Among many in the market, state-run insurer, and the leading player in the industry, LIC offers a variety of life insurance plans as per requirement and affordability of working professionals.
LIC insurance plans
With rising uncertainties in life, especially after COVID-19, having an insurance cover has become imperative. There are various types of term insurance plans – pure term, endowment, limited pay plans, staggered payout plans, among others. However, customers should have a basic understanding of the product before they go ahead with the purchase. It’s important to know about different insurance plans, especially for working professionals. It’s key to wisely choose the contours of a plan right at the start for things to move on smoothly thereafter. Among many in the market, state-run insurer, and the leading player in the industry, LIC offers a variety of life insurance plans as per requirement and affordability of working professionals.
Tech-Term Plan
Tech-Term, a pure risk premium plan, is an online term policy and therefore cheaper than other offline plans. In case a policyholder wants to double the sum assured under this plan, he can do so through payment of nearly 25 per cent to 30 per cent higher premium. The policy allows the policyholder to purchase an accident rider as an add on. The customer can also opt for options to receive death benefits in installments over the chosen period of 5 or 10 or 15 years instead of lump sum amount. The instalments shall be paid in advance at yearly or half yearly or quarterly or monthly intervals.
New Jeevan Anand
LIC’s Jeevan Amar plan finds many similarities to the Tech Term plan. The nominee gets the sum assured and accumulated bonuses if the policyholder dies within the policy term. In case the policyholder survives the tenure, he would get a basic sum assured along with accrued bonuses. The plan also allows to revive a policy anytime within 2 years from the date of the first unpaid premium. The policyholder can pay all the premiums along with interest and other charges to restart the policy. The policy also allows its customer to surrender it anytime, after 3 years of full payment of premium, and avail the surrender value.
Jeevan Amar
The plan offers a combination of protection and savings. It offers life coverage until the insurer’s death even after the maturity of the plan. It is considered more affordable than other plans. The plan can be of special interest for women professionals as it offers them a maximum of 10 per cent to 20 per cent discount. For those availing higher sum assured, the plan offers handsome discounts on rates of premium. A customer can avail a maximum of 20 per cent discount for a sum assured above Rs 1 crore.
Jeevan Umang
Jeevan Umang plan provides for annual survival benefits from the end of the premium paying term till maturity and a lump sum payment at the time of maturity or on death of the policyholder during the policy term. It is among those very few plans in the sector that offer a life coverage of 100 years. The plan pays 8 per cent of the sum assured every year as moneyback on survival at the end of the policy term. Simple reversionary bonus and final addition bonus is paid, subject to conditions. For someone looking for a pension facility after retirement, it’s a perfect pick.
Jeevan Labh
Jeevan Labh plan offers a lump sum amount to the policyholder at the time of maturity of policy, and financial support to the family in case of death of the policyholder before maturity. The policyholder participates in profits of LIC and is entitled to receive simple reversionary bonuses. The final additional bonuses (if any) get paid to the nominee under the plan. A customer can avail rebate on the basis of mode of premium payment. For instance, there is a 2 per cent rebate of table premium on yearly mode. The plan also provides a loan facility. However, the premiums are not eligible for income tax benefit under Sec 80C.
