LIC’s Jeevan Azad is a Non-Linked, Non-Participating, Individual, Savings Life Insurance plan designed to provide individuals with financial security and savings benefits.
This plan offers the convenience of limited premium payments, where the Premium Payment Term (PPT) is equal to the Policy Term minus 8 years.
For those interested in purchasing this plan, it is available both offline through Agents or online offering a range of convenient options to access and acquire the policy.
In this article, we will discuss LIC Jeevan Azad Table no-868, benefits, maturity benefits, eligibility, etc.
Features of LIC Jeevan Azad
The following are the features of the LIC Jeevan Azad-
- LIC Jeevan Azad is an endowment assurance plan that offers both savings and life cover
- The policy provides life insurance coverage for a specified term.
- In case of the policyholder’s unfortunate demise during the policy term, the nominee will receive the death benefit.
- If the policyholder survives till the end of the policy term, a maturity benefit is paid out.
Eligibility For the LIC Jeevan Azad
The following are the eligibility for LIC Jeevan Azad-
| a) Minimum Basic Sum Assured: | Rs. 2,00,000 | |
| b) Maximum Basic Sum Assured: | Rs. 5,00,000 (per life) Basic Sum Assured shall be in multiples of Rs 25,000/- | |
| c) Minimum Age at entry: | 90 days | |
| d) Maximum Age at entry: | 50 years | |
| e) Minimum Maturity Age: | 18 years | |
| f) Maximum Maturity Age: | 70 years | |
| g) Policy Term and Premium Payment Term: | Policy Term | Premium Paying Term |
| 15 years to 20 years | Policy Term minus 8 years | |
Benefits for LIC Jeevan Azad
The following are the benefits of the LIC Jeevan Azad policy-
Death Benefit:
In case of the death of the policyholder, the family of the policyholder is eligible to claim Death Benefits under this scheme under certain conditions.
As per the policy, “Sum Assured on Death” can be defined as higher than Basic Sum Assured or 7 times of Annualized Premium and the death benefit should not be less than 105% of “Total Premiums Paid” up to the date of death.
In case of the death of the minor Live Assured i.e., below the age of 8 years before the commencement of risk, the death benefit payable shall be a refund of premium(s) paid excluding taxes, any extra premium, and rider premium(s), if any, without interest
Maturity Benefit:
If the policyholder survived the policy term period, the policy offers a maturity benefit which is “Sum Assured on Maturity” which is “Basic Sum Assured”.
Rebate
Rebate on Premium: LIC may provide a rebate on the premium payable for specific life insurance policies.
This rebate is essentially a discount offered to policyholders, resulting in a reduced premium amount.
The rebate on the premium is typically calculated as a percentage of the premium payable and is subject to certain conditions or criteria set by LIC.
The following are the rebates which are offered to the policyholder, it is bifurcated into four categories, which are as follows-
Mode Rebate
| Mode | Rebate |
| Yearly mode | 2% of Tabular premium |
| Half-yearly mode | 1% of Tabular premium |
| Quarterly, Monthly (through NACH only) and SSS mode | Nil |
High Basic Sum Assured Rebate
| Basic Sum Assured (B.S.A) | Rebate |
| Up to Rs. 2,75,000 | Nil |
| Rs. 3,00,000 to Rs. 3,75,000 | Rs. 0.50 per Rs. 1000 Basic Sum Assured |
| Rs. 4,00,000 to Rs. 4,75,000 | Rs. 1.50 per Rs. 1000 Basic Sum Assured |
| Rs. 5,00,000 | Rs. 2.00 per Rs. 1000 Basic Sum Assured |
Rebate under Online Sale
| Premium Paying Term | Online Sale Rebate (as a % of Tabular Premium) |
| 7 to 9 years | 7.50% |
| 10 to 12 years | 10.00% |
Corporation’s Insurance Scheme (CIS) Rebate
| Premium Paying Term | CIS Rebate (as a % of Tabular Premium) |
| 7 to 9 years | 7.50% |
| 10 to 12 years | 10.00% |
Policy Loan
If you want to seek a policy loan then you can take up a loan against your policy. After the policy acquired a paid-up value which is after two full years of premium paid. You can only take a loan a certain percentage of the surrender value of the policy, which is listed as follows-
- For in-force policies, you can take up to 90% of the surrender value of the policy.
- For paid-up policies, you can take up to 80% of the surrender value of the policy.
Taxes
As per the Tax laws and regulations set by the Government of India, the rate of tax applicable to such insurance plans will be as per the prevailing tax laws at any given time. The policyholder is responsible for paying the applicable taxes on premiums, including any extra premiums, for the base policy. These taxes are collected separately and are in addition to the premiums payable by the policyholder.
Optional Rider Benefits:
The following three Optional riders are available under this plan.
- LIC’s Accidental Death and Disability Benefit Rider UIN (512B209V02)
- LIC’s Accident Benefit Rider UIN (512B203V03):
- LIC’s Premium Waiver Benefit Rider (UIN: 512B204V03)
 UIN:512N348V01){kind=link}