Term Insurance Plans
LIC's Digi Term (876)
Online term cover from ₹50 lakh with level or increasing sum assured
- Entry age
- 18 years to 45 years (age last birthday)
- Policy term
- 15 to 40 years (minimum 20 years for 15-year limited pay); subject to maximum maturity age of 75 and, under Increasing Sum Assured, to age and sum assured band limits
- Premium paying term
- Regular (same as policy term), Limited 10 years, Limited 15 years, or Single Premium
- Min. sum assured
- ₹50,00,000
Plan overview
LIC's Digi Term is a pure term insurance plan available only online through LIC's website. It pays a fixed death benefit to your family if you die during the policy term, with a choice of level cover or cover that rises up to twice the Basic Sum Assured. There is no maturity benefit, so it suits people who want high life cover at a low cost.
New to term insurance plans? Read our simple guide: What Is Term Insurance? Pure Protection Explained →Key benefits
- Pure protection: death benefit paid to the family; nothing is paid on survival to maturity
- Choose Level Sum Assured or Increasing Sum Assured (rises to 2 times Basic Sum Assured)
- Pay by Regular, Limited (10 or 15 years) or Single Premium
- Minimum Basic Sum Assured ₹50 lakh; cover up to age 75
- Special premium rates for women and separate non-smoker rates
- High Sum Assured Rebate on cover of ₹1 crore and above
- Available only online at www.licindia.in
Eligibility at a glance
- Plan number
- 876
- UIN
- 512N356V02
- Plan type
- Non-Par, Non-Linked, Life, Individual, Pure Risk Plan
- Entry age
- 18 years to 45 years (age last birthday)
- Maximum maturity age
- 75 years
- Policy term
- 15 to 40 years (minimum 20 years for 15-year limited pay); subject to maximum maturity age of 75 and, under Increasing Sum Assured, to age and sum assured band limits
- Premium paying term
- Regular (same as policy term), Limited 10 years, Limited 15 years, or Single Premium
- Minimum sum assured
- ₹50,00,000
- Maximum sum assured
- ₹5,00,00,000 (higher amounts considered case by case as per underwriting)
- Premium payment modes
- Yearly, Half-yearly (Regular/Limited Premium); Single Premium
How the plan works
Digi Term is a pure risk (term) plan sold only online through www.licindia.in. You choose the cover amount, policy term, how you will pay premiums and one of two death benefit options. If you die during the term, your nominee receives the death benefit. If you survive the term, nothing is paid. Being a non-par plan, it does not earn bonuses.
| Eligibility | Details |
|---|---|
| Entry age | 18 to 45 years (last birthday) |
| Maturity age | 33 to 75 years (last birthday) |
| Minimum Basic Sum Assured | ₹50,00,000 |
| Maximum Basic Sum Assured | ₹5,00,00,000 (higher on case-by-case underwriting) |
| Premium paying options | Regular, Limited 10 years, Limited 15 years, Single |
| Minimum policy term | 15 years (Regular, Single, Limited 10); 20 years (Limited 15) |
| Maximum policy term | 40 years under Level Sum Assured, subject to maturity age 75 |
| Minimum premium | ₹3,000 per instalment (Regular/Limited); ₹30,000 (Single) |
Under the Increasing Sum Assured option, the maximum term depends on your age and cover band. For example, under Regular/Limited premium, the maximum term for ₹50 lakh to below ₹1 crore ranges from 40 years (age 18 to 21) down to 26 years (age 36 to 45); for ₹5 crore and above it is 40 years subject to the maximum maturity age.
Basic Sum Assured multiples: ₹1,00,000 (₹50 lakh to ₹75 lakh), ₹25,00,000 (above ₹75 lakh to ₹1.5 crore), ₹50,00,000 (above ₹1.5 crore to ₹4 crore), ₹1,00,00,000 (above ₹4 crore).
Premiums depend on age, gender, smoking status (non-smoker rates require a urinary cotinine test), term, premium paying term and option.
Sample annual premiums for ₹50 lakh cover, non-smoker male, 20-year term (excluding taxes):
| Age | Option | Regular | Limited 15 yrs | Limited 10 yrs | Single |
|---|---|---|---|---|---|
| 20 | Level | ₹3,600 | ₹4,100 | ₹5,200 | ₹37,750 |
| 30 | Level | ₹4,700 | ₹5,400 | ₹6,950 | ₹50,850 |
| 40 | Level | ₹9,400 | ₹10,850 | ₹14,050 | ₹1,04,900 |
| 20 | Increasing | ₹4,650 | ₹5,350 | ₹6,850 | ₹50,100 |
| 30 | Increasing | ₹6,600 | ₹7,650 | ₹9,850 | ₹72,950 |
| 40 | Increasing | ₹14,400 | ₹16,750 | ₹21,700 | ₹1,63,250 |
Death benefit
If the life assured dies during the term while the policy is in force, the Sum Assured on Death is paid.
- Regular/Limited premium: highest of 7 times the annualised premium, 105% of total premiums paid till death, or the absolute amount assured on death.
- Single premium: higher of 125% of the single premium or the absolute amount assured on death.
The absolute amount assured on death depends on the option chosen at the start (it cannot be changed later):
| Option | Absolute amount assured on death |
|---|---|
| Option I – Level Sum Assured | Basic Sum Assured throughout the term |
| Option II – Increasing Sum Assured | Basic Sum Assured for the first 5 policy years, then rises by 10% of Basic Sum Assured each year from year 6 to year 15, reaching 2 times Basic Sum Assured; stays at 2 times from year 16 onwards |
Maturity benefit
No maturity benefit is payable if the life assured survives the policy term.
Loan, surrender & revival
- Loan: Not available.
- Paid-up value: Not available.
- Surrender: No surrender value. However, an Unexpired Risk Premium Value, if any, may be paid: nothing for Regular premium policies; any time for Single premium; for Limited premium only if full premiums have been paid for at least 3 consecutive years.
- Revival: A lapsed Regular/Limited premium policy can be revived within 5 consecutive complete years from the first unpaid premium and before maturity, by paying arrears with interest, subject to continued insurability.
Other key terms
- Grace period: 30 days for yearly or half-yearly premiums.
- Free-look period: 30 days from receipt of the policy document.
- Death benefit in instalments: The life assured can choose for the nominee to receive the death benefit over 5, 10 or 15 years (minimum instalment ₹5,000 monthly, ₹15,000 quarterly, ₹25,000 half-yearly, ₹50,000 yearly).
- Half-yearly mode: 2% premium conversion rate is added to the annual premium for half-yearly payment.
- High Sum Assured Rebate: Nil for ₹50 lakh to below ₹1 crore. For Level Sum Assured with Regular/Limited premium, it is 18%, 30% and 37% of tabular premium (up to age 30) or 16%, 28% and 33% (ages 31 to 45) for ₹1 crore to below ₹2 crore, ₹2 crore to below ₹5 crore and ₹5 crore and above respectively. Separate rebate scales apply for Single premium and the Increasing Sum Assured option.
- Suicide exclusion: Within 12 months of risk commencement (or revival for Regular/Limited), 80% of premiums paid is payable instead of the death benefit.
Who should buy LIC's Digi Term?
- Earning adults aged 18 to 45 who want large life cover at low cost
- People with home loans or other liabilities their family would have to repay
- Those who prefer buying online without paperwork
- Buyers who want cover that grows over time to keep pace with rising needs (Increasing Sum Assured option)
Frequently asked questions
Can I buy LIC Digi Term (876) through an agent?
No. The brochure states this plan is available online only and can be bought directly through www.licindia.in.
What are the age limits for LIC Digi Term?
Entry age is 18 to 45 years (last birthday). The minimum maturity age is 33 and the maximum is 75 years.
What is the minimum cover?
The minimum Basic Sum Assured is ₹50 lakh. The maximum is ₹5 crore, and higher amounts may be considered case by case under LIC's underwriting policy.
How does the Increasing Sum Assured option work?
The death cover stays at the Basic Sum Assured for 5 years, then rises by 10% of it each year from the 6th to the 15th year until it doubles, and remains at twice the Basic Sum Assured after that.
Will I get any money back if I survive the term?
No. Digi Term is a pure protection plan and no maturity benefit is payable on survival.
Is a loan or surrender value available?
No loan or surrender value is available. In some cases, such as Single premium or Limited premium with at least 3 years' premiums paid, an Unexpired Risk Premium Value may be paid on surrender.