State run Life Insurance Corporation (LIC) of India offers various insurance products such as term insurance plans, endowment insurance plans, money back plans, pension plans and whole life plans. LIC New Children’s Money Back Plan is one of the money back plans offered by the LIC which can be purchased by any parent or grandparent in favour of children up to 12 years in age. LIC’s New Children’s Money Back Plan is focused on needs such as educational and marriage of children, according to the insurance major’s website – www.licindia.in.
Here are some details about the premium payable, sum assured and eligibility criteria applicable to LIC’s New Children’s Money Back Plan:
The LIC New Children’s Money Back Plan can be purchased by any parent or grandparent for a child up to 12 years in age, for a minimum sum assured of Rs. 1 lakh. This LIC policy does not have any upper limit for the sum assured, according to the insurer’s website.
The policy term for LIC New Children’s Money Back Plan is 25 years and in case the age at entry of the life assured is less than eight years, the risk under this plan will commence either one day before the completion of two years (from the date commencement of policy) or one day before the policy anniversary coinciding with or immediately following the completion of eight years of age, whichever is earlier, according to LIC.
Here are some key details about the money back provided by LIC under the New Children’s Money Back Plan:
LIC offers money backs, periodic payments or 20 per cent of the basic sum assured to the policy holder on completion of 18 years, 20 years and 22 years of age, according to its website.
On the maturity of LIC’s policy the remaining 40 per cent of sum assured is paid to the policyholder along with simple reversionary bonuses and a final additional bonus, according to LIC.
Here are some sample premium rates to be paid under the LIC New Children’s Money Back Plan, as listed by the insurer:
|Age (in years)||Premium (Rs.)|
Premiums can be paid at yearly, half-yearly, quarterly or monthly intervals, and the policy lapses in case the premium is not paid within the grace period. A lapsed policy can be revived within a period of two consecutive years from the date of first unpaid premium but before the date of maturity, according to the LIC website.