LIC Jeevan Anand covers the life of the policy holder and also helps the person to save regularly over a specific period of time. This is also known as an endowment policy. If he survives the policy term, he is paid the sum assured along with bonuses. The insured person does not have to pay any further premiums, but the risk is covered for rest of the life. If in the event of the insured person expiring during the policy term, the nominee is paid the Sum Assured along Bonus.
This policy also provides an Accidental Death & Disability Benefit as an additional feature inbuilt in the plan. So, in the event of death by Accident, an additional amount equal to sum assured is also added to the death claim amount. Cover for Critical illness benefit can be availed additionally. Other features of this plan are that being a Tax Saving insurance plan, the Premiums paid for the Jeevan Anand Policy can help you save Income Tax under 80c and the Maturity amount is tax exempt under sec 10(10D).
1. Maturity benefit: A lumpsum amount equivalent to Basic Sum Assured along with vested Simple Revisionary Bonus and Final Additional Bonus is paid at the date of maturity of LIC New Jeevan Anand Plan 815.
2. Death benefit: On the unfortunate death of the life insured during the policy term, Sum Assured on Death shall be payable which is the highest of 125% of Basic Sum Assured or 10 times of annualized premium. The death benefit shall not be less than 105% of all the premiums paid till death.
In case the policy holder dies after the policy term, Basic Sum Assured is paid to the beneficiary.
3.Profit Participation: The LIC Jeevan Anand Plan also participates in the profits of the Corporation which as Simple Revisionary Bonus and Final Additional Bonus is paid on death or on maturity of LIC New Jeevan Anand Plan 815.
4. Accidental Death and Disability Benefit Rider at an additional premium. In case of death, Accident Benefit Sum Assured is payable within 180 days from the date of accident and in case of permanent disability, Sum Assured is paid over 10 years in equal monthly instalments waiving off the remaining premiums.
5. LIC Jeevan Anand Tax Benefit provide tax exemption on premium and maturity amount as per Section 80C and 10(10D).
6. Grace period of 30 days for premium payment and a free look period of 15 days for cancellation of the policy.
|Minimum Age||18 Years Completed|
|Maximum Maturity Age||75 years|
|Policy Term||15 years to 35years|
|Minimum Sum Assured||Rs,1,00,000|
|Maximum Sum Assured||No limit|
|Premium Payment||Yearly/Halfly/Quarterly/Monthly/(Through Bank)|
|Loan||Eligible After 3 years full premium payment|
|Surrender||Eligible After 3 Years of full premium payment|
If you are looking for a savings plan that can also act as an investment, LIC New Jeevan Anand Policy is the one you should have a look at. This policy encourages savings and also safeguards your future at the same time. In this plan, the risk coverage continues even after the term of the policy has been completed, and the policyholder is eligible to receive death benefit as and when he dies. The designated amount will be paid to the nominee as specified in the policy documents.
What if the policyholder dies during the policy term? The plan will not be terminated. Instead, the nominee would be eligible to receive the Death Benefit which comprises of Sum Assured on Death, Vested Bonus Till Date of Death and any Final Additional Bonus. Sum Assured on Death will be higher of 125% of the basic sum assured or 10 times the Annual Premium paid subject to the minimum is 105% of the Total Premium paid till Death.
If the policyholder has completed the term of the policy and has paid all the premiums, he will be eligible to receive Maturity Benefit, i.e. Sum Assured (+) Bonus Amounts as received throughout the Policy (+) Final Additional Bonus (if any). Not only this, but the nominee will also receive the Sum Assured (Death Benefit) on the death of the policyholder.
Let us take an example to clear the queries regarding the working of Jeevan Anand Policy:
If Poonam dies during the policy term, she will be eligible to receive Sum Assured on Death along with Vested Bonus and any Final Bonus. Sum Assured on Death will be Higher of 125% of the basic Sum Assured or 10 times the Annual Premium paid subject to the minimum is 105% of the Total Premium paid till Death. The plan would terminate after that. You can click here to check the Bonus Rates as has been declared by LIC.
If Poonam survives the policy term, she will be paid the Sum Assured, i.e. Rs. 1 lakh along with the bonus that has accumulated till maturity. The risk cover will not terminate in this case and will continue after that. As and when Poonam dies, her nominee will become eligible to receive the sum assured.
Key Points to Note
Maturity Benefit – This benefit comes into play when the policy term expires, and the insurer is alive. In this case, the Sum Assured along with the accumulated bonus (if any) will be paid to the insurer.
Death Benefit – There are two possible scenarios in this case:
If the insurer dies within the policy term, he is eligible to receive the Sum Assured and Accumulated Bonus till the date of his death
If the insurer dies after the policy term, the nominee is eligible to receive the Sum Assured (since the policyholder had received the maturity benefit at the end of the policy term)
LIC New Jeevan Anand Policy allows the policyholder to choose between Yearly/Half Yearly/Quarterly/Monthly premium payments as per his convenience. So he has to pay Rs…. annually/half yearly/quarterly/monthly. He is eligible to get a loan against the policy after 3 years of full premium payment. He can also surrender the policy after the said term has successfully elapsed.
The answer to the question is Yes. We can save our taxes with the help of Jeevan Anand Policy. Not only is the Premium paid is tax-free, but even the Claim Amount is also tax-free too.
The Premium payment is subject to exemption under Section 80C (Chapter VIA Deduction) of the Income Tax Act, 1961 up to the limit of Rs. 1.5 Lakhs. Whereas there is no limit on the Claim Amount received, it is entirely tax-free under Section 10(10D) of the Income Tax Act, 1961.
There are three possible scenarios which you may face in case you stop/fail to pay your LIC New Jeevan Anand Policy Premium on the due date –
We all can face turbulent times in our lives. LIC understands that well and has introduced a grace period for its premium payment. In case you have opted for annual/half yearly/quarterly payments for your premium, you will get a 30-day grace to pay your outstanding premium amount. You will get a 15-day grace period if you have opted for monthly premium payments.
The policy lapses if the policyholder is unable to pay the premium due even during the grace period. It makes him eligible to receive Paid-up value of the policy, if he has completed at least the first 3 years of full premium successfully.
Paid-up value consists of a reduced Sum Assured value along with the bonus accumulated till the date of last premium payment. The Sum Assured is payable in proportion to the total premiums paid as against the total premiums payable. The policyholder is not eligible for any future bonus payments.
As mentioned above, a policyholder is eligible to receive a Surrender Value if he has successfully completed the first three years of premium payments for the policy. The Surrender Value is higher of the Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV).
Guaranteed Surrender Value is 30% of the total premiums paid reduced by the premium for the first year. It means that the premium paid for the first year will not be given any importance at all if you surrender your policy.
Special Surrender Value is an anticipated amount which is dependent on the future performance of the company. The company has the right to decide the SSV itself.
A policyholder also has the option to revive his policy if he so desires. It is possible only if the policy has lapsed and is continuing on a paid-up basis. The outstanding premium, along with the interest due, is to be paid within 2 years of the first unpaid premium if the policyholder wants to revive the policy.
Even though the complete set of documents depends on Sum Assured under this policy, here is the list of primary documents that you will may require –
In addition to these, you may require to submit any additional documents that the LIC officials may deem fit.
Even though we have multiple options to choose from, very few policies provide us with the benefit of investment cum savings at the same time. This policy is an excellent option for us to save for our nominees as well as invest periodically to receive a lump sum on maturity. So you can enjoy the luxury of saving a handful of amount even if it doesn’t seem so till your policy matures.
Whenever we think about getting a policy, the first name that pops in our mind is LIC. Such has been the trust the LIC has been able to generate over the years. And it is not just about word of mouth, there is more to it as well. LIC has the best on claim settlement in India which means that you can trust them with your eyes closed.
They also offer a higher bonus rate than its competitors which means that you get more on maturity or when you surrender the policy. So what are you waiting for? Get yourself and your family LIC New Jeevan Anand Policies today by visiting your nearest LIC office.
1.Is LIC New Jeevan Anand Policy a good policy? What are the benefits of this policy?
Yes, LIC Jeevan Anand Policy is a good policy as it provides both maturity benefit as well as death benefits to the policyholder. You needn’t worry about the well-being of the nominee of the policy even if the policy has matured long back and you have received the maturity benefit. The nominee will still get the Death Benefit (Sum Assured) on your death.
2.Is LIC New Jeevan Anand Policy maturity amount taxable?
No the maturity amount of LIC New Jeevan Anand Policy is not taxable. It is entirely exempt under Section 10(10D) of the Income Tax Act, 1961, irrespective of the amount you receive.
3.Does the plan provide a loan facility?
Yes, you can avail a loan on your policy provided you have completed the first 3 years, of premium payments successfully.
4.How is LIC Jeevan Anand different from other endowment plans?
This plan is a mix of the popular endowment plan and whole life plan. It offers life time risk cover even after maturity with premium only till policy term. LIC is the only plan to have this kind of plan. Afterward many companies started this kind of plan
5.Medical tests are required for LIC Jeevan Anand plan?
From 18 years to 35 years for a cover of Rs. 8, 00,000/- no medical tests are required. Special provision for employees for Multinational companies are also available.
6.How do I file for LIC Jeevan Anand Policy claim?
Submit the original policy documents with Discharge Form and also provide the bank account details of the nominee at LIC office for claims process to start. No need for the nominees to visit the branch for claim process.
7.How this plan can save my tax?
All endowment plans save tax less than 80C.The best plan for tax saving under 80C and section 10 (10 D ) of Income Tax Act.
The LIC agent elaborately explains LIC Jeevan Anand policy details and assists you in deciding the right sum assured and other details
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