Jeevan Umang Policy : LIC’s Jeevan Umang plan : Features : Eligibility : Benefits

Jeevan Umang Policy details : 

LIC’s Jeevan Umang policy is a long-term life insurance plan. It guarantees both protection and returns. You receive annual benefits after paying premiums until maturity. When the policy matures, you get a lump sum. If the policyholder passes away during the policy term, their nominee gets a lump sum. This plan covers you for up to 100 years and allows you to take loans. It’s a comprehensive policy offering financial security and benefits.

Features
Minimum basic sum assured	Rs.2,00,000
Maximum basic sum assured	No limit
Policy tenure	100 years – (minus) age at entry
Minimum age at entry	90 days
Maximum age at entry	55 years

About this LIC:

LIC, or Life Insurance Corporation of India, stands as a government-owned insurance giant located in Mumbai, Maharashtra. Established in 1956, it holds the title of India’s largest life insurance company with a vast subscriber base of 25 crore individuals.

With its headquarters in Mumbai, LIC operates nationwide through 8 zonal offices, 113 divisional offices, and 2,048 branch offices. Offering a diverse range of insurance plans, LIC caters to various needs. They present categories like Aam Aadmi Bima Yojana, insurance plans, special plans, pension plans, and unit plans. In the life insurance segment, LIC provides options such as endowment plans like Jeevan Pragati and Jeevan Labh, money back plans including Jeevan Tarun and Bima Shree, term assurance plans like Anmol Jeevan II and Amulya Jeevan II, among others. Notably, Jeevan Umang stands out as LIC’s exclusive whole life insurance plan.

Ensure that you get the details you need for your unique requirements.

Features of LIC’s Jeevan Umang:

The coverage offered by LIC’s Jeevan Umang starts at Rs. 2 lakh and has no upper limit on the amount guaranteed. Depending on their preference’s, policyholders can choose a premium payment term of 15, 20, 25, or 30 years. The insurance term with a maturity age of 100 years is calculated by deducting the policyholder’s age upon purchase from 100. For example, if the policy is purchased at age 25, it is valid for 75 years.

Monthly, quarterly, half-yearly, or annual premium payment frequencies are among options provided by LIC. The National Automated Clearing House (NACH) service is necessary for monthly payments. Crucially, the coverage expires if premiums are not paid for the first three years and are then neglected in subsequent years.

The plan becomes a paid-up insurance if premiums are not paid for at least three years and subsequent payments are not made. This means that accrued benefits are distributed at the time of insurance maturity, which occurs when the policy matures. The policy can also be resigned if premiums have been paid for at least three years.

Policyholders can review the terms and conditions of LIC’s Jeevan Umang policy during a free-look period of 15 days. The premiums paid for this policy are also tax deductible under Section 80C of the Income Tax Act. On the proceeds of their policy, policyholders are also entitled to tax benefits.

Now let’s explore what’s the eligibility criteria for this LIC:

The requirements for LIC's Jeevan Umang are as follows:

1. Younger than ninety-day babies are allowed entry.

2. A 55-year-old is the oldest applicant allowed.

3. Policyholders must be at least thirty years old when the premium term expires.

Policyholders may reach the age of 70 upon the expiration of the premium term.

5. For individuals older than eight, risk starts right away; for younger people, it starts after two years of continuous coverage.

Let’s talk about benefits of this LIC:

Policyholders can take use of a number of advantages under LIC’s Jeevan Umang, such as:

Death Benefit:

The nominee of the policyholder gets a lump sum payment if they pass away before the policy matures. Here’s how it functions:

The nominee will receive the full amount of premiums paid in the event of a death that occurs before the risk period begins, less interest and any additional costs associated with riders or underwriting decisions.

“Should the nominee’s death occur after the start of the risk period, they will receive ten times the yearly premium, the maturity sum assured, or the basic sum assured, whichever is greater. This sum represents a minimum of 105% of the total premiums paid.

Survival Bonus:

Every year, the policyholder receives a survival benefit equal to 8% of the basic sum assured until the policy matures or until the policyholder survives. This benefit kicks in only if the policyholder reaches the end of the premium payment term and fulfills all due premium payments.

Policy Maturity Payout:

If you stick with the policy until it matures, you get a one-time lump sum. This includes the guaranteed amount, any bonuses that add up over the years, and an extra bonus at the end.

Policy Loan Option:

If your plan has built up a surrender value, you can borrow money during the policy period. Interest rates apply, and they might change over time. You’re eligible for a loan only if you’ve paid the policy premium for at least 3 years.

Extra Protections:

You can boost your LIC Jeevan Umang policy by adding extra safeguards. Choose from options like coverage for accidental death and disability, accident benefits, a new term assurance, or a new critical illness benefit. These additional riders enhance your overall protection.

Policy Exceptions:

Here are the key exclusions:

1. If the policyholder takes their own life within the first 12 months since the risk period began, the policy becomes void. However, 80% of the premiums paid will be refunded, excluding claims.

2. If suicide occurs within 12 months of policy revival, a lump sum greater than 80% of premiums paid or the surrender value will be paid out.

Claiming Process:

If you need to make a claim, the nominee or beneficiary should inform the insurance company. For maturity benefits, the policyholder has to submit a form along with necessary details. In the case of a death claim, the following documents are required:

1. Completed claim form

2. Policy document

3. Medical documents (if necessary)

4. Police FIR (if necessary)

5. Death certificate

6. Post-mortem report

7. Proof of age and ID for the claimant

FAQs:

1. Can I Surrender the Policy?

Yes, policyholders have the option to surrender the policy after completing three policy years. However, surrender value depends on various factors.*

2. Is Loan Facility Available?

Yes, policyholders can avail of a loan against the policy’s surrender value after completion of the premium payment term.

3. Are Survival Benefits Taxable?

 Survival benefits are eligible for tax exemptions under Section 10(10D) of the Income Tax Act, subject to conditions.

4. What Happens if Premiums are Not Paid?

A grace period is provided for premium payment. If premiums are not paid within this period, the policy, but can be revived within two years.

5. Can I Nominate Someone?

Yes, policyholders can nominate a person to receive the death benefit in case of their demise.

Conclusion:

The flexible Jeevan Umang insurance plan guarantees a consistent income stream in addition to life insurance. It is crucial for anyone looking for long-term financial security to comprehend its features and advantages.

Let’s sum up by saying that Jeevan Umang is a dependable option for anyone who want lifetime returns along with protection.

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