LIC Bima Shree Policy is a traditional, non-linked and with-profits money back life insurance policy that comes with the feature of guaranteed additions to provide security along with savings to you and your family. It is a limited premium paying plan which is known for offering financial protection in dual cases where the policyholder survives the policy term or in the event of the death of the policyholder before the term ends. The plan pays out maturity benefits in the form of multiple guaranteed ‘survival benefits' throughout the policy tenure. Under this plan, the policyholder is also liable to get the regular liquidity facility.
|Entry age||Eligibility Values|
|Entry Age||Min: 8 years (completed) |
Max: 55 years (14 years policy term)
48 years (18 years policy term)
45 years [20 years policy term (nearest age)]
|Maturity Age||69 years (14 years policy term) |
67 years (16 years policy term)
66 years (18 years policy term)
65 years [20 years policy term (nearest age)]
|Sum Assured||Min: Rs. 10 lakhs |
Max: No limit, subject to policy terms & conditions
|Policy Tenure||14, 16, 18 & 20 years|
|Premium Paying Mode||Yearly, half-yearly, quarterly, monthly|
|Premium Paying Term (PPT)||14(10 ), 16(12), 18(14), 20(16)|
|Premium Mode Rebate||2% for yearly, 1% for half-yearly, Nil for Quarterly & Monthly|
Death Benefit: This benefit of the plan is payable when the policyholder dies before the maturity date and the policy is in force.
Where, the sum assured is 7 times of annual premium and 125% of the basic sum assured, the benefit is paid as a lump sum and is not less than 105% of total paid premiums.
Survival Benefit: The insured shall be payable with the effective Sum Assured on surviving the following specific durations of the policy term:
|Policy Term||Basic Sum Assured (%)||Paid on Policy Anniversary|
|14||30||10th & 12th|
|16||35||12th & 14th|
|18||40||14th & 16th|
|20||45||16th & 18th|
Maturity Benefit: On surviving till the date of maturity, the policyholder is liable to get Sum Assured on Maturity for the following fixed percentage of Basic Sum Assured:
|Policy Term||Basic Sum Assured (%)|
Waiver of Premium (WOP) Benefit: On the death of the life insured, all the payment of future premiums shall be waived off with respect to the base policy till the expiry of the rider term.
Choice To Defer Survival Benefits: This additional benefit allows the policyholder to receive an increased survival benefit which is a combination of actual deferred benefits together with interest.
Settlement Option: With this option, the policyholder can choose to receive the maturity and death benefits for a period of 5, 10 and 15 years in instalments.
Vesting of Policy: If the Life Assured is minor and survives till the date of vesting and if a request in writing has not been received to surrender the policy before the vesting date, the plan will vest automatically on that date.
Rider Options: There are 5 riders available under the policy, let us take a look at the following:
On opting rider(s), there exist specified conditions that are confined as endorsement(s) to this plan.
Details of the policyholder:
|Sum Assured||Rs. 10 lacs|
|Premium Mode||Annual (single)|
Annualized premium= Rs. 70,266 + Taxes
On death of the policyholder,
Case 1: After 4 years, his beneficiary will get,
Basic Sum assured + Guaranteed Additions [Rs. 10 lacs + Rs. 2 lacs = Rs. 12 lacs].
Case 2: After 10 years, his beneficiary will get,
Sum assured + Guaranteed Additions [Rs. 10 lacs + Rs. 2 lacs (GA for first 5 years) + Rs. 2.75 lacs (GA after 5 years) = Rs. 14.75 lacs].
The policyholder will be required to carry the following documents to claim for LIC Bima Shree Policy-
The guaranteed bonus will cease to accrue under the policy if the premiums are not duly paid.
HNIs (High Net Worth Individuals) refers to the person or entities in India with at least Rs. 25 lakhs in portfolio money.
No, you will not be eligible to get surrender benefits for a year-old policy. You need to pay premiums for at least 2 years to get the mentioned benefits.
ne can return the policy only within the free-look period, which is 15 days of this policy (if not satisfied with any of the clauses stating valid reasons for the same).
Liquidity or loan facility is available throughout the policy term only if the policy has acquired a surrender value. As a percentage of surrender value, the maximum loan you will get is given below:
Yes, you can renew the policy after lapsation within a time period of 2 continuous years, starting from the date of first unpaid premium.
Last updated on 08-09-2020