Benefits

LIC’s Jeevan ANURAG is a with profits plan specifically designed to take care of the
educational needs of children. The plan can be taken by a parent on his or her own
life. Benefits under the plan are payable at prespecified durations irrespective of
whether the Life Assured survives to the end of the policy term or dies during the
term of the policy. In addition, this plan also provides for an immediate payment of
Basic Sum Assured amount on death of the Life Assured during the term of the
policy.

Assured Benefit
Payment of 20% of the Basic Sum Assured at the start of every year during last 3
policy years before maturity. At maturity, 40% of the Basic Sum Assured along with
reversionary bonuses declared from time to time on full Sum Assured for the full term
and the Terminal bonus, if any shall be payable. For example, if term of the policy is
20 years, 20% of the Sum assured will be payable at the end of the 17th,18th, 19th
year and 40% of the Sum Assured along with the reversionary bonuses and the
terminal bonus, if any, at the end of the 20th year.

Death Benefit
Payment of an amount equal to Sum Assured under the basic plan immediately on the
death of the life assured.

The plan offers other benefits as follows:

Grace Period:
A grace period of one month but not less than 30 days will be allowed for payment of
yearly, half-yearly or quarterly premiums and 15 days for monthly premiums.

15 –days Cooling-off period:

If you are not satisfied with the “Terms and Conditions” of the policy you may return
the policy to us within 15 days.

Paid up Value:
If at least three full years' premiums have been paid in respect of this policy, any
subsequent premium be not duly paid, this policy shall not be wholly void, but the
Sum Assured by it shall be reduced to such a Sum, called the paid-up value, as shall
bear the same ratio to the full Sum Assured as the number of premiums actually paid
shall bear to the total number of premiums originally stipulated in the policy. The
policy so reduced shall thereafter be free from all liability for payment of the within
mentioned premium, but shall not be entitled to the future bonuses. The existing
vested reversionary bonuses, if any, will remain attached to the reduced paid-up
Policy. The Sum Assured so reduced along with existing bonuses, if any, shall be paid
in one single installment on maturity or on earlier death.

The rider benefits will cease to apply if the policy is in lapsed condition.

Once the payment of assured benefit starts, the policy shall be kept in force till
maturity and the unpaid premiums, if any, will be deducted with interest at
appropriate rate out of the next benefit payment.

Loan:
Policy Loan is permissible under the policy after it acquires a paid-up value but before
starting of payment of assured benefits. The terms and conditions of loan and the rate
of interest applicable will be as fixed by the Corporation from time to time. At
present, the rate of interest is 9% p.a. compounding half-yearly.

Guaranteed Surrender Value:

This policy can be surrendered for cash after the policy is kept in force by payment of
premiums for at least three years. The guaranteed surrender value allowable under this
plan for all modes, except the single premium mode will be equal to 30 per cent of the
premiums paid excluding the premiums paid for the first year and all extra premiums
and the premiums paid for optional / rider benefits. In case of single premium mode,
the guaranteed surrender value will be 90 per cent of the premiums paid excluding all
extra premiums and the premiums paid for optional / rider benefits. The cash value of
any existing vested bonus additions will also be payable on surrender.

Revival:
Subject to production of satisfactory evidence of continued insurability, a lapsed
policy can be revived by paying arrears of premium together with interest within a
period of five years from the due date of first unpaid premium. The rate of interest
applicable will be as fixed by the Corporation from time to time. At present the rate of
interest is 8% p.a. compounding half-yearly.

OPTIONAL RIDER BENEFITS:

The plan offers following optional riders on payment of additional premium and
subject to the eligibility conditions mentioned below:

Accidental Death and Disability Benefit

Accidental Death and Disability Benefit will be available for an amount not exceeding
the sum assured under the basic plan subject to overall cover of 25 lakh under all
policies of the life assured with the Corporation taken together

Term Assurance Rider Benefit

Term assurance rider benefit will be available for an amount not exceeding the sum
assured under the basic plan subject to overall cover of 25 lakh under all policies of
the life assured with the Corporation taken together.

Critical Illness Rider Benefit

Critical Illness Rider Benefit will be available for an amount not exceeding the sum
assured under the basic plan subject to overall cover of 5 lakh under all policies of the
life assured with the Corporation taken together.

If Premium Waiver Benefit is opted for, then in case of diagnosis by any of the
critical illness conditions covered under the policy, the total future premiums in
respect of the policy will be waived. Sum Assured under such policies will not exceed
Rs 5 lakh.
ACCIDENTAL DEATH AND DISABILITY BENEFIT:
On death arising as a result of accident an additional amount equal to the Accident
Benefit Sum Assured is payable. On total and permanent disability arising due to
accident (within 180 days from the date of accident) an amount equal to the Accident
Benefit Sum Assured will be paid over a period of 10 years in monthly installments.

The disability due to accident should be total and such that the Life Assured is unable
to carry out any work to earn the living. Following disabilities due to accidents are
covered:

i) Irrevocable loss of the entire sight of both eyes, or

ii) Amputation of both hands at or above the wrists, or

iii) Amputation of both feet at or above ankles, or

iv) Amputation of one hand at or above the wrist and one foot at or above the ankle

No benefit will be paid if accidental death or disability arises due to accident in case
of:

i) Intentional self-injury, attempted suicide insanity or immorality or the Life Assured

is under the influence of intoxicating liquor, drug or narcotic

ii) Engagement in aviation or aeronautics other than that of a passenger in any air
craft

iii) Injuries resulting from riots, civil commotion, rebellion, war, invasion, hunting,
mountaineering, steeple chasing or racing of any kind

iv) Accident resulting from committing any breach of law

v) Accident arising from employment in armed forces or military services or police

organization.

TERM ASSURANCE RIDER BENEFIT:

An amount equal to Term Assurance Rider Sum Assured will be payable on death of
the life assured during the policy term.

If Premium Waiver Benefit has been opted for , then in case of diagnosis by any of
the critical illness conditions covered under the policy, the total future premiums
payable (total installment premium) will be waived.

EXCLUSIONS:
This policy shall be void if the Life Assured commits suicide (whether sane or insane
at the time) at any time on or after the date on which the risk under the policy has
commenced but before the expiry of one year from the date of commencement of risk.
In case of death due to suicide during this period, the Corporation will not entertain
any claim by virtue of this policy except to the extent of a third party’s bona-fide
beneficial interest acquired in the policy for valuable consideration of which notice
has been given in writing to the office where this policy is serviced, at least one
calendar month prior to death.

BENEFIT ILLUSTRATION:

Statutory warning:
“Some benefits are guaranteed and some benefits are variable with returns based on
the future performance of your Insurer carrying on life insurance business. If your
policy offers guaranteed returns then these will be clearly marked “guaranteed” in the
illustration table on this page. If your policy offers variable returns then the
illustrations on this page will show two different rates of assumed future investment
returns. These assumed rates of return are not guaranteed and they are not the upper or
lower limits of what you might get back, as the value of your policy is dependent on a
number of factors including future investment performance.”

Illustration 1:
Age at entry (Life Assured): 35 years
Policy Term: 25 years
Premium paying term: 25 years
Mode of premium payment: Yearly
Sum Assured: Rs.1,05,000/-
Bonus Assumptions:
Regular Bonus - Rs.21 per thousand S.A at 6% rate of return
Rs.55 per thousand S.A at 10% rate of return
Terminal Bonus - Rs. 170 per thousand S.A at 6% rate of return
Rs. 450 per thousand S.A at 10% rate of return
Annual Premium : Rs.4,606/-

Additional Benefits:
Benefit payable on earlier death /survival upto end of the
End of Total premium policy term
Year paid Variable Total
Guaranteed
Scenario 1 Scenario 2 Scenario 1 Scenario 2
22 1,01,332 21,000 0 0 21,000 21,000
23 1,05,938 21,000 0 0 21,000 21,000
24 1,10,544 21,000 0 0 21,000 21,000
25 1,15,150 42,000 72,975 1,91,625 1,14,975 2,33,625

Illustration 2:
Age at entry (Life Assured): 35 years
Policy Term: 25 years
Premium paying term: One
Sum Assured: Rs.1,05,000/-
Bonus Assumptions:
Regular Bonus - Rs.24 per thousand S.A at 6% rate of return
Rs.92 per thousand S.A at 10% rate of return
Terminal Bonus - Rs.200 per thousand S.A at 6% rate of return
Rs.760 per thousand S.A at 10% rate of return
Single Premium: Rs.59,157 /-

Benefit payable on death during the year

End of Total premium Variable Total
Year paid Guaranteed Scenario Scenario Scenario Scenario
1 2 1 2
1 59,157 1,05,000 0 0 1,05,000 1,05,000
2 59,157 1,05,000 0 0 1,05,000 1,05,000
3 59,157 1,05,000 0 0 1,05,000 1,05,000
4 59,157 1,05,000 0 0 1,05,000 1,05,000
5 59,157 1,05,000 0 0 1,05,000 1,05,000
6 59,157 1,05,000 0 0 1,05,000 1,05,000
7 59,157 1,05,000 0 0 1,05,000 1,05,000
8 59,157 1,05,000 0 0 1,05,000 1,05,000
9 59,157 1,05,000 0 0 1,05,000 1,05,000
10 59,157 1,05,000 0 0 1,05,000 1,05,000
15 59,157 1,05,000 0 0 1,05,000 1,05,000
20 59,157 1,05,000 0 0 1,05,000 1,05,000
25 59,157 1,05,000 0 0 1,05,000 1,05,000

Additional Benefits:
Benefit payable on earlier death /survival upto end of the
End of Total premium policy term
Year paid Variable Total
Guaranteed
Scenario 1 Scenario 2 Scenario 1 Scenario 2
22 59,157 21,000 0 0 21,000 21,000
23 59,157 21,000 0 0 21,000 21,000
24 59,157 21,000 0 0 21,000 21,000
25 59,157 42,000 84,000 3,21,300 1,26,000 3,63,300

Notes :
i) This illustration is applicable to a non-smoker male/female standard (from medical,
life style and occupation point of view) life.

ii) The non-guaranteed benefits (1) and (2) in above illustration are calculated so that
they are consistent with the Projected Investment Rate of Return assumption of 6%
p.a.(Scenario 1) and 10% p.a. (Scenario 2) respectively. In other words, in preparing
this benefit illustration, it is assumed that the Projected Investment Rate of Return that
LICI will be able to earn throughout the term of the policy will be 6% p.a. or 10%
p.a., as the case may be. The Projected Investment Rate of Return is not guaranteed.

iii) The main objective of the illustration is that the client is able to appreciate the
features of the product and the flow of benefits in different circumstances with some
level of quantification.

iv) Future bonus will depend on future profits and as such is not guaranteed.
However, once bonus is declared in any year and added to the policy, the bonus so
added is guaranteed.

The Maturity Benefit is the amount shown at the end of the policy term

EXTRACT from Section 41 of the Insurance Act:

(1) No person shall allow or offer to allow, either directly or indirectly, as an

inducement to any person to take out or renew or continue an insurance in respect of
any kind of risk relating to lives or property in India, any rebate of the whole or part
of the commission payable or any rebate of the premium shown on the policy nor
shall any person taking out or renewing or continuing a policy accept any rebate
except such rebates as may be allowed in accordance with the published prospectuses
or tables of the insurer : provided that acceptance by an insurance agent of
commission in connection with a policy of life insurance taking out by himself on his
own life shall not be deemed to be acceptance the insurance agent satisfies the
prescribed conditions establishing that he is a bona fide insurance agent employed by
the insurer.

(2) Any person making default in complying with the provisions of this Section shall
be punishable with a fine which may extend to Rs.500 / -

Eligibility and Restrictions

FOR BASIC PLAN

Age of the Life Assured- 20 to 60 years (age nearest
Age at entry
birthday)
Age of the Life Assured
Maximum 70 years (age nearest birthday)
at maturity
All terms from 10 to 25 years. In case of single premium
Term
mode minimum term shall be 5 Years.
Minimum Sum Assured Rs. 50,000 /-
No limit. Sum Assured will be in multiples of Rs.5,000 /-
Maximum Sum assured
only.
Mode Yearly, Half-yearly, Quarterly, Monthly or through salary
 deductions in case of regular premiums.

FOR TERM ASSURANCE RIDER

Age at entry Age of the Life Assured- 20 to 50 years (age nearest birthday)
Age of the Life
Assured at Maximum 60 years (age nearest birthday)
maturity
Term NIL
Minimum Sum
Rs. 1,00,000 /-
Assured
An amount equal to the Sum Assured under Basic Plan subject to the
Maximum Sum maximum of Rs. 25 lakh overall limit taking all term assurance riders
assured availed under all existing policies of the life assured and the term
assurance rider under the new proposal into consideration.
Mode NIL

The Term Assurance Rider Sum Assured will be in multiples of Rs.25,000 /-.

FOR CRITICAL ILLNESS RIDER

Age at entry Age of the life Assured- 20 to 50 years (age nearest birthday)
Age of the Life
Assured at Maximum 60 years (age nearest birthday)
maturity
Term NIL
Minimum Sum
Rs. 50,000 /-
Assured
An amount equal to the Sum Assured under Basic Plan subject to the
Maximum Sum maximum of Rs. 5 lakh overall limit taking all critical illness riders
assured availed under all existing policies of the life assured and the critical
illness rider under the new proposal into consideration.
Mode NIL

The Critical Illness Rider Sum Assured will be in multiples of Rs.10,000 /-.

REBATES/EXTRA FOR MODE OF PREMIUM PAYMENT AND HIGH SUM

ASSURED
Mode rebate: 2% for yearly mode and 1% for half yearly mode on the tabular
premium. There are no rebates for quarterly and SSS modes. For monthly mode, 5%
extra will be charged on the tabular premium.

Large Sum Assured Rebate: Rs. 2%o Sum Assured for Sum Assured Rs.1,05,000/-
and above. No rebate for Sum Assured up to and including Rs.1,00,000/-. No rebate is
available (either made) on the rider premiums.

Premium Options
OPTIONS OF PAYMENT OF PREMIUM

Following premium paying terms are offered:

(i) Single Premium- One Year

(ii) Regular Premium payable during (n-3) Years, where n is the policy term

(iii) Regular Premium payable throughout the policy term

The sample premium rates for the basic plan are as under:-

SINGLE PREMIUM PER 1000 SUM ASSURED

POLICY TERM
AGE
5 10 15 20 25
20 975.45 839.65 718.80 614.20 525.70
25 975.95 840.45 720.80 618.10 532.05
30 975.95 842.40 725.30 625.85 544.15
35 978.45 847.85 735.05 641.35 565.40
40 982.90 858.05 752.90 666.85 598.60
45 990.60 876.05 781.20 705.60 598.60
50 1004.65 904.25 823.75 763.55 -
55 1024.65 944.60 886.00 - -
60 1054.60 1006.80 - - -

LIMITED ANNUAL PREMIUM PER 1000 SUM ASSURED

POLICY TERM (PREMIUM PAYING TERM)
AGE
10(7) 15(12) 20(17) 25(22)
20 152.30 88.90 61.30 45.75
25 152.50 89.20 61.75 46.35
30 152.85 89.80 62.60 47.55
35 154.05 91.25 64.45 49.70
40 156.30 93.95 67.60 53.25
45 160.30 98.45 72.60 58.90
50 166.85 105.55 80.55 -
55 176.45 116.30 - -
60 191.55 - - -
TABULAR ANNUAL PREMIUM PER 1000 SUM ASSURED
POLICY TERM
AGE
10 15 20 25
20 118.25 76.95 55.55 42.90
25 118.40 77.25 56.00 43.50
30 118.75 77.85 56.85 44.65
35 119.80 79.20 58.60 46.80
40 121.75 81.75 61.65 50.30
45 125.30 86.00 66.50 55.90
50 131.15 92.75 74.30 -
55 139.80 103.20 - -
60 153.80 - - -