LIC New Money Back Plan 25 years Review
LIC New Money Back Policy 25 years is a Non-Linked Insurance Plan which provides benefits and bonus at the end of the policy term or sudden death of the Life Assured. As per the Guidelines of IRDA the LIC Money Back Policy 25 years (821) Plan was released on 6th January 2014. The Policyholder need to pay the premium amount for 20 years. At Regular intervals such as 5th, 10th, 15th, 20th, the benefit of 15% is provided to the Life Insured in LIC New Money Back Plan 25 years. The Policy Term is for 25 years and the Premium Paying modes are made available below. The LIC Money Back Plan 25 years Calculator is used for Premium, Maturity calculation. Guaranteed Surrender Value (GSV) is provided as per the Policy year and GSV Factor.
Key Features of LIC Money Back Plan 25 years
- Death Benefit and Maturity Benefit is provided to the Life Assured in this LIC Money Back Policy 25 years.
- Loan Facility can be availed by the Insured in this plan.
- After the completion of the Policy Term, the Policyholder is provided with vested Reversionary Bonus + Additional Bonus with Sum Assured.
- Rider Option is available for this Policy.
- 15% of sum assured will be paid at 5th, 10th, 15th, 20th years of the policy after the premium is paid at regular intervals.
- At the time of Death of the Life Assured, Nominee will be provided with the lump sum amount along with bonuses.
LIC New Money Back Policy 25 years Eligibility Conditions
|Entry Age||13 years||45 years|
|Maturity Age||–||70 years|
|Policy Term||–||25 years|
|Premium Paying Term||–||20 years|
|Basic Sum Assured||1,00,000/-||No Limit|
|Premium Mode||Monthly (ECS or SSS), Quarterly, Half Yearly, Yearly|
LIC New Money Back Plan 25 years Benefits
- Survival Benefit: The Life Assured will be provided 15% of Sum Assured at intervals of 5th, 10th, 15th and 20th years of the policy at the end of specific duration.
- Death Benefit: If the Life Assured dies within the policy term, the Nominee is provided with the Sum Assured as Death Benefit. The Sum Assured along with Simple Reversionary Bonuses and Final Additional Bonus is provided to the Nominee. The Sum Assured is 10 times the annualized premium or 125% of the Basic Sum Assured. The Death Benefit paid shall not be less than 105% of the premiums paid as on date of death.
- Death Benefit = Sum Assured (125%) + vested Simple Reversionary Bonuses + Final Additional Bonus.
- Maturity Benefit: On Survival of the Policyholder till the end of Policy, the remaining 40% of the Basic Sum Assured along with vested Simple Reversionary Bonuses and Final Additional Bonus is provided to the Policyholder.
LIC Money Back Plan 821 Riders
The Life Assured can select the Accidental Death and Disability Benefit Rider which is optional.
LIC’s Accidental Death and Disability Benefit Rider
- By Payment of additional premium, this rider can be opted which is available throughout the Policy term.
- During Accidental Death, the Accident Benefit Sum Assured along with death benefit is provided to the Nominee.
- In case of permanent disability due to accident, the Accident Benefit Sum Assured will be paid in monthly installments for a period of 10 years. The Future Accident Benefit Sum Assured Premiums will be waived off.
|Minimum Entry Age||18 years|
|Maximum Entry Age||Can be opted at any time during the premium payment term.|
|Maximum Cover Ceasing Age||70 years|
|Minimum Accident Benefit Sum Assured||Rs 1,00,000/-.|
|Maximum Accident Benefit Sum Assured||Amount equal to Basic Sum Assured which is subjected to a maximum of Rs 50,00,000/- of overall limit.|
What are the Bonus in LIC New Money Back Policy 25 years?
There are two bonus available for LIC New Money Back Plan 20 years. They are.
- Simple Reversionary Bonus.
- Final Additional Bonus.
Simple Reversionary Bonus: At the end of each financial year, the Simple Reversionary Bonus is declared per thousand of sum assured. The Bonus is accured during the premium paying term but paid at the time of death or end of the term in addition with final additional bonus.
Final Additional Bonus: If the policy is run for a certain minimum period, the additional bonus will be paid. It is Provided at the time of Maturity or Death.
Additional Information of LIC New Money Back Plan 25 years
- Loan Facility: The Life Assured can avail the Loan Facility under this Plan.
- Risk Coverage: This option is available till the end of the Policy Term.
- Riders: The LIC Money Back Plan 20 years has rider option facility.
- Cooling off period: The Policy can be returned within 15 days, if the Life Insured is not satisfied with the Terms and Conditions of the policy.
- Policy Revival: The Policy can be revived within 2 years from the date of first unpaid premium.
- Nominations/Assignments: The LIC Money Back Policy 20 years provides Assignments and Nominations in this plan.
LIC Money Back Plan 25 years Rebate
|Half yearly||1% Table Premium|
|Yearly||2% Table Premium|
LIC New Money Back Plan 25 years Sum Assured Rebate
|From Rs 1,00,000/- to Rs 1,95,000/-||Nil|
|From Rs 2,00,000/- to Rs 4,95,000/-||For every 1,000 Rs/- Sum Assured 2.00 Rs/- rebate.|
|From Rs 5,00,000/- and above||For every 1,000 Rs/- Sum Assured 3.00 Rs/- rebate.|
LIC New Money Back Plan – 25 years Buying Process
The LIC New Money Back Plan 25 years policy is available at all the branches of Life Insurance Corporation. He/She must visit the nearest branch of LIC to buy the Policy. The Branch Locator is made available below with all the necessary details. The Policy can also be obtained from the LIC Agent. The Policyholder can buy the policy through Online if unable can also buy the LIC Money Back Policy 25 years by Branch Visiting or through the LIC Agent. The Documents required are.
- Proposal Form / Application Form along with the Photograph.
- Address Proof (Life Assured & Nominee).
- Age proof of the Life assured.
Claim Process for LIC Money Back Policy – 25 years
The Life Assured/Nominee can apply for Claim if the sudden death occurs or after the completion of the Policy Term. The Claim Amount will be paid by the LIC Corporation. The necessary documents are to be submitted at the time of Claim Process. The LIC New Money Back Plan 25 years Claim forms are listed below.
- Original Policy Bond / Document.
- NEFT Form.
- Proof of Accident and Disability.
- Discharge form.
- Cancel check or Bank Passbook xerox.
- Proof of title.
LIC Money Back Policy 25 years Calculator
The Premium can be calculated monthly, quarterly, half-yearly and yearly. The Premium details such as Maturity amount, Bonus and other can be obtained from the LIC Money Back Policy Calculator.
FAQ’s of LIC New Money Back Plan 25 years
- What is the Guaranteed Surrender Value?
Ans. GSV (Guaranteed Surrender Value) is the % of total premiums paid by excluding the Survival Benefits if paid already.
The GSV Factor for Policy years are available below.
|Policy Year||GSV Factor|
2. What is Special Surrender Value?
Ans. SSV is the vested simple reversionary bonuses with discounted value of Paid up Sum Assured.
If the Guaranteed Surrender Value is higher, Special Surrender Value is to be paid.
3. How to calculate Paid up Value?
Ans. Paid up Value = (No of Premiums paid/Total No of Premiums Payable) x Basic Sum Assured less total amount of Survival Benefits
4. What is the maximum amount of loan that can be granted as a % of Surrender Value for LIC New Money Back Plan 25 years?
- Up to 90% for fully paid up policies.
- 80% for paid policies.