LIC Bima Diamond Plan (841): Features, Benefits, Premium Calculator and More
LIC Bima Diamond Plan (841): Features, Benefits and Premium Calculator:
LIC Bima Diamond (841) is a limited premium paying, non-linked, with profits money back plan of LIC. This plan is also one of the popular plan of LIC, in which premium paying term is less than the terms of the policy. For example if policy term for 24 years has been selected than the policy holder has to pay premium for 15 years only. Money back will be provided at the end of every 4th year and the maturity amount is paid at the end of policy term.
The LIC Bima Diamond Plan (841) offers a combination of protection and savings. The Plan provide financial support to the family in case of unfortunate death of the policyholder any time before maturity, not only during the policy term but also beyond the policy term, during the extended cover period. Periodic payments are also made on the survival of the policyholder, at a specified interval during the policy term.
This Plan also takes care of the liquidity needs through its loan facility.
Key Features of LIC Bima Diamond Plan (841):
- LIC Bima Diamond Plan (841) is a money back plan.
- Premium needs to be paid for less number of years than the policy term.
- This is a participating plan.
- Extended Risk Cover Benefit is available after maturity.
- Accidental death and disability riders makes this plan more beneficial.
- Rebate is also offered to policy holder if he opt for higher sum assured.
- Premium Paid are exempted from income tax under section 80C.
- Amount received on maturity or on death is exempted under section 10 (10D).
Benefits of LIC Bima Diamond Plan (841):
On the death of life assured during first 5 year of the policy term policyholder’s nominee will get Sum Assured on death.
On the death of life assured after the completion of 5 year of the policy but before maturity policyholder’s nominee will get Sum Assured on death and loyalty addition, if any.
Maximum Sum Assured on Death can be absolute amount assured on death i.e. basic sum assured. The death benefit shall not be less than 105% of all the premium paid till the date of death.
In case of death during extended cover period, a sum equal to the 50% of the basic sum assured will be paid.
If the policy holder survive till the end of policy term he will be paid as given below:
- 15% of the Basic Sum Assured at the end of each 4th year, 8th year and 12th year, if the policy term is 16 years.
- 15% of the Basic Sum Assured at the end of each 4th year, 8th year, 12th year and 16th year, if the policy term is 20 years.
- 12% of the Basic Sum Assured at the end of each 4th year, 8th year, 12th year, 16th year and 20th year, if the policy term is 24 years.
If the life assured survive till the end of the policy term, he will be paid sum assured on maturity along with loyalty additions, if any. Sum assured on maturity will be 55% of the Basic Sum Assured for a policy term of 16 years and 40% of the Basic Sum Assured for a policy term of 20 years and 24 years.
Participation in Profit/ Loyalty Addition:
The policy also participate in the profit of the corporation in the form of loyalty addition. The policy holder is entitled to receive loyalty additions at such rates and on such terms as may be declared by the Corporation.
Accidental Death and Disability Benefits Rider and LIC’s New Assurance Rider are also available on the payment of additional premium during the policy term. However Rider sum assured can not exceed the basic sum assured.
Premium paid is exempted u/c 80C and the amount received on death or maturity is also exempted u/s 10 (10D).
Loan Facility: Loan facility is also available after the completion of 3 years.
Eligibility and other restrictions:
- Minimum age of entry : 14 years
- Maximum age of entry : 50 years for policy terms 16 Years, 45 years for policy terms 20 Years and 41 years for policy terms 24 Years
- Maximum Age of Maturity: 66 years for the policy term of 16 years and 65 years for the policy term of 20 years and 24 years.
- Basic Sum Assured : Minimum Rs. 100000 and Maximum Rs.500000 (in multiple of Rs.20000).
- Policy Term/Premium Paying Term: (16/10), (20/12), (24/15)
- Extended Cover Period: (Policy Term/2) years after elapsation of the policy term.
Mode of Payment of Premium:
Premium can be paid monthly, quarterly, half yearly and yearly.
Rebate on mode and high sum assured:
- Quarterly and monthly mode nil
- Half yearly mode 1%
- Yearly mode 2%
Basis sum assured rebate:
- 100000 to 180000 Nil
- 200000 to 480000 2.5% of Basic Sum Assured
- 500000 and above 3% of Basic Sum Assured
Lapse, Revival and paid up value: If the premium is not paid within the grace period the policy will lapse. Lapsed Policy can be revived within a period of two consecutive years from the date of first unpaid premium on the payment of all the arrears of premium with interest. However if at least three full years premium have been paid and any subsequent premium be not duly paid, this policy shall continue as a paid up policy.
The policy can be surrendered for cash provided at least three full years premiums have been paid. The surrender value percentage will depend on the policy term and the policy year in which surrendered.
Premium Calculator: For the calculation of premium of LIC Bima Diamond Plan (841), LIC Premium Calculator can be used. To calculate premium click on Premium Calculator
For More Details of the Plan visit: LIC Bima Diamond Plan
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