The Child Fortune Plus Plan from Life Insurance Corporation of India is a unit-linked insurance policy that offers a risk cover against death on the life of the parent/policyholder but provides payouts that can help one meet key milestones in their child’s life. A prospective policy buyer can purchase this policy based on his/her child’s age. The minimum monthly premium payable under this plan is Rs.1,000. Policyholders can claim tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961.
Policy buyers who are looking to purchase this plan will need to ensure that they meet the eligibility criteria set by the insurer.
|Parameters||Criteria for eligibility|
|Minimum age at entry||
|Maximum age at entry||
|Maximum age at maturity||
The sum assured is a basic amount of money that the insurer is liable to pay to the nominee if the policyholder happens to meet with an untimely death.
|Minimum Sum Assured||
|Maximum Sum Assured||
The policy buyer has to pay a certain sum of money, called a premium, to the insurance firm in order to enjoy the risk cover provided by the policy.
|Policy Tenure||(75 - age closest to the birthday at entry of the policyholder) or (25 – age closest to the birthday at entry of the child), based on whichever is the lower of two|
|Premium Payment Mode||
|Minimum Single Premium Amount||
* Premiums vary based on age, location, plan term, and other factors.
|Maturity Benefit||If the policyholder/child survives till the completion of the policy tenure, the fund value will be paid as the maturity benefit.|
No additional riders/add-ons can be purchased along with this policy.
If the policyholder commits suicide within a year of purchasing the policy, the insurer will only pay the fund value to the nominee. No other death benefit payout will be provided.
|Free-look Period||The policy comes with a free-look period of 15 days. Policy buyers can return their policy during this time.|
|Revival||Lapsed policies can be revived within 2 years of the lapse of the policy by paying all due premiums.|
|Surrender Value||If the policy is surrendered after a period of 3 years, the fund value will be paid.|
|Loan||There is no facility to avail a loan against this policy.|
|Assignment||Assignment facility is not provided under this policy.|
|Top-Up Premium||Top-up premiums in multiples of Rs.1,000 can be made at any time during the policy tenure.|
Policyholders can avail tax rebates for both premiums paid towards the policy and any benefits they receive via the policy, under Section 80C and Section 10(10D) of the Income Tax Act, 1961.
Every parent would wish to secure the life of his/her child. With the Child Fortune Plus Plan from LIC, policyholders are assured of benefits that can go a long way in helping their children meet their goals. Life Insurance Corporation of India (LIC) has always been one of the leading insurance providers in the country. The insurer has reported a claim settlement ratio of 98.33% for the fiscal year 2015-2016. A high claim settlement ratio, like what was reported by the insurer, is one of the key factors that one should look for when selecting an insurance provider. LIC has also won several awards in the past, which is a true testament to the superior services and benefits they offer.
Note: This policy has been withdrawn by LIC.