LIC New Jeevan Anand Plan

Death Benefit

On the death of the life assured during the policy term but before the policy maturity date, the nominee receives the death benefit under the LIC New Jeevan Anand plan. The death benefit equals the ‘Sum Assured on Death’ and is paid with vested simple reversionary bonuses and a final additional bonus (if any).

The sum assured on death is an amount higher of

• 125% of the basic sum assured
• 7 times the annualized premium

On the death of the life assured after the expiry of the policy term (completion of the policy maturity), the nominee receives the basic sum assured.

Note: The death benefit payable cannot be less than 105% of the total premium paid till the date of the death

Maturity Benefit

If the life assured survives the policy maturity date, they receive ‘Sum Assured on Maturity’ with the vested simple reversionary bonuses and final additional bonus (if any). The sum assured on maturity is the amount equal to the basic sum assured under the LIC New Jeevan Anand plan.

Participation in Profits

The LIC New Jeevan Anand plan is eligible to participate in the profits of the Life Insurance Corporation. The policyholders receive simple reversionary bonuses based on the company's experience during the policy term.

A final additional bonus is also payable under the LIC New Jeevan Anand plan in the year when the policy is claimed due to the death of the life assured during the policy term or upon the policy maturity. The final reversionary bonus is not payable under a paid-up policy.

Policy Premium Payment

The policyholder can choose to pay the LIC premium regularly at yearly, half-yearly, quarterly, or monthly intervals as per their financial fit.

Grace Period

In case, the policyholder fails to pay the LIC premium within the premium due date, they can pay it before the expiry of the grace period. A grace period of 30 days is allowed for yearly, half-yearly, or quarterly payments and 15 days for monthly payments from the date of the first unpaid premium. During this period, the risk cover under the LIC 915 policy remains enforced without any interruption. The policy lapses if the premium is not paid within the grace period.

Policy Revival

The policyholder can revive the policy within five consecutive years from the date of the first unpaid premium but before the completion of the policy term. The revival of the lapsed LIC policy is done by paying all the outstanding premiums with interest.

Policy Rebate

Life Insurance Corporation allows two types of rebates under LIC New Jeevan Anand policy to maximize the benefits to the policyholder. The following rebates are available under the policy:

Rebate on Mode:

Rebate on High Sum Assured Premium:

Paid-Up Policy

If the policyholder has paid the premium under the LIC New Jeevan Anand plan for at least two full policy years and no subsequent premium payments are made, the policy shall not be wholly void and will continue as a paid-up policy.

Under a paid-up policy, the sum assured on death is reduced to the death paid-up sum assured, and the sum assured on maturity is reduced to an amount equal to the maturity paid-up sum assured. In addition, the vested simple reversionary bonuses are also payable when the policy is claimed due to the death of the life assured or upon the completion of the policy term.

Policy Surrender

If the policyholder has paid the premiums for at least two full policy years, they can surrender the LIC 915 policy. Upon surrender, the surrender value higher of the below is payable:

• Guaranteed surrender value
• Special surrender value

Policy Loan

The policyholder can avail of the loan under the New Jeevan Anand policy if they have paid the premiums for at least two full policy years. The maximum loan allowed under the policy is:

• For in-force policies: up to 90% of the surrender value
• For paid-up policies: up to 80% of the surrender value

Tax Benefits

The policyholder can avail of tax benefits under LIC New Jeevan Anand policy as per the prevailing tax laws and rates. Under Section 80C of the Income Tax Act, they can avail of the tax benefits on the premium paid towards the policy. Also, the benefits received are tax-exempted under Section 10 (10D).

Free Look Period

A 15-day free look period (from the date of policy receipt) is provided under the policy, during which the policyholder can review the policy and return it to the Life Insurance corporation if they are not satisfied with the terms and conditions. To support the cancellation, the policyholder is required to state the reason for the objection.

On receiving the receipt, the LIC of India shall cancel the policy and return the premium amount submitted after deducting the applicable charges and expenses incurred.