LIC Jeevan Surbhi

Jeevan Surabhi - Table No 107 (20 Years Money Back Policy)

Jeevan Surabhi plan is similar to other money back plans. However main differences in regular money back plans and Jeevan Surabhi are:  

• Maturity term is more than Premium Paying Term.
• Early and Higher rate of Survival Benefit payment.
• Risk cover Increases every Five years.

 This plan is suitable for each and every person, who wish to provide for their old age and family feel the need for lump sum benefits at periodical intervals. When we plan for saving our hard earned money, our focus is always to ensure that they are not impacted by market volatility and that the risk adjusted returns are in line with our financial aims. We also want our savings to be tax efficient and want liquidity so that we can overcome any eventuality.

  

Security : This plan guarantees return of your capital by means of theGuaranteed Maturity Benefit.

Safety : Your Death Benefit increases with each passing year and ensures that if the unexpected happens, you will be covered.

Extra Savings : Through Survival Benefits, which are over and above the Guaranteed Maturity Benefit.

Smart Savings : Through Survival Benefits accumulating and growing over time. Once accumulated Survival Benefits are Guaranteed!

Liquidity : Through withdrawals from your accumulated Survival Benefits.

Tax Benefits : As per applicable tax laws under Section 80C and 10(10D).

  

Plan Parameters

Policy Term: 20 Yrs

Prem Paying Term: 15 Yrs

Age at Entry: Min. 14 Yrs Max. 50 Yrs

Sum Assured: Min. 50,000 Max. No Limit

Mode of Payment: Yearly/HYly/Qly/Mly/SSS

Sum Assured (S.A):

0-5 Yr           6-10 Yr       11-15 Yr         16-20 Yr       

Only S.A      1.5 S.A        2 times S.A     2.5 times S.A 

  

Survival Benefit:

 At the end of 4 Yrs   - 25% of Sum Assured

 At the end of 8 Yrs   - 25% of Sum Assured

 At the end of 12 Yrs  -25% of Sum Assured

 At the end of 15 Yrs  -25% of Sum Assured

 At the end of 20 Yrs - Total Bonus (Bonus rate x 20 x S.A)

  

Benefits:

Full sum assured is paid back as survival benefit by the end of premium paying term. However, the risk cover and additional risk cover continue and the policy participates in profits till the end of policy term. Accident Benefit is restricted to the premium paying period and to the overall limit of Rs.5 lakhs on a single life.

Bonuses :

This is a with-profit plan and participate in the profits of the Corporation’s life insurance business. It gets a share of the profits in the form of bonuses. Simple Reversionary Bonuses are declared per thousand Sum Assured annually at the end of each financial year. Once declared, they form part of the guaranteed benefits of the plan. A Final (Additional) Bonus may also be payable provided policy has run for certain minimum period.

Death Benefit:

 The Sum Assured alongwith the additional cover, if any, plus all bonuses declared till death is payable in a lump sum upon the death of the life assured during the policy term. The survival benefits paid prior to death will not be deducted from the claim amount.

Illustration:

Mr Rahul age 29 starts a Jeevan Surabhi (Table 107) of Sum Assured 2 Lacs. He pays Rs. 18,123/- as yearly premium. He will pay premium for only 15 years and at the end 18 years he will get all his Sum Assured amounts. But risk cover continues upto 20 yrs and at the end of 20th policy year he will get all Bonus for his policy.

At the end of 4 Yrs - 25% of 2 Lacs = 50,000/-

At the end of 8 Yrs - 25% of 2 Lacs = 50,000/-

At the end of 12 Yrs - 25% of 2 Lacs = 50,000/-

At the end of 15 Yrs -25% of 2 Lacs = 50,000/-

At the end of 20 Yrs - Rs. 1,84,000/- (Total Bonus)

Death Benefit:

Mr Rahul has already taken 2 times survival benefit Rs. 50,0000/- and if he expires after 11 policy year then, his nominee will get 2 times S.A+Bonus

=Rs. 5,01,200/- (4,00,000+1,01,200)