Page 42 - Insurance Times April 2024

LIC Jeevan Utsav :

A Plan for Lifetime

Guaranteed

Income Dr. P. Sundara Pandian Dr. R. Shobana Devi

Former Principal
Assistant Professor of
VHNSN College Commerce, VHNSN College
(Autonomous) Virudhunagar (Autonomous) Virudhunagar

Life Insurance Corporation of India or LIC has launched a new individual, savings and whole life
insurance plan. The scheme is an unaffiliated, non-participating scheme. It is a comprehensive
life insurance policy that provides lifetime coverage. Unlike term insurance plans that cover a
person for a specific period of time, whole life insurance, as the name suggests, provides coverage
for the entire life of the insured person.

Introduction This scheme is available for the age group of 90 days to
65 years. It provides guaranteed lifetime income and
Life Insurance Corporation of India or LIC has launched a new
lifetime risk protection.
individual, savings and whole life insurance plan. The scheme
is an unaffiliated, non-participating scheme. It is a Minimum premium payment period is 5 years and
comprehensive life insurance policy that provides lifetime maximum premium payment period is 16 years
coverage. Unlike term insurance plans that cover a person Sum Assured @ Rs.40 per thousand Basic Sum will be
for a specific period of time, whole life insurance, as the available at the end of premium payment period for
name suggests, provides coverage for the entire life of the every policy year for which premium is paid.
insured person. This insurance plan not only provides death
benefits to the beneficiaries after the death of the In life insurance assured after the premium payment period,
policyholder, but also has a savings component that the policyholder can choose:
accumulates cash values over time. Option I - Regular Income Benefit
Policy features 10 per cent of the Basic Sum Assured, payable at the end of
each policy year, starting after 3 to 6 years of the deferment
It provides death cover and survivorship benefits: regular and
period.
flexi-income benefits. Senior citizens can get guaranteed
income for life under this policy. In addition to the basic Option II - Flexi Income Benefit
amount for the premium paying period Rs. 40,000 is assured Policyholders can opt for a Flexi Income Benefit under which
at the end of every year. 10 percent of the Basic Sum Assured payable can be
accumulated and withdrawn later, subject to the terms and
I. Survival Benefits: conditions of the policy. LIC shall pay interest on such
Policyholders who survive the policy pay-out period have two Deferred Flexi Income payments @ 5.5 per cent p.a.,
options for availing survival benefits: compounding yearly.

38 April 2024 The Insurance Times