Life Insurance Corporation of India (LIC), the country's largest life insurance company, also offers endowment plans among its various insurance products. LIC's one such endowment product is LIC New Jeevan Anand Policy. An endowment plan works in a slightly different manner compared with a term life insurance plan. An endowment insurance policy offers both investment and insurance benefits, whereas a term insurance policy only matures in the event of death of the insured and hence offers only insurance benefit, according to experts.
Here are details about the premium, tax and maturity benefits of Life Insurance Corporation's LIC endowment policy LIC New Jeevan Anand:
Who can subscriber? LIC's New Jeevan Anand policy plans can be purchased by any individual between the age of 18 and 50 for minimum sum assured of Rs. 1 lakh and there is no maximum limit for sum assured.
Policy term: The minimum policy term is for 15 years and maximum is 35 years and maximum maturity age is 75 years.
Premium amount: The premium for the New LIC Jeevan Anand policy can be paid regularly at yearly, half-yearly, quarterly or monthly intervals over the policy term.
Here are some sample premium rates (exclusive of service tax) per Rs. 1,000 of basic sum assured under the LIC Jeevan Anand policy:
| Policy Term (in years) | |||
|---|---|---|---|
| Age (in years) | 15 | 25 | 35 |
| 20 | 79.05 | 44.30 | 29.95 |
| 30 | 82.45 | 46.75 | 32.30 |
| 40 | 88.20 | 51.40 | 37.10 |
| 50 | 97.70 | 59.65 | |
Source: LIC
Besides a guaranteed return, the LIC New Jeevan Anand policy also offers variable returns based on the future financial performance of Life Insurance Corporation. There are two scenarios for variable returns under which the LIC pays return on investment at 4 per cent and 8 per cent per annum.