LIC's Jeevan Saral (Table No.

165)

JEEVAN SARAL is awarded by GOLDEN PEACOCK best innovative product from all the products among all the Insurance Companies in the World. Features of Plan: This plan contains good features of the conventional plans & provides Higher cover, Smooth return, Liquidity and Considerable flexibility. In this plan one has to choose the premium he wants to pay whereas in normal plans one chooses the Sum Assured. Under this plan death cover will be same irrespective of age at entry and term. The sum payable at maturity however differs for different entry ages & terms. This plan is very appropriate for employees seeking life cover, tax saving with good returns through Salary Saving Schemes (ECS). Due to existence of the flexible term and partial surrenders the Policyholders will enjoy a lot of liquidity under this plan. The plan also provides for 15 days free look period. Why more Returns in Jeevan Saral ? In Jeevan Saral plan, LIC distributes all surplus (profit) of this plan between the policyholders & government. It means the Policyholder will get 95% of surplus and remaining 5% will be taken by government as its share but this 5% distributable surplus to Central Government will be decided after 9th year of the policy. That means LIC is not pay the 5% surplus to government up to 9 years. Hence LIC can earn more money with this 5% share of government & give more returns to its policyholders. Plan Parameters: Age at Entry: Minimum 12 Yrs, Maximum 60 Yrs Maximum Maturity Age: 70 Years Policy Term: Min 10 yrs & Max 35 Yrs Minimum Premium: Rs. 250 per month [Rs.3000 per year] Maximum Premium: No limit Mode of Payment: Yearly/Half Yrly/Quaterly/ECS/SSS Policy Loan: Yes Housing Loan: Yes Surrender of Policy: Yes Term Riders: Yes Benefits of this Scheme:

Jeevan Saral is one and only Policy which gives you all the benefits and any time maturity. This is like a Post office or Recurring Deposit scheme. You can deposit Yearly, Hly, Qly and Monthly (ECS) in this scheme. Maturity received in LIC scheme is Tax free under section 10-10d of Income Tax act. Partial surrenders will allow from 4th year onwards subject to certain conditions. You can withdraw full amount if necessary after 10 years.

The amount deposited in LIC is exempted under section 80C of income Tax Act. You can continue LIC scheme after 10 years. In case of death, 250 times of monthly premium + Total premium paid + LA if any payable to nominee.
The following chart shows, Returns on completed Term Vs Monthly Investment Amount (10% IRR):

[Interest will given only after 10 year onwards. That means if you completed 10th policy years then you will get all interest of 10 years and so on & if you surrender this policy before 10th policy year, then you will get only Total premium paid - 1st year premium.]

Posted by LIC of India at 4:18 PM Labels: Best Investment plan of LIC, LIC Jeevan Saral