Komal Jeevan - Children Life Insurance Plan
About Plan:This is a money back policy. It provides financial protection against death during the term of plan This plan can be purchased by their parents or grand parents of 0-10 years.
Premium: Premium can be paid yearly, half yearly, quarterly, monthly or through salary deductions.
Other Additions: The policy provides for the Guaranteed Additions at the rate of Rs.75 per thousand Sum Assured for each completed year.
Loyalty: This is a with-profit plan and participates in the profits of the Corporation’ life insurance business.
Feature of Komal Jeevan
Commencement of risk cover:
The risk initiates either after 2 years from the date of commencement of policy or from
the policy anniversary immediately following the conclusion of 7 years of age of child,
whichever is later.
Benefits Of Komal Jeevan:
In the below table percentage of sum assured are stated, which will be paid on survival to
the end of particular period of time:
The premiums paid will be compensated and the policy shall be cancelled, if untimely
death occurs before the commencement of risk. On the other hand if death occurs after
the commencement of risk but before the policy matures, then the whole Sum Assured
along with Guaranteed Additions plus Loyalty Additions will be allocated.
On continued existence to the end of the policy term, the Guaranteed Additions plus
Loyalty Additions will be payable in a lump sum.
Premium Waiver Benefit:
Premium Waiver is other possible benefit that can be adjoined to your basic plan, it
requires a supplementary premium. The main benefit of this premium is that the proposer
can protect his / her premium to the end of the suspension period and this period is to be
taken as 18 minus age at entrance of child.
If life insurance contract is terminated at an early stage, then the surrender value is
Guaranteed Surrender Value:
The time period for surrendering the policy depends on that the policy must be in
power for 3 years or more. Apart from the premiums paid during the first year and extra
premium paid, the Guaranteed Surrender value before the commencement of risk is 90%
of premium paid. After the commencement of risk the Guaranteed Surrender value is
90% of premium paid plus 30% of extra premium paid.
Corporation’s policy on surrenders:
A special surrender value will be paid by company which is either equal to or more than
Guaranteed Surrender value. In case of death or maturity the profit allocated on surrender
reflects the discounted value at the time of claim amount. The surrender value payable
may be fewer than the overall premium paid, if the policy will be terminated at an early
Benefit Illustration of Komal Jeevan:
In case of life insurance business, some benefits are assured and some are changeable
with returns based on the future performance. If your policy offers guaranteed returns
then these will be noticeable as “guaranteed” in the illustration table. If your policy offers
variable returns then it will show two different rates future investments returns and these
rates are not guaranteed.
Age at entry: 0 years
Premium Paying Term: 1 Year
Single Premium: Rs. 73,980/-
Policy Term: 26 years
Sum Assured: Rs. 1,00,000/-
Age at entry: 0 years
Premium Paying Term: 18 Years Annual Premium: Rs. 7281/-
Policy Term: 26 Years
Sum Assured: Rs. 1,00,000 /-
1) The above illustration is applicable to male / female who are non-smokers.
2) In this benefit illustration, the project investment rate of return that LICI will
be able to earn throughout the policy will be 6% p.a. (Scenario 1) and 10% p.a.
(Scenario 2) respectively.
3) The features of the product and the flow of the benefits in different situations is
the major purpose of this illustration.