The Jeevan Varsha Plan from Life Insurance Corporation of India (LIC) is a close-ended, money-back policy that provides guaranteed additions to the policyholder, which are payable along with the death/survival benefit. The policy also offers loyalty additions that are payable on the final year of the policy term, just before the life assured’s death or at maturity. The policy provides tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961.
All insurance providers have a pre-defined eligibility criteria that policy buyers need to meet, if they wish to purchase the policy.
|Parameters||Criteria for eligibility|
|Minimum age at entry||15 years|
|Maximum age at entry||
|Maximum age at maturity||75 years|
The sum assured is the maximum amount of money that will be paid to your nominee in case of an unfortunate eventuality. You will have to choose an optimum sum assured at the time of purchasing the policy.
|Minimum Sum Assured||Rs.75,000|
|Maximum Sum Assured||No limit|
The premium is a fixed sum of money that one has to pay to enjoy the benefits and the risk cover provided by the policy. The payable premium for the Jeevan Varsha Plan will vary based on the policyholder’s age at entry, policy tenure, sum assured, and other factors.
|Minimum term of the policy||9 years|
|Maximum term of the policy||12 years|
|Premium Payment Mode||Annual, Bi-Annual, Quarterly, or Monthly|
*Premiums vary based on age, location, plan term and other factors.
|Death Benefit||Upon the death of the life assured, the sum assured will be paid, regardless of whether or not the survival benefits have been paid in the past.|
|Guaranteed Addition||Guaranteed additions are provided at the rate of Rs.65 per thousand of the sum assured per year and Rs.70 per thousand of the sum assured per year, for a 9-year and 12-year policy term, respectively.|
|Loyalty Addition||Loyalty additions will be paid if the policyholder survives till maturity of the policy or if the policyholder passes away during the last policy year.|
No additional riders can be purchased along with LIC’s Jeevan Varsha Plan.
The Jeevan Varsha Plan comes with a suicide exclusion. If the policyholder commits suicide, regardless of whether he/she was in a sane/insane state of mind, within a period of 1 year from purchasing the policy, no death benefit will be payable by LIC to the nominee.
|Free-Look Period||For this policy, the insurer provides a free-look period of 15 days.|
|Surrender Value||Upon surrendering the policy, provided the policyholder has paid premiums for a minimum of 3 years, the insurer will pay the higher of the Guaranteed Surrender Value or the Special Surrender Value.|
|Policy Revival||A policy that has been lapsed can be revived within a period of 5 years by paying the due premiums with the applicable interest.|
|Grace Period||For the yearly, half-yearly, or quarterly mode of premium payment, a grace period of 30 days is provided. For the monthly mode of premium payment, a grace period of 15 days is offered.|
|Loan||After the policy has acquired a paid-up value, policyholders will be eligible to take a loan against the policy.|
Policyholders who purchase the Jeevan Varsha Plan from LIC can claim tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961, for premiums paid and benefits received.
The Jeevan Varsha Plan from LIC provides a range of benefits that will help one meet significant milestones in their life with ease. The plan also provides a risk cover that will ensure that one’s dependents are financially safeguarded in case of an unfortunate eventuality. LIC, one of the premier insurance firms in the country, has a pan-India presence, with a number of branches across the country. The insurer has a claim settlement ratio of 98.33% for FY15-16, thus ensuring that customers are highly unlikely to face any issues with claim settlement.
Note: This plan has been withdrawn by LIC.
*The customer reviews/feedback/opinions expressed on this website are solely of their authors and do not reflect, in any way, the view of BankBazaar Insurance.
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.