LIC Bima Shree is the newest feather in the exceptionally crafted products of Life Insurance Corporation of India. The LIC Bima Shree plan of was launched on 13th June 2018. LIC has introduced this insurance policy as a money back insurance policy that guarantees payment to the policyholder at regular intervals. The Bima Shree plan is designed to provide financial stability and security to the policyholder and to their family in case of unfortunate death of the bread-winner during the tenure of the policy. Being a money-back plan the LIC Bima Shree plan guarantees periodic payments to the policyholder at specific intervals and in lump sum on policy maturity. Let us understand the LICs Bima Shree Plan in detail.
The LICs Bima Shree Plan offers following key features to the policyholders
Following are the key benefits of availing the LICs Bima Shree Plan :
Maturity benefit is payable on survival of the life assured through the entire Policy Term.
Maturity Benefit = Sum Assured on Maturity + Guaranteed Additions + Loyalty Additions, if any
The policyholder’s of Bima Shree Plan are eligible to get Guaranteed Additions and the Loyalty Additions along with maturity payouts depending upon the policy tenure.
The Sum Assured on Maturity is defined as :
The rest of the benefit is paid as survival benefit during the policy tenure as per the pre-defined schedule.
Taking the maturity benefit in instalment is also called as the Settlement Option under the LICs Bima Shree Plan. The policyholder has an option to take the Maturity Benefits in instalments and for that tenure an interest is earned by the policyholder.
Under this option :
|Policy Tenure||% of Sum Assured paid as Survival Benefit||Survival Benefit years||Maturity Benefit = % of Basic Assured + Guaranteed Additions + Loyalty Additions||Total Benefit = Survival Benefit + Maturity Benefit (As % of Basic Sum Assured + Guaranteed Additions + Loyalty Additions|
|14 years Policy||30%||10th & 12th Policy Year%||40%||100%|
|16 years Policy||35%||12th & 14th Policy Year||30%||100%|
|18 years Policy||40%||14th & 16th Policy Year||20%||100%|
|20 years Policy||45%||16th & 18th Policy Year||10%||100%|
Following is a tabular illustration of guaranteed surrender value factor of LICs Bima Shree Plan :
|Policy year of surrender||Policy term 14 years||Policy term 16 years||Policy term 18 years||Policy term 20 years|
|Eligibility Parameters of LIC Bima Shree Plan|
|Min. Sum Assured||Rs 10 Lakhs|
|Max. Sum Assured||No Limit|
|Policy Term||14 Years, 16 Years, 18 Years and 20 Years|
|Premium Paying Tenure||Policy Term opted MINUS 4 Years|
|Min Entry Age||8 Years|
|Max Entry Age||
|Max Age of Policyholder at time of Policy Maturity||
|Date of Risk Commencement||Immediate|
Thus above are the main and important eligibility criteria that policyholder should fulfill in order to purchase the LICs Bima Shree Plan.
Purchasing the LICs Bima Shree Plan is easy and simple. Life Insurance Corporation has simplified the ways in which the policy can be purchased. Anyone who wishes to purchase the LIC Bima Shree Plan can do it in the following ways :
For purchasing the Bima Shree Plan the policyholders are required to submit the following documents :
Premium rates of LIC Bima Shree Plan per 1,000 Rs Basic Sum Assured are as under :
|Age of the Policyholder (Nearer Birthday)||Particulars|
|For Policy Term of 14 Years and Premium Paying Term of 10 Years||For Policy Term of 16 Years and Premium Paying Term of 12 Years||For Policy Term of 18 Years and Premium Paying Term of 14 Years||For Policy Term of 20 Years and Premium Paying Term of 16 Years|
|20 Years of Age||110.25||92.60||79.70||70.80|
|30 Years of Age||110.80||93.20||80.45||71.70|
|40 Years of Age||113.15||95.85||83.35||74.90|
|50 Years of Age||119.70||102.65||NA||NA|
Let us understand with an example of how the tabular premium rate chart can be used to derive the premium amount of the LIC Bima Shree Plan.
Annual Premium :
= 95.85/1000 * Rs 3,00,000
= Rs 28,755 + Tax
(Since premium rates are of Rs 1,000 per basic sum assured)
Things to know about premium payment
If the policyholder fails to pay the premium even within the grace period then the Bima Shree policy shall lapse.
The LICs Bima Shree Plan offers attractive discounts and rebates on premium paying mode and High Basic Sum assured as under :
Premium Paying Mode Rebate :
Rebates on High Basic Sum Assured :
Yes, the LIC Bima Shree plan offers policy loan facility. The policyholders can avail loan against their bima shree policy provided the policy has acquired surrender value. The maximum loan amount that can be availed under this plan is as under :
LICs Bima Shree provides 5 riders in order to increase the benefits offered under the plan. The 5 riders under this plan are as under :
Yes, the LICs Bima Shree Plan offers grace period for payment of premium. A grace period of 1 month is offered for Yearly, Half-Yearly and Quarterly mode of premium payment while 15 days grace period is offered for monthly and salary deduction mode of premium payment.
Other LIC’s Money Back Plans