The Jeevan Tarun Plan of Life Insurance Policy (LIC) can prove to be very beneficial for the safety and savings of children. It is a participatory non-linked plan designed to meet the educational needs of children. Children from 3 months to 12 years can be benefited. Survival benefits can be taken from 5 years to 20 and 24 years and at the age of 25, you get a maturity benefit.
There are four types of options in this policy. 100 percent maturity payment can be taken under the first option. There will be no survival benefit. If you choose the second option, then 5 percent of the sum assured can be taken every year for five years. It will start after 20 years. After this, the maturity amount will be 75 percent. Under the third option, 10 percent can be taken every year over five years. Maturity benefit will be 50% and under the fourth option, 15% can be availed every year for five years. After this, a maturity benefit of 25% of the sum assured will be given.
The special thing is that the policy is taken in the name of the child itself and the insurance amount is also given to the child and not the parents. This is a participatory limited payment plan. The policy has to be paid till the child is 20 years old. The policy will continue till the child is 25 years old. The child will receive a risk up to the age of 8 years. The balance along with the bonus will be paid as a maturity benefit at the age of 25 years.
This policy can be purchased from three months to 12 years of age. Annual, half-yearly, quarterly, and monthly payments can be made. Premium mode discounts of 2 percent and semi-monthly 1 percent are given annually. The revival of the policy can be done within two years of the delay.
If there is a risk of death during the policy itself, it will be taken as the sum assured on death. Under this, ordinary reversionary bonus will be given. Under this, death benefit will not be less than 105 percent of the total premium paid till the time of death.
(Source: jansatta.com)
Ms Kalinga