1. Eligibility Conditions and Other Restriction :
For Basic plan
a)
Minimum Basic Sum Assured : Rs. 100,000
b)
Maximum Basic Sum Assured : No Limit
(The
Basic Sum Assured shall be in multiples of Rs. 5000/-)
c) Minimum Age at entry : 18 years
(completed)
d)
Maximum Age at entry : 50 years (nearest birthday)
e)
Maximum Maturity Age : 75 years (nearest birthday)
f)
Minimum Policy Term : 15 years
g)
Maximum Policy Term : 35 years
For LIC’s Accidental Death and Disability Benefit Rider
a)
Minimum Accident Benefit Sum Assured : Rs. 100,000
b)
Maximum Accident Benefit Sum Assured :
An
amount equal to the Basic Sum assured under the Basic Plan subject to the
maximum of Rs.50 lakh overall limit taking all existing policies of the
Life Assured under individual as well as group schemes including policies
with inbuilt accident benefit taken with Life Insurance
Corporation of
India and the Accident Benefit Sum Assured under the new proposal into
consideration.
(The
Accident Benefit Sum Assured shall be in multiples of Rs. 5000/-)
c)
Minimum Age at entry : 18 years (completed)
d)
Maximum Age at entry : The cover can be opted for at any policy
anniversary during the policy term but before the policy anniversary on
which the age nearer birthday of the Life Assured is 70 years.
e)
Maximum cover ceasing age : 70 years (nearest birthday) or till the end
of the Policy
Term,
whichever is earlier.
2. Payment of Premiums:
Premiums
can be paid regularly at yearly, half-yearly, quarterly or monthly
intervals (through ECS only or through salary deductions) over the Policy
Term.
However,
a grace period of
one calendar month but not less than 30 days will be allowed for payment
of yearly or half-yearly or quarterly premiums and 15 days for monthly
premiums.
3.
Sample Premium Rates:
Following
are some of the sample tabular premium rates (exclusive
of service tax) per Rs. 1000/-
Basic Sum Assured:
|
Policy
Term (in years)
|
Age (in years)
|
15
|
25
|
35
|
20
|
79.05
|
44.30
|
29.95
|
30
|
82.45
|
46.75
|
32.30
|
40
|
88.20
|
51.40
|
37.10
|
50
|
97.70
|
59.65
|
|
4.
Mode and High S.A. Rebates:
Mode
Rebate:
Yearly
mode - 2% of Tabular Premium
Half-yearly
mode - 1% of Tabular premium
Quarterly
& Monthly mode - NIL
High
Sum Assured Rebate:
Basic
Sum Assured (B.S.A) Rebate
(Rs.)
1,
00,000 to 1, 95,000 - Nil
2,
00,000 to 4, 95,000 - 1.50%o B.S.A.
5,
00,000 and 9, 95,000 - 2.50%o B.S.A.
10,
00,000 and above - 3.00%o B.S.A.
5. Revival:
If
premiums are not paid within the grace period then the policy will lapse.
A lapsed policy can
be revived within a period of 2 consecutive years from the date of first
unpaid premium but before the end of policy term on payment of all the
arrears of premium together with interest (compounding half-yearly) at
such rate as fixed by the Corporation from time to time, subject to
submission of satisfactory evidence of continued insurability.
The
Corporation reserves the right to accept at original terms, accept at
revised terms or decline the revival of a discontinued policy. The
revival of discontinued policy shall take effect only after the same is
approved by the Corporation and is specifically communicated to the
Policyholder.
Revival
of rider(s), if opted for, will be considered along with revival of the
basic policy and not in isolation.
6. Paid-up Value :
If
at least three full years’ premiums have been paid and any subsequent
premiums be not duly paid, this policy shall not be wholly void, but
shall continue as a paid-up policy. The Basic Sum Assured under the
policy shall be reduced to such a sum, called Paid-up Sum Assured and
shall bear the same ratio to the Basic Sum Assured as the premiums paid
bears to the total number of premiums payable i.e. Basic Sum Assured
*(number of premiums paid / number of premiums payable).
This
Paid-up Sum Assured along with vested simple reversionary bonuses, if
any, is payable on the expiry of policy term or in case of prior death.
The reversionary bonuses already accrued to the policy as on the date of
paid-up will remain attached to the policy. A paid-up policy will not
accrue any further bonuses. In case of death after the policy term
Paid-up Sum Assured will be paid.
Rider(s)
do not acquire any paid-up value and the rider benefits cease to apply,
if policy is in lapsed condition.
7. Surrender Value:
The
policy can be surrendered for cash provided atleast three full years’
premiums have been paid. The Guaranteed Surrender value during policy
term shall be a percentage of total premiums paid (net of service tax)
excluding extra premiums and premiums for riders, if opted for. This
percentage will depend on the policy term and policy year in which the
policy is surrendered and specified as below:
In
addition, the surrender value of any vested simple reversionary bonuses,
if any, shall also be payable, which is equal to vested bonuses
multiplied by the surrender value factor applicable to vested bonuses.
These factors will depend on the policy term and policy year in which the
policy is surrendered and specified as below:
Corporation
may, however, pay Special Surrender value, if it is more favorable to the
Policyholder.
8. Policy Loan:
Loan
can be availed under the policy provided the policy has acquired a
surrender value and subject to the terms and conditions as the company
may specify from time to time.
9. Taxes:
Taxes
including Service Tax, if any, shall be as per the Tax laws and the rate
of tax shall be as applicable from time to time.
The
amount of tax as per the prevailing rates shall be payable by the
Policyholder on premiums including extra premiums, if any. The amount of
tax paid shall not be considered for the calculation of benefits payable
under the plan.
10. Cooling-off period :
If
the Policyholder is not satisfied with the “Terms and Conditions” of the
policy may be returned to us within 15 days from the date of receipt of
the policy bond stating the reasons of objections. On receipt of the same
the Corporation shall cancel the policy and return the amount of premium
deposited after deducting the proportionate risk premium (for basic plan
and rider(s), if any) for the period on cover, expenses incurred on
medical examination, special reports, if any and stamp duty.
11. Exclusion:
Suicide:
- This policy shall be void
i.
If the Life Assured (whether sane or insane) commits suicide at any time
within 12 months from the date of commencement of risk and the
Corporation will not entertain any claim under this policy except to the
extent of 80% of the premiums paid excluding any taxes, extra premium and
rider premiums, if any, provided the policy is inforce.
ii.
If the Life Assured (whether sane or insane) commits suicide within 12
months from date of revival, an amount which is higher of 80% of the
premiums paid till the date of death (excluding any taxes, extra premium
and rider premiums, if any,) or the surrender value, provided the policy
is inforce, shall be payable. The Corporation will not entertain any
other claim under this policy.
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