What is the difference between LIC Jeevan Anand and New Jeevan Anand Policy?

LIC Jeevan Anand Policy

Introduced by LIC Corporation of India LIC Jeevan Anand policy is a whole life plan cum endowment plan. As a non-linked participating policy this policy offers double death benefit plan in case of the survival of the policy holder till the end of the policy tenure. This plan offers financial security to the family of an individual against all types of emergency. The LIC New Jeevan Anand policy also safeguard the financial liquidity of the insured by providing them the loan facility.

Benefits of LIC Jeevan Anand Policy

In case if all the premiums are dully paid by the insured then you can avail host of benefits offered by the policy

Death Benefit

Death benefit is applicable in case of expire of the policy holder during the term of the policy. In case if the insured have an uncertain death before the policy terms comes to an end then a sum assured amount along with the additional bonus in lump-sum is paid to the beneficiary of the policy. The sum assured in case of death benefit is higher amongst 125 per cent of the basic sum assured or annualized premium in multiple of 10. Although the rider premium is not included under this.

Maturity Benefit

Maturity benefit is payable to the insured in case when the policyholder survives till the completion of the policy tenure. Under this a basic sum assured amount along with the additional bonus is payable to the insured at the end policy term.

Accidental Benefit

Up to the age of 70 of the policy holder if he/she dies due to accident, an extra sum assured of Rs5,00,000 is payable as lump-sum to the nominee of the policy holder. Apart from this in case of permanent disability of the insured due to uncertain accident then a sum assured amount is paid to the insured in monthly installments till the completion of the policy tenure.

Add-on Benefits

By paying some extra amount of premium on to the basic premium you can avail the options for some optimal benefits that you can add to the basic plan.

Participation in Profits

The New Jeevan Anand Policy by LIC life insurance is a participating plan in which the policyholder participates in the earnings of the LIC and consequently entitled to be given Simple Reversionary Bonus as declared by the Corporation. However, if the policy is in full force the same shall take place only during policy tenure.

Guaranteed Surrender Value

A guaranteed surrender value of 30% is offered to the policy holder. In this if the insured surrender the policy after three years then the surrender value is payable to the insured in which the basic premium is paid excluding the first year’s premium. The LIC can pay more than the guaranteed surrender value or equal amount of money depending upon the various factors such as economic environment and various other factors.

LIC Jeevan Anand Policy – Eligibility Criteria

  1. The minimum entry age of the policy starts from 18 years – 65 years
  2. In order to purchase the policy one need to fill the application form thoroughly with right information
  3. The policy can be bought with the minimum period of 5 years to 57 years.
  4. The plan is profitable for people of all age group who wants to protect their family from all types of financial risk in absence of death.
  5. According to your convenience you can pay the premium in yearly, half-yearly, quarterly and monthly basis.
  6. Minimum sum assured (basic) under the plan is Rs. 100,000
  7. There is no limit to the maximum sum assured under the LIC New Jeevan Anand Policy (Basic Sum Assured is always in a maximum figure s Rs. 5000/)

Key Features of LIC Jeevan Anand Plan

Following were the noteworthy character of this plan from Life Insurance Corporation:

  • Premiums had to be paid throughout the policy period.
  • Insurance was done for the whole life of an individual.
  • Disability and accident followed by death were covered.
  • Minimum age of 18 years and maximum age of 50 years were the criteria as entry age.
  • Maximum maturity age was 75 years.
  • Full benefit amount was paid to the insured person if he/she survived till the end of policy term.
  • The nominee was authorized to get the maturity claim in case the insured one passed away for any reason.
  • There was a deduction on premium if the greater sum assured was chosen by the customer.
  • Premium paying term was same as policy term.
  • Policy term was 15 years minimum and 35 years’ maximum.
  • Rs, 100,000/ was the lowest limit for a sum assured.
  • 80% of the premium was provisioned to be paid to the nominee of the policyholder if he/she committed suicide within the period of 1 year of commencement of the scheme.

Besides the above-listed features, this plan used to give following benefits also:

  • Accrued bonuses.
  • Death benefits to nominee when the policyholder died before the maturity period.
  • The death benefit was involving 125% of the basic sum assured along with ten times the annual premium and 105% of the gross premium.

LIC Jeevan Anand Policy – Inclusions

  • Dual protection regarding disability and life risk was covered.
  • Suicidal recovery had been included.
  • Backdating interest was taken into account.
  • Proposal form no. 340 & 300 had to be filled.
  • Riders were included.
  • Home loan surety.
  • Grace time of 30 days

LIC Jeevan Anand Policy – Exclusion

No rebate was provisioned to offer for the sum assured up to Rs 2, 00,000/.

LIC Jeevan Anand Policy – Documents Required

  • Proposal form
  • Age proof
  • Address proof
  • Identity proof
  • Photograph(s)
  • Medical proof(s)

LIC Jeevan Anand Policy – Claim Procedure

  • Fill NEFT form first
  • Fill Discharge form
  • Copy of bank pass book
  • Policy bond formality
  • Accident supporting papers
  • Death certificate
  • Medical report in support of any disability
  • Submit all above listed papers and go for claim

LIC New Jeevan Anand Policy

LIC New Jeevan Anand launched by LIC Life Corporation of India is a non-linked participating policy that offers profit of savings and protection combined at the same time. This combined profit secures monetary protection of the policy holder family against his demise. In case the policy holder survives till the entire policy tenure, the policy ensures a lump sum payment once the tenure of the policy comes to an end. The New Jeevan Anand Plan provides financial liquidity as well as loan facility for protection to the insured.

Key Features of LIC New Jeevan Anand Policy

  • LIC New Jeevan Anand Plan provides guaranteed returns along with the bonus facility.
  • The life cover under the New Jeevan Anand Policy can expand till the death of the policyholder.
  • Benefits of add-on coverage, such as Disability Benefit Rider and Accidental Death Benefits can also be avail by the insured under the plan.
  • The policy offers a rebate in case if the policy holder opts for a higher sum assured.

Benefits of LIC New Jeevan Anand Policy

Death Benefit

In case if all the premium of your policy is have been duly paid then you can avail the benefits offered by the policy.

During the tenure of the policy if the policy holder dies a sudden death: An assured sum of amount is paid to the beneficiary along with the allotted bonus in a lump sum in case of death of the policy holder during the policy tenure. The Sum Assured in this case, is the higher amongst 125 per cent of the Basic Sum Assured or annualized premium multiplied by 10.

However, the death benefit under the LIC New Jeevan Anand Policy shall not be lower than 105% of the sum total premiums paid till the date of death.

NOTE: The premiums referred to in the above statement do not include rider premiums (if any), service tax, or extra premium.

In the case of policyholder’s demise after the policy tenure is over: On the maturity of the policy after the completion of the policy term, the Basic Sum Assured is payable to the nominee in such case.

Benefits by the end of the Policy

In case the insured survives the entire term of the policy, then with the completion of the policy term, the Basic Sum Assured along with the final additional bonus (if any) and vested simple reversionary bonus is payable in a lump sum. However, the benefit shall be payable only if the all the premiums have been duly paid.

Participation in Profits

The LIC New Jeevan Anand Policy by LIC life insurance is a participating plan in which the policyholder participates in the earnings of the LIC and consequently entitled to be given Simple Reversionary Bonus as declared by the Corporation. However, if the policy is in full force the same shall take place only during policy tenure.

When the death claims have been made under the policy or when the survival benefit is due the policy might also result in the final additional bonus in the year. However, the policy should be in full force and should have completed a certain specified minimum term.

Optional Benefit

Accidental Disability and Death Benefit Rider

The Accidental Disability and Death Benefit Rider is an add-on cover available as a rider and can be obtained by paying a nominal amount of additional premium. In the event of the insured death due to an accident during the policy term, then the Accident Benefit Sum Assured as a lump sum in addition to the death benefit specified under the LIC New Jeevan Anand Plan is paid to the beneficiary. In the case of a permanent disability arising out of an accident during the policy term, then the Sum Assured under Accidental Benefit Rider will be payable to the beneficiary in equal monthly installments over a period of 10 years. Also, the future premiums for the basic sum assure as well as the rider will be waived off.

Key Factors of the LIC New Jeevan Anand Policy

  • One can get guaranteed return on the plan along with the bonus facility.
  • The life coverage of the insured expands until the demise of the policy holder under LIC Jeevan Anand Policy.
  • Under the plan the policy holder can take advantage of add-on coverage such as accidental death benefit and disability rider.
  • In case if as an insured you opt for a higher sum assured then in that case the policy offers rebate.

Eligibility Conditions for the LIC New Jeevan Anand Policy

  1. a) Minimum sum assured (basic) under the plan is Rs. 100,000
  2. b) There is no limit to the maximum sum assured under the LIC New Jeevan Anand Policy

(Basic Sum Assured is always in a maximum figure of Rs. 5000/-)

  1. c) The minimum entry age for the policy is 18 years.
  2. d) The maximum entry age for the plan is 50 years.
  3. e) The maximum maturity age is 75 years for this policy.
  4. f) The minimum term of the policy is 15 years
  5. g) The maximum policy term is 35 years

LIC New Jeevan Anand is a comprehensive plan that provides various benefits and can be availed online in a simple and hassle freeway.

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About Geet Sharma

My Name is Geet Sharma Financial Blogger & Founder of Paisabank.org. We are a personal finance blog dedicated to finance & financial planners. The main aim of this blog is to help people to informed about financial decisions.
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