LIC's Single Premium Endowment Plan is a one-time investment plan which allows you to take care of your long term financial goals along with a life cover. The plan is a perfect option to park windfall gains with no liability to pay future premiums. In addition to this, LIC's Single Premium Endowment Plan offers other benefits that a life insurance cover confers. It is a participating policy and therefore has Guaranteed Additions at the end of the policy term.
Policy Details At A Glance
- Anyone between the ages of 90 days and 65 years is eligible to take this policy.
- Policy term varies between 10-25 years.
- Minimum age at maturity of policy should be 18 years and maximum 75 years.
- Minimum Sum Assured is Rs. 50,000 with no upper limit.
- The Sum Assured has to be in the multiples of Rs. 5,000
- It is a one-time premium payment policy with premium payment at the commencement of the policy.
- If the age of the person insured is less than 8 years, the risk commencement period starts 2 years after the start of policy or from the anniversary of LIC single premium policy coinciding with or immediately after the person insured turns 8.
LIC's Single Premium Endowment Plan – Returns
Survival Benefits – If the policyholder survives the policy term, Sum Assured with simple reversionary bonus and final addition bonus is given at the maturity of the policy term.
Death Benefits - In case of death of policyholder before the risk commencement of the policy, the Sum Assured will be the premium excluding the taxes and bonuses is paid to the nominee. In case of death of the policyholder after the risk commencement of the policy, Sum Assured including additional bonuses is paid to the nominee.
Loan Benefit – After the first policy year, policyholder can take a loan against the policy.
Surrender Value – In case the policyholder withdraws the policy within the first year, 70% of the premium value is returned. If the policyholder surrenders the policy within two years or more than that, 90% of the premium value is returned. The policyholder is eligible for vested reversionary bonus in latter case.