to the policyholder at the time of maturity of policy, and financial support for the family in case of death of the policyholder before maturity of policy, according to LIC's website. Apart from endowment plans, LIC also offers savings, pension and insurance products such as term insurance plans, unit linked plans, health insurance plans, pension plans and micro insurance plans.
Here's all you need to know about the premium, eligibility criteria, sum assured and other benefits applicable to LIC's Jeevan Labh insurance policy:
The LIC Jeevan Labh policy can be purchased any individual in the age group of 8-59 years if the policy term is for 16 years. The minimum sum assured for LIC's Jeevan Labh policy is Rs. 2 lakh and there is no maximum limit for the quantum of sum assured, according to the LIC website.
LIC offers three different policy/premium-paying terms for the Jeevan Labh policy: 16 years policy term and 10 years premium paying term; 21 years policy term and 15 years premium paying term, and 25 years policy term and 16 years premium paying term.
If the subscriber chooses a policy term of 21 years, the maximum age limit is 54 years. For those choosing a policy term of 25 years, the maximum age limit is 50 years (maturity age of 75 years), according to LIC.
The premium against an LIC Jeevan Labh policy can be paid regularly on a monthly, quarterly, half-yearly or yearly basis. A grace period of one month but not less than 30 days is allowed for payment in the yearly, half-yearly and quarterly modes, and 15 days in case of monthly payments, according to the LIC website.
In case the policyholder dies before the maturity of the endowment insurance plan, the nominee will get the 'sum assured on death' which is defined as the higher of 10 times of annualised premium or absolute amount assured to be paid on death. However, the benefit will not be less than 105 per cent of all the premiums paid as on date of death, according to LIC.
On maturity, the policy holder will get 'sum assured on maturity' along with simple reversionary bonuses and final additional bonus in lump sum at the end of policy term, according to LIC.