- 1 Benefits of Lic Agent
- 2 Survival Benefits under Lic Agent Benefits
- 3 Death Benefits under Lic Agent Benefits
- 4 Sponcer Ship Form
Benefits of Lic Agent
Lic Agent Benefits are of two types they are Survival Benefits and Death Benefits. Survival Benefits include E.R.C (Eligibility for Renewal Commission), Gratuity, EMBG and Samvardan pension scheme. Death Benefits include H.R.C (Heriditory Renewal Commission), Gratuity, Term Insurance and Group Insurance. Complete information about Lic Agent Benefits, i.e., Survival Benefits and Death Benefits is given below.
|Samvardan pension||Group pension|
Survival Benefits under Lic Agent Benefits
1. E.R.C (Eligibility for Renewal Commission)
- For E.R.C of 5 to 10 years – Minimum SA in force 2 Lakhs.
- For E.R.C of more than 10 years service – No Linkage with minimum SA(Sum Assured).
- Renewal Commission shall be paid to the agent if he is physically/mentally incapacitated and policies issued by him of not less than of 1 lakh SA and the service is minimum 2 years.
Gratuity under Lic Agent Benefits is given based on following conditions,
- Agent should have worked continuously for 15 years or more and is not below 60 years.
- Worked for 15 years or more but agency is terminated.
- Confirmed but died while an agency is in force.
- Agency is terminated on Physical or Mental Grounds.
- Once Gratuity is paid no further payment will be done even if he/she continues agency.
- Eligible Rate and Quantum are decided on Qualifying Years, Age and Qualifying RC in each Qualifying year.
- If the agents service is less than 15 years and he is eligible to receive the Gratuity, then the Actual Average will be taken.
- If an LIC agent has minimum 15 agency years, Lic gives GRATUITY of 2,00,000.
EXEMPTED FROM MINIMUM BUSINESS
- 21 Years Continuous Service (OR)
- 15 Years Service and 55 Years age (OR)
- 15 Years Service with a Renewal Premium of Rs. 40,000 /- P.A.
4. Samvardhan pension scheme
The samvardhan pension scheme is started to assist the lic agents in creating a fairly large corpus during their productive year that can be used to give the pension in a structured way, after the accumulation period.
|Minimum deferment period:||
|Benefits on death:||
Death Benefits under Lic Agent Benefits
1. H.R.C (Hereditary Renewal Commission)
- Minimum Service: 2 Years from DOA.
- Minimum Business: 1 Lakh SA in force.
- In a case of the death of an agent, the commission payable to him shall be payable to the Nominee or Legal Heir of the Agent.
It is payable, for the Agent who dies while his agency is in force or he is physically or mentally incapacitated from carrying out his functions.
3. Term Insurance
Free term insurance under Lic Agent Benefits is payable in the event of death of a confirmed agent before 60 years of age provided among some other conditions:
- Agent was appointed before 50 years old.
- He must have completed at least three qualifying years.
- His agency was in force on the date of death.
- He holds an insurance policy for at least Rs. 5,000/- at the time of death(other than a temporary insurance policy).
4. Group pension
Group pension is also available under Lic Agent Benefits. More details are given in below table.
|CATEGORY||DURATION OF AGENCY||INSURANCE COVER||PREMIUM|
|I||1 UPTO 3YEARS||50,000||150|
|II||> 3 TO 5 YEARS||1,00,000||300|
|III||> 5 TO 10 YEARS||3,00,000||900|
|IV||> 10 YEARS||5,00,000||1500|