LIC Amritbaal (Plan 874)

1. Flexible Premium Options: Policyholders can choose from short premium payment terms of five years, six years, or seven years, with options for limited or single premium payments. 

1. Purpose: Ideal for accumulating a secure corpus for higher education and other significant milestones in a child's life. 

1. Customisable Life Cover: Tailor the life insurance coverage to meet your child's unique financial needs. 

1. Adjustable Maturity Age: Select a maturity age between 18 and 25 years, catering to varying future financial goals. 

1. Loan Facility: Access liquidity through a loan facility to address urgent financial needs. 

1. Premium Waiver Rider: Opt for the Premium Waiver Benefit Rider by paying an additional premium, ensuring uninterrupted benefits. 

Eligibility Criteria for LIC Amritbaal Plan 

Benefits of LIC Amritbaal 

1. Death Benefit Options: The plan offers flexible death benefit options based on the chosen premium payment mode: 

2. Maturity Benefit: If the policyholder survives the policy term, they receive the 'Sum Assured on Maturity' along with accrued Guaranteed Additions. This payout ensures financial stability for the child's future needs. 

3. Guaranteed Additions: The policy provides annual Guaranteed Additions of Rs. 80 per Rs. 1,000 Basic Sum Assured throughout the policy term, building a robust corpus over time. 

4. Loan Facility: A loan option is available under this plan, offering financial assistance during emergencies or liquidity needs. 

Optional Benefits of LIC Amritbaal 

1. Death Benefit in Instalments Option: Policyholders can opt to receive the Death Benefit in instalments over 5 years, 10 years, or 15 years instead of a lump sum, offering greater flexibility in managing the claim proceeds according to family needs. 

2. Premium Waiver Benefit Rider: This rider, available for an additional premium, ensures policy continuity by waiving future premiums if the proposer passes away, safeguarding the plan's benefits. 

3. High Sum Assured Rebate: A rebate is provided for opting for a higher sum assured, making the policy more cost-effective and financially rewarding for the policyholder. 

Sample Premium Illustration for LIC Amritbaal 

The following table highlights estimated premiums for a Basic Sum Assured of Rs. 5 Lakh, applicable to a 5-year-old life assured with a policy term of 20 years. It includes both Limited Premium Payment (paying premiums for a set number of years) and Single Premium Payment (one-time payment) options: 

Limited Premium Payment 

Single Premium Payment 

Exclusions in LIC Amritbaal Policy 

Here are the conditions under which the policy does not provide full benefits: 

Limited Premium Payment (Option I & Option II)  

In Case of Suicide Within 12 Months From Commencement of Risk 

1. The nominee or beneficiary receives 80% of the total premiums paid (excluding taxes, extra premiums, and rider premiums), provided the policy is in force. 

1. This condition is not applicable if the Life Assured was below eight years of age at the time of policy issuance. 

In Case of Suicide Within 12 Months of Policy Revival 

1. The nominee or beneficiary is entitled to the higher of 80% of the total premiums paid or the surrender value on the date of death. 

1. This exclusion does not apply to policies that lapsed without acquiring paid-up value. 

1. Not applicable if the Life Assured was below eight years of age at the time of revival. 

Single Premium Payment (Option III & Option IV) 

In Case of Suicide Within 12 Months From Commencement of Risk 

1. The nominee or beneficiary will receive 80% of the single premium paid (excluding taxes, extra premiums, and rider premiums). 

1. This condition is only applicable if the Life Assured was at least eight years of age at policy inception. 

Payment and Grace Period Details of LIC Amritbaal 

Premium Payment Options 

1. Single Premium Payment: One-time payment at policy inception. 

1. Limited Premium Payment: Premiums can be paid regularly in the following intervals: 

1. Yearly, Half-Yearly, Quarterly, or Monthly (monthly payments allowed only via NACH). 

1. Premiums can also be deducted directly from the policyholder's salary. 

Grace Period (Applicable for Option I & Option II Only) 

1. Grace Period Duration: 

1. Thirty days for yearly, half-yearly, or quarterly premiums. 

1. Fifteen days for monthly premiums. 

Policy Status During Grace Period: The policy remains in force with uninterrupted risk coverage. 

Consequences of Non-payment: If the premium is not paid within the grace period, the policy will lapse. 

Applicability to Rider Premiums: The grace period also applies to rider premiums, which must be paid alongside the base policy premiums.