| Eligibility of LIC’s New Endowment Plus (Table No.835) | |||
|---|---|---|---|
| 1 | Minimum Premium | Yearly Half Yearly Quarterly Monthly |
20,000 13,000 8,000 3,000 |
| 2 | Maximum Premium | No Limit | |
| 3 | Basic Sum Assured | 10 times Annualised premium | |
| Condition | Minium | Maximum | |
| 4 | Age at entry | 90 days (completed) | 50 Years (nbd) |
| 5 | Term of the policy | 10 Years | 20 Years |
| 6 | Maturity Age | 18 years (Completed) | 60 years (nbd) |
An amount equal to Policyholder’s Fund Value will be payable.
This plan does not offer loan facility.
• Death before commencement of Risk:-
An Amount equal to policyholder fund value shall be payable immediately on the date of receipt of intimation of death with a death certificate.
• Death after commencement of Risk:-
Once the commencement of risk cover, higher of Basic Sum Assured OR Policy Holder’s Fund Value will be payable.
What is the commencement of Risk?
• If entry age is less than 8 Yrs-Date of Purchase+2 Years.
• If entry age is more than 8 Yrs-Immediately.
• You can surrender after completion of 5 years.
• Fund value as on surrender date will be payable.
Premium Allocation Charge Premium Allocation charge is levied on the premium received and the balance amount available after levying the charge is utilised to purchase units for the policy. The allocation charges are as follows.
| Premium | Allocation Charge |
|---|---|
| 1 st Year | 7.50% |
| 2 nd to 5 th Year | 5.00% |
| There after | 3.00% |
Mortality charges – LIC’s Endowment Plus (Plan 835)
Mortality charge is the cost of Life Insurance cover and is deducted at the beginning of each policy month by cancelling the proportionate number of units. The charge shall depend on the Sum at Risk which is equal to the difference between the Basic Sum Assured and policy holders fund value.
Accident Benefit Charge – LIC’s Endowment Plus (Plan 835)
It is the charge to cover the cost of LIC’s linked accidental death benefit rider. The level annual charge shall be 0.40 per thousand Accident Benefit Sum Assured under the policy.
Policy administration charge – LIC’s Endowment Plus (Plan 835)
This charge shall be levied at the beginning of each policy month by cancelling appropriate number of units out of policy holder’s fund.
| Policy Year | Policy Administration Charge (per month) | Mode of Premium Payment | Factor “K” |
|---|---|---|---|
| 1 st Year | (0.35% * instalment Premium * K) or (Rs.100) which ever is lower | Yearly | 1 |
| 2 nd Year | (0.25% * instalment Premium * K) or Rs.70 which ever is lower | Half -Yearly | 1.6 |
| 3 rd Year | 2 nd year charge * 1.03 | Quarterly | 2.6 |
| 4 th Year | 3 nd year charge * 1.03 | Monthly | 7 |
| 5 th Year | 4 th year charge * 1.03 | “K” is taken as per the chart shown above | |
| 6 th Year | Rs. 52.17 in 6 th year escalating at 3 % thereafter | ||
Fund Management Charges – LIC’s Endowment Plus Fund Management Charge shall be under 0.70 % per annum and is levied at the time of computation of NAV. As the NAV thus declared are Nett of FMC, the customer need not pay this charge from his fund value.
Customer can switch from one fund to another any time as per his wish and no charge is levied for the first four switching within a policy year. Subsequent switches if any shall be subject to a switching charge of Rs. 100 each.
Service Tax shall be applied only on the charges levied for ULIP plans. Current service tax rate after the implementation of GST is 18% and will be applied on the charges applicable on the policy. As the required units are cancelled from the fund, the customer need not pay any increased premium.
