LIC Limited Premium Endowment: Life Insurance Corporation i.e. LIC is considered to be the safest among all the companies in the insurance sector. This is because its operation is completely in the hands of the government. Although there are different policies of LIC which have been designed keeping in mind every category. Whether it is from poor class, middle class or rich class. Today we will tell you about such a policy of LIC which is for those people who have to pay premium for a short time.
Highlights of the policy
This LIC policy is designed keeping in mind those people who want to get maturity by waiting a little and paying premium for a short period of time. Under this policy, premium has to be paid for 8 or 9 years only, irrespective of the policy term of 12 years, 16 years or 21 years. This policy is not linked with the stock market.
Limited Premium Endowment (LIC Limited Premium Endowment) is a for-profit plan under which two bonuses are available. (1) Vested Simple Revisionary Bonus (2) Final Additional Bonus
This policy has 3 policy terms 12, 16 and 21 years. That is, while choosing a policy, you can choose any one of these three. Talking about the premium paying term, there are two such paying terms in this policy, 8 years and 9 years. Apart from this, a person of minimum 18 years can take this policy. Whereas the maximum age is according to the policy term. For example, the maximum age is 57 years for a policy of 12 years and policy paying term of 8 years, the maximum age is 62 years for policy paying term of 12 years and policy of 9 years. Similarly, for a policy of 16 years, the maximum age is 59 years, for a policy of 21 years, the maximum age is 54 years.
The minimum sum assured in this policy is Rs 3 lakh. That is, there cannot be less insurance than this. Whereas the sum assured of more than 3 lakhs is available in multiples of 10 thousand. There is no maximum limit.
You can pay monthly, six monthly, quarterly or yearly premiums in an endowment policy. Apart from this, loan facility is also available on paying regular premium for 2 years. If for some reason you have to surrender the policy, you can do so after 2 years. That means you can turn it off.
In this policy, if the insured has paid the premium for 2 years or more and after that the premium is not paid due to any reason, then the coverage of the policy is not reduced. Rather, the benefits of the policy continue with the reduced Sum Insured and also get maturity.
Accidental Death and Disability Benefit Rider and New Term Assurance Rider are available under this policy. The insured will have to pay an additional premium for this rider. Apart from this, the insured gets a grace period of 15 days on monthly premium payment and 30 days for the rest.
If a 35 year old person takes a policy of 3 lakhs for 21 years and chooses to pay premium for 9 years, then at the time of maturity i.e. after 21 years at the age of 56, he will get around Rs 6,45,000 with bonus. But suppose he dies at the age of 45, then the sum assured i.e. 3 lakh rupees and 10 years bonus is available.
