LIC Children Money Back Plan
Insurance isn’t only for adults. An insurance policy for children can be a good way to save money for their future. LIC New Children Money Back Plan 832 is a non-linked, with-profit, regular premium payment money back plan. This plan is designed to help parents meet the expenses of a growing child. In addition, the children’s life is also insured by this policy.
Benefits of LIC Children Money Back plan :
Survival benefit:
20% of the basic sum assured on completion of ages 18 years, 20 yrs & 22 years provided the policy is in full force Maturity benefit On maturity at the age of 25 years 40% of Basic Sum assured along with Bonus and Final Additional Bonus (if any) will be paid.
Death benefit:
On the death of the Life Assured before the stipulated Date of Maturity provided the policy is in full force, then On the death of the Life Assured before the date of commencement of risk: Return of premium/s excluding taxes, extra premium, and rider premium, if any.
Premium waiver Benefit :
LIC’s Premium Waiver Benefit Rider is a non-linked, non-participating, individual rider to be attached to insurance plans with which this Rider is allowed (Base Plan). This Rider provides for waiver of future premiums payable under the Base Plan till the expiry of the Rider Term, in case of unfortunate death of the Proposer of the Base Plan (on whose life this Rider is taken) during the Rider Term.
This Rider can be opted for along with the Base Plan at the inception or at any time during the Premium Paying Term of the Base Plan, provided the outstanding Premium Paying Term of the Base Plan and Rider is at least 5 years.
Death Benefit under Premium Waiver Rider:
In case of death of Proposer during the Rider Term, premiums payable under the Base Policy falling due after the date of death till the expiry of Rider Term shall be waived. However, premiums in respect of any riders, if opted for, other than this rider under the
Base Policy, shall not be waived and continue to be paid as per respective rider conditions.
Further, if the Premium Paying Term of the Base Policy exceeds the Rider Term, all the premiums due under the Base Policy from the date of expiry of this rider shall be payable by the policyholder as per the terms and conditions of the Base policy.
Maturity Benefit:
On survival to the end of the Rider Term, nothing shall be payable.
Participation in profits:
This Rider shall not participate in the profits of the Corporation. So no bonus on premiums paid for Premium waiver benefit.
LIC Children’s Money Back Plan with Premium waiver benefits would the best option for your children’s education.
Eligibility Conditions & Restrictions for
LIC Children Money Back Plan
| Requirements | |
|---|---|
| Minimum age | 0 years |
| Maximum age | 12 years |
| Policy Term | 25 Age at entry |
| Minimum Sum Assured | Rs. 1,00,000 |
| Maximum Sum Assured | No limit |
| Premium payment | Yearly / Half-yearly / Quarterly / Monthly (by Bank) |
| Money-back is paid | 18th year of child – 20% of Sum assured 20th year of child – 20% of Sum assured 22ndyearof child – 20% of Sum assured |
| Loan | Available after 2 years |
| Surrender | Available after 2 years |
| On maturity | 40% of the Sum assured + Bonus |
| Premium waiver benefit | Available from age 18 years to 55 years of the proposer |
| Income Tax Benefits | (i) Premiums paid are eligible for Tax rebate u/s 80c (ii) Maturity amount / Death claim is non-taxable u/s 10(10d) |