Jeevan Saral – Conventional Linked Plan By LIC of India

Jeevan Saral provides higher cover, fast tax returns, fluidity and appreciable flexibility. In this plan one has to prefer the premium he or she wants to pay whereas in normal or average plans one picks out the sum assured. Under this plan of Jeevan Saral death cover will be same no matter what is age at entry and term. The sum payable at maturity however differs for different entry age and terms.  This plan is very correct for employees searching life cover through salary savings schemes.

This plan provides an Auto cover (if early insurance premiums are not cashed, the risk cover under the plan will proceed for 12 months from the date to first unpaid premiums), the death benefit (it considers loyalty additions along with 250 times the monthly basic premiums), maturity benefits (includes loyalty additions along with the maturity sum assured), partial surrenders (after closing of three years from the DOC provided full premiums have been paid subject to conditions can be made any time). The policy can be surrender after it has been in force for at least 3 full years. Once you choose the premium, insurance coverage and the maturity benefits are available.  Jeevan Saral provides you the freedom to choose premium that you want to pay.

Term assurance rider option: the sum that is equivalent to the term assurance, sum assured is collectible only on death of the policyholder during the term of the policy.

Risk coverage: Jeevan Saral is the first policy which offers 250 times of basic monthly premium with premium return plus additional loyalty, children who are between age 1 to 12 years are eligible.

Loyalty additions
Only loyalty additions will be announced under this policy and a plan will earn such increases after a minimum of ten policy years have been completed. Loyalty additions are non-guaranteed and are a function of LIC’s investment performance.

Guaranteed Surrender Value: Jeevan policy can be surrendered after it has been in force for at least 3 full years. It is equal to 30% of the total amount of premiums paid excluding the premiums for the first year and all the extra premiums and premiums for accident benefit / term rider.

Paid up value: the policy will get paid-up value if the at-least three year premium has been paid. 

Partial surrender: a portion of the policy can be surrendered and money can be received from LIC, if premiums have been paid for a minimum of three years.

Eligibility conditions for Jeevan Saral Plan: This plan gives many conditions or some restrictions which are be illustrated as under:

Minimum Age at Entry: 12 years.

Maximum Age at Entry: 60 years.

Maximum Maturity Age: 70 years.

Minimum Term: 10 years.

Maximum Term: 35 years.

For Age 12 to 49 years: Minimum Premium is Rs.250/- p.m.

For Age 50 to 60 years: Minimum Premium of Rs.400/- p.m. and Maximum Premium will be of Rs. 10,000/- p.m.

Premiums paid in this plan must be in multiples of Rs. 50/- p.m.

Jeevan Saral can be stated as an easy assurance plan where the policy holder selects the amount and also the way of the premium payment.