Contents
- 1 LIC Children Money Back Policy (Plan No. 832) Review
- 2 Benefits and Features of LIC Children Money Back Policy
- 3 LIC Children Money Back Policy Eligibility Conditions
- 4 Lic Children Money Back Policy plan-832 Rebates
- 5 Lic Children Money Back plan 832 Premium Waiver Benefit Rider
- 6 Additional Information about Children Money Back Policy
- 7 Documents Required for taking Children Money back Lic Policy
- 8 LIC New Children Money Back Policy Claim Process
- 9 LIC New Children Money Back Policy Premium Calculator
- 10 FAQs Under LIC New Children Money back policy
- 11 Other Money Back Plans available in LIC
LIC Children Money Back Policy (Plan No. 832) Review
Life Insurance Corporation of India (LIC) has decided to launch LIC NEW CHILDREN MONEY BACK POLICY (Plan No. 832), which would be open for sale from 4th March, 2015.
LIC Children Money Back policy is a non-linked policy. LIC New Children Money Back policy is specially designed to meet various financial needs of children through Survival Benefits. Children Money Back policy Lic is a regular premium policy. New Children Money Back LIC policy provides risk cover on the life of a child during the policy term and offers a number of survival benefits on surviving to the end of the specified durations.
The Unique Identification Number (UIN) for LIC New Children Money Back Policy 832 is 512N296V01. This number has to be quoted in all relevant documents furnished to the Policyholders and other users (public, distribution channels, etc.).
Benefits and Features of LIC Children Money Back Policy
Benefits of LIC Children Money Back Policy:
1. Death Benefit:
| Death during | Death benefit |
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2. Maturity Benefit:
- Sum Assured on Maturity: 40% of the Basic Sum Assured + vested Simple Revisionary Bonuses and FAB (If any), shall be payable.
3. Survival Benefit:
On the Life Assured surviving on each policy anniversary coinciding with or immediately following the completion of ages 18, 20 and 22 years of Life Assured: 20% of the Basic Sum Assured on each occasion shall be payable provided the policy is in full force.
4. Installment Benefit:
After Completion of Age:
- At 18 Years = 20% of Sum Assured.
- At 20 Years = 20% of Sum Assured.
- At 22 Years = 20% of Sum Assured.
- At 25 Years = 40% of Sum Assured + Bonus+ Final Additional Bonus.
5. Participation in profits:
Life Insurance Corporation decides that the policies shall participate in the profits and shall be eligible for Simple Revisionary Bonus. The decision on such rate and such terms may be declared by the Corporation.
Final Additional Bonus may also be declared under the policy which will be payable on the expiry of the policy term or on earlier death, provided the policy has run for a certain minimum term.
LIC Children Money Back Policy Eligibility Conditions
| Eligibility criteria | Details |
| Entry Age |
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| Sum Assured |
|
| Policy Term |
|
| Maturity Age |
For Ex: Child Age: 0 Years, Maturity Age: 25 years -0 years = 25 years. If Child age: 5 years, Maturity age: 25 – 5 = 20 Years. |
| Premium Payment Mode |
|
Note: Basic Sum Assured will be in multiples of Rs 10000/-.
Maturity age in Detail:
For Example,
If the Insured Child Entry Age is 0 years, then policy Maturity age will be 25 Years. If Insured Child Entry Age is 5 Years, then the Maturity age will be 20 Years. That means, in any case, the LIC New Children Money Back Policy will be matured at 25 years of Insured child age.
Date of commencement of risk under the plan:
In case the age at entry of the Life Assured is less than 8 years, the risk under this plan will commence either one day before the completion of 2 years from the date commencement of policy or one day before the policy anniversary coinciding with or immediately following the completion of 8 years of age, whichever is earlier. For those aged 8 years or more, the risk will commence immediately.
Date of vesting under the plan:
The policy shall automatically vest in the Life Assured on the policy anniversary coinciding with or immediately following the completion of 18 years of age and on such vesting is deemed to be a contract between the Corporation and the Life Assured.
Lic Children Money Back Policy plan-832 Rebates
There are two types of Rebates available
- Mode Rebate.
- High Sum Assured Rebate.
Mode Rebate:
| Premium Mode | % on Tabular Premium |
| Yearly Mode | 2% of tabular premium. |
| Half Yearly Mode | 1% of the tabular premium. |
| Quarterly | NIL. |
| Monthly | NIL. |
High Sum Assured Rebate:
| Basic Sum Assured Rebate | (Rs) |
| 1,00,000 to 1,90,000 | NIL. |
| 2,00,000 to 4,90,000 | 2 Per thousand Basic Sum Assured. |
| 5,00,000 and above | 3 Per thousand Basic Sum Assured. |
CEIS Rebate:
| Policy Term | CEIS Rebate |
| 13 and 14 Years | 5% |
| 15 years and above | 10% |
LIC Premium Waiver Benefit Rider (UIN: 512B204V01) will be available on payment of additional premium. This rider under LIC New Children Money Back policy can be opted for along with the basic plan at the initial stage or at any time during the policy term provided the outstanding policy term of the basic plan is at least 5 years.
LIC New Children Money Back policy Premium Waiver Benefit (PWB) Rider (optional) Conditions
| Eligibility Criteria | Details |
| Entry Age |
|
| Premium paying term |
|
| Cover ceasing age |
|
| Premium Payment Mode |
|
Option to defer the Survival Benefit(s):
In LIC Children Money back policy the policyholder will have the option to take the survival benefits at any time on or after its due date but during the term of the policy.
In case of deferment of a due survival benefit(s) opted by the policyholder, the Corporation will pay increased survival benefit (s) equal to
= Survival Benefits % x Sum Assured x Factor applicable to Survival Benefit (s).
This Survival benefits option shall be required to be intimated by the policyholder six months before the due date of the Survival Benefit(s) in writing.
Additional Information about Children Money Back Policy
Commission payable to intermediaries and Credit to DO:
Commission rates (as percentage of premium net of taxes) during the policy term are as under:
1. Agents and Corporate Agents:
| Policy Term | 1 st Year | 2nd and 3 rd Year | Subsequent Years |
| 13 and 14 Years | 20% | 7.5% | 5% |
| 15 years and above | 25% | 7.5% | 5% |
Bonus Commission: 40% of 1st-year commission.
2. Brokers:
| Policy Term | 1 st Year | 2nd and 3 rd Year | Subsequent Years |
| 13 and 14 Years | 25% | 5% | 5% |
| 15 years and above | 30% | 5% | 5% |
Bonus Commission: No bonus commission is payable to brokers.
3. Development Officer’s Credit (D.O. Credit):
| Policy Term | D.O Credit (as % of First year) |
| 13 and 14 Years | 60% |
| 15 years and above | 100% |
Paid Up Value
The Sum Assured on Death underpaid–up policy shall be reduced to such a sum called
“Death Paid-up Sum Assured” = [(Number of premiums paid/Total Number of premiums payable) x Sum Assured on Death].
The Sum Assured on Maturity under paid-up policy shall be reduced to such a sum called
“Maturity Paid-up Sum Assured” = [(Number of premiums paid/Total Number of premiums payable) x (Sum Assured on Maturity+Total Survival Benefits payable under the policy)].
Surrender Value
The policy can be surrendered at any time during the policy term after three full premium paid years.
Guaranteed Surrender Value:
The Guaranteed Surrender Value = % of total premiums paid (net of taxes) – any extra premiums and premium for the rider.
The surrender value of vested Simple Reversionary Bonuses = Which is equal to vested bonuses x Surrender Value factor applicable to vested bonuses.
The above two factors will depend on the policy term and policy year in which policy is surrendered.
Special Surrender Value:
The Special Surrender Value = The discounted value of the sum of Maturity Paid-up Sum Assured and vested Simple Reversionary Bonuses.
Revivals
If premiums are not paid within the grace period, then the policy will lapse. A lapsed policy can be revived during the lifetime of the Life Assured, but within a period of 2 consecutive years from the date of first unpaid premium and before the date of maturity.
The policy can be again revived by submission of proof of continued insurability to the satisfaction of the Corporation and the payment of all the arrears of premium together with interest (compounding half-yearly) at such rate as fixed by the Corporation from time to time.
Loan Facility
Loan Facility is available under LIC New Children’s money back Plan. The Maximum loan that can be granted as a percentage of Surrender Value shall be as under:
- For inforce policies – up to 90%.
- For paid-up policies – upto 80%.
Suicide Clause
If the Life Assured commits suicide at any time within 12 months from the date of commencement of risk, then 80% of the premiums paid excluding any taxes and extra premium will be paid. This clause shall not be applicable in case age at entry of the Life Assured is below 8 years.
If the Life Assured commits suicide within 12 months from the date of revival, then 80% of the premiums paid till the date of death (excluding any taxes and extra premium, if any,) or the surrender value shall be payable.
Taxes
Taxes including Service Tax, if any, shall be as per the Tax laws and the rate of tax as applicable from time to time. For information about Tax on Life Insurance Policies www.taxqueries.in
Free Look (Cooling Off) period
If a policyholder is not satisfied with the “Terms and Conditions” of the policy, he/she may return the policy to the Corporation stating the reasons for objections, within 15 days from the date of receipt of the policy.
Assignments/Nominations
The transfer is allowed as per Section 38 of Insurance Act, 1938 as amended from time to time. After the Policy has vested in the Life Assured he/she may appoint a nominee or nominees, under Section 39 of the Insurance Act, 1938 as amended from time to time.
Documents Required for taking Children Money back Lic Policy
- Proposal Form 300,340 and 360.
- Age Proof.
- Identification proof.
- Medical Certificates(If Required).
LIC New Children Money Back Policy Claim Process
Documents required for claim settlement under children money back policy lic are listed below.
In case of death of Life Insured:
- Claim forms.
- Original policy document.
- NEFT mandate.
- Proof of title.
- Proof of death.
- Medical treatment before death.
- School / college / employer’s certificate.
- Proof of age.
In case of Survival or Maturity claim
- Discharge form.
- Original policy document.
- NEFT mandate.
- Proof of age.
Through LIC New children money back policy Maturity calculator we can calculate the premium amount to be paid yearly, half yearly, Quarterly or monthly based on the premium paying mode. Based upon the date was given, New Children Money Back Policy Premium calculator helps in calculating the premium amount.
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FAQs Under LIC New Children Money back policy
1. What are proposal forms available under LIC New children Money back policy?
Ans. Revised Proposal Form No. 300, 340 and 360 issued by U & R Department shall be used under this plan.
2. What is Backdating Interest?
Ans. The policies can be dated back within the same financial year. Back-dating interest as applicable at the time of completion of the policy (at the rate as fixed by the Corporation from time to time) will be charged for the period more than one month.
3. What are the LIC Premium waiver benefits under certain conditions?
Ans. 1. If this rider is opted for, in the case of death of the proposer, the payment of the premiums falling due after the date of death shall be waived.
2. The Premium Waiver Benefit shall be granted by the proposer’s age, personal declaration, and other related documents.
3. The Premium Waiver Benefit shall not operate if the proposer (whether sane or insane) commits suicide within 12 months from the date of issuance of First Premium Receipt or within 12 months from the date of revival.
For more details about LIC Money back policy 20 years click on below link.
LIC New Children Money Back Policy.
Other Money Back Plans available in LIC
LIC Money Back Policy 20 years
LIC Money Back Policy 25 years