Women have been at the forefront of change across the world, but often find themselves on the back-foot when it comes to products designed for their specific needs. The Jeevan Bharti-I Plan from LIC is a unique product designed for women, taking their requirements into consideration. A policyholder can customise the plan accordingly. The option to include riders enhances the value of this product, making it ideal for the woman who wishes to secure her future.
Women looking to protect themselves under this plan should keep these basic conditions in mind.
|Parameters||Criteria for eligibility|
|Minimum age at entry||18 years|
|Maximum age at entry||55 years|
|Maximum age at maturity||70 years|
Sum assured – A policyholder can choose a sum assured based on her needs. While the minimum amount guaranteed under this plan is Rs.50,000, it can be increased to a maximum of Rs.25 lakh. The sum assured is directly proportional to the premium amount.
|Minimum sum assured||Rs.50,000|
|Maximum sum assured||Rs.25 lakh|
Premium – The policyholder is expected to pay a certain premium in order to avail the benefits of the plan. One can choose to pay an advance premium in instalments, based on her current financial condition. This plan comes with two policy term options – 15 years or 20 years.
*The premium varies based on the age of policyholder, sum assured, location, etc. With the implementation of GST the price of purchasing a policy has increased. Please check all rates at the time of purchase.
The plan provides not just life cover to the policyholder, but also ensures that she receives benefits on survival of the policy term.
|Death Benefit||In case of the policyholder’s death during the policy term, the insurer will pay the sum assured. In addition to this amount, any bonus, if applicable, will be paid. In case demise occurs after survival benefit has been paid, the full sum assured will be paid irrespective of how much was paid as survival benefit.|
|Survival Benefit||A survival benefit will be paid to the policyholder on her survival till the end of the policy term. In case of a 15 year plan, 20% of the sum assured is paid on the completion of the 5th year and 10th year. At the end of 15 years, the remaining 60% is paid, in addition to any bonus. In case of a 20 year policy, 20% of the sum assured is paid on the completion of 5 years, 10 years, and 15 years. 40% of the amount is paid on completion of the policy term, in addition to all bonuses.|
There are 3 riders provided under this plan.
The policy will become void if the policyholder commits suicide within one year of purchasing it.
|Loan||Can be availed, subject to the policy having acquired paid-up value|
|Grace period||30 days|
|Free-look period||15 days|
|Revival||Possible – all dues need to be paid within the specified time period|
|Surrender value||Payable, subject to the policy having been in force for a minimum of 3 years|
|Auto cover||Cover is automatically provided for 3 years if the policyholder fails to pay the premium after the first two years|
|Survival benefit encashment||The survival benefit can be encashed at any time after it is due|
A policyholder can avail tax benefits when she purchases this plan. While the premium is eligible for deductions under Section 80C of the Income Tax Act, any amount received is eligible for tax benefits under Section 10(10D).
Women have often been at the receiving end when it comes to financial offerings. A majority of the insurance products are tilted towards men, often ignoring the requirements of the fairer sex. The Jeevan Bharti-I plan is one of the few policies which are designed exclusively for women.
A policyholder can customise the plan to meet her needs, with an option to add riders to enhance the protection. She can choose to receive the survival benefit as annuity, securing her future. The auto cover feature ensures that she stays protected even if she forgets to pay the premium/is in a situation where she is unable to pay the amount on time.
While the plan is unique it itself, one should also look at LIC’s history. It is the preferred insurance company in the country, insuring millions of people. One can be rest assured that the company will continue to function, which can be a risk with private companies.
LIC has adopted the latest technology to offer seamless services. The claim settlement ratio is on the higher end of the spectrum, with it being 98.33 for the year 2015-16.
All these factors make this an excellent option for those looking to secure their future.
Note: This plan has been withdrawn by LIC.