LIC Jeevan Labh Plan (936) – Explanation in simple words
The policy, (LIC Jeevan Labh Plan) has a premium holiday for 4-5 years. The premium has to be paid for a shorter term but the policy remains active for longer duration.
The policy term and the premium paying term are 16/10, 21/15 and 25/16 . Wherein the first value is the policy term and the second is the premium paying term.
Introduction A. Brief overview of LIC Jeevan Labh B. Importance of life insurance
II. Understanding the Policy A. What is LIC Jeevan Labh B. Key features of the policy C. Eligibility criteria
III. Working of the Policy A. How the policy is structured B. Premium payment options C. Risk coverage
IV. Benefits of LIC Jeevan Labh A. Financial security for the policyholder’s family B. Tax benefits C. Maturity benefits D. Death benefits
V. Conclusion A. Summary of key points B. Why choose LIC Jeevan Labh C. Final thoughts and recommendation.
LIC Jeevan Labh table number 936 is one of the top 3 LIC policies in 2020. A new age endowment plan that comes with in built premium holiday period of 6 to 9 years.
Illustration
Name Ajay Age 25 Plan Name 936-Jeevan Labh Sum Assured 2140000 Policy Term 25 PPT 16 DAB Rider 2140000 AD & DB Rider 0 Term Rider 0 CIR SA 0 PWB Rider –
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Details
Premium Payment for shorter period. Risk cover for longer period for policy holder
Tax rebate on premium paid u/s 80C and Tax free maturity u/s 10 (10D)
Limited Premium Endowment Plan, Plan No. 936
LIC Jeevan Labh Video (explained with example 2019)
LIC’s Jeevan Labh is a limited premium non-linked with profits endowment plan
A combination of protection and savings. Lump sum payment is made in event of death or maturity
Provides financial support for the family in case of unfortunate death anytime before maturity to the nominee
Tax rebate / Exemption in income tax
The entry age is 8 years completed
Documents Required
Address proof
Age proff
Id proof
Photo
Cancelled cheque
ITR / Bank statement for past 3 months
Jeevan Labh Surrender
The policy can be surrendered after 2 years of being in force. The surrender value of the policy can be calculated by ny LIC branch. The surrender value will increase every year provided all the premiums have been paid
Revival
The policy can be revived within 5 years of lapse. All pending premium and a small late fee has to be paid to get the policy restarted. Medical examination may also be required in some cases.
Features of LIC Jeevan Labh 936
Death benefit: On death of the life assured before the stipulated date of maturity provided the policy is in force. Sum assured on death + Simple Reversionary Bonus + Financial Additional Bonus, if any (Sum Assured on death = Higher of 10 times of annualized premium of basic sum assured)
Quick reference: Jeevan Labh plan premium chart click here
Maturity Bonus: Sum assured + Vested Bonus + Final additional bonus if any at the end of the policy term
LIC Jeevan Labh Maturity
The maturity in the plan is given once the policy term is completed and not when the premiums stop. A death maturity is paid in case the policy holder dies. A double accidental rider must be taken to avail double claim in case of accidental death. Download the maturity for LIC Maturity form no. 3783 . The insurance company will pay the maturity in lump sum or equal yearly installments.
Download Jeevan Labh PPT, Jeevan Labh Brochure
Benefits
LIC’s accidental death and disability benefit rider
LIC’s new Term Assurance Rider
PS: all LIC life insurance policy now come with special benefits like loan, surrender, assignment and revival
Jeevan Labh vs Jeevan Umang
Jeevan Umang is a life long policy where in you pay premiums for only 15 years and get returns and life cover for whole life. Whereas Jeevan Labh is a limited period endowment plan where you have to deposit the premiums for 10 years and get back a lump sum return after 16 years. See Jeevan Umang details here.
Jeevan Labh vs Jeevan Anand
In a Jeevan Anand policy a lumpsum amount s paid at the time of policy end but the life cover continues for whole life. See Jeevan Anand details here.
Jeevan Labh vs Jeevan Lakshya
Jeevan Lakshya has triple benefit feature. A death claim, yearly payout and final maturity.
Jeevan Labh vs New Endowment
The main difference between the two plans is that for new endowment plan you have to pay the premium for the full term. Jeevan Labh comes with a premium holiday period.
Jeevan Labh vs Term Insurance
A term insurance will not give you any maturity value whereas a Jeevan Labh plan will give good returns on your investments.
Special Features of Jeevan Labh plan
The plan has all the regular features and benefits of a LIC endowment policy. In addition to those Jeevan Labh has
Premium holiday i.e. you pay for lesser term and get benefits for a longer term.
The policy can only be taken for three term options which are 16 years, 21 years or 25 years. The premium payment for these would be 10, 15 and 16 respectively.
LIC Jeevan Labh Example
Ravi aged 25 years takes a Jeevan Labh (936) with term as 10/16. He would save INR 9000 per month for 10 years and will be receiving 21,50,000 after 16 years. Throughout the 16 years term Ravi will get a insurance cover of 12,50,000 natural and 25,00,000 accidental life cover.
FAQs
Question: what’s is the most important feature of the policy?
Answer: The policy has an in built premium Holiday of 4 years for all the terms. This means the policy will remain in force for an additional 6-9 years even after your premiums have stopped.
Question: What is the minimum and maximum term of the policy?
Answer: The policy can be taken for 16 years, 21 years and 25 years terms.
Question: Should I buy Jeevan Labh policy?
Answer: If you are looking for a policy for a long term and don’t want to keep paying the premium for a long term then this is the ideal policy for you.
Jeevan Labh Review by InsuringGurgaon
Our insurance advisers have reviewed the policy. Investors who are looking for a short term plan can opt for this. The general opinion about the policy review has been excellent. The plan is ideal for people who want to invest for shorter period ad looking for longer term insurance cover.
InsuringGurgaon.com is a leading LIC of India advisory firm based in Gurgaon. Our team of life insurance experts have an combined experience of over 40 years in life insurance services. Do get in touch with our insurance advisers to understand how Jeevan Labh can help you achieve your financial goals in a systematic manner.
Which LIC policy is best Jeevan Anand or Jeevan Labh?
Jeevan anand is a double benefit plan wherein you get a maturity at the end of the policy premium term and there is also another maturity at the time of the death of the policy holder whenever it happens. On the other hand Jeevan Labh is a simple endowment plan with premium holiday. A maturity is paid at the time of policy term end.
Should I invest in LIC pension plan or Jeevan Labh?
A pension plan is a life long returns plans, it is suitable for people who are looking at only small returns but for a longer duration. If you have a financial goal set in coming 16 to 25 years, then you need a Jeevan Labh.
In LIC Jeevan Labh what is the death benefit?
Yes, Jeevan Labh has a death benefit.
Can I take LIC Jeevan Labh 10 years plan?
Yes, you can take a 10 year plan. The premium payment would be for 10 years but the polivy will be in force for 16 years.
How much is the lic jeevan labh agent commission
25% and other benefits as per the agent’s business in the financial year.
How is Jeevan Labh in comparison with New Endowment plan?
Jeevan labh is a limited period endowment plan wherein the term of the policy is longer than the premium paying term. The premiums of same term plan of Jeevan Labh would be a bit higher than the Endowment plan.
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