Life Insurance Corporation of India launched new term plan called ‘’ LIC Jeevan Amar- 855’’. This is much awaited term insurance plan from insurance giant. Many times people avoid LIC term plan because of cost level and choose private company’s term plan.
This is offline term plan i.s, through LIC Branch office or through agent. There are some key features as follows:
- Minimum Basic Sum Assured (BSA)- Rs. 25 Lakh
- Maximum Basic Sum Assured (BSA)- No Limit
- Sum Assured Option- 1) Level Sum Assured
- 2) Increasing Sum Assured: – The death benefit remains the same for upto the first 5 years. After that, it increases at the rate of 10% for the next 10 years. From 16th year, it remains the same.
- Premium Mode- Single, Regular & Limited Pay ( 5 years or 10 years)
- Coverage- Upto 80 years
- Accidental rider- Available
- Lower rates for non-smokers and special rate for women.
- Death benefits- It can be taken in installments of 5 years, 10 years or 15 years
- Minimum Entry Age- 18 years
- Maximum Entry Age- 65 years
- Policy Term- 40 years
After considering key features of Jeevan Amar, there some important points which need to consider before buying term plan.
- The Claim Settlement Ratio is the most important feature while buying term plan. It is provided by IRDA.
- The other important features life cost of premium, rides options, features, premium paying term, brand and quality of service.
- One important point while selecting term plan is cost. Many times people insist cheapest term plan but do not necessarily mean it’s the best.
- As per the recent amendment to Section 45 of the Insurance Act, if anyone policy is 3 years old, no matter what happens, the life insurance company will not be able to deny the claims. So, Life Insurance Company has only 3 years to reject the insurance claim based on any mis-representation or mis-statement.
- Always provide correct and true information while buying term plan because it will affect your claim settlement.