LIC is India's biggest insurance provider without a doubt with a significant customer base. LIC provides a varied variety of insurance portfolios catering to various demands of its consumers. LIC is a state-owned insurance and investment firm with a massive reach to almost every corner of the country.
The policies offered by the LIC come in a variety, these policies are designed to provide all the customer base and requirements. Some of the policies offer term returns and lump-sum returns. Jeevan Umang is of the policy offered by the LIC that performs both savings as well and income benefit to the subscriber and his or her family. In short, it is a combination of income and protection to the subscriber's family. The premium can be paid in advance in by the policyholder. The mode of instalment payments are monthly, quarterly, half-yearly, or yearly.
Jeevan Umag offers yearly survival benefits from the end of the premium-paying period until maturity and a lump sum payment at maturity or death of the policyholder. The policy comes with other benefits as well as policy loans, under this the policyholder can avail loan over the policy.
Assured Payable Under Jeevan Umang
The policy comes with a bunch of benefits as mentioned above. There are 3 case scenarios of payment under which there are sub-conditions where the payment amount is payable. These are:
Payment on Death
Note -Sum Assured on Death is equal to 10 times the yearly premium; or Sum Assured on Maturity or Absolute amount assured to be paid on death, i.e. 110% of the Basic Sum Assured to policyholder's family. The death benefit must be at least 105% of all premiums paid as of the date of death. The above-mentioned premiums do not include any taxes, extra amounts payable under the policy owing to underwriting decisions, and rider premiums (if any). All the benefits will be transferred to the family of the policyholder in a death case.
Payment under Survival
If the policyholder survives to the end of the premium-paying period and all due premiums are paid, then a survival benefit equivalent to 8% of the Basic Sum Assured is awarded each year to the policyholder. The first survival benefit payment is made at the end of the premium-paying term, and further payments are made at the end of each succeeding year until the Life assured dies or until the policy anniversary before the date of maturity, whichever comes first.
Payment after Maturity
If the policyholder survives to the end of the policy term and all required premiums have been paid by him or her, the "Sum Assured on Maturity" plus vested Simple Reversionary Bonuses and Final Additional Bonus would be paid (if there is any).
Here, "Sum Assured at Maturity" equals "Basic Sum Assured."
In case the policyholder did not pay the premium amount the coverage will lapse. However, the lapsed policy can be reinstated within the 5 years time limit from the date of the unpaid premium. The policyholder has to pay the due premium or premiums along with interest (compounding half-yearly) at the rate fixed by the LIC from time to time and upon satisfaction of Continued Insurability of the Life Assured and/or Proposer.
Eligibility restrictions and other conditions
|Minimum Basic Sum Assured||Rs. 2,00,000|
|Maximum Basic Sum Assured||Rs. 25,000|
|Premium Paying Term||15, 20, 25 and 30 years|
|Policy Term||100 years - age at entry|
|Minimum Age at entry||90 days (completed)|
|Maximum Age at entry||55 years(nearer birthday)|
|Minimum Age at the end of premium paying term||30 years (nearer birthday)|
|Maximum Age at the end of premium paying term 70 years (nearer birthday)|
|Age at maturity||100 years (nearer birthday)|
LIC's Jeevan Umang offers dual benefits to the policyholder. Unlike other policies, it comes with a bunch of benefits that support the requirements of the holder. However, this Jeevan Umang Policy is good enough but, a life insurance policy should not be selected based on the reviews. One should read all the terms and conditions before subscribing to any policy. It's to understand that every policy doesn't suit everyone. Life Insurance coverage comes with different benefits to suit one's requirement.