LIC Jeevan Tarun Policy for Children is an individual, participating, and non-linked life assurance policy that offers a perfect blend of protection and savings. This plan is designed to meet the educational and financial needs of growing children through annual Survival Benefit payments between the ages of 20 and 24 years, along with a Maturity Benefit at the age of 25 years.
Eligibility Criteria, Policy Term & Premium Paying Term
To avail the Jeevan Tarun Policy, the Minimum Sum Assured is set at Rs. 75,000, with no maximum limit on the Basic Sum Assured. The Sum Assured can be chosen in multiples of Rs. 5,000 between Rs. 75,000 to Rs. 100,000, and in multiples of Rs. 10,000 for sums above Rs. 100,000.
Minimum Age for LIC Jeevan Tarun Policy
The Minimum Age at entry is 90 days, while the Maximum Age at entry is 12 years. The policy matures when the child reaches 25 years of age. The Policy Term is 25 years, and the Premium Paying Term (PPT) is 20 years. This policy can be purchased by any parent or grandparent for a child aged between 0 to 12 years.
LIC Jeevan Tarun Policy - Survival Benefits and Maturity Benefit
Jeevan Tarun is a flexible plan that allows the proposer to choose the proportion of Survival Benefits to be availed during the policy term. There are four options available for receiving Survival Benefits:
- Option 1: Under this option, there will be no Survival Benefit during the policy term. However, the policyholder will receive 100% of the Sum Assured as Maturity Benefit.
- Option 2: With this option, the policyholder will receive 5% of the Sum Assured every year for 5 years, and 75% of the Sum Assured will be provided as Maturity Benefit.
- Option 3: This option offers the policyholder 10% of the Sum Assured every year for 5 years, and 50% of the Sum Assured will be provided as Maturity Benefit.
- Option 4: Under this option, the policyholder will receive 15% of the Sum Assured every year for 5 years, and 25% of the Sum Assured will be provided as Maturity Benefit.
LIC Jeevan Tarun Policy For ChildrenDeath Benefit for LIC Jeevan Tarun Policy
In the unfortunate event of the Life Assured's demise during the policy term, provided that the policy is in-force (i.e., all due premiums have been paid), the death benefit will be as follows:
- Death Before Commencement of Risk: If the policyholder passes away before the date of commencement of risk, a refund of premium(s) paid (excluding taxes, extra premium, and rider premium) will be provided without any interest.
- Death After Commencement of Risk: In this case, the Death Benefit will be paid, which includes the sum of Sum Assured on Death and vested Simple Reversionary Bonuses and Final Additional Bonus. The "Sum Assured on Death" is determined as the higher of 7 times the annualized premium or 125% of the Sum Assured. Additionally, the Death Benefit will not be less than 105% of the total premiums paid up to the date of death, excluding taxes, extra premium, and the rider premium.
Overview: LIC's Jeevan Tarun Policy for Children
TopicDescriptionPolicy NameLIC's Jeevan Tarun Policy for ChildrenPolicy TypeNon-linked, participating, individual, life assurance policyObjectiveAims to provide both protection and savings features for children's financial securityAge EligibilityMinimum Age: 90 days, Maximum Age: 12 yearsMaturity Age25 yearsPolicy Term25 yearsPremium Paying Term (PPT)20 yearsMinimum Sum AssuredRs. 75,000Maximum Basic Sum AssuredNo limitSum Assured IncrementsMultiples of Rs. 5,000 (Rs. 75,000 to Rs. 100,000), Rs. 10,000 (Above Rs. 100,000)Eligible ProposersParents or grandparents of children aged 0 to 12 yearsSurvival BenefitsFlexible options to receive annual payments of a fixed percentage of Sum AssuredMaturity BenefitPaid at the age of 25 years, depending on the chosen Survival Benefit optionDeath BenefitRefund of premiums paid before the date of risk commencement; Death Benefit after risk commencementDeath Benefit CalculationHigher of 7 times annualized premium or 125% of Sum Assured, not less than 105% of total premiums
In conclusion
In conclusion, LIC's Jeevan Tarun Policy for Children offers an excellent opportunity for parents and grandparents to secure their children's future financially and educationally. With flexible Survival Benefit options and comprehensive Death Benefits, this policy ensures that the young ones are protected and well-prepared to meet life's challenges. Whether it's for educational expenses or other financial needs, the Jeevan Tarun Policy proves to be a reliable and wise investment choice.
FAQ - LIC's Jeevan Tarun Policy For Children
Q1. What is LIC's Jeevan Tarun Policy for Children?
A: LIC's Jeevan Tarun Policy is a non-linked, participating, individual life assurance policy designed to provide a combination of protection and savings features for children's future financial security.Q2. What does the policy offer for growing children?
The policy offers annual Survival Benefit payments between ages 20 to 24 years and a Maturity Benefit at the age of 25 years, catering to the educational and other financial needs of the children.Q3. What are the eligibility criteria for the Jeevan Tarun Policy?
A: Children between the ages of 0 to 12 years are eligible for this policy. The policyholder's entry age should be at least 90 days, and the maximum entry age is 12 years.4. How long is the policy term and premium paying term?
A: The policy term for LIC's Jeevan Tarun Policy is 25 years, and the Premium Paying Term (PPT) is 20 years.5. Is there any limit on the Sum Assured?
The Minimum Sum Assured is set at Rs. 75,000, and there is no maximum limit on the Basic Sum Assured. The Sum Assured can be chosen in multiples of Rs. 5,000 between Rs. 75,000 to Rs. 100,000 and in multiples of Rs. 10,000 for sums above Rs. 100,000.6. Can grandparents also purchase this policy for their grandchildren?
Yes, LIC's Jeevan Tarun Policy can be purchased by either parents or grandparents for a child aged between 0 to 12 years.7. What are the Survival Benefit options available under this policy?
Answer: There are four options for Survival Benefits of Jeevan Tarun Policy? :Option 1: No Survival Benefit, but 100% of Sum Assured as Maturity Benefit.
Option 2: 5% of Sum Assured every year for 5 years, with 75% of Sum Assured as Maturity Benefit.
Option 3: 10% of Sum Assured every year for 5 years, with 50% of Sum Assured as Maturity Benefit.
Option 4: 15% of Sum Assured every year for 5 years, with 25% of Sum Assured as Maturity Benefit.
8. What is the Death Benefit provided by the policy?
In the event of the Life Assured's demise during the policy term, the Death Benefit includes the sum of Sum Assured on Death, vested Simple Reversionary Bonuses, and Final Additional Bonus. The Death Benefit is calculated as the higher of 7 times the annualized premium or 125% of the Sum Assured, with a minimum of 105% of the total premiums paid up to the date of death.9. Can the policy be surrendered before the Maturity Age?
Yes, the policy can be surrendered after it acquires a Surrender Value, subject to terms and conditions.10. What are the tax benefits available with this policy?
Policyholders can avail tax benefits under the prevailing tax laws, as per the Income Tax Act, 1961.https://bit.ly/3rw35OI
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