LIC's CHILD FUTURE (Table No. 185) Benefit Illustration
LIC's CHILD FUTURE (Table No. 185) Benefit Illustration
LIC's CHILD FUTURE (Table No. 185) Benefit Illustration
185)
Benefit Illustration:
1. Introduction:
This plan is specially designed to meet the increasing educational, marriage and other
needs of growing children. It provides the risk cover on the life of child not only during
the policy term but also during the extended term (i.e. 7 years after the expiry of policy
term). A number of Survival benefits are payable on surviving by the life assured to the
end of the specified durations.
2. Options:
You may choose Sum Assured (S.A.), Maturity Age, Policy Term, Mode of Premium
payment and Premium Waiver Benefit.
3. Payment of Premiums:
You may pay the premiums regularly at yearly, half-yearly, quarterly or through Salary
deductions over the term of policy. Premiums may be paid either for 6 years or upto 5
years before the policy term.
6. Benefits:
A) Survival Benefit: On life assured surviving to the end of the specified durations an
amount specified below is payable:
5 years before the date of expiry of policy term - 25% of the Sum Assured
4 years before the date of expiry of policy term - 10% of the Sum Assured
3 years before the date of expiry of policy term - 10% of the Sum Assured
2 years before the date of expiry of policy term - 10% of the Sum Assured
1 years before the date of expiry of policy term - 10% of the Sum Assured
On the date of expiry of policy term - 50% of the Sum Assured along with vested
Simple Reversionary Bonuses and Final (Additional) Bonus, if any.
B) Death Benefit:
On death (after the Date of Commencement of Risk) - Sum Assured along with
vested Simple Reversionary Bonuses and Final (Additional) Bonus, if any shall be
payable.
On death (before the Date of Commencement of Risk) - All the premiums paid
(excluding extra premium and premium for premium waiver benefit, if any,) along
with interest of 3% p.a compounding yearly shall be payable.
7. Auto Cover:
If after at least two full year’s premiums have been paid, and any subsequent premium
be not duly paid, full death cover shall continue for a period of two years from the due
date of the First Unpaid Premium (FUP). During this Auto Cover Period, one or more
installments of premiums with interest can be paid without submission of evidence of
health. On payment of one or more of the arrears of installment premiums with interest,
the Auto Cover Period of 2 years shall be extended from the due date of new FUP.
Premium Waiver Benefit shall remain inforce during the Auto Cover period.
If policy becomes paid-up before the commencement of risk, then the policy shall be
entitled to receive the Guaranteed Surrender Value. If the policy is not surrendered, this
Guaranteed Surrender Value shall be payable on the expiry of policy term or on death
of Life Assured, if earlier.
If policy becomes paid-up after the commencement of risk, then the sum assured of
policy shall be reduced to such a sum, called paid-up value, as shall bear the same
proportion to the full Sum Assured as the number of premiums actually paid bears to
the total number of premiums stipulated for in the policy. This reduced value (called
paid up value) along with vested bonuses, if any, shall be payable on the date of expiry
of policy term or at Life Assured’s prior death. No survival benefit shall be payable
under a reduced paid-up policy. Extended Term cover shall cease to apply if the policy
is in lapsed/ Paid-up condition.
The cash value of any existing vested bonuses, if any, will also be paid.
Corporation may, however, pay Special Surrender value as the discounted value of Paid
up value and existing vested bonus, as applicable on date of surrender. The Special
Surrender value will be subject to the deduction of the survival benefits which have
become due on or before the date of surrender.
The Special Surrender value will be payable provided the same is higher than
Guaranteed Surrender value.
14. Revival:
If the policy is lapsed, it can be revived by paying arrears of premium together with
interest within a period of five years, subject to production of satisfactory evidence of
continued insurability. The rate of interest applicable will be as fixed by the
Corporation from time to time.
16. Exclusion:
Suicide is excluded for Premium Waiver Benefit for first year. No other exclusions.
Date of Vesting: The policy shall automatically vest in the Life Assured on the policy
anniversary coinciding with or immediately following the completion of 18 years of
age and shall on such vesting be deemed to be a contract between the Corporation and
the Life Assured.
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.”
Benefit
Illustration
Extd
Age of LA (Yrs.) 0 Term(Yrs.) 25 Term(Yrs.) 7
Age At Maturity
(Yrs.) 25 PPT(Yrs.) 20
Sum Assured(Rs.) 100000 Premium(Rs.) 4528 4528
END
OF TOTAL
PREMS
YEAR PAID BENEFIT ON DEATH DURING THE YEAR BENEFIT ON SURVIVAL / MATURITY AT THE END OF YEAR
END
OF TOTAL
PREMS
YEAR PAID BENEFIT ON DEATH DURING THE YEAR BENEFIT ON SURVIVAL / MATURITY AT THE END OF YEAR
i) This illustration is applicable to a 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.
Any person making default in complying with the provisions of this Section shall be
punishable with a fine which may extend to Rs.500 / -
Note : “Conditions apply” for which please refer to the Policy document or contact our
nearest Branch Office.