LIC Jeevan Labh Plan
LIC Jeevan Labh plan is most reputed and well-known endowment plan which was introduced by the Life Insurance Corporation of India (LIC). This plan is going to profit the policy holders in terms of policy. It is currently running in the market with supreme assortment value. LIC Jeevan Labh plan is a combination of insurance and investments, so policy holders have their rights to invest along with insurance. The buyer of this policy has a fixed time of policy as 16 years or 21 years or upto 25 years, and payment time is around 6 years. In terms of insurance this LIC Jeevan Labh plan can provide the policy holders benefits like disability benefits, accidental death benefit and term insurance benefit.
This plan was started by the LIC for helping their policy holders to combine their profits in a same plan. LIC Jeevan Labh plan is among one of the best possible endowment insurance policies, which can provide you excellent benefits of your health and other insurance schemes without giving you any kind of trouble.
The people from age 8 years to 59 years can apply for this plan, and this policy guarantees you both death and maturity profits to the policyholders and their contenders. It is upon the situation of yours to get the profit of LIC Jeevan Labh plan, so better idea to invest in proper direction of insurance is to invest in this plan.
Features of LIC Jeevan Labh Plan
This LIC Jeevan Labh plan is combined various benefits of insurance and investments all together, but there are some features available for the buyers which they have to know before starting in this plan. Here are brief details of the key features of LIC Jeevan Labh plan in the following points:
- Insurance cover of LIC Jeevan Labh plan:
The LIC Jeevan Labh plan offers you 1o times insurance of your annual premium paid, means 10 times you can get the benefit of this LIC Jeevan Labh plan in a single year. Insurance cover allows everyone from the age of 8 years to 59 years to utilize the benefits of this plan. The tenure time of this plan is from 16 years to maximum 25 years, so think about the insurance schemes you want to choose from LIC Jeevan Labh plan
- Saving plans of LIC Jeevan Labh plan:
This policy offers exceptional saving plans for the policyholders along with giving them the benefits of insurance cover. The saving concept in this kind of an insurance plan is more because of the tenure time, and the premium tenure is less then term so the value of premium will be much higher as compared to others. Like if you have Rs. 20 lakh at the age of 21 years then you will have to pay Rs.1.04 lakh per year as the amount of premium for almost 16 years. So because of this premium system you can pay the premium monthly, quarterly and half quarterly as according to your choice of payment. For the peoples who will pay the premium annually this LIC Jeevan Labh plan offers them 2% discount on the total premium, means it will give you more profits if you choose to pay annually instead of paying the premium monthly or quarterly. This upper listed information comes in the section of Contribution of LIC Jeevan Labh plan.
- Returns of LIC Jeevan Labh plan:
The LIC Jeevan Labh plan offers you great benefits on savings and insurance covers, but when it comes to returns you can’t expect more from this plan. The proper returns from this plan are not guaranteed but the endowment plans of insurance can offer you plenty of bonus offers to the policy buyers of policyholders. Return concept of LIC Jeevan Labh plan is not guaranteed but the chances of getting the bonus offers are there for every policy buyer.
- Taxation of LIC Jeevan Labh plan:
In this plan you can get more profits when it comes to taxation, according to some of the reports the LIC Jeevan Labh plan is a great option for saving the tax easily. The premium or amount of maturity is totally tax free so when you are using maturity insurance benefits you don’t need to worry about the tax concept. Perhaps you already know that these kinds of insurance policies are always attached with some kind of tax services, so better idea to invest in these polices is to collect the complete information of the taxation concept.
Therefore, you can also look out for the LIC Jeevan Labh plan if you want to get the upper listed benefits or features provided by this insurance plan. If there are still some doubts in your mind about the key features of LIC Jeevan Labh plan then check some other features of LIC Jeevan Labh plan in the following points:
- For the premium paid policyholders according to section 80 of Indian income tax act benefits will be more.
- The disability riders can get extra premium payment according to the term and conditions of the agreement. Package for rider policyholders will come with helpful benefits.
- If you will pay premium for regular three years then you have the option of taking loan as a policyholder.
- This LIC Jeevan Labh plan ensures you for protection plus returns and death or maturity benefits.
- LIC Jeevan Labh plan offers you to pay fewer premiums especially for the maturity policy term.
So whenever you are going to get the benefits of LIC Jeevan Labh plan, you can use all these upper mentioned features. LIC Jeevan Labh plan is a great opportunity for the policy buyers who want upper listed benefits in their insurance plan or package. Starting age to apply for this plan is minimum 8 years and maximum is 59 years, so the people of this age group can apply for this policy plan easily now by comparing its benefits with other insurance policies running around.
Benefits of LIC Jeevan Labh Plan
After collecting information about the features of LIC Jeevan Labh plan now it’s the time to collect some information about the extent coverage provided in this exceptional endowment plan started by the LIC. Here are some brief details of extent coverage offered in LIC Jeevan Labh plan for the policy buyers:
- Death and accidental benefit: If any policyholder of LIC Jeevan Labh plan die then his/her benefits of this policy will be offered to their nominees. As per accidental death of any rider then the nominees of that rider will get double assured amount. The limit of money in this kind of a case is upto almost 1 crore.
- Disability benefit: In the case of disability benefit, if any person gets disabled within the 180 days after his/her accident then this LIC Jeevan Labh plan offer them to takes their premium up 10 years of tenure. The payment offered to the disabled person will be like the monthly installment process, so this is a great opportunity for the policy buyers to invest in this kind of a scheme where they will get their premium return upto 10 years on the monthly installment basis scheme.
- Term insurance: For the people who want to get the combined benefits of both death and accidental benefit, the LIC Jeevan Labh plan offers this term insurance plan. The policyholders of this term insurance will have to take their premium since the beginning or starting time of the policy. The assured amount which will be payable is lesser then Rs. 25 lakhs, and the minimum assured amount that this rider can get is Rs. 1 lakh.
- Maturity benefit: if anyone from the policyholders endures the term and conditions of this LIC Jeevan Labh plan policy, and then he/she will get maturity benefit in various forms of payment easily. The payment will be offered in the form of assured plus sum.
Because of all these benefits to the policyholders the LIC Jeevan Labh plan is attracting the attention of policy buyers in a large number, if you are also one of them who is looking around to choose best possible policy plan then check the upper listed benefits of LIC Jeevan Labh plan.
LIC Jeevan Labh—Coverage
After collecting information about benefits of LIC Jeevan Labh plan now you can go on this concept, where you are going to know about the coverage of LIC Jeevan Labh plan. Check the coverage benefits of LIC Jeevan Labh plan in following points:
- Death benefit:
Let’s collect some information about the death benefit coverage offered by the LIC Jeevan Labh policy in the following points:
- Upon the death event the premium of amount will be submitted to the nominees of death person
- The death sum assured is not less than the amount of 105% of total premiums aids
- Injured rider will get his/her benefit of LIC Jeevan Labh plan upto 10 years in the monthly installment process of fund returning
- If anyone is interested in the final additional bonus, then he/she will be able to get them easily
Therefore after understanding the coverage concept of death benefit you can also think to invest in the LIC Jeevan Labh plan for getting best possible benefits of this insurance plan introduced by the LIC.
- Maturity benefit:
You can check the coverage benefits of maturity offered by the LIC Jeevan Labh plan in the following points:
- The life insurance will be paid out to the person who had survived all the procedures of this plan
- The total amount of this coverage is equal to the basic sum assured plus coverage
- The policy buyers can get the vested simple reversionary bonus if he/she is interested in this
- If anyone from the policyholders are interested in to take the final additional bonus then he/she will get easily
Therefore, you can also think to get most out of the LIC Jeevan Labh by understanding the benefits and coverage offered by this insurance plan to their various policy buyers. The option of choosing the suitable insurance plan is also there for you, so without any hesitation you can easily pick up the one insurance plan who can give you more profits.
Eligibility Criteria of LIC Jeevan Labh
It is always important for you to collect information about the eligibility criteria of any insurance plan, so in that same case you can collect information about the eligibility criteria of LIC Jeevan Labh in the following points:
- Entry age: The minimum age to get started with LIC Jeevan Labh is 8 years, so anyone who has competed the age 8 years can apply for this LIC Jeevan Labh. The maximum age for applying in this policy plan is 59 years, and the policy term for the policy buyers of this age will be up to term 16 years. The policyholders of age 54 can get the policy term upto 21 years, similarly the policy buyers of age 50 years can get the policy term upto 25 years. These upper mentioned points are the age limits or age eligibility criteria formatted by the LIC for the policy buyers of LIC Jeevan Labh.
- Sum Assured (in Rs.): The minimum amount of sum assured to be paid is almost 2,00,000 so it can give you more profits when you talk about the sum assured of any policy plan. There is no maximum limit of sum assured, means you don’t need worry to think about the maximum sum assured when you are dealing or taking the insurance services under the LIC Jeevan Labh.
- Maturity age: Maturity age for this LIC Jeevan Labh is 75 years so whether you are above 50 years or you are exact of 75 years, you will get the benefits of maturity in this plan. You can collect the information of minimum age limit for maturity benefits on the official website of the LIC easily.
- Policy Term (in years): The policy term in years of LIC Jeevan Labh is 16/21/25
- Premium Paying Term: The premium paying term 10 is for 16 years PT, 15 are for 21 years PT and 16 are for the 25 years PT.
This information tells you proper story about the eligibility criteria of LIC Jeevan Labh, so whenever you are going to get the benefits of this insurance plan these points can help you more without giving you any kind of stress related to the eligibility criteria concept.
Add-on Covers of LIC Jeevan Labh for Riders
The LIC Jeevan Labh offers you two prominent add-on rider covers when you are taking the benefits of LIC Jeevan Labh. The following riders will get add-on covers easily in the LIC Jeevan Labh, check complete details of both these riders in following points:
- New Term Assurance Rider: This is yet another promising add-on cover available for the riders offered by the LIC Jeevan Labh; this ensures you wide-ranging financial protection. The nominees will get the premium during the death event of any rider; an additional amount will be paid to the nominees of death rider during the term of this policy of LIC Jeevan Labh. If the cover of rider is in effect then assurance rider sum is just paid out. The maximum coverage amount offered by LIC Jeevan Labh under this term is upto Rs.25 lakhs.
- Disability Benefit Rider: LIC Jeevan Labh offers you wide-ranging financial protection during the accidental death of the policyholders. You can get the profits of this add-on cover at the additional premium payment plan easily. The benefits of death rider will be paid to the nominees of that death rider after completing the paperwork.
Both these add-on covers are available for the policyholders under the policy plan of LIC Jeevan Labh offered by the LIC. You can choose the perfect add-on cover plan for yourself by comparing the benefits of both these add-on covers provided by LIC Jeevan Labh.
Surrender Value of LIC Jeevan Labh
Like the other professional policy plans the LIC Jeevan Labh also offers you brilliant surrender value if the premiums are paid for total or almost for the three full policy years. You will get best possible surrender value under this LIC Jeevan Labh plan, so check the expected surrender value of this policy:
- Special surrender value: This surrender value is paid out to the policy buyers who had completed sometime with the surrender of policy terms. If the surrender value is more than the guaranteed surrender value, then you are one of the candidates of taking the perfect or exact special surrender value under the LIC Jeevan Labh insurance plan.
- Guaranteed Surrender value: The surrender value of this type of a scheme is similar to the percentage of total premium payments. Without including net of taxes the total percentage of this surrender value will be calculated fairly. You as a policyholder can get extra premium paid and extra rider premium paid also in this profitable insurance plan introduced by the LIC. This includes the surrender value of simple revisionary bonuses, so any policy buyer can get more out of this surrender value offered under this LIC Jeevan Labh.
So in situation like surrender you easily can pick the best or suitable surrender value for yours, by utilizing the benefits provided by LIC Jeevan Labh for their various customers or policyholders.
Rebates of LIC Jeevan Labh
When it comes to rebates or discount schemes then LIC is a trustable name who is serving exceptional discount offers to their various policyholders for a long time in this same market of life insurance. If you will take the profits of LIC Jeevan Labh then you surely will get the following rebates:
Rebate on Sum Assured: The policyholders will get the rebates on the basis of sum assured, and they have the liberty to choose the perfect sum assured.
- The rebate for sum assured between Rs.5, 00,000 and Rs.9, 90,000 is 1.25% of the basic sum assured per Rs.10000.
- For assured sum between Rs.5, 00,000 and Rs. 9, 90,000, 1.50% rebate will be offered as the basic sum assured per Rs.10000 of basic sum assured
- 755 rebate basic sum assured will be offered to the policyholders whose sum assured is in between Rs.15,00,000 and above of this total amount.
These are the plans for the rebate sum assured under the LIC Jeevan Labh. You can choose the benefit of this rebate plan according to your investment and desires.
Rebate on premium payment Mode: You can choose the rebates on the basis of premium payment modes by selecting any perfect rebate scheme as according to your choice. If you are thinking to join this rebate scheme then collect some information of this rebate scheme is following points:
- For the policyholders who are choosing yearly premium payment mode can get the 2% rebate of the table premium
- For the policyholders who are choosing half-yearly premium payment mode, 1% rebate will be offered to them of the table premium
Therefore after understanding the concept of rebates in LIC Jeevan Labh you easily can choose the profitable one, which is meeting your requirements easily.
Income Tax Benefits in LIC Jeevan Labh
The policyholders of LIC Jeevan Labh will get most profitable income tax benefits like the others policy schemes. The main aim behind providing the benefits of income tax is to help the customers in the concept of savings along with helping them to minimize their tax liabilities. Check the type of income tax benefits you will get in LIC Jeevan Labh:
- Income Tax Benefits on Maturity Amount: The maturity insurance plans offered under LIC Jeevan Labh are totally tax-free, they are tax-free because of the 10(10D) of the Income tax Act, 1961.
- Income Tax Benefits on Premium Payment: Under the section 80C of the Income Tax Act, the policyholders can get the tax benefits when they have chosen premium payment mode for the LIC Jeevan Labh.
These are two of the income tax benefits you surely will get in the LIC Jeevan Labh insurance plan offered by the LIC. Choose and compare the features of both these income tax benefits and choose the one which is matching with your desires.
Grace Period and Free-look Period of LIC Jeevan Labh
Now after understanding the value of income tax benefits you can collect useful information about the grace period and free-look period offered under the LIC Jeevan Labh, in the following points:
- Free Look Period: The LIC Jeevan Labh will provide you exceptional benefits of free look period in this insurance plan, they offers you the free look plan of 15 days which will be applied from the date of receiving policy documents. This will give you a liberty to think about this insurance plan for the 15 days, so you should get benefits of this free look period.
- Grace Period: For the policyholders who have chosen premium payment modes like yearly, half-yearly, quarterly and more will get 30 days grace period of non-payment of the unpaid premium according to their requirements.
Therefore, after reading both these period offered in LIC Jeevan Labh, you easily can choose the perfect grace period for your insurance plan.
Exclusions of LIC Jeevan Labh
In some of the situation when the policyholder commits suicide in the first year of this LIC Jeevan Labh, then the insurance policy and their benefits will be cancelled. It is essential to know for every policyholder that in the first year of this policy scheme, if any policy buyer commits suicide then no amount of money will be paid to their nominees. Though, the LIC Jeevan Labh offers you premium paid of 80% of total amount, without taking any kind of interests from them. Therefore, because of this profit the nominees of policyholders can get the 80% payment of their total amount without facing any kind of issues. The benefits of LIC Jeevan Labh will be cancelled if any policy buyer commits suicide in the very first year of this insurance plan.
Working Procedures of LIC Jeevan Labh
When you are selecting LIC Jeevan Labh and its offers then you have to collect information about the working procedure of this insurance plan. Here are some brief details of the LIC Jeevan Labh and its working procedure in the following points:
- You have to pay your premium for 16 years if you have chosen policy term of 16 years
- The policyholders who had selected policy term of 21 years, they had to pay their premium for 15 years
- Policy buyers had to pay for 16 years if they are going to choose policy term of 25 years under this LIC Jeevan Labh
On the basis of your age when you have applied for this policy, the annual premiums of yours will be decided. They will work on final additional bonus and simple revisionary bonus schemes. So you can choose the perfect insurance plan as according to your requirements and desires, compare the benefits and choose the best one.
LIC Jeevan Labh FAQs
Q.1 what will happen if any policyholder not pay the premiums within time of grace period?
Ans: in this kind of a situation the benefits of this policy will be lapsed. You have the option of renewing your policy plan for two years, from the starting dates of unpaid premiums. They can ask you to pay the unpaid premium along with interest rates, and the interest taken by the LIC will be semi-annually.
Q.2 what will happen if any policy buyer didn’t pay premiums after the three years of paying premium?
Ans: if you are worried about the cancelling of your policy then in such a case your policy will be cancelled but the benefits of this policy under LIC Jeevan Labh will be reduced by the LIC. This simply means your policy will be safe but the chances of getting more benefits will decrease in this type of a situation.
Q.3 what are the possible solutions if anyone from the policyholders surrender their policy?
Ans. If you had paid the premium exactly on time for first three years then without any doubt you are free to surrender your policy. You will get benefits of surrendering your policy if you had faithfully paid your premium on time.
Q.4 Do policyholders get income tax benefits if they buy this plan?
Ans. The LIC Jeevan Labh offers you great benefits of income tax when you choose them as the life insurance plan. Under the section 80C of Income Tax Act LIC will provide you exceptional income tax benefits. In this case the considering thing is that only regular policyholders who had paid regularly for three years will get the most out of the income tax benefits. Terms and conditions are different for this kind of a case.
Q.5 can anyone get loan against their policies?
Ans. Without any doubt the policyholders of LIC Jeevan Labh can get the required loan against their policy. If you are paying the premiums under LIC Jeevan Labh insurance plan properly on time for first three years, then without any hesitation you are liable to get the loan.
Q.6 which kind of Rebate offers I will get if I buy LIC Jeevan Labh?
Ans. When you have selected the LIC Jeevan Labh then you surely will get following rebates offers: rebates on premium payment mode and rebates on the sum assured. The selection of these rebate offers depend upon your choice and requirements.
Q.7 what is the entry age in LIC Jeevan Labh?
Ans. Entry age in LIC Jeevan Labh insurance plan will start with minimum age of 8 years, and maximum age to apply for this insurance is 59 years.
Q.8 what will be the rebate % if sum assured is Rs.15, 00, 00 and above?
Ans. For the sum assured of amount Rs.15, 00,00 and above the rebate % will be 1.75% of the basic sum assured per Rs.10000. It will depend on you which kin of rebate plans you want to choose under this LIC Jeevan Labh.