LIC Jeevan Pragati Plan – Features, Benefits, Review, India’s leading insurance provider Life Insurance Corporation of India (LIC) has recently introduced a new policy in 2016 by the name of Jeevan Pragati. Jeevan Pragati policy is not liked to stock market profit or any endowment policy. In this policy the risk cover increase every five year. This provide an inflation cover. This is the third policy launched by LIC in 2016.
LIC Jeevan Pragati Plan – Features, Benefits, Review
Features of LIC Jeevan Pragati Plan
The policy launched is made available to kids of age 12 and adults up to age 45.The minimum term of the policy is 12 years while the maximum term is 20 years. The maximum age of policy holder at maturity should not exceed 65 years.
The insurance buyer can pay the policy amount monthly, quarterly, half yearly or yearly.
Under the policy the minimum assured sum during maturity is Rs. 1.5 Lakh. The maximum sum assured does not have any limit. The assured sum on maturity is in multiples of Rs. 10000 only. All the basic services of the policy such as policy status, bonus, and claims status fall under the preamble of IRDA.
Benefits of LIC Jeevan Pragati Plan
The policy provide an increasing life cover every 5 year.
The policy holder get tax exemption under 80(C) for the premium paid. Also the maturity amount is tax free under 10 (10D).The policy holder can surrender the premium payment after three year of buying the policy.
Provide a good hedge against inflation. The policy can be used as collateral for loan after payment of premium up to 3 years.
In case the policy holder die the nominee will get all the death benefits. The death benefits include ‘Assured sum on death + Reversionary bonuses + Additional Bonus’.
The assured sum will be 10 times of the annual premium or the amount under death benefits. If the death happens anytime between first five years of the policy, 100 % of the basic sum assured will be paid.
- If the death happen between 6th to 10th year of the policy, 125% of the basic sum assured will be paid.
- If the death happen between 10th to 15th year of the policy, 150% of the basic sum assured will be paid.
- If the death happen between 15th to 20th year of the policy, 200% of the basic sum assured will be paid.
In case the policy matures. The assured sum on maturity as well as simple reversionary bonus and additional bonus will be payable on maturity.In the policy holder has opted for accidental benefit. The assured sum is payable on death due to accident.
The additional bonus is linked to the basic sum assured. In case a claim is made for death or through maturity additional bonus will be declared in that year. It is a great policy to provide insurance against death or accident. It is also good for building wealth for retirement and also provide a shield against the inflation.
Many insurance experts believe that there is nothing new to the policy. A few features have been added. But for policy buyers it is a great saving as well as insurance cover. The policy is also a good cover for hedging against inflation. Also other premium services like premium history, online payment of premium and claim history is also provided to the policy holder.