LIC’S NEW JEEVAN ANAND (UIN: 512N279V02) (A Non-Linked,
Participating,
Individual, Life Assurance Savings Plan)
Introduction: LIC’s New Jeevan Anand Plan is a Non-linked,
Participating, Individual, Life Assurance plan which offers an attractive
combination of protection and savings. This combination provides financial
protection against death throughout the lifetime of the policyholder with the
provision of payment of lumpsum at the end of the selected policy term in case
of his/her survival. This plan also takes care of liquidity needs through its
loan facility.
1.
Benefits:
A.
Death Benefit: Provided all due
premiums have been paid, the following death benefit shall be paid:
• On Death during the policy term i.e. before
the stipulated Date of Matuty: Death benefit, equal to “Sum Assured on Death”
alongwith vested Simple Reversionary Bonuses and Final Additional bonus, if
any, shall be payable; where, “Sum Assured on Death” is defined as higher of
125% of Basic Sum Assured or 7 times of annualised premium. This death benefit
shall not be less than 105% of total premiums paid upto date of death. The
premiums mentioned above exclude taxes, extra premium and rider premium(s), if
any.
• On
death after expiry of the policy term i.e. from the stipulated Date of
Maturity: Basic Sum Assured shall be payable.
You have option LIC Online Payment.
B.
Benefits payable at the end of Policy Term (i.e. On Maturity): On Life Assured surviving to the stipulated
Date of Maturity, provided the policy is in-force, “Sum Assured on Maturity”
along with vested Simple Reversionary Bonuses and Final Additional Bonus, if
any, shall be payable; where “Sum Assured on Maturity” is equal to Basic Sum
Assured.
C.
Participation in Profits: The policy
shall participate in profits of the Corporation and shall be entitled to
receive Simple Reversionary Bonuses declared as per the experience of the
Corporation during policy term provided the policy is in- force. Final
(Additional) Bonus may also be declared under the policy in the year when the
policy results into claim by death during the policy term or due for the maturity
benefit provided the policy is in full force.Final Additional Bonus shall not
be payable under paid-up policies.
Date of commencement of risk under the
plan: Risk will commence immediately on acceptance of the risk
3. Options Available :
I.
Rider Benefits: The following four optional riders are available under this
plan by payment of additional premium. However, the policyholder can opt
between either of the LIC’s Accidental Death and Disability Benefit Rider or
LIC’s Accident Benefit Rider. Therefore, a maximum of three riders can be
availed under a policy.
a. LIC’s Accidental Death and Disability
Benefit Rider (UIN: 512B209V02)
This rider can be opted for at any time within the policy term of the Base plan
provided the outstanding policy term of the base plan isatleast 5 years, but
before the policy anniversary on which the age nearer birthday of the life
assured is 70 years. The benefit cover under this rider shall be available
during the policy term or before the policy anniversary on which the age nearer
birthday of the life assured is 70 years, whichever is earlier. If this rider
is opted for, in case of accidental death, the Accident Benefit Rider Sum
Assured will be payable as lumpsum along with the death benefit under the base
plan. In case of accidental disability arising due to accident (within 180 days
from the date of accident), an amount equal to the Accident Benefit Sum Assured
will be paid in equal monthly instalments spread over 10 years and future
premiums for Accident Benefit Sum Assured as well as premiums for the portion
of Basic Sum Assured under the base policy which is equal to Accident Benefit
Sum Assured, shall be waived.
b. LIC’s Accident Benefit Rider
(UIN:512B203V03) This rider can
be opted for at any time within the policy term of the Base plan provided the
outstanding policy term of the base plan is atleast 5 years, but before the
policy anniversary on which the age nearer birthday of the life assured is 70
years. The benefit cover under this rider shall be available during the policy
term or before the policy anniversary on which the age nearer birthday of the
life assured is 70 years, whichever is earlier. If this rider is opted for, in
case of accidental death, the Accident Benefit Rider Sum Assured will be
payable as lumpsum along with the death benefit under the base plan.
c. LIC’s New Term Assurance Rider (UIN:
512B210V01) This rider is
available at inception of the policy only. The benefit cover under this rider
shall be available during the policy term. If this rider is opted for, an
additional amount equal to Term Assurance Rider Sum Assured shall be payable on
death of the Life Assured during the policy term.
d. LIC’s New Critical Illness Benefit Rider
(UIN: 512A212V01) This rider is
available at the inception of the policy only. The cover under this rider shall
be available during the policy term. If this rider is opted for, on first
diagnosis of any one of the specified 15 Critical Illnesses covered under this
rider, the Critical Illness Sum Assured shall be payable. The premium for LIC’s
Accident Benefit Rider/LIC’s Accidental Death and Disability Benefit Rider and
LIC’s New Critical Illness Benefit Rider shall not exceed 100% of premium under
the base plan and the premiums under all other life insurance riders put
together shall not exceed 30% of premiums under the base plan. Each of above
Rider Sum Assured cannot exceed the Basic Sum Assured under the Base plan. For
more details on the above riders, refer to the rider brochure or contact LIC’s
nearest Branch Office.
II. Option to take Death Benefit in
instalments: This is an
option to receive death benefit in instalments over the chosen period of 5 or
10 or 15 years instead of lump sum amount under an in-force as well as paid-up
policy. This option can be exercised by the Life Assured aged 18 years and
above, during his/ her life time; for full or part of Death benefits payable
under the policy. The amount opted for by the Life Assured (ie. Net Claim
Amount) can be either in absolute value or as a percentage of the total claim
proceeds payable. The instalments shall be paid in advance at yearly or
half-yearly or quarterly or monthly intervals, as opted for, subject to minimum
instalment amount for different modes of payments being as under:
If the Net Claim Amount is less than
the required amount to provide the minimum instalment amount as per the option
exercised by the Life Assured, the claim proceed shall be paid in lumpsum only.
The interest rates applicable for arriving at
the instalment payments under this option shall be as fixed by the Corporation
from time to time.
For exercising option to take Death Benefit in
installments, the Life
Assured can exercise this option during his/her lifetime while in currency of
the policy, specifying the period of Installment payment and net claim amount
for which the option is to be exercised. The death claim amount shall then be
paid to the nominee as per the option exercised by the Life Assured and no
alteration, whatsoever, shall be allowed to be made by the nominee.
4. Payment of Premiums: Premiums can be paid regularly at yearly,
half-yearly, quarterly or monthly intervals (through NACH only) or through
salary deductions over the Policy Term.
5. Grace Period A grace period of 30 days shall be allowed
for payment of yearly or half yearly or quarterly premiums and 15 days for
monthly premiums from the date of First unpaid premium. During this period, the
policy shall be considered in force with the risk cover without any interruption
as per the terms of the policy. If the premium is not paid before the expiry of
the days of grace, the Policy lapses. The above grace period will also apply to
rider premiums which are payable along with premium for base policy.
6. Sample Illustrative Premium: The sample illustrative annual premiums for
Basic Sum Assured of `1 Lakh for Standard lives are as under:
8. Revival:
If premiums are not paid within the grace period then the policy will lapse. A
lapsed policy can be revived within a period of 5 consecutive years from the
date of first unpaid premium but before the end of policy term, as the case may
be. The revival shall be effected on payment of all the arrears of premium(s)
together with interest (compounding half yearly) at such rate as may be fixed
by the Corporation from time to time and on satisfaction of Continued
Insurability of the Life Assured on the basis of information, documents and
reports that are already available and any additional information in this
regard if and as may be required in accordance with the Underwriting Policy of
the Corporation at the time of revival, being furnished by the
Policyholder/Life Assured/Proposer. The Corporation reserves the right to
accept at original terms, accept at revised terms or decline the revival of a
discontinued policy. The revival of discontinued policy shall take effect only
after the same is approved by the Corporation and is specifically communicated
to the Policyholder. Revival of rider(s), if opted for, will be considered
along with revival of the basic policy and not in isolation.
9.
Paid-up Value: If less than two years’ premiums have been paid, and any
subsequent premium be not duly paid, all the benefits under this policy shall
cease after the expiry of grace period from the date of first unpaid premium
and nothing shall be payable.
If at least two full years’ premiums have been
paid and any subsequent premiums be not duly paid, this policy shall not be
wholly void, but shall subsist as a paid-up policy.
The “Sum Assured on Death” under the paid-up
policy shall be reduced to such a sum, called Death Paid-up Sum Assured and
shall be equal to Sum Assured on Death multiplied by the ratio of total period
for which premium have already been paid bear to the maximum period for which
premium were originally payable. In addition to the Death Paid-Up Sum Assured,
vested Simple Reversionary Bonuses, if any shall also be payable on Life
Assured’s prior death.
The Sum Assured on Maturity under the paid-up policy shall be reduced
to such a sum called Maturity Paid –Up Sum Assured and shall be equal to “Sum Assured on Maturity” multiplied by
the ratio of total period for which premiums have already been paid bears to
the maximum period for which premium were originally payable. In addition to
the Maturity Paid-Up Sum Assured, vested Simple Reversionary Bonuses, if any,
shall also be payable on the expiry of the policy term. On death of the Life
Assured after expiry of the policy term, Paid-up Sum Assured equal to Basic Sum
Assured multiplied by the ratio of the total period for which premiums have
already been paid bears to the maximum period for which premiums were
originally payable shall be paid. Rider(s) do not acquire any paid-up value and
the rider benefits cease to apply, if policy is in lapsed condition.
10. Surrender : The policy can be surrendered at any time
provided two full years’ premiums have been paid. On surrender of the policy,
the Corporation shall pay the Surrender Value equal to higher of Guaranteed
Surrender Value or Special Surrender Value. The Special Surrender Value is
review able and shall be determined by the Corporation from time to time subject
to prior approval of IRDAI.
Guaranteed Surrender value payable
during the policy term shall be equal to the total premiums paid (excluding
extra premiums, taxes and premiums for riders, if opted for) multiplied by the
Guaranteed Surrender Value factors applicable to total premiums paid. These
Guaranteed Surrender Value factors expressed as percentages will depend on the
policy term and policy year in which the policy is surrendered and are as
specified below:
11. Policy Loan: Loan can be availed under the policy provided
the policy has acquired a surrender value and subject to the terms and
conditions as the Corporation may specify from time to time. The interest rate
to be charged for policy loan and as applicable for entire term of the loan
shall be determined at periodic intervals. The applicable interest rate shall
be as declared by the Corporation based on the method approved by the IRDAI.
Any loan outstanding along with interest shall be recovered from the claim
proceeds at the time of exit.
12. Taxes:
Statutory Taxes, if any, imposed on such insurance plans by the Govt. of India
or any other constitutional Tax Authority of India shall be as per the Tax laws
and the rate of tax as applicable from time to time. The amount of applicable
taxes as per the prevailing rates, shall be payable by the policyholder on
premiums (for base policy and rider(s), if any) including extra premiums,if any,
which shall be collected separately over and above in addition to the premiums
payable by the policyholder. The amount of tax paid shall not be considered for
the calculation of benefits payable under the plan. Regarding Income tax
benefits/implications on premium(s) paid and benefits payable under this plan,
please consult your tax advisor for details.
13. Free-look period: If the Policyholder is not satisfied with the
“Terms and Conditions” of the policy may be returned to Corporation within 15
days from the date of receipt of the policy bond stating the reasons of
objections. On receipt of the same the Corporation shall cancel the policy and
return the amount of premium deposited after deducting the proportionate risk
premium (for Base plan and rider(s), if any) for the period on cover, expenses
incurred on medical examination, special reports, if any and stamp duty charge.
14. Exclusion: Suicide: - This policy shall be void
i. If the Life Assured (whether sane or
insane) commits suicide at any time within 12 months from the date of
commencement of risk, the Corporation will not entertain any claim under this
policy except for 80% of total premiums paid, provided the policy is in force.
ii. If the Life Assured (whether sane
or insane) commits suicide within 12 months from date of revival, an amount
which is higher of 80% of the total premiums paid till the date of death or the
surrender value available as on the date of death, shall be payable. The
Corporation will not entertain any other claim under this policy. This clause
shall not be applicable for a policy lapsed without acquiring paid-up value and
nothing shall be payable under such policies. Note: Premiums referred above
shall not include any taxes, extra premiums and any rider premium(s) other than
Term Assurance rider, if any.
Disclaimer:
i)
This illustration
is applicable to a standard (from medical, life style and occupation point of
view) life and wherein any riders are not opted.
ii)
ii) Some benefits are guaranteed and some
benefits which are Non Guaranteed benefits with returns based on the future
performance show two different rates of assumed future investment returns. 13
iii)
iii) The Non Guaranteed benefits in above
illustration has been given assuming that the death occurs during the policy
year and has been calculated so that they are consistent with the Projected
Investment Rate of Return assumption of 4% p.a. (Scenario 1) and 8% p.a.
(Scenario 2). In other words, in preparing this benefit illustration, it is
assumed that the Projected Investment Rate of Return that LICI will be able to
earn throughout the term of the policy will be 4% p.a. or 8% p.a., as the case
may be. The Projected Investment Rate of Return is not guaranteed and they are
not the upper or lower limits of what you might get back, as the value of your
policy is dependent on a number of factors including actual future investment
performance.
iv)
iv) The main
objective of the illustration is that the client is able to appreciate the
features of the product and the flow of benefits in different circumstances
with some level of quantification.
SECTION 45 OF INSURANCE ACT, 1938: The provision of Section 45 of the Insurance
Act, 1938 shall be as amended from time to time. The simplified version of this
provision is as under: Provisions regarding policy not being called into
question in terms of Section 45 of the Insurance Act, 1938 are as follows:
1. No Policy of Life Insurance shall
be called in question on any ground whatsoever after expiry of 3 yrs from a.
the date of issuance of policy or b. the date of commencement of risk or c. the
date of revival of policy or d. the date of rider to the policy whichever is
later.
2. On the ground of fraud, a policy of
Life Insurance may be called in question within 3 years from a. the date of
issuance of policy or b. the date of commencement of risk or c. the date of
revival of policy or d. the date of rider to the policy whichever is later. For
this, the insurer should communicate in writing to the insured or legal
representative or nominee or assignees of insured, as applicable, mentioning
the ground and materials on which such decision is based.
3. Fraud means any of the following
acts committed by insured or by his agent, with the intent to deceive the
insurer or to induce the insurer to issue a life insurance policy:
a. The suggestion, as a fact of that
which is not true and which the insured does not believe to be true;
b. The active concealment of a fact by
the insured having knowledge or belief of the fact;
c Any other act fitted to deceive; and
d Any such act or omission as the law
specifically declares to be fraudulent.
4. Mere silence is not fraud unless,
depending on circumstances of the case, it is the duty of the insured or his
agent keeping silence to speak or silence is in itself equivalent to speak.
5. No Insurer shall repudiate a life
insurance Policy on the ground of Fraud, if the Insured/ beneficiary can prove
that the misstatement was true to the best of his knowledge and there was no
deliberate intention to suppress the fact or that such mis-statement of or
suppression of material fact are within the knowledge of the insurer. Onus of
disproving is upon the policyholder, if alive, or beneficiaries.
6. Life insurance Policy can be called in
question within 3 years on the ground that anystatement of or suppression of a
fact material to expectancy of life of the insured was incorrectly made in the
proposal or other document basis which policy was issued or revived or rider
issued. For this, the insurer should communicate in writing to the insured or
legal representative or nominee or assignees of insured, as applicable,
mentioning the ground and materials on which decision to repudiate the policy
of life insurance is based.
7. In case repudiation is on ground of
mis-statement and not on fraud, the premium collected on policy till the date
of repudiation shall be paid to the insured or legal representative or nominee
or assignees of insured, within a period of 90 days from the date of
repudiation.
8. Fact shall not be considered
material unless it has a direct bearing on the risk undertaken by the insurer.
The onus is on insurer to show that if the insurer had been aware of the said
fact, no life insurance policy would have been issued to the insured.
9. The insurer can call for proof of age at any
time if he is entitled to do so and no policy shall be deemed to be called in
question merely because the terms of the policy are adjusted on subsequent
proof of age of life insured. So, this Section will not be applicable for
questioning age or adjustment based on proof of age submitted subsequently.
[Disclaimer: This is not a comprehensive list of Section 45 of the Insurance
Act, 1938, and only a simplified version prepared for general information.
Policyholders are advised to refer to Section 45 of the Insurance Act, 1938,
for complete and accurate details.]
Prohibition of Rebates (Section 41 of the Insurance Act, 1938)
1) No person shall allow or offer to allow,
either directly or indirectly, as an inducement to any person to take out or
renew or continue an insurance in respect of any kind of risk relating to lives
or property in India, any rebate of the whole or part of the commission payable
or any rebate of the premium shown on the policy, nor shall any person taking
out or renewing or continuing a policy accept any rebate, except such rebate as
may be allowed in accordance with the published prospectuses or tables of the
insurer.
This product brochure gives only salient
features of the plan. For further details please refer to the Policy document
on our website www.licindia.in or contact our nearest Branch Office.
BEWARE OF SPURIOUS PHONE CALLS AND FICTITIOUS/FRAUDULENT
OFFERS IRDAI is not involved
in activities like selling insurance policies,announcing bonus or investment of
premiums. Public receiving such phone calls are requested to lodge a police
compliant.
