LIC Jeevan Nischay Plan
- Premiums as low as Rs.17/day for sum assured of Rs.1 crore*
- Claim up to Rs. 1,50,000 deduction under section 80C**
- Choose between annual and monthly premium payment options
Securing the future of our loved ones is often the top priority in our lives, with a good life insurance plan helping alleviate this stress to a certain limit. The Jeevan Nischay plan from LIC offers protection for a specified time period, through the payment of a single premium. The plan is suited for individuals who are looking for pure protection for a limited period. Individuals looking for monetary gains might not find this policy suited to their needs.
Eligibility – Who is the LIC Jeevan Nischay plan for?
The Jeevan Nischay plan can be purchased by keeping these simple eligibility criteria in mind.
| Parameters | Criteria for eligibility |
| Minimum age at entry | NA |
| Maximum age at entry | 50 years |
| Maximum age at maturity | 60 years |
Sum Assured and Premium Range – What you get and what it costs
Sum Assured – The Jeevan Nischay plan pays a certain amount to the nominee in the event of demise of policyholder during the policy period. This is termed the sum assured and it is a fixed amount which is determined at the start of the policy. This amount is computed after taking the premium into consideration. It is possible to increase the sum assured by paying a higher premium.
| Maximum sum assured | Rs.50 lakh |
Premium – This is a single premium plan wherein the premium amount is paid while purchasing the policy. The premium amount should be chosen carefully, for this has a bearing on the sum assured. One can choose to pay a premium ranging between Rs.10,000 and Rs.10 lakh under this plan.
| Minimum premium | Rs.10,000 |
| Maximum premium | Rs.10 lakh |
*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.
Plan Coverage – What the LIC Jeevan Nischay Plan covers
| Death Benefit | On demise of the policyholder during the first year of the policy, the nominee will be paid a death benefit equivalent to 5 times the premium paid while purchasing the policy. If death occurs after the first year (but before the last year) the nominee will be paid the maturity sum assured. If demise occurs during the last year of the policy the nominee will be paid the sum assured plus loyalty additions. |
| Maturity Benefit | The maturity sum assured is paid along with any loyalty additions earned. |
Riders/Add-on plans – Additional coverage under the LIC Jeevan Nischay Plan
There is no provision to enhance this plan through a rider.
Exclusions – What the LIC Jeevan Nischay Plan does not cover
There is a suicide exclusion under this plan wherein the nominee is entitled to an amount equivalent to 90% of the premium paid if the policyholder commits suicide within one year of purchasing the policy. The policy will cease to exist once this amount is paid.
Other Key Features
| Loan | There is a provision for loan under this policy, subject to the plan being active for a minimum of one year. |
| Grace period | Not applicable since this is a single premium plan wherein the premium amount is paid upfront. |
| Free-look period | A 15 day free-look period is provided within which one can choose to return this policy if he/she does not agree with the terms and conditions. |
| Revival | NA |
| Surrender value | The policy acquires a surrender value after it has been in force for a minimum of 1 year. This amount is equivalent to 90% of the premium paid. |
| High premium incentive | LIC will pay a higher maturity sum assured to those individuals whose premium amount exceeds Rs.25,000. |
Tax Benefits – How you can save with the LIC Jeevan Nischay Plan
Individuals can avail tax benefits under the Income Tax Act of 1961 when they purchase this plan. While the premium paid is eligible for deduction under Section 80C of the Act, the amount received as a death/maturity benefit qualifies for benefits under Section 10(10D) of the same act.
Why you should buy the LIC Jeevan Nischay Plan?
The Jeevan Nischay Plan from LIC offers protection and peace of mind to an individual. While the family is financially protected in case of demise of the policyholder during the period, the policyholder is also eligible for a maturity benefit if he/she survives the term.
LIC is the most popular insurance company in India, with millions of people trusting it. The company has an impeccable record, having registered a high claim settlement ratio of 98.33% during 2015-16. This number indicates that genuine claims are likely to be catered to without any issues.
Additionally, the company had a 100% record when it came to grievances solved during the same year.
The affordability of the plan is another reason why one could consider purchasing it. The option to earn a higher maturity benefit for higher premiums can entice one to get greater protection.
Note: This plan has currently been withdrawn and cannot be purchased.
The content on this website is meant only for general information purpose and does not and shall not be construed as any solicitation, procurement, display, aggregation, marketing or advertisement of insurance products. BankBazaarInsurance is not an insurance intermediary and hence does not endorse or solicit any such products. The information on this website is derived from publicly available sources and BankBazaarInsurance cannot verify or confirm the genuineness, truth, veracity or authenticity of this information.
Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.
