LIC Jeevan Pragati Plan (838)

LIC Jeevan Pragati Plan (838): Features, Benefits, Premium Calculator and More

LIC Jeevan Pragati Plan (838)


LIC Jeevan Pragati Plan (838): Features, Benefits and Premium Calculator

LIC Jeevan Pragati Plan (838) is a non-linked, with profits endowment plan of LIC. This plan is also one of the  popular plan of LIC.  This plan provides for automatic increase in risk cover after every five years during the term of the policy.

The LIC Jeevan Pragati Plan offers a combination of protection and savings. The Plan provide financial support for the family in case of unfortunate death of  the policyholder any time before maturity and a lump sum amount at the the time of maturity for the surviving policyholder.

This Plan also takes care of the liquidity needs through its loan facility.

Key Features of LIC  Jeevan Pragati Plan (838)

  • This is a  participating plan.
  • Risk cover increases after every five year during the term of the policy.
  • 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  Jeevan Pragati Plan (838):

Death Benefits:

On the death during policy term policyholders nominee will get Sum Assured on death, vested Simple Reversionary Bonuses and Final Additional Bonus if any.

Maximum Sum Assured on Death can be absolute amount assured on death i.e. basic sum assured  or 10 times of annualized premium which ever is higher i.e. 100% of the Basic Sum Assured during the first 5 policy years, 125% of the Basic Sum Assured during 6th to 10th policy years, 150% of the Basic Sum Assured during 11th to 15th policy years and thereafter 200% of the Basic Sum Assured. The death benefit shall not be less than 105% of all the premium paid till the date of death.

Maturity Benefits:

If the policy holder survive till the end of policy term he will get Sum Assured on maturity, vested Simple Reversionary Bonuses and Final Additional Bonus if any provided all the premiums have been paid.

Participation in Profit:

The policy also participate in the profit of the corporation. The policy holder is entitled to receive bonuses declared by LIC from time to time provided the policy is in full force.

Optional Benefits:

Accidental Death and Disability Benefits Rider is also available on the payment of additional premium during the policy term. However  Rider sum assured can not exceed the basic sum assured.

Tax Benefits:

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   :    12 years
  • Maximum age of entry : 45 years
  • Maximum Age of  Maturity: 65 years
  • Basic Sum Assured  :   Minimum Rs. 150000 and Maximum no limit (in multiple of Rs.10000).
  • Policy Term: 12 to 20 years

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:

  • 150000 to 290000         Nil
  • 300000 to 490000        1.50% of Basic Sum Assured
  • 500000 to 990000        2% of Basic Sum Assured
  • 1000000 and above       2.25% 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.

Surrender Value:

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  Jeeevan Pragati Plan, LIC Premium Calculator can be used. To calculate premium click on Premium Calculator

For more details of the Plan visit: LIC Jeevan Pragati Plan (838)

Also See: LIC New Jeevan Anand Plan: Features, Benefits and premium calculator

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