- About Coverfox
LIC envisages your individual insurance needs and renders plans that suit you best. The dual advantage of protection and savings, integrated with financial assistance keep you insured lifelong.
It is one of the oldest Life Insurance company in India
The company pledges to accept the responsibility of the 250 million family members of LIC, every day, since last 60 years! Your Trust is valued and vowed for your social security and insurance needs.
A non-linked plan constituted in such a way that after every five years of the policy, the risk cover will automatically increase. It is best suitable for retirement collection with the cover against accident. An endowment plan with profits makes it a combination of savings and financial protection.
Entry Age- This policy is available for individuals from 12 years to 45 years.
Term Period- The term period is from 12 years to 20 years.
Death Benefits- In the case of the death of the policyholder, the nominee gets the sum assured with the bonus, and is either ten times the total annual premium or is calculated as per the terms of the policy.
Maturity Benefits- The sum assured is paid with the bonus and the reversionary bonus for the full term of the policy. Minimum sum assured is Rs.1, 50,000/-. Maximum age at maturity is 65years. Maturity amount is tax-free under section 10 (10D).
Tax Benefit - The amount of premium paid is exempted under section 80C.
Loan Facility- It is available after you have paid a premium for three years.
Riders Available: The optional riders are for for accidental death and disability.
This policy is limited premium paying and is not linked to share markets. It is an endowment plan with profits and hence the holder gets the sum assured with bonus and other benefits.
Premium- Premium paying period is lesser than the policy term.
Entry Age – The age of the policyholder should be between 8 years and 59 years.
Term Period- The Policy has a term period of 16 years to 25 years.
Grace Period- There is a grace period of 30days for paying yearly, half yearly and quarterly premium, and a grace period of 15days in case of monthly premium.
Loan Facility- Once you have paid the premium for three years, you can avail the loan.
Tax Benefits- The amount of premium paid is exempted under section 80C and the maturity amount is tax-free.
This plan asks the policyholder to pay the lump sum of the premium as a single payment at the start of the plan. This is an endowment plan with bonus, in addition to other benefits.
Entry Age- The plan is available for individuals between the age of 90days and 65years.
Sum Assured- The sum assured is paid in both the cases – once the policy tenure is complete and in the case of sudden demise of the policyholder. The sum assured is paid with a bonus in both the cases.
Loan Facility- Loan facility is available after the first year of the policy.
Guaranteed Surrender Value- The holder gets 70% of the single premium paid if the policy is surrendered within 12months of the commencement of the policy; and receives 90% of the premium paid from the second year onwards.
Tax Benefits- The premium paid is exempted under the section 80C and the maturity amount is tax-free under the section 10(10D).
Term Period– The policy has a term period of 10years to 25 years.
Maturity Age - The age of the insured should be between 18 years and 75years.
The plan is a combination of whole life plan and an endowment plan. The plan continues to provide coverage in case of the sudden death of the insured and even after the maturity of the plan.
Maturity- A traditional endowment plan with the added feature that even after the maturity, the plan continues to be in force.
Tax Benefits- Premium paid and the maturity amount is exempted under section 80C and 10(10D).
Entry Age- It is available for individuals between the age of 18 years and 50years.
Grace Period- A grace period of 30days is applicable.
Rider Available: LIC’s Accidental death and disability benefit rider are applicable.
This is a conventional endowment plan with profits.The policy is useful for minors and offers a lump-sum amount irrespective of the survival of the insured at the time of policy maturity
Sum Assured- Minimum sum assured is Rs.1,00,000/-.
Entry Age – The insured should be between 18 years and 50years of age and the maturity age is 65years.
Premium Tenure- Irrespective of the tenure of the policy, the premium tenure is 3 years.
MaturityBenefits- Sum Assured plus Bonus and the Final Additional Bonus (FAB).
Death Benefits- Sum assured (110% of the premium paid) plus bonus and FAB.
It is a perfect plan for individuals who are looking for a short-term investment with periodic guaranteed return and added benefits.
Extended Protection Period- Your protection is extended, even after the completion of the policy tenure, to half of the policy tenure.
Money Back- After every 4th year of the policy, you get an assured amount as money back.
Addition Cover Period- In the case of non-payment of the premium for full five policy years, an Auto Cover Period of two years is offered.
Maturity Benefits- The sum assured and the loyal additions are paid at maturity.
Maturity is calculated as – 55% of the basic sum assured for 16 years and 45% of the basic sum assured for 20 and 24 years.
This plan is a money-back traditional endowment plan. It is a non-linked plan. The survival benefits are disbursed after the completion of every fifth year of the policy.
Policy Term– The policy is valid for 20 years
Minimum Sum Assured – Minimum sum assured is Rs.100,000/-
Survival Benefits- 20% of the sum assured is paid on the 5th, 10th, and 15th year of the policy.
Death Benefits- The nominee receives the sum payout plus the bonus and the FAB. It is ten times the total sum of the annual premium or 125% of the basic sum assured.
Maturity Benefits- The balance 40% of the sum is paid with Bonus plus FAB to the policyholder.
It is a traditional single premium endowment plan. However, the survival benefits are paid just like in a money back plan.
Survival Benefits- After every three years, if the insured is alive, 15% of the basic sum assured is paid as survival benefit.
Maturity Benefits- The complete single premium along with Loyalty Addition is paid.
Death Benefits- In the case of death of the policy tenure the complete, sum assured along with the Loyalty addition are paid to the nominee.
A traditional money back policy specially designed for the benefit of children, even in the case of the absence of parents. The child’s life is also covered.
Life Cover of Child- If the age of the life assured is less than 8 years, the risk cover starts one day before the commencement date of two years.
Survival Benefits- The survival benefits are disbursed once the life assured has attained the age of 18years and is paid @20% of the sum assured. It is paid every policy anniversary year.
Death Benefits- If the life assured dies before the commencement of the risk, the paid premiums are returned. The benefits of sum assured plus bonus and FAB is paid in case the death is after the commencement of risk.
Tax Benefits- The premium paid and the sum assured are exempted under the section 80C and 10(10D).
Entry Age- 0 years to 12 years.
Policy Term- 25years.
This is a participating endowment plan for children up to the age of twelve years. There are four options to receive the maturity and survival benefits. It is best suited for a child’s education.
Premium Period- 20 years but the policy continues till 25 years.
Risk Cover- Either at the age of 8years or two years after the commencement of the policy.
Survival Benefits- The last five years, when the policyholder is not paying the premium, he has the option of receiving the survival benefits in four different forms- 0%, 5%, 10% and 15% of the sum assured.
Maturity Benefits- The balance sum assured and the bonus are paid as the maturity benefits after the completion of tenure of the policy.
Death Benefits- In the case of the death of policyholder, the nominee gets the sum assured at the time of death and the acquired bonus. This is irrespective of the amount paid as the “survival benefit”.
Tax Benefits- The premium paid and sum assured are exempted under section of 80C and 10(10D).
This is purely a term plan whereby in case the insured dies within the policy tenure, the nominee gets the sum assured or the death benefits.
Sum Assured - Minimum Sum Assured is Rs.25Lacs. However, it can be as high as 1 crore.
Tenure - The tenure can be as long as 35years.
Tax Benefits - The Premium paid and the sum assured are exempted under the section 80C and 10(10D).
Entry Age - Entry Age is 18 years to 60years.
Grace Period - Grace Period of 30days is available to pay the premium.
This micro insurance policy is specially designed for lower- income groups and has features of investment, savings, and insurance. Unlike any term plan, it also offers Maturity Benefits to the surviving policyholder.
Death Benefit- In case of sudden death of the policyholder within the policy tenure, the nominee gets the assured sum.
Maturity Benefits- A total of 110% of the premium paid is paid to the live policyholder at the time of maturity.
Surrender Value- Depending on the premium paying term of below or above ten years, the surrender value is calculated. If surrendered after paying a premium for ten years or more, the surrender value is calculated @ after three full year’s premium. If the surrendered within ten years, then the SA is calculated @ after two full year’s premium.
LIC policies with high sum assured levels can be availed at affordable premium rates. The coverage amount (sum assured) is what’s going to take care of one’s family in the event the individual is no more. With a payout of Rs. 1 crore, the family will be able to cover children’s school or college expense, household expense, medical bills, etc., with ease. Before availing a cover, it is recommended that one undertakes a thorough and complete analysis of liabilities, expenses, investments and requirement. Accordingly, the ideal coverage amount should be decided upon.
Government-backed LIC is India’s most trusted brand in the life insurance segment. The insurance giant is known to conduct its business fairly, with focus primarily on meeting the community’s life insurance needs. LIC reported a claim settlement ratio of 98.04% as on 31.03.2018, when compared with 98.31% as on 31.03.2017. The insurer declares the best bonus on all its with-profits plans each year. The bonus is determined on the sum assured, and not on the premium paid. LIC’s popularity can be attributed to the fact that it introduces new plans and improves the existing ones, depending on the public requirement. The plans offer high levels of sum assured combined with low rates of premiums.
The following documents are required for LIC Life Insurance-
The following riders are offered by LIC
A policyholder would not be eligible to file the claims in the following cases:
In case, the policyholder commits suicide, no claims will be entertained
In case, the premium is paid for less than twelve months, no benefit will be paid to the beneficiary
In case, the premium is paid for more than twelve months, than the beneficiary gets 80% of the total premium paid. In such cases,the sum assured will not be paid.
Simplified procedures need to be followed to receive claims on maturity. The Branch Office which is serving the policyholder sends a letter, two months before the due date of maturity, informing the date of policy monies payable to the policyholder.
The policyholder has to send back the “Discharge Form” duly completed and the original copy of the Policy Document. On receipt of these two documents, a postdated cheque is sent via post to the policyholder.
In cases of “Money Back Policies”,these documents are not asked for; provided the premiums under the policy are paid till the date of the anniversary.
For any other claim related query, the policyholder can visit or call the nearest branch office of LIC.
The procedure for settlement of maturity and death claims is as follows:
1) For endowment policies, the sum assured is payable at the end of the policy period. The branch that services the policy will send out a letter stating the date on which the policy proceeds are payable to the life assured. The individual is required to return the discharge form, fully completed, along with the policy document. On the receipt of these documents, a post-dated cheque is delivered by post so that it reaches the life assured before the due date.
2) Plans like money back policies make periodical payments to the life assured, provided premium are paid up to the anniversary due for survival benefit. In cases where the amount payable is Rs. 60,000 and below, cheques will be released without calling for the discharge receipt or policy document. However, for higher amounts, the insurance company will insist on these two.
In the event of the life assured’s demise, the branch office will ask for the following documents:
The following forms may be asked if death takes place within 3 years from the date of risk or from date of revival.
LIC of India is the only insurance company with an astonishing claim settlement ratio of 98.04% and tops the list of all other competitors in the market for the year 2017-18. Further, the company provided a whopping claim settlement ratio of 97.73%in the year 2013-14 were 97.73%, leading the list even then.
LIC is the oldest and the most trusted life insurance company with tenure of 60 years.LIC has been leading the market when it comes to customer orientation and customer focused approach.
Is there any benefit of paying the premium online?
Paying the premium online allows you to pay at the comfort of your home. Further, there are a few policies which when purchased online provide a discount of 8% if paid online.
What all points should be taken care of while claiming sum assured at maturity?
You are required to submit Discharged Receipt with Form No 3825 and original policy documents one month before the maturity date to file a claim.
What all documents are required for claiming the death benefits?
In order to claim death benefits, you must have the following documents:
What is meant by Final Additional Bonus?
Final additional bonus, also called as FAB, is a bonus in addition to Simple Reversionary Bonus.
How to revive a lapsed LIC Policy?
You can revive your policy anytime within 5 years from the date when the first premium was unpaid. There are two ways through which a policy can be revived:
Can I take a loan against my LIC Life Insurance Policy?
Yes, you can take a loan against your LIC Life Insurance Policy, provided it is an endowment/moneyback plan which has this facility.
Can I surrender my policy during the tenure of my policy?
Will I receive any benefit if I surrender my policy? - Yes, you can surrender your policy during the policy tenure. If the premiums have been paid regularly for the defined period, a surrender value will be determined. This surrender value is the benefit.
Will I receive a discount if I pay my premium online?
Yes, you will be entitled to a discount if you pay the premium online. The amount of discount varies from one policy to another.
Will I have to pay my premium as a one-time amount, or can I choose to pay the premium in instalments?
The mode of premium payment varies from one policy to another. You can select the plan/mode as per your financial capacity.
My child is still a minor, can I nominate her for my life insurance policy?
Yes, you can nominate your child, spouse, dependents in your life insurance policy.
What are a few reasons that can lead to a claim being rejected?
Fraud or suicide are a few reasons which can lead to a claim being rejected.
How do I decide which insurance plan is best for me?
You should think about your financial capacity, number of dependents, children’s higher education, marriage, financial goals etc., before deciding the right insurance plan for yourself.
Will I be eligible to receive any tax benefits due to my life insurance policy?
Yes, you can claim deductions on premiums paid towards LIC’s Life Insurance Policy as per Section 80C of the Income Tax Act, 1961.
Will I have to intimate the insurer in case I change my residence during the policy tenure?
Yes, you will have to update your address to the insurer.
What should I do in case I lose my original policy document?
In case you lose the original policy document, you will have to visit the nearest LIC’s branch and apply for a new one.