LIC Policy: New Endowment Plan From LIC - See What It Offers!

The New Endowment Plan from LIC is an attractive participating non-linked plan that combines saving and protection elements. This combination offers the surviving policyholders a good lump sum payment at maturity as well as financial help for the deceased policyholder's family at any time before to maturity. Through its credit facility, this plan also addresses the issue of liquidity.

With regard to policy terms, this policy provides a lot of flexibility. The policy's length might range from 12 to 35 years. And the duration of the coverage is subject to monthly premium payments.

• It is a participating traditional endowment plan

• The policyholder is required to pay a premium under this plan for the duration of the policy

• The policy has a 75-year maximum maturity age

• The New LIC Endowment Plan additionally provides a borrowing facility and a surrender benefit to meet liquidity needs

• When a policyholder lives to the end of the policy's term, the insurance expires, and the maturity benefit is given to them

• The plan's entry age spans from 8 years old at the youngest to 55 years old at the oldest

• The death benefit is paid to the beneficiary and the policy expires if the life insured passes away within the period of the policy

• Along with the standard coverage provided by the policy, the LIC Endowment plan offers optional accidental death and disability benefit riders that can be added for an extra cost

• The policy's duration and the period during which premiums are paid coincide

• The policy's premium can be paid annually, biannually, quarterly, or monthly.

The new endowment plan from LIC offers the following benefits:

1. Death Benefit

The policy's beneficiary receives the death benefit in the form of the total sum assured on death plus any simple reversionary bonus or accumulated bonus in the event that the insured person dies while the policy is still in effect, and the policy's term expires. The basic sum assured or 10 times the annualised premium, whichever is greater, is the sum assured on death. This death benefit must equal at least 105% of all premium payments made as of the date of death.

2. Maturity Benefit

When the policy matures, the policyholder will receive the basic sum insured amount and earned bonuses as a maturity benefit, and the policy's term will expire if they outlive the duration of the policy.

3. Participation In Profits

The LIC Endowment Plan shares in the company's profits, and the policy accrues Simple Reversionary Bonuses and Final Additional Bonuses that are determined based on the company's experience. If the insured receives a death benefit or maturity benefit and the policy has accumulated a specific minimum number of years, a straightforward reversionary bonus is offered to them.

4. Accidental Death And Disability Benefit Rider

In the event of the insured person's accidental death, the LIC Endowment Plan provides the beneficiary of the policy with an add-on benefit in addition to the standard coverage. The beneficiary of the insurance will get both the base sum assured amount and an additional sum assured amount under the terms of this rider benefit. The policyholder might choose a bigger sum assured and save money by paying premiums yearly or biannually. The premium paid and the maturity proceeds are tax deductible under sections 80C and 10(10D) of the Income Tax Act, which means the insured can save a ton of money on taxes.

The plan is most suitable for people who wish to have a regulated saving option in addition to the benefit of life insurance. You can establish your long-term financial objectives and begin saving for them in a more organised manner with the aid of the LIC New Endowment plan.

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Disclaimer: All of the above information has been recorded at the time of writing and the policy details are subject to change in the future. Please visit the official LIC website to know more about the New Endowment Plan.