LIC Jeevan Saral

from LIC of India by LIC Agent

Jeevan Saral (Table 165) is a unique insurance cum investment plan. LIC’s Jeevan Saral monthly recurring scheme ATM Plan is also a Golden Peacock award winner. It has features of traditional Insurance plans with the liquidity like ULIP plans. The insurance cover depends on your monthly premium. You will get 250 times risk cover on your monthly premium. For example, if you pay monthly premium of Rs.1000/- your insurance cover will be 1000×250=2,50,000/- This is the only policy from Life Insurance Corporation of India where you choose the premium you want to pay instead of Risk cover or Sum Assured.
LIC Jeevan Saral Features:

• Higher life insurance cover
• Good return
• partial withdrawals
• Double accidental benefit

Benefits:

• LIC Monthly Recurring scheme
• This is better than post office deposits and you can deposit Yearly, Half yearly, Quarterly and monthly basis.
• Tax Benefit: Premium and Maturity both receive tax benefit.
• The premium paid is exempted under section 80c of income Tax act while Maturity is exempted under s 10-10D
• Higher life cover at very affordable premium
• Unlimited partial withdrawals after 10 years (ATM Plan)
• Risk cover continues for one year, even if you forget to pay your premium on time.
• You can choose a maximum term and surrender anytime prior to maturity without any fine or surrender charge after 5 year.
• Term Riders can be optionally chosen to get more risk cover

Death Benefit: 250 times of the monthly premium plus refund of premiums
(Excluding first years premium and rider premium if any), plus the Loyalty Addition, if any.
Maturity Benefit: Sum Assured plus Loyalty additions, if any.
Surrender value: After 3 years of policy, you may surrender your Jeevan Saral policy.
Guaranteed Surrender value: it will be equal to the 30% of total amount paid minus first years premium.
Eligibility for Jeevan Saral Policy:

• Minimum Age at Entry: 12 years.
• Maximum Age at Entry: 60 years.
• Maximum Maturity Age: 70 years.
• Minimum Term: 10 years.
• Maximum Term: 35 years.
• 12 to 49 years: Minimum Premium Rs.250/month
• 50 to 60 years: Minimum Premium Rs.400/month
• Maximum Premium: Rs. 10,000/month
• Policy Loan: Yes at 10.5%

Example:
If 25 years old Mr. Anna apply for LIC Jeevan Saral plan for 15 years and pay Rs.500/month premium. If he opts for Double accidental benefit then he will pay DAB premium of Rs.510 (500 x 250 = 1,25,000 x 1/1000 x 1/12 = 10 + 510). After 15 year on maturity Anna will receive Rs.97655/- as sum assured + Loyalty Addition. Loyalty additions will be decided by the LIC. If Anna expires after 4 years, his nominee will receive Rs.1,25,000 (250 x 500) + premium paid for 4 years – first years premium = 1,25,000 + 24,480 – 6120 = 1,43,360/- + Loyalty Addition, if any.