LIC Jeevan Mitra Policy Review
LIC Jeevan Mitra is a simple endowment policy with 2 variants. One variant is called Jeevan Mitra (Double Cover Endowment Plan No-88 Introduced on 01/07/1985 WITHDRAWN ON-) and Jeevan Mitra (Triple Cover Endowment Plan N0-133 INTRODUCED ON- 01/11/1999 WITHDRAWN ON-).Jeevan Mitra provides additional insurance cover equal to sum assured under plan 88 and twice the sum assured under plan 133.
The main Feature of this Jeevan Mitra plan is,If the Life Insured dies within the policy tenure then his nominee would receive Double or Triple the Sum Assured (according to the variant opted for) + accrued Bonus. Now, if the Life Insured survives the entire term, then he would receive basic Sum Assured + accrued Bonus.
LIC Jeevan Mitra policy Conditions
Age at entry : Minimum 18 yrs completed
Maximum 50 yrs NBD
Maximum maturity age: 70 years
Policy term : Minimum 15 years
Maximum 30 years
Sum assured : Minimum 20000 from 1/7/2000 to 30/3/2003
30000 from 1/4/2003 to 31/5/2004
50000 from 1/6/2004
Maximum No restriction.
Mode of payment: Yearly, Half-yearly, Quarterly,monthly, SSS.
- EMR class allowed I,II,III. For EMR class IV,V,VI- plan was allowed with minimum sum assured of Rs. 2 lakh and with reinsurance. As per co/act/2000 dt.11/3/2005, this plan can be allowed to all classes of EMR without any restriction on sum assured. Earlier restriction of Rs. 2 lakh is withdrawn.
- Non-medical (general )/ special is not allowed. However, W.ef. 21/2/2005 co/act/1993,Non-medical special and non-medical general to professionals is allowed under both plans.
- Standard age proof is must. NSAP-I can be accepted with total rated up sum assured under whole life and term ass elements plans do not exceeds 5 lakh.
- Female cat I,II are allowed. However, maximum insurance can be granted to female cat II is 50 lakh.
LIC Jeevan Mitra Policy Rebates
There are Two types of Rebates are there in Jeevan Mitra policy they are
1.Mode rebate : Yearly 3% of tabular premium
Half-yly 1.5% of tabular premium.
|Year||Sum Assured Group||Rebate per 1000 S.A|
|Upto30/10/2003||25,000 to 4999950,000 & above||Rs. 1/- per 1000 SARs 2/- per 1000 SA|
|From1/11/2003to…………….||Upto 5000050,001 to 1,00,0001,00,001 & above||nilRs.1/- per 1000 SARs2/- per 1000 SA|
LIC Jeevan Mitra Policy Maturity Benefits
Maturity Claim contains two factors in jeevan mitra plan
- INFORCE/ FULLY PAID UP POLICIES :premiums have been paid for full term, then maturity benefit are
full sum assured + bonus
- PAID UP POLICY:In case of paid up policies,
paid up value + vested bonus is payable.
Discounting value of maturity claim is allowed. On maturity , additional sum assured is not payable.if life assured expire after date of maturity , but without getting maturity claim, then basic sum assured or paid up value + bonus will be paid as maturity claim. No additional sum assured is payable.
DEATH CLAIM: In case of death of the Life Insured, the nominee receives
IF POLICY IS IN FULL FORCE/ TREATED IN FORCE UNDER BASIC :
Under Plan 88: Death claim will be paid for full sum assured + additional sum equal to basic sum assured + vested bonus .
Means, 2 times the Sum Assured + accrued Bonus for Double Cover Endowment Plan .
Under Plan 133: Death claim will be paid for full sum assured + additional sum equal to two times of basic sum assured + vested/ bonus.
Means 3 times the Sum Assured + accrued Bonus for Triple Cover Endowment Plan.
- If policy is in paid up condition , then only paid up value + vested bonus is payable.Additional insurance cover is not payable.
- IF Date of death is exactly on the date of Maturity,then Additional Sum Assured is not payable.
- Triple Sum Assured on Death
- High rate of bonus
- Loan can be taken against the policy
LIC Jeevan Mitra Policy Riders Available
Accident benefit / EPDB: Maximum sum assured for accident benefit under all plans taken together.
Term Assurance Rider: There is no Term Assurance Rider in LIC Jeevan mitra Policy plan.
PAID UP VALUE :
After paying at least 3 full years premiums , policy will acquire paid up value which
will be calculated as follows:-
= sum assured x No of years premiums paid/ No of years premiums payable
Guaranteed Surrender Value:After paying at least 3 full years premiums , GSV will be equal to 30% of the total amount of the within mentioned premium paid excluding the premium for the first year and all extra premiums and /or additional premium for accident benefit.
Special Surrender Value: SSV = ( paid up value + bonus) x SV factor.
LOAN: Loan is available as per regular terms and conditions.
Bonus: Bonus is payable as per rate for the endowment rate. From 31/3/2007’s valuation , separate bonus rates are declared for plan 133.For plan 88 also separate bonus rate are declared.
LIC Jeevan Mitra Policy Benefit illustration
Mr. Ranjeet aged 30 years, plans to take Jeevan Mitra (Triple Cover) Plan for the Term of 21 years and sum assured of Rs 2,00,000.00 (Rupees Two Lakhs only). He is required to pay an annual premium of Rs 10,790.00 (Rupees Ten Thousand Seven Hundred and Ninety only).
On Death:If Mr Ravi dies during the policy term, his nominee will receive the Triple Sum Assured i.e. Rs 6,00,000.00 (Rupees Six Lakhs)+Assured Bonuses.After this, the policy will terminate.
On Accidental Death:
If during the policy term,Mr.Ravi dies due to an accident,his nominee will receive the Triple Sum Assured (RS 6,00,000.00)+Additional Accident Sum Assured (RS 2,00,000.00)+Accrued Bonuses. The policy will terminate after this event.
On Survival till maturity: