• Lic Aadhar Shila

    Life Insurance
    • 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

    LIC Aadhar Shila is a plan exclusively designed for women with Aadhar Card. This scheme not only provides protection but also allows a woman to maximise her savings over a period of time. This scheme is designed to provide financial support to a woman’s family in case something happens to her. She is also eligible to receive a lump sum called the maturity benefit in case of surviving the term.

    Eligibility - Who is the LIC Aadhar Shila Plan for?

    Minimum entry age 8 years
    Maximum entry age 55 years
    Policy term 10 years – 20 years
    Premium payment term Same as the policy term
    Maximum maturity age 70 years
    Premium payment mode Yearly, half-yearly, quarterly, or monthly

    Sum Assured

    Sum assured is the minimum amount that will be paid by the insurer to the insured. The sum assured won’t contain any benefits or bonuses the insured will be entitled to. The minimum and maximum sum assured for this plan are given below:

    Minimum basic sum assured per life Rs.75,000
    Maximum basic sum assured per life Rs.3 lakh

    Benefits under LIC Aadhar Shila Plan

    Death benefit- A lump-sum amount called the death benefit will be paid in case of the death of the insured. The death benefit payable will be the highest of:

    • 10 times the annualised premium or
    • 105% of all the premiums paid or
    • The absolute sum assured which will be 110% of the basic sum assured will be payable.

    Maturity benefit- If the insured survives the policy term, she will be eligible to receive a lump-sum amount called the maturity benefit including any loyalty additions.

    Loyalty addition- If the insured has completed a minimum of five policy terms and provided that the premium has been duly paid, the insured may be eligible to receive loyalty additions at the time when the policy exists due to the scheme attaining maturity or if the person dies. The insured may also receive a loyalty addition in case she surrenders her policy provided that a minimum of five policy term has been completed and the premium for the period has been duly paid up.

    Optional benefit- The insured can also avail a rider or add-on plan called the LIC’s Accident Benefit Rider under this policy.

    Paid –up value- If the insured has paid premiums for less than three years and the premium for the subsequent term has not been paid yet, the plan will cease to exist post the expiry of the grace period and no benefits shall be payable.

    If the insured has paid premiums for a minimum of three years and is yet to pay the premiums for the subsequent term, the policy will not expire but will continue to function as a paid-up policy.  The auto cover period will be applicable.

    Auto Cover period

    The auto period is the period starting from the date of the first unpaid premium. The auto cover period will be active under following circumstances:

    • An auto cover period of six months will be available if the insured has paid premiums for a minimum of three years out of five full policy years.
    • An auto cover period of two years shall be available if the insured has paid premiums for five full years but has not paid for the subsequent term.

    Benefits payable during the auto cover period

    • Death benefit - In case of the death of the insured, the death benefit will be payable after deducting the unpaid premium including the rate of interest levied upon till the date of death, and the balance premium due from the date on which the death occurred and prior to the next policy anniversary.
    • Maturity benefit - The maturity benefit paid will be paid to the insured in case she survives the policy term. The maturity benefit payable will be equal to [the number of premiums paid/total number of premiums payable] x [the sum assured payable on maturity]. Any loyalty addition shall also be paid along with the maturity benefit.

    Benefits payable post the expiry of the auto cover period

    • Death benefit - The death benefit payable will be called the ‘Death Paid-up Sum Assured’ which will be equal to (sum assured) x (number of premiums paid/total number of premiums to be paid). Any loyalty addition shall also be paid along with the death benefit.
    • Maturity benefit - The maturity benefit payable post the expiry of the auto cover period will be called the ‘Maturity Paid-up Sum Assured’. This will be paid to the insured who has survived the policy term. The amount paid will be equal to (number of premiums paid/ total number of premiums to be paid) x (sum assured). Any loyalty addition shall also be paid along with the lump-sum amount.

    Policy loan - The insured can also avail a loan in case of any financial requirement.

    Free-look period - A free-look period of 15 days is provided.

    Surrender value - The insured can surrender her policy at any point of time provided that she has paid her premiums for three consecutive policy terms.

    Exclusion- What this plan doesn’t cover

    The plan will cease to exist during following situations:

    • If the insured commits suicide within a year of the purchasing of the policy, the scheme will cease to exist. The insurer is liable to pay only 80% of the total premiums paid, provided the policy is still active.
    • If the insured commits suicide within a year of the revival of the plan, the amount whichever is higher of the total surrender value or 80% of the total premiums paid will be payable to the nominee.

    Why should you buy LIC Aadhar Shila Plan?

    This is a plan solely designed for women who simply need to have an Aadhar Card. This plan provides financial support to a woman and allows her to ensure that the future of her loved ones is safe and secured even if she is not around. In case of her death, the nominee will receive a lump sum called the death benefit and in case she survives the term, she receives the maturity benefit. Loyalty additions which are an integral part of this scheme only add up to help a woman from a monetary point of view which makes it a brilliant plan for a woman who wishes to safeguard the future of her loved ones. The plan is provided by LIC which is one of the biggest names in the insurance industry. It has served and has been in existence for more than six decades and hence the LIC Aadhar Shila Plan is easily a popular choice among women who wish to purchase an insurance plan for themselves.

    *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.