You will read on this article LIC Jeevan Labh Policy, Jeevan Labh LIC, Jeevan Labh LIC plan, Jeevan Labh benefits, Details, Review, Status Calculator & more things.
LIC Jeevan Labh (Table No. 936) is one of the effective life insurance plans of Life Insurance Corporation of India. It is a limited premium paying, non-linked endowment plan that comes with various benefits to serve its customers. It offers a combination of safety and savings which means you will be protected as well as able to save your hard earned money in an effective manner. It also provides necessary financial support to the family at the time of the death of the insured.
“People in the age group of 8 to 59 can earn benefits by investing in LIC Jeevan Labh Plan”
This is a basic endowment plan. You pay premiums for a limited period of time so that at the end of the policy term, you will get the maturity benefit. On the death of the policyholder at any time during the policy term, the nominee will receive the death benefit.
Investment option for three tenures
This LIC policy offers both savings and protection to the policyholders. LIC Jeevan Labh scheme offers both death and maturity benefits along with bonus. You will get the option to pay premium for three terms in this plan, which include tenors of 10 years, 15 years and 16 years. The policy term for these terms will be 16 years, 21 years and 25 years respectively. If an investor has taken this LIC policy early in his career, experts suggest that he should go for a maturity plan of 25 years with a premium term of 16 years.
Minimum investment How much
The minimum sum assured in this LIC policy is Rs 2 lakh. In this LIC policy, the policyholder gets Maturity Benefit, Death Benefit, Simple Reversionary Bonus and Final (Additional) Bonus (if any).
Will also get loan
Loan can also be taken against this LIC policy, provided the premiums for at least 3 full years have been paid and the surrender value of the policy is ready. Keep in mind that there is no limit on the maximum basic sum assured in this policy.
How to get Rs 18 lakh
If you want to get Rs 17 lakh in one go in LIC Jeevan Labh policy then keep some things in mind. First of all you have to take a term plan of 16 years. If you are 23 years old and you take this plan for 16 years, then you have to choose a sum assured of Rs 10 lakh. In this way, you have to deposit Rs 233 for the premium term of the policy i.e. 10 years. However the premium will be paid on monthly or quarterly basis. 10 years you will pay a total of Rs 8.55. But the amount you will get will be Rs 17.13 on maturity.
Get Rs 5000 per month pension
In LIC’s Jeevan Akshay policy, you can get a lifetime pension of Rs 5000 every month by paying just one premium. In this policy, customers have 10 different options. You have to choose option ‘A’ in these. If you are 55 years old and you take a sum assured of Rs.9,00,000 lakh in this policy and pay a premium of Rs.916200 together, then you will start getting pension of Rs.5209 immediately.
Know More Details About LIC Jeevan Labh Policy
LIC Jeevan Labh – Key Features
- This plan allows you to choose the policy tenure with various options of 16 years, 21 years or 25 years.
- It is basically a non-linked, limited premium paying term policy.
- It is basically designed for individual investors.
- You will also get the option of premium paying term which will include 10 years, 15 years or 16 years.
- It comes with annual, half-yearly, quarterly, monthly premium payment frequency.
- It comes with a loan facility. In a case where the policyholder has paid premiums for 3 consecutive years and if the policy has reached the surrender value, the insured will be able to avail the loan facility.
- Provides a free testing period of 15 days from the date of issue of the policy.
- Offers a revival period of 2 years. The policyholder can revive the policy by paying the dues as well as interest and other expenses.
- Policy Type: Non-Linked Endowment Plan with Limited Premium Paying Term
- Policy Basis: Maturity Benefit, Death Benefit, Simple Reversionary Bonus and Final (Additional) Bonus (if any)
- Policy Coverage : Maturity Benefit, Death Benefit, Simple Reversionary Bonus and Final (Additional) Bonus (if any)
- Policy Term: 16 Years (10 Years Premium Paying Term) / 21 Years (15 Years Premium Paying Term) / 25 Years (16 Years Premium Paying Term)
- Premium Paying Terms: 10 Years / Fifteen Years / 16 Years
- Loan: Loan can be availed against this policy. The loan will be available if at least 3 full years’ premiums have been paid and the policy has acquired surrender value.
- Free-look period: 15 days from the date of receipt of policy document. The premium amount already deposited will be refunded after deducting proportionate risk premium for cover period, medical examination expenses, reports, stamp duty etc.
- Nomination : Nomination facility provided as per Insurance Act
- Basic Sum Assured : Minimum – Rs 2 lakh / Maximum – No limit / Basic Sum Assured in multiples of Rs 10,000 only
- Premium Payment Frequency: Yearly / Half Yearly / Quarterly / Monthly (Pay Through ECS Mode Only) / SSS (Salary Saving Scheme) Mode
- Revival: The policy can be revived any time within 2 years from the date of first unpaid premium by paying all premium dues along with interest and other expenses.
LIC ‘Jeevan Labh’ – Benefits
LIC Jeevan Labh plan offers several benefits as mentioned below:
Death Benefit
In case of death of the insured, the nominee will be liable to receive the benefit in the form of sum assured. In addition, any Simple Reversionary Bonus as well as Final Additional Bonus are paid to the nominee.
Maturity Benefit
This will happen if the policyholder survives the policy term. In such a scenario, the Sum Assured will be paid to the Life Assured as Maturity Benefit along with any Simple Reversionary Bonus as well as Final Additional Bonus.
Discount
It offers a discount of 2% on annual premium and 1% on half-yearly premium payment. In addition, a rebate of 1.25% is given on the total sum assured if the sum insured is between Rs 5 lakh to Rs 9.9 lakh. 1.50% discount on Basic Sum Assured offered if Sum Assured is from Rs.10 Lakh to Rs.14.9 Lakh. If the sum insured is 15 lakhs and above, then a discount of 1.75% on the amount to be offered.
Loan
It comes with the loan facility that if you will be able to complete the initial 3 years of the policy term and pay premiums regularly. The policy must also acquire a surrender value to be eligible for the loan facility.
Adarsh Yojana
LIC Jeevan Labh is a perfect plan if you want to plan your child’s education or marriage.
Tax Benefits
Premiums paid for LIC Jeevan Labh policy are exempted from income tax under section 80C of the Income Tax Act, 1961. In addition, the maturity amount received is also tax free under section 10(10D).
How does LIC Jeevan Labh work?
When you invest in LIC Jeevan Labh plan, the customer has to decide on:
Sum Assured (this is the cover you want)
Policy term (the time period for which the insured wants to cover). The premium paying term is automatically decided based on the policy term:
- On opting for a policy term of 16 years, you will have to pay premium for 10 years
- On opting for a policy term of 21 years, you will have to pay premium for 15 years
- On opting for a policy term of 25 years, you have to pay premium for 16 years
Your annual premium for the plan will depend on 2 factors which include the Sum Assured and the age at which you are taking the policy.
Since this is a participating policy, you will be liable for the following points at the time of policy term. These are not guaranteed and you will only be able to get the values declared by LIC
- Simple Reversionary Bonus
- Ultimate extra bonus
LIC Jeevan Labh Riders
The riders mentioned below are offered by the lic Jeevan Labh policy:
- LIC Accidental Death and Disability Rider: If the Life Assured suffers accidental loss during the policy term, the additional sum assured will be given to the nominee. However, if the policyholder bears any liability, the Accident Sum Assured will be given to the nominee in 10 equal installments for 10 years. You can avail this rider by paying some additional premium over the base premium.
- LIC New Term Assurance Rider: In case of death, the benefit of this rider is available. You can go for this type of rider while the policy is issued by paying an additional amount.
Jeevan Labh Poly Premium illustration
Here are sample tables premium rates (including taxes) payable by a healthy, non-tobacco user male for various combinations of age, various assurances and policy term. We have gone with the current applicable tax rate of 4.5% for such policies.
- Sum Assured: Rs.2,00,000
- Policy Term:16, 21, 25 (Years)
- Premium Paying Term: 10, 15, 16 (Years)
- Age:20, 30, 40 (Years)
| Age | 20 Yr | 30 Yr | 40 Yr |
| Annual Premium | Rs.17450 | Rs.17,512 | Rs.17,779 |
| Annual Premium | Rs.11,163 | Rs.11,255 | Rs.11634 |
| Annual Premium | Rs.9411 | Rs.9545 | Rs.10,015 |
Jeevan Labh Surrender Value
LIC Jeevan Labh policy allows you to surrender at any time subject to payment of premium for at least 3 years. Guaranteed Surrender Value amount, out of the total amount of premium paid (any additional charges like underwriting decisions or rider premium) excluding , will be equal to. The guaranteed surrender value factor at various points in the policy term is as follows:
| Guaranteed Surrender Value Factor | |||
| Policy Year | Premium Paying Term 16 Years | Premium Paying Term 21 Years | Premium Paying Term 25 Years |
| 3 | 30% | 30% | 30% |
| 4 | 50% | 50% | 50% |
| 5 | 50% | 50% | 50% |
| 6 | 50% | 50% | 50% |
| 7 | 50% | 50% | 50% |
| 8 | 53.75% | 52.30% | 51.80% |
| 9 | 57.50% | 54.60% | 53.50% |
| 10 | 61.25% | 56.90% | 55.30% |
| 11 | 66.00% | 59.20% | 57.10% |
| 12 | 68.75% | 61.50% | 58.80% |
| 13 | 72.50% | 63.80% | 60.60% |
| 14 | 76.25% | 66.20% | 62.40% |
| 15 | 80.00% | 68.50% | 64.10% |
| 16 | 80.00% | 70.80% | 65.90% |
| 17 | 73.10% | 67.60% | |
| 18 | 75.40% | 69.40% | |
| 19 | 77.70% | 71.20% | |
| 20 | 80.00% | 72.90% | |
| 21 | 80.00% | 74.70% | |
| 22 | 76.50% | ||
| 23 | 78.20% | ||
| 24 | 80.00% | ||
| 25 | 80.00% |
Disclaimer
I suggest that first know about any policy properly and take advice from your agent only then apply. This article has been taken from different internet news, there may be some mistake in it, Fastread.in will not be responsible, please take the information properly.