LIC New Jeevan Anand – 915

LIC New Jeevan Anand Plan table No 915 would help in providing financial protection against death and at the end of the policy tenure.

LIC New Jeevan Anand 915 is one of the highest selling endowment plan of LIC of India. New Jeevan Anand Plan is a combination of endowment plan and whole life plan. LIC New Jeevan Anand provides coverage beyond the sum assured during the policy term. The sum assured continues to continue after maturity, after the premium has been paid, with the concept of whole life coverage making it the most popular. The option to choose 3 riders out of the 4 riders available under the plan, makes it more suitable.

Type of Plan :

Non-linked, Participating, Individual, Life assurance savings plan.

Bonus under LIC Jeevan Anand 915 :

1. Vested Simple Revisionary Bonus (VSRB)
2. Final Additional Bonus (FAB )

Key Features of LIC Jeevan Anand 915:

This Plan is Ideal for : Who wants to have higher coverage and intend to leave something behind him in form of sum assured of this policy

Eligibility of LIC Jeevan Anand 915:

Sl	Particulars	Eligibility
1	Age at entry	18 years to 50 years
2	Maximum Age at maturity	75 Years (nearer birthday)
3	Policy term	15 years to 35 years
4	Minimum Basic Sum assured	₹1,00,000/- (The Basic Sum Assured should be in multiples of  ₹5,000/-)
5	Maximum Basic Sum assured	No limit
6	Date of commencement of Risk	From the date of issue of Policy
7	Premium Payment Mode	Monthly (ECS), Quarterly, Half-yearly, Yearly
8	Loan	After 2 Years
9	Surrender	After 2 years

Benefits under LIC New Jeevan Anand 915:

Death Benefit:

• In Case of Death During the Policy Term (Prior to Maturity):
• Benefit equal to “Sum assured on death” along with vested Simple Reversionary Bonuses and Final Additional Bonus, if any shall be payable. Sum Assured on Death is defined as higher of 125% of Basic Sum Assured or 7 times of annualized premium. The death benefit under this clause shall not be lesser than 105% of total premiums paid up to the date of death. In most of the cases death benefit is – 125% of Sum Assured + Vested Simple Reversionary Bonuses + Final Additional Bonus*
• Death after expiry of the Policy Term (After the maturity): Basic Sum Assured shall be payable.

*If policy has completed 15 years or more, FAB is payable.

Benefit of LIC Jeevan Anand on Maturity:

“Some Assurance on Maturity” with vested Easy Repatriation Bonus and Final Additional Bonus, if any. “Sum Insured at Maturity” will be equal to Basic Sum Assured

Maturity = Sum Assured + vested Simple Reversionary Bonuses + Final Additional Bonus

(longer the period higher the bonus )

Simple Reversionary Bonus : The policy shall be eligible for Simple Reversionary Bonus, as declared by the Corporation, based on the participation in various profits. Final Additional Bonus will be declared under the policy which will be payable on the maturity or on earlier death, provided the policy has run for certain minimum term. For Paid-up-Policies, Final Additional Bonus is not applicable.

Riders Available Under New Jeevan Anand 915 :

1. Accidental Death and disability Benefit Rider (UIN512B209V02) or
2. Accident Benefit Rider (UIN512B203V03)
3. New Term Assurance Rider (UIN512B210V01)
4. New Critical Illness Benefit Rider (UIN 512A212V01)

Note : Policy holders can opt either of (i) or (ii) . Details of all 4 riders explained below in this post

Note : All Riders in detail at the end of this post

Loan available under the policy : After 2 Years

Loan facility is available after payment of premiums for minimum 2 full years with following conditions.

• During the policy term maximum 90% of Surrender value for in force policy and 80% for paid up policies.
• Interest rate will be determined by the LIC.
• Policy can be foreclosed, if outstanding loan amount with interest exceeds the surrender value due to improper payment of loan interest.

Surrender of the Policy : After 2 Years

The LIC New Jeevan Anand 915 Policy can be surrendered any time after payment of two full years’ premiums. In such case policy holder will be entitled for benefit of higher of

1. Guaranteed Surrender Value along with vested Simple Reversionary Bonuses, if any or
2. Special surrender Value. The applicable surrender value can be worked out in accordance with the applicable multiplication factors Guaranteed Surrender value is not applicable after payment of maturity benefit. Riders are not entitled for any surrender value.

Revival of the Policy : With in 5 Years

The lapsed policy can be revived during the lifetime of the policy holder , within 5 consecutive years from the date of first unpaid premium and before the date of maturity. The revival will be allowed on payment of all the arrears of premiums along with applicable compound interest (half yearly), subject to the final acceptance by the Corporation.

Grace Period

30 days grace period is allowed for Yearly and Half Yearly premiums and 15 days for monthly premiums. Policy gets lapse, if premium not paid before expiry of grace period. Same grace period is applicable or premiums of Riders also.

Rebates

The rebates for Base Plan is as under.

Rebate on Premium Payment mode :

Payment Mode	Rebate
Yearly	2% of premium
Half yearly	1% of premium
Quarterly, Monthly & SSS Mode	Nil

Rebate on High Basic Sum Assured :

Basic Sum Assured (BSA)	Rebate
₹ 1,00,000/- to 1,95,000/-	Nil
₹ 2,00,000/- to 4,95,000/-	1.50% of BSA
₹ 5,00,000/- to 9,95,000/-	2.50% of BSA
₹ 10,00,000/- and above	3.00% of BSA

Options to take death and maturity benefit under the Base Plan:

If policy holders don’t wish to receive the benefit in lumpsum under LIC New Jeevan Anand 915 , there are Two options available to take benefit in installments. under these options benefit can be received over the chosen period of 5, 10 or 15 years under in in-force as well as paid-up policy. Installment will be paid in advance at yearly or half yearly or quarterly or monthly intervals as opted for.

Settlement option (for Maturity Benefit):

This Option should be exercised at least before 3 months before the due date of maturity. Withdrawal of this option can be allowed on written request from policy holder. In such case, (a) the discounted value of future installments or (b) the original amount covered under option less sum of paid installments, whichever is higher, will be payable. In case of death of policy holder after date of maturity, payment of remaining instalments will be continued to the nominee.

Option to take Death benefit in Installments :

Installment Option should be exercised by insured person during his/her life time while in currency of the policy for full or part payment of death benefits to the declared nominee.

The minimum installment amount for different modes of payments with reference to above mentioned options, are as under:

Mode of Installment Payment	Minimum installment amount(₹)
Monthly	5000/-
Quarterly	15000/-
Half-Yearly	25000/-
Yearly	50,000/-

Understand the maturity and Death Benefit With Example:

Example 1 :

Mr. Prakash who is 35 years old bought this policy with , Sum Assured of:  ₹5,00,000/-

Policy term: 20 years.

His annual premium is : ₹29,179 + GST

Total premium payable during the policy term – ₹5,97,376

Maturity Benefit :

Maturity after 20 Years :

Sum Assured	₹5,00,000
VSRB	₹4,50,000
FAB	₹35,000
Total	₹9,85,000

Mr. Prakash will get ₹9,85,000 as maturity + He will have life cover of 5 Lacs

Gross Payment under the Policy = 9,85,000 + 5,00,000 =14,85,000

Assumed Rates,  VSRB (Vested Simple Reversionary Bonus):  ₹45/- per 1000/- sum assured

VSRB= 22500/- per annum. ( For 20 Years = ₹22,500 *20 = 4,50,000 )

Assumed rate of FAB (final Addition Bonus):  ₹70 per 1000 sum assured

FAB=  ₹35,000/- ( 5,00,00 X70/1000 = 35,000 )

Death Benefit :

Scenario I – Death of Mr. Prakash in the 17^th year of the policy.

Amount payable to nominee:

125% of Sum Assured	₹6,25,000
VSRB	₹3,82,500
FAB	₹15,000
Total	₹10,22,500

Nominee of Mr. Prakash will get ₹10,22,500 as death Benefit

Scenario II – Death of Mr. Prakash in the 11^th year of the policy.

Amount payable to nominee:

125% of Sum Assured	₹6,25,000
VSRB	₹2,22,500
FAB	₹15,000
Total	₹8,47,500

Nominee of Mr. Prakash will get ₹8,47,500 as death Benefit

Paid-up Value of the LIC New Jeevan Anand (915)

After payment of at least two years premium, if subsequent premiums are not duly paid, the policy shall subsist as paid-up policy.

During the Policy term:

The Death paid- up Sum Assured will be arrived proportionally as under.

(Sum assured on death )X (Total period for paid premium/The maximum period for which premiums were originally payable )

The Maturity Paid-up Sum Assured will be arrived proportionally as under.

(Sum assured on maturity) X (Total period for paid premium/The maximum period for which premiums were originally payable )

Additionally Simple Reversionary Bonuses accrued till the date of policy becoming paid up is also payable on expiry of policy term.

After the expiry of Policy Term:

On death of policy holder after expiry of policy term Paid-up Sum assured will be payable and the same can be arrived proportionally as under.

(Basic Sum assured )X (Total period for paid premium/The maximum period for which premiums were originally payable )

If at least three full years premiums has been paid –

If at least three full years premiums paid and subsequently premiums kept unpaid. In such scenario on account of death of insured person within 6 months from the due date of first unpaid premium, Sum assured on death along with vested Simple Reversionary Bonuses and Final additional Bonus, if any, will be payable after deduction of –

• Unpaid Premiums for the base policy with interest thereon upto the date of death and
• the balance premiums for the base policy falling due from the date of death and before the next anniversary of policy.

If at least five full years premiums has been paid –

If at least Five full years premiums paid and subsequently premiums kept unpaid. In such scenario on account of death of insured person within 12 months from the due date of first unpaid premium, Sum assured on death along with vested Simple Reversionary Bonuses and Final additional Bonus, if any, will be payable after deduction of (a) Unpaid Premiums for the base policy with interest thereon upto the date of death and (b) the balance premiums for the base policy falling due from the date of death and before the next anniversary of policy.

Alteration allowed under the Policy:

Following changes are allowed in terms of policy-

• Any change not involving change in Base Premium rates and corresponding benefit structure.
• Reduction in policy Term (minimum 15 years)
• Inclusion of Accidental Death and disability Rider/ Accident benefit Rider.

Termination of Policy:

Policy can be terminated under following circumstances.

1. Date of payment of Death benefits or final installment under settlement option whichever is later.
2. Date of settlement of surrender benefits
3. Default in payment of loan interest
4. Expiry of Revival period       
5. Payment of free look cancellation amount   
6. Forfeiture of policy

Suicide Clause:

Provision for payment of claim for death due to Suicide is as under.

• If policy holder (sane or insane) commits suicide within 12 months from the commencement of risk, 80% of paid premiums will be paid if policy is in force.
• If insured (sane or insane) commits suicide within 12 months from the commencement of revival, higher of 80% of paid premiums or Surrender value available as on date of suicide shall be payable.
•  Not applicable for lapsed policy without acquiring paid up values.

Forfeiture:

In case any false statement found in Declaration, proposal, connected documents or information, then policy will be forfeited subject to Section 45 of Insurance Act 1938.

Free Look Period:

If policy holder is not satisfied with the terms and conditions of policy, he may return the policy stating he reasons within 15 days from the date of receipt of the policy. Refund will be made subject to obligatory deductions such as Stamp duty, Cost of Medical Examination, proportionate risk premium if applicable.

Requirements for Claim:

• Death claim: PrescribedClaim form,Original policy document, NEFT mandate, Proof of title, Death certificate, document of Medical treatment prior to death (if any), School/College/employer’s certificate, age proof. Claim should be preferred within 90 days from the death.
• Maturity/Surrender Claim: Prescribed Discharge form, Original policy documents, NEFT mandate, age proof (if age is not admitted earlier)
• Claim under Riders: The respective rider circular may be referred to in the claim. 

Proposal Form:

Proposal Form No. 300 and 340 as issued by NB&R Department.

Commission:

Commission or remuneration payable to the Agents and other insurance intermediaries and credit to development officers are as under.

Year	Agent / Corporate Agent	Broker
1st year	25%	30%
2nd & 3rd year	7.5%	5%
Subsequent years	5%	5%

Details of all Optional Benefit (Riders):

Four optional benefits/Riders are available under this plan on payment of additional premium. Policy holders can opt either of (i) Accidental Death and Disability Benefit Rider or (ii) Accident Benefit Rider along with two other riders (III) & (iv) as mentioned below.

LIC’s Accidental Death and disability Benefit Rider (UIN512B209V02):

This Rider can be opted for at any time within policy term of Base plan provided the outstanding Premium paying Term for Base Plan and the Rider is at least 5 years Benefit shall be available upto the Policy anniversary nearer to Policy holder’s 70^th birthday or end of the policy whichever is earlier.

Under this Rider, an amount equal to the Accident Benefit Sum Assured will be payable on Death due to accident. In case of accidental Permanent Disability within 180 days from the date of accident, an amount equal to the Accident Benefit Sum Assured will be paid in equal monthly installments for 10 years Future Premiums of this Rider and also premiums of base policy corresponding to Basic sum Assured equivalent to Accident Benefit Sum Assured, will be waived off.

Eligibility:

Particulars	Eligibility
Minimum Entry Age	18 Years (completed)
Maximum Entry Age	65 years (nearer birthday)
Rider Term	Outstanding Policy term of Base plan or 70 minus entry age, whichever is less.
Cover ceasing Age	70 Years
Minimum Sum Assured	₹10,000/-
Maximum Sum Assured	An amount equal to the basic sum assured under the Base policy. Overall limit  ₹100 Lakh.

Accident Benefit Rider (UIN512B203V03):

Same as above mentioned , this Rider can be opted for at any time within policy term of Base plan provided the outstanding Premium paying Term for Base Plan and the Rider is at least 5 years Benefit shall be available upto the Policy anniversary nearer to Policy holder’s 70^th birthday or end of the policy whichever is earlier. Under this Rider, if the insured person meet an accident leading to death within 180 days from the date of accident then an amount equal to the Accident Benefit Sum Assured will be payable.

Eligibility:

Particulars	Eligibility
Minimum Entry Age	18 Years (completed)
Maximum Entry Age	65 years (nearer birthday)
Rider Term	Outstanding Policy term of Base plan or 70 minus entry age, whichever is less.
Cover ceasing Age	70 Years
Minimum Sum Assured	₹20,000/-
Maximum Sum Assured	An amount equal to the basic sum assured under the Base policy. Overall limit  ₹100 Lakh.

New Term Assurance Rider (UIN512B210V01):

Under this rider, an amount equal to Term assurance Rider sum assured shall be payable on death of the policy holder during the Policy term, if the Rider cover is in-force. In case of lapsed condition of Policy, this Rider will not be applicable. This rider is available at inception of the policy only.

Eligibility:

Particulars	Eligibility
Minimum Entry Age	18 Years (completed)
Maximum Entry Age	Same as Base Policy
Rider Term	Same as Base Policy
Minimum sum assured	₹1,00,000
Maximum Sum Assured	An amount equal to the basic sum assured under the Base policy, subject to maximum of ₹25 Lakh overall limit for this Rider including all existing policies.

New Critical Illness Benefit Rider (UIN 512A212V01):

This Rider provides coverage against 15 critical illnesses. Under this Rider, on first diagnosis of any one of the 15 critical illness , the Critical Illness sum assured will be payable. The benefit of this Rider will not be applicable in case Policy is in lapsed condition.

Eligibility:

Particulars	Eligibility
Minimum Entry Age	18 Years (completed)
Maximum Entry Age	Same as Base Policy
Rider Term	Same as Base Policy
Minimum Sum Assured	₹1,00,000/-
Maximum Sum Assured	An amount equal to the basic sum assured under the Base policy, subject to maximum of ₹25 Lakh overall limit for this Rider including all existing policies.

Conclusion:

Now you are aware about all expect of this policy and I believe it would have help you to have better understanding of the policy. If this policy suitable for you may go for it. This policy is a safe investment option with higher coverage and whole life coverage. In case I have missed out on any important point, kindly highlight in the comment section. Does this article helpful kindly let me know and suggest for improvement. If you do have question kindly comment the same. Let us know If this article has helped you to choose the best Life insurance policy and if you have any question you can put it across in the comment section. because your view matter to us.