This group scheme is a yearly renewable group term insurance plan. It is a non-participating and a non-linked plan that provides life cover to members of the group or employees. The sum assured for each member of the group will be decided based on the scheme.
Policyholders are expected to meet certain criteria that are specified by the insurer.
|Minimum entry age||8 years|
|Maximum entry age||75 years|
|Maximum age at renewal||80 years|
|Minimum group size for employer-employee group||25|
|Minimum group size for non-employer-employee group||50|
The sum assured is the maximum amount payable by the insurer on the death of a member of the policy.
|Minimum sum assured||Rs.1,000|
|Maximum sum assured||No limit|
The premium is the amount paid by the policyholder to the insurer on a regular basis.
|Premium payment mode||
*Premiums vary based on age, location, plan term and other factors
|Death Benefit||A lump sum equal to the sum assured is payable in case a member of the policy dies.|
In case a member enrolled under the policy commits suicide within 12 months from the date of receipt of the policy or from the date of entry into the plan, whichever is later, only 80% of the premium is payable to the beneficiary. This exclusion is not applicable to employer-employee groups since participation is mandatory.
|Profit sharing||A certain amount of profit is shared with the members of the policy. The profit is calculated based on the premiums paid after deductions of any claims made or expenses incurred.|
|Revival of Policy||The policy can be revived within 3 months after the policy has lapsed. Previously unpaid premiums along with an interest, that is compounded yearly, should be paid in order to revive the policy.|
|Waiting Period||Non-employer-employee groups have a waiting period of 45 days. Death benefits are not payable during the waiting period.|
|Cooling off Period||The policyholder has the first 15 days of the policy term to review the policy. He/she can return the policy if he/she is unsatisfied with the terms of the policy. The insurer will then refund the premiums paid after the deduction of stamp duty and other charges.|
|Online portal||Customers can register themselves on the LIC website to view the status of policies.|
|Phone helpline||LIC has a helpline that customers can use to resolve any possible queries related to their policies.|
|Group schemes||A range of group schemes are available with LIC. Homogenous groups and employer-employee groups can also opt for these schemes.|
LIC is one of the most popular life insurance companies in India with an experience of more than 60 years. It has had a long-standing reputation for rendering the best customer service over the years. In the year 2016-17, LIC had a claim settlement ratio of 98.31% and grievance settlement ratio of 100%. The main objective of the company is to make life insurance available throughout the country including the rural areas.