LIC Term Plan with Maturity Benefit
Generally, there is no maturity benefit of any kind in a term insurance plan. If the life assured survives the policy term then no benefit is provided to him.
Only in case of death of the life assured during the policy term, the benefit of sum assured is provided to the nominee by the life assured in the form of death benefit.
But now such term insurance plans are also available in the insurance market in which a term insurance plan also provides maturity benefits if you survive the policy term. Such term insurance plans are known as term plans with maturity benefit or term plans with return of premium .
Under this, if the life assured survives the policy term, the premium paid is returned to him as a maturity benefit.
It is worth noting that in order to avail term plan with maturity benefit, you have to pay some additional premium. You can avail this facility only on payment of additional premium.
Features Of LIC Term Plan With Maturity Benefits
Features of LIC Term Plan with Maturity Benefit are as follows-
- Dual Benefits:
LIC Term Plan with Maturity Benefit Term insurance offers dual benefits to the life assured. In case of death, the death benefit is provided to the nominee by the life assured while if the life assured survives the policy term, he/she receives the benefit in the form of maturity benefit.
- Entry Age:
The minimum age for taking this term insurance plan is 18 years and the maximum age for this should be 65 years.
- Minimum entry age:18 years
- Maximum entry age: 65 years
- Policy Term:
In this term insurance plan, you get a policy term of minimum 5 years and maximum of 40 years. You can choose any policy term as per your requirement.
- Minimum- 5 years
- Maximum – 40 years
- Premium Paying Term:
In this you get three options for premium payment. You can choose any of these as per your convenience.
- Single pay,
- Limited pay and
- Regular pay.
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- Premium Paying Frequency:
In this, you get the option of paying premium monthly and annually.
- Yearly
- monthly.
- Free-look Period:
In this term policy, you get a free look period of 15 to 30 days. If you have bought term plan through offline medium then you get 15 days free look period and if you have bought term plan through online medium then you get 30 days free look period. If you do not like the policy, you can choose to exit the policy within this free look period.
- Grace Period:
In this plan, you get a grace period of 15 to 30 days. In case you are unable to pay your premium on the due date, you are given additional time to pay the premium.
Benefits Of LIC Term Plan With Maturity Benefit
The benefits of LIC Term Plan with Maturity Benefit are as follows-
- Death Benefits:
In this term insurance plan, death benefit is provided to the nominee by the insured in case of death of the insured during the policy term.
- Maturity Benefits:
In this plan, the insured person also gets maturity benefit. If the life assured survives the policy term, the premiums paid by him are returned to the life assured as maturity benefit. Thus, this term insurance plan along with the death benefit also provides the benefit of maturity benefit to the life assured.
- Rider Benefit:
In this term insurance plan, the insured can further enhance their turn coverage by adding riders. In this, you get the option of adding Accident Benefit Rider. You have to pay an additional premium to add the rider.
- Tax Benefits:
This term insurance plan also offers tax benefits to the insured. You are eligible for tax exemption under section 80C of the Income Tax Act, 1961 on the premiums paid under it. Also, the death benefits received in this term plan are eligible for tax exemption under Section 10 (10D) of the Income Tax Act, 1961.
- Affordable Premiums Rates:
This plan is available at a very affordable rate. Hence, you can avail a term plan with maturity benefit term insurance policy at a lower premium. Also, you get a refund of the premium at the end of the policy term, so that you do not incur any additional expenses.