LIC, India’s largest life insurer, launched LIC Jeevan Umang scheme on 16th May 2017. VK Sharma, chairman LIC, underscored that this new policy combines many features including endowment, whole-life and annuities. It is expected that this policy will double-dock the life insurance business in coming years.
Features of LIC Jeevan Umang Plan
- This new plan is not linked with profit plans of LIC.
- This is a whole life plan. Even after completion of premium, life insurance is protected for the entire life till maturity.
- The tenure for Premium Policy Term (PPT) is 15, 20, 25 and 30 years.
- Age limit is 90 days to 55 years. Depending on this, you can choose tenure as per your requirement.
- Maximum PPT for 55 year person is 15 years.
- Maximum PPT for 50 year person is 20 years.
- Maximum PPT for 45 year person is 25 years.
- Maximum PPT for 40 year person is 30 years.
- Rs 2 lakh is minimum basic sum assured.
- There is no limit of maximum sum assured- no upper limit.
- Policy maturity maximum age is 100 years.
- After the completion of 3 full years of premiums, one can avail a loan of up to 90% of surrender value of the policy.
- Optional riders are available in this plan.
- Plan table no. is 845 and Policy Unique Identification no. is 512N312V01.
- The survival benefit even after completion of PPT and the life insurance will continue till whole life. This policy is the replica of LIC Jeevan Tarang which was closed a few years ago.
Dates of Commencement: Commencement of risk is immediate, if life insured is 8 years and above. If life insured is more than 8 years, commencement proceeds once 8 years sum is insured or completes 2 years life frame. For egs:
- If life insured is 5 years age, then commencement of risk is at the age of 7 (2 years completed).
- If life insured is 7 years of age, commencement of risk is within 8 years.
Benefits of LIC Jeevan Umang Plan
- Death Benefit: The death of benefit depends upon the commencement of date of risk.
All premiums paid without any interest would be paid if death happens before commencement of risk.
A high sum would be paid on death if following conditions are fulfilled, if death happens after commencement of risk.
- 10 times of annualized premiums.
- Sum assured on maturity.
- Basic sum assured.
Sum assured on death+ vested simple reversionary bonus+ final additional bonus would be payable to nominee.
- Survival Benefits: Guaranteed survival benefit of 8% of sum assured is payable every year till the maturity of or death of life insured whichever is earlier. For example: if sum assured is 10 lakhs then 8% amount i.e. 80,000 is paid after every year after Premium Payment Term till death.
- Maturity Benefit: If the life insured survives till the maturity of policy, then following sum is paid.
Sum assured on maturity+ vested simple reversionary bonus+ final additional bonus that is payable to the policy holder.
Premium payment modes
On yearly mode, it gives you 2% of rebate, while on half yearly, offers 1% of rebate. And on monthly & quarterly mode, no rebate.
In short, Jeevan Umang is plan for old age benefit. If you are at 30 years of age and paying premium of 20k for next 15 years, you will get 20k premium back till the maturity of the plan and with additional risk cover. If you are ok with such retirement plan, go with jeevan umang plan now. Check out other LIC plans like Kanyadan which is also good option for girl child.
You can comment below your mobile number, if you want us to call you back with more details on jeevan umang. These are the benefits and features of LIC Jeevan Umang. You can read more about the jeevan umang plan at this link.