LIC Jeevan Lakshya

About LIC Jeevan Lakshya plan

• An investment plan which provides monetary protection for your family in your absence and provides good returns
• In case of your absence during the policy term the children’s future is taken care of till the end of the policy term
• Has an option to choose an additional add-ons from the given two riders

How does this plan work?

LIC Jeevan Lakshya:- When buying a policy, an individual chooses a Sum assured (cover amount) and policy term where you need to policy paying term for a specific periods that is determined by the following equation (Policy term – 3). On completion of the policy term, the individual receives a Maturity Benefit which is a lumpsum comprising of the Sum assured + Simple Reversionary bonuses and Final Additional bonus (If Any). In case of death of the insured during the policy term, the nominee receives 10% of the sum assured in annual payments for the remaining years until a year before maturity and, on maturity; the nominee gets 110% of the sum assured + accured bonus.

It should be noted that the total death benefit (amount on death) should be greater than 105% of the total premium paid till death.

Let’s understand this better with an example given below

Death Benefit:-

Age: 32 Yrs
Sum Assured: 5,00,000 
Policy Term: 18 Years
Premium: Rs 3356/month
Premium Paying Term: (18-3=15) Years

If the person dies in the seventh year, then the death benefit during the term of policy will be Death Sum Assured + Bonus

Death Sum Assured = Rs 50,000 every year from 7th till 17th year and 110 % of sum assured on maturity.

Bonus = reversionary bonus will be Rs 3,78,000 (considering 4.2% every year) + additional bonus if any

Death Benefit on Maturity = Rs 5,50,000 (Death Sum Assured) + Rs 3,78,000 ( Accured Bonus) on maturity at 18th year

Note:- Death Sum Assured > 105% total premium paid till death

Maturity Benefit:

If Policyholder survives till maturity, then policyholder will get Sum assured + simple reversionary bonus + Additional Bonus

Sum Assured (Rs 5,00,000) + Bonus [Rs 3,78,000 (assumed 4.2%)] =Approx. Rs 8,78,000

Why should you buy LIC Jeevan Lakshya plan?

• It is helpful to secure your family’s future
• This plan can also be used to do estate planning.
• High Life cover ratio means higher bonus amounts.
• Premiums paid are exempt from taxation under Section 80C

Who should buy LIC Jeevan Lakshya plan?

An 18 to 50 year old individual who wants a secure investment option with good lump sum returns should opt for this plan. The maximum tenure of 25 years is helpful in growing your money with life cover till you are alive.

Riders & Add On

The following rider is available under this plan:

• Accidental Death and Disability Rider: In this rider the nominee/ family receives the sum assured after the insured’s accidental death or dismemberment or permanent disability.
• New Term Assurance Rider:  In this rider the policyholder gets an additional life cover (sum assured). On death of the insured, the nominee/family receives additional equivalent amount of money payable in this rider

Claim Process

Know Claim Process of Jeevan Lakshya

Claim Process