Eligibility Conditions and Other Restrictions:
|Eligibility Condition And Other Restrictions|
1. Minimum Basic Sum Assured : Rs. 100,000
2. Maximum Basic Sum Assured : No Limit
(The Basic Sum Assured shall be in multiples of Rs. 10,000/-)
o Policy Term : 13 to 25 years
o Premium Paying Term : (Policy Term – 3) years
o Minimum Age at entry : 18 years (last birthday)
o Maximum Age at entry : 50 years (nearest birthday)
o Maximum Maturity Age : 65 years (nearest birthday)
Payment of Premiums:
Premiums can be paid regularly during the premium paying term at yearly, half-yearly, quarterly or monthly intervals (through ECS or through salary deductions).
However, a grace period of one month but not less than 30 days will be allowed for payment of yearly or half-yearly or quarterly premiums and 15 days for monthly premiums.
Mode and High S.A. Rebates:
|Yearly mode||2% of Tabular Premium|
|Half-yearly mode||1% of Tabular premium|
|Quarterly & Salary deduction||NIL|
High Sum Assured Rebate:
|Basic Sum Assured||Rebate (Rs.)|
|1,00,000 to 1,90,000||Nil|
|2,00,000 to 4,90,000||2%o Basic Sum Assured|
|5,00,000 to and above||3%o Basic Sum Assured|
If premiums are not paid within the grace period then the policy will lapse. A lapsed policy can be revived within a period of 2 consecutive years from the date of first unpaid premium by paying all the arrears of premium together with interest (compounding half-yearly) at such rate as fixed by the Corporation at the time of the payment, subject to submission of satisfactory evidence of continued insurability.
Revival of rider(s), if opted for, will be considered along with revival of the Basic Policy, and not in isolation.
If after at least three full years’ premiums have been paid and any subsequent premiums be not duly paid, this policy shall not be wholly void, but shall subsist as a paid-up policy.
The benefit payable in case of death under a paid-up policy called “Death Paid-up Sum Assured”, shall be equal to the sum of:
[(Number of premiums paid/Total Number of premiums payable) x Absolute amount assured to be paid on death] which shall be payable on the date of maturity; and Reduced Income Benefit i.e. 10% of Basic Sum assured x (Number of premiums paid/Total Number of premiums payable) shall be payable from the policy anniversary coinciding with or following the date of death of Life Assured till the policy anniversary prior to date of maturity.
The Sum Assured on Maturity under paid-up policy shall be reduced to such a sum called “Maturity Paid-up Sum Assured” and shall be equal to Sum Assured on Maturity * (no. of premiums paid / no. of premiums payable).
A paid-up policy will not accrue any further bonuses. However, the vested simple reversionary bonuses, if any, shall remain attached to the reduced paid up policy and shall be payable only on the date of maturity.
Rider(s) do not acquire any paid-up value and the rider benefits cease to apply, if policy is in lapsed condition.
The policy can be surrendered provided atleast three full years’ premiums have been paid. The Guaranteed Surrender value shall be percentage of total premiums paid (net of service tax) excluding extra premiums and premiums for rider(s), if opted for. This percentage will depend on the policy term and policy year in which the policy is surrendered
Loan can be availed under the policy provided the policy has acquired surrender value and subject to the terms and conditions as the Corporation may specify from time to time.
This policy shall be void If the Life Assured (whether sane or insane) commits suicide at any time within 12 months from the date of commencement of risk, the Corporation will not entertain any claim under this policy except for 80% of the premiums paid excluding any taxes, extra premium and rider premium(s) other than Term Assurance Rider, if any, provided the policy is inforce.
If the Life Assured (whether sane or insane) commits suicide within 12 months from date of revival, an amount which is higher of 80% of the premiums paid till the date of death (excluding any taxes, extra premium and rider premium(s) other than Term Assurance Rider, if any,) or the surrender value shall be payable. The Corporation will not entertain any other claim under this policy. This clause shall not be applicable for a policy lapsed without acquiring paid-up value and nothing shall be payable under such policies.
Disclaimer: The above information is general information of policy. Policy will governed by terms and condition issued by LIC OF INDIA