Jeevan saral(Table No.165) is a very simple and easy to understand Insurance Policy from LIC. It offer high coverage(upto 250 times of monthly premium) , liqidity and option to get additional cover in the form of riders.
This is an Endowment Assurance plan where the proposer has simply to choose the amount and mode of premium payment. The plan provides financial protection against death throughout the term of the plan. The death benefit is directly related to the premiums paid. The Maturity Sum Assured depends on the age at entry of the life to be assured and is payable on survival to the end of the policy term. It also offers the flexibility of term and a lot of liquidity.
Special Feaures:
Under this plan death cover will be same irrespective of age at entry and term. The sum payable at maturity however differs for different entry ages and terms. This plan is very appropriate for employees seeking life cover through Salary Saving Schemes (SSS).
Death Benefits:
250 times the monthly premium, plus return of premiums excluding extra/rider premium and first year premium plus The loyalty addition, if any.
Maturity Benefit:
The Maturity Sum Assured plus Loyalty additions, if any, is payable in a lump sum.
Surrender value:
The policy can be surrendered after it has been in force for at least 3 full years. The surrender value will be greater of Guaranteed Surrender Value or Special Surrender Value.
- Guaranteed Surrender Value:
The policy can be surrendered after it has been in force for at least 3 full years. The Guaranteed Surrender value will be equal to 30% of the total amount of premiums paid excluding the premiums for the first year and all the extra premiums and premiums for accident benefit / term rider.
- Special Surrender Value:
80% of Maturity Sum Assured if 3 or more years’ but less than 4 years’ premiums have been paid; 90% of the Maturity Sum Assured, if 4 or more years’ but less than 5 years’ premiums have been paid and 100% of the Maturity Sum Assured, if 5 or more years’ premiums have been paid. The Maturity Sum Assured for this para will be the Maturity Sum Assured corresponding to the term for which premiums have been paid under the policy.
Partial Surrenders:
The plan will allow partial surrender from 4th year onwards subject to certain conditions. Due to existence of the flexible term and partial surrenders the policyholder will enjoy a lot of liquidity under Jeevan saral.
Supplementary/Extra Benefits:
These are the optional benefits that can be added to your basic plan for extra protection/option. An additional premium is required to be paid for these benefits.
Rider Options:
Jeevan Saral offers following optional riders by payment of additional premium:
- Accidental death and disability benefit
- Term Assurance benefit.
The maximum cover for the above riders will be Rs.25 lakhs under all policies of the Corporation taken together.
Auto Cover:
The plan offers Auto Cover of 12 months after the policy has been in force for a period of 3 years and more.
Flexible Term:
The policyholder can choose a maximum term but can surrender at any time without any surrender penalty or loss.
Loan: Loan is permissible under the policy.
Loyalty additions:
This is a with-profits plan and participates in the profits of the Corporation’s life insurance business. It gets a share of the profits in the form of loyalty additions which are terminal bonuses payable along with death benefit or maturity benefit. Loyalty Additions may be payable from the 10th year onwards depending upon the experience of the Corporation.
Eligibilty and conditions:
Age at entry: Minimum 12 years completed and maximum 60 years nearest birthday.
Age at maturity: Maximum 70 years.
Term: All terms from 10-35 years.
Premium: Minimum Rs.250/- per month for entry upto 49 years and Rs.400/- per month for entry age 50 years and above. The premium shall be in multiple of Rs.50 per month.
Mode: Yearly/ Half yearly/ Quarterly and Monthly under Salary Saving Scheme.
