Categories: Business

LIC unveils Jeevan Azad limited premium payment plan

Jeevan Azad Plan

The Life Insurance Corporation of India (LIC) has launched LIC Jeevan Azad Plan. It is a limited period premium payment plan that offers financial support for the family in case of unfortunate death of the life assured during the policy term. If the LIC policyholder survives the maturity term, then the plan offers a guaranteed base sum-assured amount.

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Plan Objective

LIC Jeevan Azad is a limited-period payment endowment plan that provides financial support for the family in case of unfortunate death of the life assured during the policy term. The plan also takes care of the liquidity need through a loan facility. It also provides a guaranteed lump sum amount to the surviving life assured on the date of maturity.

Sum Assured

The minimum basic sum assured under LIC Jeevan Azad Plan is Rs 2 lakh and the maximum basic sum assured is Rs 5 lakh. The policy can be taken for term of 15 to 20 years.

Premium Payment Term Calculation

The premium paying term is calculated as the policy term minus 8 years.

Age Limit

The minimum age of entry is 90 days completed and the maximum age at entry is 50 years.

Premium payment

Premium can be paid regularly at yearly, half-yearly, quarterly or monthly intervals.

Death Benefit

The death benefit is payable on the death of the life assured during the policy term after the date of commencement of risk but before the date of maturity. The death benefit shall be “Sum Assured on Death” where “Sum assured on Death” is defined as higher of ‘Basic Sum Assured’ or 7 times of Annualized Premium’. The Death Benefit shall not be less than 105% of ’Total Premiums Paid’ up to the date of death.

Important Takeaway For All Exam:-

  • LIC Founded:1 September 1956
  • LIC Chairperson:M R Kumar

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