LIC Jeevan Pragati Policy: Sum Assured, Premium, Free Lock Period

Life Insurance Corporation (LIC) of India, is an Indian state-owned insurance group and largest life insurance company in India, offers a variety of combination of both insurance + savings products called Endowment plans. One of the endowment plans provided by LIC is the Jeevan Pragati plan. LIC Jeevan Pragati plan is a non-linked, with-profits plan which offers a combination of protection and savings, according to LIC's website - licindia.in.

An Individual who is in the age group of 12-45 years, can opt to buy LIC Jeevan Pragati Plan with a Rs. 1,50,000 of Minimum Basic Sum Assured and no limit for Maximum Basic Sum Assured. The Basic sum assured will be in the multiple of Rs. 10,000/-.

The policy term is of 12 to 20 years with maximum maturity age of 65 years.

Under this plan the risk will commence immediately from the date of acceptance of the risk including minor lives.

Premiums can be paid regularly at yearly, half-yearly, quarterly or monthly mode (through ECS or through salary deductions) over the term of policy.

If premiums are not paid within the grace period then the policy will lapse. A lapsed policy can be revived within a period of 2 consecutive years from the date of first unpaid premium but before the date of maturity as the case may be, by paying all the arrears of premium together with interest (compounding half-yearly) at such rate as fixed by the Corporation at the time of the payment, subject to submission of satisfactory evidence of continued insurability.

Below are some of the sample tabular premium rates (in Rs.) (exclusive of service tax) per Rs. 1000/- Basic Sum Assured.

If the Policyholder is not satisfied with the Terms and Conditions of the policy, the policy may be returned to the 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, if any) for the period on cover, expenses incurred on medical examination, special reports, if any and stamp duty charges.

The policy can be surrendered provided at least three full years premiums have been paid. The Guaranteed Surrender value shall be percentage of total premiums paid. This percentage will depend on the policy term and policy year in which the policy is surrendered.

Sum assured will be paid to the insured person on maturity along with vested bonuses and final additional bonus will be payable in lump sum on survival, provided all due premiums have been paid.

In case of death of policy holder during the term of policy sum assured on death will be paid to the legal heirs/nominees, provided all due premiums have been paid regularly, as stated by LIC website.

For more details, please contact LIC.

(Disclaimer: The above information has been sourced from LIC's website - licindia.in. please refer to the Policy document or contact your nearest LIC Branch Office.)