Summary of LIC New Money Back Plan - 25 Years - Table no 821:
LIC New Money Back Plan - 20 Years is a non-linked life insurance policy which offers guaranteed returns and bonus. Premium in this plan needs to be paid for a period of 20 years while the policy continues for 25 years. Policy can be taken by anyone between 13 to 45 years of age for a fixed tenure of 25 years.
| Launch Date | Table Number | Product Type | Bonus | UIN |
| 9th October 2013 | 821 | Money Back | Yes | 512N278V01 |
15% of the Sum Assured is paid to the Life Insured on survival at the end of every 5 years and the remaining 40% of the Sum Assured along with Vested Simple Reversionary Bonus + Final Addition Bonus would be paid to the Life Insured on survival till the end of the Policy Tenure as Maturity Benefit.
Key Features of LIC New Money Back Plan 25 Years:
- Money Back Plan for a tenure of 20 years
- 15% of Sum Assured is paid at the end of 5th, 10th, 15th & 20th Year as Survival Benefit.
- 40% of Sum Assured along with Simple Reversionary Bonus and Final Addition Bonus is payable on maturity
- LIC’s Accidental Death and Disability Benefit Rider is available as an option
Benefits you get from LIC New Money Back Policy - 25 Years:
Death Benefit – In case of death of the Life Insured within the Policy Tenure, the Nominee would be paid the “Sum Assured on Death” along with any vested Simple Reversionary Bonus and Final Addition Bonus.
The Sum Assured on Death is defined as higher of the following:
Survival Benefit – On survival, the Life Insured will get the following:
Maturity Benefit – On survival till the end of the Policy Tenure of 25 years, the policyholder will get the following payouts:
Remaining 40% of the Sum Assured + accrued Simple Reversionary Bonus + Final Addition Bonus (if any).
Income Tax Benefit – Life Insurance premiums paid up to Rs. 1,50,000 are allowed as a deduction from the taxable income each year under section 80C under current Income Tax Rules. The Maturity Benefit is also tax-free under section 10(10)D subject to fulfillment of all terms and conditions.
Loan - You can avail a lot against your policy once it acquires a Surrender Value. Details of the loan amount and interest rates will vary from time to time and needs to be checked with the LIC office.
The Sum Assured on Death is defined as higher of the following:
- 125% of Basic Sum Assured
- 10 times the Annualized Premium
Survival Benefit – On survival, the Life Insured will get the following:
- 15% of the Sum Assured at the end of the 5th year
- 15% of the Sum Assured at the end of the 10th year
- 15% of the Sum Assured at the end of the 15th year
- 15% of the Sum Assured at the end of the 20th year
Maturity Benefit – On survival till the end of the Policy Tenure of 25 years, the policyholder will get the following payouts:
Remaining 40% of the Sum Assured + accrued Simple Reversionary Bonus + Final Addition Bonus (if any).
Income Tax Benefit – Life Insurance premiums paid up to Rs. 1,50,000 are allowed as a deduction from the taxable income each year under section 80C under current Income Tax Rules. The Maturity Benefit is also tax-free under section 10(10)D subject to fulfillment of all terms and conditions.
Loan - You can avail a lot against your policy once it acquires a Surrender Value. Details of the loan amount and interest rates will vary from time to time and needs to be checked with the LIC office.
LIC New Money Back Plan - 25 Years Example:
Let us understand this plan better with the help of an example.
Suppose Navjot who is 30 years old buys this plan with a Sum Assured of Rs. 1,00,000. His annual premium would be Rs. 6,022 + Taxes. The policy term would be 25 years and she will have to pay premiums for 20 years.
Scenario 1 - Navjot dies after 3 years of buying the plan.
Death Benefit = His nominee will get the higher of the following as “Sum Assured on Death”.
- 125% of Basic Sum Assured = 125% of Rs. 1,00,000 = Rs. 1,25,000
- 10 times the Annual Premium = 10 x Rs. 6,022 = Rs. 60,220
Any accrued Simple Reversionary Bonus would also be paid.
So the nominee will get Rs. 1,25,000 + Simple Reversionary Bonus as Death Benefit. The policy terminates.
Scenario 2 - Navjot dies after paying premiums for 7 years.
Navjot would be eligible to receive the 1st tranche of Survival Benefit and nominee would receive the Death Benefit.
Survival Benefit = 15% of Basic Sum Assured after 5 years = 15% of Rs. 1,00,000 = Rs. 15,000.
Death Benefit - gets higher of the following:
Scenario 2 - Navjot dies after paying premiums for 7 years.
Navjot would be eligible to receive the 1st tranche of Survival Benefit and nominee would receive the Death Benefit.
Survival Benefit = 15% of Basic Sum Assured after 5 years = 15% of Rs. 1,00,000 = Rs. 15,000.
Death Benefit - gets higher of the following:
- 125% of Basic Sum Assured = 125% of Rs. 1,00,000 = Rs. 1,25,000
- 10 times the Annual Premium = 10 x Rs. 6,022 = Rs. 60,220
Any accrued Simple Reversionary Bonus would also be paid.
So Navjot would have received Rs. 15,000 after 5 years and his nominee will Rs. 1,25,000 + Simpler Reversionary Bonus which have been declared.
The policy terminates.
Scenario 3 - Navjot dies after paying premiums for 13 years.
Navjot would be eligible to receive the 1st & 2nd tranches of Survival Benefit. In addition, his nominee will receive the Death Benefit.
Survival Benefit -
So Navjot would have received Rs. 15,000 after 5 years and his nominee will Rs. 1,25,000 + Simpler Reversionary Bonus which have been declared.
The policy terminates.
Scenario 3 - Navjot dies after paying premiums for 13 years.
Navjot would be eligible to receive the 1st & 2nd tranches of Survival Benefit. In addition, his nominee will receive the Death Benefit.
Survival Benefit -
- 15% of Basic Sum Assured after 5 years = 15% of Rs. 1,00,000 = Rs. 15,000
- 15% of Basic Sum Assured after 10 years = 15% of Rs. 1,00,000 = Rs. 15,000.
Death Benefit - gets higher of the following:
- 125% of Basic Sum Assured = 125% of Rs. 1,00,000 = Rs. 1,25,000
- 10 times the Annual Premium = 10 x Rs. 6,022 = Rs. 60,220
Any accrued Simple Reversionary Bonus would also be paid.
So Navjot would have received Rs. 15,000 after 5 years and another Rs. 15,000 after 10 years. His nominee will receive Rs. 1,25,000 + Simpler Reversionary Bonus + Final Addition Bonus which have been declared. The policy terminates.
Scenario 4 - Navjot dies after paying premiums for 16 years.
Navjot would be eligible to receive the 1st, 2nd & 3rd tranches of Survival Benefit. In addition, his nominee will receive the Death Benefit.
Survival Benefit -
So Navjot would have received Rs. 15,000 after 5 years and another Rs. 15,000 after 10 years. His nominee will receive Rs. 1,25,000 + Simpler Reversionary Bonus + Final Addition Bonus which have been declared. The policy terminates.
Scenario 4 - Navjot dies after paying premiums for 16 years.
Navjot would be eligible to receive the 1st, 2nd & 3rd tranches of Survival Benefit. In addition, his nominee will receive the Death Benefit.
Survival Benefit -
- 15% of Basic Sum Assured after 5 years = 15% of Rs. 1,00,000 = Rs. 15,000
- 15% of Basic Sum Assured after 10 years = 15% of Rs. 1,00,000 = Rs. 15,000
- 15% of Basic Sum Assured after 15 years = 15% of Rs. 1,00,000 = Rs. 15,000
Death Benefit - gets higher of the following:
- 125% of Basic Sum Assured = 125% of Rs. 1,00,000 = Rs. 1,25,000
- 10 times the Annual Premium = 10 x Rs. 6,022 = Rs. 60,220
Any accrued Simple Reversionary Bonus would also be paid.
So Navjot will get Rs. 15,000 after 5 years, 10 years & 15 years. His nominee will receive Rs. 1,25,000 + Simpler Reversionary Bonus + Final Addition Bonus which have been declared. The policy terminates.
Scenario 5 - Navjot dies after paying premiums for 21 years.
Navjot would be eligible to receive the 1st, 2nd, 3rd & 4th tranches of Survival Benefit. In addition, his nominee will receive the Death Benefit.
Survival Benefit -
So Navjot will get Rs. 15,000 after 5 years, 10 years & 15 years. His nominee will receive Rs. 1,25,000 + Simpler Reversionary Bonus + Final Addition Bonus which have been declared. The policy terminates.
Scenario 5 - Navjot dies after paying premiums for 21 years.
Navjot would be eligible to receive the 1st, 2nd, 3rd & 4th tranches of Survival Benefit. In addition, his nominee will receive the Death Benefit.
Survival Benefit -
- 15% of Basic Sum Assured after 5 years = 15% of Rs. 1,00,000 = Rs. 15,000
- 15% of Basic Sum Assured after 10 years = 15% of Rs. 1,00,000 = Rs. 15,000
- 15% of Basic Sum Assured after 15 years = 15% of Rs. 1,00,000 = Rs. 15,000
- 15% of Basic Sum Assured after 20 years = 15% of Rs. 1,00,000 = Rs. 15,000
Death Benefit - His nominee gets higher of the following:
- 125% of Basic Sum Assured = 125% of Rs. 1,00,000 = Rs. 1,25,000
- 10 times the Annual Premium = 10 x Rs. 6,022 = Rs. 60,220
Any accrued Simple Reversionary Bonus would also be paid.
So Navjot will get Rs. 15,000 after 5 years, 10 years, 15 years & 20 years. His nominee will receive Rs. 1,25,000 + Simpler Reversionary Bonus + Final Addition Bonus which have been declared. The policy terminates.
Scenario 6 - Navjot survives the policy term.
Parvati will get the Survival Benefits and the Maturity Benefits.
Survival Benefit after 5 years = 15% of Basic Sum Assured = 15% of Rs. 1,00,000 = Rs. 15,000.
Survival Benefit after 10 years = 15% of Basic Sum Assured = 15% of Rs. 1,00,000 = Rs. 15,000.
Survival Benefit after 15 years = 15% of Basic Sum Assured = 15% of Rs. 1,00,000 = Rs. 15,000.
Survival Benefit after 20 years = 15% of Basic Sum Assured = 15% of Rs. 1,00,000 = Rs. 15,000.
Maturity Benefit = 40% of Basic Sum Assured + Simple Reversionary Bonuses + Final Addition Bonus = Rs. 40,000 + Simple Reversionary Bonuses + Final Addition Bonus. The policy terminates.
Eligibility conditions & other restrictions in LIC New Money Back Plan - 25 Years:
| Minimum | Maximum | |
| Sum Assured | Rs. 1,00,000 | No Limit |
| Policy Term | 25 years | |
| Premium Payment Term | 20 years | |
| Entry Age | 13 years | 45 years |
| Age at Maturity | 48 years | 70 years |
| Payment Modes | Yearly, Half-Yearly, Quarterly, Monthly | |
Additional Features and Benefits of LIC New Money Back Plan - 25 Years:
Accidental Death and Disability Benefit RiderYou can avail this rider at any time during the policy term as long as the policy is in force by paying an additional premium. You will have to decide on the amount of cover you want in this rider. This cover will be called the Accident Benefit Sum Assured.
In case of Accidental Death - the Accident Benefit Sum Assured is paid in addition the Death Benefit.
In case of Permanent Disability due to an Accident within 180 days of the accident - the Accident Benefit Sum Assured will be paid out in equal monthly installments over a 10 year period. The future premiums for this rider will also be waived off. Also, the premiums for the portion of Basic Sum Assured which is equal to the Accident Benefit Sum Assured will be waived off.
Eligibility conditions for LIC Accidental Death & Disability Rider:
| Minimum Sum Assured | Rs. 1,00,000 |
| Maximum Sum Assured | Equal to the Basic Sum Assured in the plan subject to a maximum of 1 crore across all policies of LIC Minimum Entry Age |
| Minimum Entry Age | 18 years |
| Maximum Entry Age | Anytime during the policy term |
| Maximum Maturity Age | 70 years |
Surrender Value of LIC New Money Back Plan - 25 Years:
You can surrender your plan at any time and get back a part of the premiums which you have paid. The table below shows the Guaranteed Surrender Value of LIC New Money Back Plan of 25 years. LIC may pay you a higher Special Surrender Value - you can know this only at the time of actually surrendering your plan.
Check the number of years that you have paid the premium and then multiply the corresponding % to the total premiums paid by you to arrive at the Guaranteed Surrender Value. You will need to consider the premium net-off any taxes and premiums for Riders. Also, any Survival Benefits already paid will be deducted from this.
Value. You will need to consider the premium net-off any taxes and premiums for Riders. Also, any Survival Benefits already paid will be deducted from this.
Check the number of years that you have paid the premium and then multiply the corresponding % to the total premiums paid by you to arrive at the Guaranteed Surrender Value. You will need to consider the premium net-off any taxes and premiums for Riders. Also, any Survival Benefits already paid will be deducted from this.
Value. You will need to consider the premium net-off any taxes and premiums for Riders. Also, any Survival Benefits already paid will be deducted from this.
No. of Years of premiums paid
|
% of Total Premiums Paid
|
1
|
0.00%
|
2
|
0.00%
|
3
|
30.00%
|
4
|
50.00%
|
5
|
50.00%
|
6
|
50.00%
|
7
|
50.00%
|
8
|
51.76%
|
9
|
53.53%
|
10
|
55.29%
|
11
|
57.06%
|
12
|
58.82%
|
13
|
60.59%
|
14
|
62.35%
|
15
|
64.12%
|
16
|
65.88%
|
17
|
67.65%
|
18
|
69.41%
|
19
|
71.18%
|
20
|
72.94%
|
21
|
74.71%
|
22
|
76.47%
|
23
|
78.24%
|
24
|
80.00%
|
25
|
80.00%
|
Through your policy years, Simple Reversionary Bonuses would have accrued in the plan. These bonuses will also be multiplied by the Surrender Value factors as mentioned below.
No. of Years of premiums paid
|
% of Vested Bonus
|
1
|
0.00%
|
2
|
0.00%
|
3
|
15.28%
|
4
|
15.42%
|
5
|
15.55%
|
6
|
15.72%
|
7
|
15.93%
|
8
|
16.22%
|
9
|
16.58%
|
10
|
17.03%
|
11
|
18.58%
|
12
|
17.58%
|
13
|
17.66%
|
14
|
17.85%
|
15
|
18.16%
|
16
|
18.60%
|
17
|
19.18%
|
18
|
19.93%
|
19
|
20.85%
|
20
|
21.99%
|
21
|
23.38%
|
22
|
25.05%
|
23
|
27.06%
|
24
|
30.00%
|
25
|
35.00%
|
CHECK HERE YOUR PREMIUM:
CHECK HERE YOUR MATURITY AMOUNT:
COMPARE BETWEEN TABLE NO 820 AND TABLE NO 821 BY VIDEO TUTORIAL:
No comments:
Post a Comment