Tips to Consider Before Buying LIC Term Plan

The oft-purchased LIC term plan is a regular non-participating term life insurance policy that assures a lump sum amount to your family in the event of your untimely demise during the policy term. The term plans by LIC can be purchased online after meeting certain laid down requirements. With flexible premium payment options and appropriate coverage at affordable costs, these plans are certainly the right way to go for people of all ages and from different walks of life. Take a look.

Beneficial Covers of LIC Term Plan

Insurance aggregator and comparison sites like Coverfox.com are well equipped to help you decide upon the best term insurance plan for yourself and your family members. Given below are some beneficial covers of LIC term plans.

1. LIC’s Anmol Jeevan – II

This protection plan is the simplest LIC term plan and is designed to offer financial coverage to the family of the deceased policyholder. The death coverage of this LIC term plan is in the form of a lump sum predefined amount that is payable to the nominee/ beneficiary of the plan if the policyholder passes away while the policy term is still valid. The downside of the LIC term insurance plan is in the form of its maturity benefit wherein nothing is paid in case the policyholder survives the policy term.

With the minimum and maximum entry age of 18 years and 55 years, and maturity age of the plan at 55 years and 65 years, Anmol Jeevan – II is the most traditional of all LIC term plans. The tenure of the plan ranges from 5 to 25 years and the minimum and maximum sum assured is INR 6, 00,000 and INR 24, 00,000 respectively.

2. LIC’s Amulya Jeevan – II

Just like Anmol Jeevan – II, this LIC term plan also offers a lump sum death benefit coverage to your family in the event of your death during the policy term. Nothing is payable as maturity benefits if you survive the policy term. The minimum and maximum age of entry for this policy is 18 years and 60 years respectively. The premium for the LIC term plan has to be paid throughout the term of the policy that ranges from 5 years to 35 years. The minimum sum assured is INR 25, 00,000 while there is no limit on the maximum payable death coverage amount.

3. LIC’s E-Term

This non–participating, regular premium, term assurance policy can be purchased online to provide financial protection to your loved ones when you are not around to fend for them. It is available via an online application process and does not involve any intermediaries. In this LIC term plan, a lump sum amount is payable to the nominee designated by you in case you meet your death during the policy term; no amount is payable in case you survive the entire policy term.

The minimum and maximum entry age of LIC e-term are 18 years and 60 years respectively, with the maximum maturity age being 75 years. The premium for the LIC term plan depends on the factors that are pre-decided by the Company; there is no limit to the maximum possible sum assured amount. The minimum coverage for policyholders in the smoker (aggregate) and non-smoker categories are INR 25 lakhs and INR 50 lakhs respectively; there is no limit to the maximum possible coverage amount.

Claim Settlement Ratios in LIC Term Plan

TheClaim Settlement Ratio is the primary key to finding the best term assurance plan for yourself and your loved ones. After topping IRDAI’s claim settlement ratio chart for the year 2014-15, Life Insurance Corporation (LIC) of India continues to make waves with its impressive Claim Settlement Ratio of 98.31 percent in the Financial Year 2016-17.

This ratio indicates the total number of claims settled by LIC as against the total number of claims reported for the FY 2016-17, which was 7, 69,386. The high CSR showcases that LIC has left most private term insurance players far behind in the race. With a high CSR and many endowment policies targeted for tax saving and investment purposes, LIC has earned the trust of Indians in more ways than one.

Buy Your LIC Term Plan Today!

Log onto Coverfox.com at the earliest to peruse and buy the LIC term plan of your choice in the most seamless of ways. With technology-backed insurance comparison and premium calculation tools to boast of, this website will provide the helpful financial coverage you need for your family.

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