LIC Jeevan Anand is a life endowment plan that comes with a multitude of benefits for the policyholders throughout the term period. As per the plan, the insurance cover continues even after completion of the premium payment term. In the event of death of an individual due to an accident, the plan offers an additional cover sum which is capped at Rs.5 lakhs. But in case the accident leaves a policyholder with permanent disability, the plan takes care of the regular financial needs by paying the sum assured in installments. These additional benefits offered under LIC Jeevan Anand do not impose extra charges on the premium amount.
Prime features of LIC Jeevan Anand:
- It’s a traditional endowment policy which offers sum assured and additional bonuses
- On survival, the maturity benefits are paid to the policyholder and the plan continues to be in force
- In the event of policyholder’s death, the sum assured is paid to the nominee
- Additional top-up covers are available on payment of a nominal sum along with premium
- This Life Insurance Policy Provides financial protection throughout the lifetime of the person insured
- Offers a lump sum at the end of the chosen term period
- The policy participates in the profits of the corporation
Table of Features:
|Minimum entry age||18 years|
|Maximum entry age||50 years|
|Premium payment modes||Yearly, Half-Yearly, Quarterly, Monthly (only through ECS)|
|Policy term||15 to 35 years|
|Basic sum assured||Rs.1,00,000|
|Revival||Within 2 years|
|Loan eligibility||After 3 years of entry|
|Surrender||Eligible only after 3 years of full premium payments|
|Bonuses||Simple reversionary bonuses plus additional bonuses|
|Sum assured on death||The sum assured on death of the policyholder is:
|Premium discounts||Available on higher sum assured and yearly and half-yearly premiums|
|Tax benefits||Available under Section 80C and Section 10 (10 D) of the Income Tax Act|
|Switching of policy||Not allowed|
Documents Required for Jeevan Anand Policy:
A duly filled form along with the following documents are to be submitted at the time of application:
- Proof of residence
- Age proof
- KYC documents such as copy of Aadhaar card, PAN card, etc.
- Medical test reports
- Other necessary documents specified by LIC
Documents Required for Making Death Claims:
To make a death claim, the nominee shall have to produce the following documents along with the claim form:
- Original policy documents
- Documents pertaining to riders
- Bank account details
- Death certificate
- Treatment records of the policyholder (if any)
Illustration of Benefits:
Let’s consider the following details for illustration of how the Jeevan Anand policy works:
Age of the policyholder: 25 years
Policy Term: 25 years
Yearly Premium: Rs.21,472
Total Premium Paid: Rs.5,36,800
Year of purchase: 2014
Let’s assume that the policyholder survives the policy term, in which case the benefits will be paid as under:
|Year of maturity||2039|
|Age at maturity||50 years|
|Bonus additions||Rs.8,00,000 (approx.)|
|Total amount payable||Rs.13,00,000|
If the individual expires before completion of the policy term, his nominee will be eligible for 125% of the Sum Assured, reversionary bonuses, and final additional bonuses. If the individual dies due to an accident, then additional benefits equal to the minimum sum assured is added to the claim amount. The below table illustrates the approximate values of sum assured and associated accidental life cover:
|Year of Premium Payment||Total Premiums Paid||Life Cover (approx)||Accidental Cover (approx)|
Free Look Period:
The look in period is a provision whereby customers can cancel the policy within a specific time after its purchase. Jeevan Anand policy provides a free look period of 15 days, provided no claims have been made by the policyholder.
The policy attains its surrender value only after completion of 3 full premium years. The amount paid to the policyholder while surrendering the policy will be a percentage of the total premiums paid, and it will be exclusive of the premiums for riders. However, the guaranteed surrender value will be inclusive of simple reversionary bonuses.
The policy allows a grace period of 30 days for payment of outstanding premium amount, after which the policy will lapse. But it can be revived within 2 years from the date of last unpaid premium by clearing all dues and applicable penalty charges.
If the policyholder commits suicide within 12 months of commencement of the plan, then LIC is not liable to pay any of the assured benefits. But the nominees will be paid a sum equal to 80% of the premiums paid. In case policyholder commits suicide after completion of 1 year from the date of policy inception, then the beneficiary will receive a sum higher than 80% of the premiums paid.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017
This Insurance Company has not partnered with BankBazaar.com. For more details, please visit its website/branch office. The trademarks, logos and other subject matters of intellectual property belong to their respective owners.