Month: May 2012

Good News, Now LIC policies premium can be paid online using VISA & MASTER CREDIT CARDS.

Register yourself at http://www.licindia.in or if already registered sign in at http://www.licindia.in

This is enabled through IDBI Bank payment gateway.  Premium can be paid for both VISA & MASTER Debit and Credit Cards.  Payment can be made only for the policies enrolled on portal as in case of net banking payment.

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Death Claim settlement in Life Insurance is the most important aspect of the life insurance policy. There is always lot of confusion about “How death claims are settled in LIC OF INDIA? “.

There are two types of death claims, early & non early. If the death of insured person takes place within 3 yrs of starting the LIC POLICY, it will be called early death claim otherwise non early death claim and non early death claims are settled within 30 days from the date of receipt of all requirements.

There can be a scope of cheating/ fraud in early death claims so LIC deals strictly with these and there is little extra procedure needed to be follow in early death claim.

How death claims are settled in LIC OF INDIA
How death claims are settled in LIC OF INDIA

The common requirements in both type of death claims ( early or non early) are as follows:

  1. A letter of death intimation containing date, place, No of LIC policy & reason of death from the nominee to the branch manager of the concerned branch.
  2. Claimant’s Proof of relationship with the deceased.
  3. Policy bond or document.
  4. Discharge form or form no 3801 duly executed by the nominee.
  5. Death Certificate.
  6. Claim form No. 3783 A.
  7. NEFT form ( National Electronic Fund Transfer form) for transferring the claim amount in the account of nominee after settlement of the death claim.

If there is early death claim then besides above mentioned requirements, there are some more requirements, they are as:

  1. If the deceased was an Employee, Employer’s certificate on Form No. 3787( Revised )
  2. Treatment certificate issued by the Hospital/ Attending physician’s certificate on claim from B1 ( Form No. 3816) & B ( Form No. 3784 revised).
  3. Identity/ Burial certificate by a person who attended the funeral, except the relative of the deceased on Claim Form “C”. (Form No. 3785 revised).

 Note: For Double accident Benefit, further certain procedures are need to be followed.

  1. The claim must be lodged with LIC OF INDIA within 120days from the date of death.
  2. Attested copy of F.I.R., Post Mortem report duly attested by the competent court or civil police is required.
  3. Spot panchnama & eye witness statement.Claim will be admitted after acceptance and verification of the above mentioned documents by LIC & clearance by the concerned SDM.

Important Points:-

In case of policyholder’s unnatural death caused by accident, suicide etc. the LIC may require some additional details besides above mentioned documents depending on the nature of the case.

  • In case the death claim arises within 2 yrs of taking the policy, LIC will admit claims only after the necessary investigation conducted by the LIC Authority. Due to the procedure, the settlement of claim may take little extra time.
  • In the absence of nominations under the policy, the list of all the successors should be submitted on Form no. 3806 and on submission of Declaration Form a claim up to Rs 250000 can be settled without succession certificate.

For any kind of further information, you can write your comments and we shall reply them shortly.

How death claims are settled in LIC OF INDIA
How death claims are settled in LIC OF INDIA

 

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Introduction :
In view of the demand from various offices it has been decided to modify LIC’s Jeevan
Akshay – VI plan. The modifications are as under:
• The plan shall also be sold online in addition to other existing distribution channels.
• Annuity option- “Joint-life and 100% of annuity to spouse on death of the annuitant with
return of purchase price on death of last survivor” shall also be available in addition to
the existing six options.
• Reduction in the minimum age at entry and increase in maximum age at entry.
• Minimum premium amount for online sale shall be Rs. 1.5 lacs and for other
distribution channels it shall be Rs. 1 lac.
• Slabs of incentive for higher purchase price have been modified.
• Service tax to be collected from the policyholder along with the purchase price.

Type of annuities available:
Various annuity options available under the Plan are as under:
i) Annuity for life
ii) Annuity guaranteed for 5, 10, 15 or 20 years and for life thereafter
iii) Annuity for life with return of purchase price on death
iv) Annuity for life increasing at a simple rate of 3% p.a.
v) Annuity for life with a provision for 50% of the annuity to the spouse of the annuitant
for life on death of the annuitant.
vi) Annuity for life with a provision for 100% of the annuity to the spouse of the annuitant
for life on death of the annuitant.
Page 2 of 5
vii) Annuity for life with a provision of 100% of the annuity payable to spouse during his/
her life time on death of annuitant with return of purchase price on the death of last
survivor.

Benefits:
The first instalment of annuity shall be paid one year, six months, three months or one
month after the date of purchase of the annuity depending on whether the mode of annuity
payment is yearly, half-yearly, quarterly or monthly respectively. Further, annuity shall be
paid during the life time of the annuitant with following provisions on death of the annuitant
for different options:
(a) Under option (i) – payment of annuity ceases.
(b) Under option (ii)
i. On death during the guarantee period – annuity is paid to the nominee till the
end of the guaranteed period after which the same ceases.
ii. On death after the guarantee period – payment of annuity ceases.
(c) Under option (iii) – payment of annuity ceases and the purchase price is returned to
the nominee.
(d) Under option (iv) – payment of annuity ceases.
(e) Under option (v) – payment of annuity ceases and 50% of the annuity is paid to the
surviving named spouse during his/her life time. If the spouse predeceases the
annuitant, nothing is payable after the death of the annuitant.
(f) Under option (vi) – payment of annuity ceases and 100% of the annuity is paid to
the surviving named spouse during his/her life time. If the spouse predeceases the
annuitant, nothing is payable after the death of the annuitant.
(g) Under option (vii) – payment of annuity ceases. 100% of the annuity is paid to the
surviving named spouse during his/her life time and purchase price is returned to
the nominee after the death of the spouse. If the spouse predeceases the
annuitant, the annuity ceases and purchase price is paid to the nominee.
The amount of annuity shall be assured throughout the period for which it is payable.

Eligibility Conditions and Features:
(a) Minimum Age at entry: 30 years last Birthday
(b) Maximum Age at entry: 85 years last Birthday
(c) Minimum Purchase Price: Rs.1,00,000/- for all distribution channel except online
sale.
Rs. 1,50,000/- for online sale.

Surrender value:
No surrender value shall be available under this plan.

Loan:
No loan shall be given by the Corporation to the policyholders under this plan.

Assignment / Nominations:
No assignment is allowed under this policy.
Notice of change of nomination should be submitted for registration to the office of the
corporation, where this policy is serviced if the type of annuity opted is either for a
guaranteed period and for life thereafter or with return of purchase price. In registering a
nomination the Corporation does not accept any responsibility or express any opinion as
to its validity or legal effect.

Normal requirements for claim:
On death of the annuitant:
The normal documents which the claimant shall submit while lodging the claim in case of
death of the Annuitant shall be the claim form, as prescribed by the Corporation,
accompanied with original policy document, proof of title, proof of death, whichever is
applicable, to the satisfaction of the Corporation.
It will apply in case the option exercised is for

The following options are available under the plan

  1. Annuity payable for life at a uniform rate.
  2. Annuity payable for 5, 10, 15 or 20 years certain and thereafter as long as the annuitant is alive.
  3. Annuity for life with return of purchase price on death of the annuitant.
  4. Annuity payable for life increasing at a simple rate of 3% p.a.
  5. Annuity for life with a provision of 50% of the annuity payable to spouse during his/her lifetime on death of the annuitant.
  6. Annuity for life with a provision of 100% of the annuity payable to spouse during his/her lifetime on death of the annuitant.
  7. Annuity for life with a provision of 100% of the annuity payable to spouse during his/ her life time on death of annuitant. The purchase price will be returned on the death of last survivor.

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LIC’S JEEVAN VAIBHAV (PLAN No. 809)

Download JEEVAN VAIBHAV presentation & JEEVAN VAIBHAV PREMIUM CALCULATOR at the bottom of this page

LIC’S JEEVAN VAIBHAV (Plan No.809) is also a close ended plan guaranteed return which would be open for sale from 21st May, 2012 for a maximum period of 120 days.

Key features of LIC JEEVAN VAIBHAV

  • Single Premium non-linked endowment assurance plan.
  • Maturity Benefit : Sum Assured and Loyalty Addition.
  • Liquidity : Facility for loan.
  • Life Cover : Full Sum Assured Payable on death during the term.
  • Loyalty Addition, if any, payable on Death, if it occurs during the last policy year or on maturity.

Buy LIC JEEVAN VAIBHAV

LIC’s Jeevan Vaibhav is a Life insurance Plan especially designed to meet needs of –

  • Insurance
  • Wealth creation and
  • Liquidity

Maturity Benefit:
On maturity, the Sum Assured along with Loyalty Addition, shall be payable.

Example:The Maturity Benefits under LICJeevan Vaibhav plan include the Sum Assured and Loyalty Addition, if any. For a person aged 35 years, paying a premium of Rs.95730/-, the Sum Assured shall be Rs. 200000/- . The Details of benefits payable are as under:-

Benefit Illustration

Age

35 years

Policy Term

10 years

Single Premium Amount

95730/-*

Sum Assured payable on death or maturity

200000/-

Loyalty Addition payable on death during the last policy year or on maturity:

Assuming 10% p.a. return

25,000/-

* Premium shown above is exclusive of service tax.

 

Death Benefit:
On death during the policy term, excluding last policy year: Sum Assured shall be payable.

On death during the last policy year: Sum Assured along with Loyalty Addition, if any, shall be payable.

Eligibility Conditions and Restrictions
a) Minimum Entry Age : 8 years (completed)
b) Maximum Entry Age : 65 years (nearest birthday)
c) Mode of Premium Payment : Single premium
d) Minimum Sum Assured : Rs.2,00,000/-
e) Maximum Sum Assured : No Limit
The sum assured shall be in multiple of Rs.10, 000/-
f) Policy Term : 10 years
Age at entry of the Policyholder is to taken as age nearest birthday except for
minimum age at entry i.e. 8 years.

Guaranteed Surrender Value
The Guaranteed Surrender Value will be available after expiry of one policy year. The Guaranteed Surrender Value shall be 90% of the Single premium paid excluding extra premium, if any.

Special Surrender Value
Special surrender value will be payable, if it is more favorable to the policyholder.The Special Surrender Value will be the discounted value of the Sum Assured. The discount factors shall be the special surrender value factors used for LIC’s Endowment Assurance plan, which will depend on the policy term and the duration elapsed since commencement of the policy.

The Special Surrender Value factors per Rs. 100 Basic Sum Assured for duration 1 and 1.5 years are 44.52 and 45.97 respectively.

Buy LIC JEEVAN VAIBHAV

 

Loans
Loan facility is available under this plan after completion of one policy year subject to following conditions:
a) Loan can be granted after completion of one policy year subject to a maximum of 70% of Surrender Value.

b) The rate of interest to be charged on loans granted under this plan will be 10.25% p.a. compounding half-yearly and the same would be subject to review from time to time by the Corporation.

c) No foreclosure action should be taken under this plan even if there is a default in payment of loan interest.

Back-dating interest :
The policies can be dated back within the financial year, as usual. Back-dating interest will be charged at the rate of 10% p.a., at the time of completion of policy, for dating back in excess of one month. The interest shall be charged even where the policy is back dated to a lean month.

Proposal Form :
Proposal Form No. 300 or 340, as the case may be, shall be used under this plan

Why should I opt for LIC’s Jeevan Vaibhav plan ?

Because LIC’s Jeevan Vaibhav combines Security with Wealth Creation in a single plan. You deserve it to celebrate your achievements in 2022.

Buy LIC JEEVAN VAIBHAV

Download ppt. file for LIC JEEVAN VAIBHAV 

Download JEEVAN VAIBHAV 809 premium calculator of LIC jeevan vaibhav

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Be an LIC ADVISOR : Join LIC as an Advisor
Posted by:V.K. sharma, May - 08 - 2012

LIC is the biggest Life Insurance Company in India. As per the current figures more than 14,00,000 people are associated with LIC as an agent ( or advisor).  People from well known families have joined LIC as an advisor. Ritu Nanda ( D/O Raj Kapur), Ragini Yadav (D/O Lalu Yadav), Abhishek Bachan are few names who have joined LIC as an agent.

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

Why people join LIC as an advisor?

This is the profession where one can have lot of freedom & earning. It is said about LIC advisor that they can write their own cheque.

Attractive Remuneration
We offer one of the best remuneration systems in the industry that not only takes care of your current earnings, but also guarantees an earning for the future. What’s more, you can set your own income targets with a potential to earn as much as you want for the rest of your life. Income Remuneration and Growth – In case you wish to have a long term association with the Corporation, the career as an agent provides you with income which grows in high proportions. Growth in income may go up to 50% per year depending upon volume of business secured by you.

Sky is the limit for your income. This apart, the career has a provision of benefits* or payments like (1) Gratuity (2) Terms Assurance (3) Hereditary commission payable to the heirs (*Conditions apply).

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

Independence
As an Agent, you will be a true entrepreneur. You have the freedom to be your own boss: work for yourself, choose your own clients and make your own money. All of this, without your having to make any initial capital investment.

Rewarding Career
You will help people realise their dreams by fulfilling their financial goals. The difference you make to their lives is more rewarding and satisfying than you could ever imagine.

Working Hours:
Part time /Full time (Decide your own working Hours)

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

Full Range Of Products And Services
You can offer your customers over 50 product combinations of our unique Products and Riders, to help them meet all their financial goals.

No investment
A one in a million opportunity!

Who Can Work with LIC as LIC Agent:
College Boys/Girls, Businessmen, Chartered Accountants (C.A.s), C.S, Housewives, Retired persons, Software Professionals, Bankers, Call Center Employees, Teachers, Consultants, Marketing and sales persons etc.

Eligibility for LIC Agent:
Minimum Educational Qualification: HSC (12th Pass for Urban Area)
Minimum Age: 18 Years (No Upper Age Limit)

Document Required:
6 colour passport size photo.
Photocopy of Age proof
Photo copies of educational certificates.
Address Proof.
Photocopy of Pan Card.

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

Procedure to become an LIC agent
LIC Agent Training:
50 hours training covers all aspects of Life Insurance Business. After successful completion of training you will have to sit for Pre-Licensing examination conducted by the Insurance Regulatory and Development Authority (IRDA). After successful completion of the examination you will awarded a License by the IRDA to work as an insurance agent.
You will be appointed as an agent by the Our Branch Office and you will be a part of the team under Development Officer.

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

[youtube]http://www.youtube.com/watch?v=t0P_udnKoiU&feature=youtu.be[/youtube]

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

Call 99100-39879 Now to Join LIC as an Advisor in Delhi NCR

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It is Technical difficult to combine regular yearly bonus with the flexibility built in LIC JEEVAN SARAL. So the concept of Loyalty Addition has been introduced instead of the regular bonus. There is lot of myth about Loyalty Addition that going by the experience of recent years, that amount given by the ways of Loyalty Addition may be negligible. It will be not so in the case of LIC JEEVAN SARAL. Actuarial analysis will show that the actual Loyalty Addition that can be paid will not be less than the total regular bonus payable on death claim, surrender or maturity.

                           It is only a change of concept. The policyholder will be the ultimate gainer by this change of concept. One has to keep the policy in force only for ten years, and not till maturity, to be eligible for Loyalty Additions. Freedom has been given to surrender the policy at any time after 10yrs without any loss.

Determination of Loyalty Addition

Consider an average Jeevan Saral Policy, with a monthly premium of Rs 4000/-( i.e. annual premium of Rs 48000/-) The Sum assured under this policy will be Rs 10,00,000. Let the age of this policyholder be 38. During the first year, the risk cover will be for Rs 10,00,000 and one year term assurance premium for this risk cover will be about Rs 1390 (Rs 1.39 for 1000). During the second year, the risk cover will be for ( Sum Assured + one year’s premium). i.e. Rs 10,48,000 and the age will be 39. So one year term premium for this risk cover will be for (sum assured + 2 yrs premiums) i.e. Rs 10,96,000. And the age will be 37. The one year term premium for the risk cover will be about Rs 1750. Thus the premium for the risk cover appears to go on increasing because of increase in age and also increase in amount of claim payable on death.

 But the above working ignores the fund accumulating in the account of the policyholder. At the beginning of each year, Rs 48000 is received from the policyholder. After meeting the marketing expenses, administrative expenses and also the mortality charges the balance premium left get accumulated with interest. For example at the end of the 17th year, the fund to the credit of the policy holder will be about 12,00,000. If the death occurs during the 18th year, the amount of claim payable will be Rs 12,00,000 + 17yrs premium = Rs 20,16,000. Since there is already a fund of Rs 12,00,000 to the credit of the policyholder, the real risk to the corporation is only to the extent of Rs 8,16,000. In fact after few years, the sum at risk (Amount payable on death LESS Fund to the credit of the policy holder) will start reducing gradually. While because of Increase in age, the premium chargeable per Rs 1000 risk cover will be increasing, the sum at risk will be decreasing. Due to combine effect, the premium chargeable for risk cover may even start decreasing after a certain stage.

  1. So the above illustration shows that with longer period of LIC JEEVAN SARAL policy, the corporation’s liability decreases and premium can be further invested to provide more benefits to LIC POLICY holders.
  2. LIC has to pay income tax every year on the bonus amount declared on all with profit plans but since there is no bonus declared every year in LIC JEEVAN SARAL so income tax is also saved and reinvested to provide more profit to LIC POLICY holder by the means of Loyalty Addition.
  3. LIC has to pay 5% of the amount of bonus declared every year to the central government that is also saved and reinvested to provide more profit to LIC POLICY holder by the means of Loyalty Addition.
  4. In LIC with bonus plans, on death claims or on paid up policies even before 10yrs, LIC pays Sum Assured + bonus of the all the yrs (from the date of commencement) but in LIC JEEVAN SARAL since there is no loyalty addition before 10yrs, the money saved in this way is again reinvested to provide more profit to the LIC POLICY holder who run their policies for 10yrs or more by the means of Loyalty Addition.

 The premium amount received in LIC JEEVAN SARAL plan will be invested for longer period. Hence the yield of the investment of premium amount of Jeevan Saral Plan will be higher than under endowment plans on those the bonus is declared every year and paid on death claim and surrender of policies.

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Table no 165

Jeevan Saral : With Profit Plan

Winner of Golden Peacock Award

  • A Unique plan-probably first of its kind.
  • A conventional plan but has good features of unit linked products but it is not ULIP.

It is easier to understand and provides many benefits to lic policyholder.

  • A lot of guarantee
  • A lot of liquidity
  • Flexibility of term- policyholder can choose term from 10yrs to 35yrs
  • Mode: yearly, half yearly, Quarterly, SSS and ECS
  • A higher cover, particularly for lower terms and higher entry ages.
  • Maturity Benefit
    • to be taken from the Maturity Sum Assured Chart
    • Loyalty addition Payable in Addition
  • Surrenders:
    • No surrender penalty after 5 years
    • Higher Surrender values
    • Retrospectively worded out
    • Loyalty additions payable, if surrendered after 10 years
  • Death benefit :
    • Depends on the premium only
    • Equal to 250 times monthly premium plus return of premiums ( excluding first) plus loyalty additions
    • Full cover remains till the end of the term.
  • Premium holiday : up to 12 months after policy has been inforce for 3 years
  • Loan available after 3 years
  • Partial Surrender : Conditions for partial surrender
    • At least 3 years premium are paid
    • Minimum basic annual premium after withdrawal – Rs 3000 where age at entry was 49 yrs of below
    • Minimum basic annual premium after withdrawal – Rs 4800 where age at entry was 50 yrs of above
    • Minimum basic annual  premium for withdrawal is Rs 1200/-
    • Withdrawal in multiples of Rs 600 thereafter
    • Minimum waiting period between successive withdrawals 1 yr
    • At the time of withdrawal no loan should be outstanding on the policy
    • All future benefits and premiums under the policy will get reduced proportionately.

[youtube]http://www.youtube.com/watch?v=IShompGpMho[/youtube]

Introduction:

In the history of life insurance, First time LIC OF INDIA has launched a revolutionary life insurance product Jeevan Saral in the year 2004 which won Golden Peacock award for innovation in life insurance.

In Jeevan Saral plan Sum Assured is decided by choosing the premium and minimum premium is Rs 250 per month or Rs 3000 per annum and there is no upper limit for choosing premium. Now If Monthly premium is Rs 1000 then sum assured will be Rs 250 times 1000 that is Rs 2,50,000. Note: It is not necessary that you have to pay the premium only monthly you can pay by any mode yearly, half yearly or quarterly as well.

A unique Feature

There is also a Unique Feature under LIC JEEVAN Saral Plan.In case of death claim, in addition to the sum assured payable on death, all premiums paid, (excluding the first year premium, extra premium paid and premiums for rider benefits), will be refunded. This is the first time that such a feature has been introduced. The results is a continuously increasing risk cover from the second year onwards.

Is Jeevan saral a with profit plan?

Yes, But Bonus will not be declared each year as under other plans. Only “Loyalty Addition” will be given. The Loyalty Addition is payable only if premium have been paid under the policy for at least 10 years and ten years have completed since the date of commencement. This Loyalty Addition is payable even when a policy is surrendered and also under the Death Claim.

Paid Up and Surrenders

A policy will acquire paid up  value provided premiums have been paid for at least for three full years. Once a policy acquire a paid up value, it can be surrendered. But there is a unique feature when it comes Surrenders.  Provided premiums have been paid for 5 full years Surrender will be treated as maturity for a reduced policy term. What does this mean. ?

For example a policy for term 20 yrs, being surrendered after premiums have been paid for 12years. This will be treated as if the policy was originally taken for a term of 12 yrs and the maturity value corresponding to term 12 yrs will be paid. Since premiums have been paid for 12 full years, the Loyalty Addition corresponding to term 12 will be also be paid. Note: A policy holder need not decide the policy term at the time of completing the proposal. He/She can first opt for the maximum permissible term corresponding to his age and postpone the decision on a suitable term to a convenient date in future. So in this Sense Jeevan Saral is a flexible term plan.

Can a person have multiple terms for the same policy?

The answer is yes, Let me show you how it is possible.

For example, a person paying a premium of Rs 700 per month( i.e. Rs 8400 per year) under his Jeevan Saral Policy and initially takes the maximum permissible term ( say 30yrs). The initial Risk cover will be for Rs 1,75,000, increasing by Rs 8400 each year from the 2nd year onwards.

                              Later, he decided to have a term of 12years under One Seventh of the policy. It will be presumed that there were two policies originally. One with the annual premium of Rs 1200 for a term of 12 years and another with an annual premium of Rs 7200 for a term of 30years. At the end of 12yrs, the Maturity Value, along with Loyalty Addition, will be settled under the portion for the terms 12yrs. Under the balance policy, the annual premium will now be Rs 7200. Risk cover Rs 1,50,000 and term 30yrs. If death claim occurs at any time later, say during 17th year, the claim amount payable will be Rs 1,50,000 + (17-1)X 7200 + Loyalty Addition for term 17years.

                              After another 3 years, he decided that under another two seventh of the original policy, the term should be 15 years . It will be presumed that there was three policies originally. One with the annual premium of Rs 1200( which has already matured), another for annual premium of Rs 2400 and term 15years, and another for an annual maturity value corresponding for a term 30 years. At the end 15th years, the maturity value corresponding to annual premium of Rs 2400 and term 15 yrs will be paid along with the Loyalty Addition. Under the balance policy, the annual premium will be Rs 4800 and risk cover will be Rs 1,00,000.If death claim occurs at any time later, say during 21st year, the claim amount payable will be Rs 1,00,000 + (21-1)X 4800 + Loyalty Addition for term 21years. Thus it is clear that LIC JEEVAN SARAL is so flexible that one policy can have multiple terms. or you can say that there is lot of flexibility of choosing the term of the policy.

For the above shown illustration, JEEVAN SARAL is almost like Flexible Money Back Plan.

Are there any restrictions on such on Such partial Surrenders?

Yes but only a few.

  • The reduced annual premium after partial surrender, excluding rider and extra premiums, should not be less than Rs 3000, where the admitted age under Jeevan Saral is less than 50 and Rs 4800 when the admitted age is 50 or above and should be in multiple of Rs 600 (i.e. the monthly reduced premium has to be a multiple of 50)
  • The amount by which the annual premium can be reduced for the purpose of a partial surrender has to be a multiple of Rs 600 and should not less than Rs 1200.
  • A minimum waiting period of one year is required between successive surrenders.
  • When a partial surrender is made and the sum assured payable on death get reduced, the sum assured under accident and term rider benefits, if any, will get correspondingly reduced.
  • Before making a partial surrender, any outstanding loan under the policy has to be repaid in full.

When will the Loyalty Additions be declared?

The Loyalty Additions will be declared after each actuarial valuation. It will be based on policy term. In the case of death claim and surrenders, and in the case of policies under paid-up condition, the period for which premium have been paid will be taken as the policy term. A policy will be eligible for Loyalty addition only after payment of premium for full 10yrs and after completion of 10yrs from the date of commencement. A Loyalty Addition is payable on death of maturity or when a policy is surrendered. If death claim occurs in 10yrs of a policy provided the policy is inforce at that time, it will be eligible for Loyalty Addition even if the premium for the 10th year has not been paid in full.

[youtube]http://www.youtube.com/watch?v=urN1q3A5mx8&feature=youtu.be[/youtube]

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