LIC's New Jeevan Anand (715)

How the plan works

LIC's New Jeevan Anand combines savings and protection. You choose a Basic Sum Assured (minimum ₹2,00,000, no upper limit) and a policy term between 15 and 35 years, and pay premiums for the whole term. The policy shares in LIC's profits through Simple Reversionary Bonuses declared every year, and a Final Additional Bonus may also be declared when the policy ends in a claim. On survival to the end of the term you receive a lump sum, and life cover equal to the Basic Sum Assured continues for the rest of your life. Risk cover starts immediately once the proposal is accepted.

The Basic Sum Assured must be chosen in these steps:

Sample annual premiums (excluding taxes) for a Basic Sum Assured of ₹2 lakh, standard life:

Death benefit

If all due premiums are paid:

• Death during the policy term: the nominee receives the Sum Assured on Death plus vested Simple Reversionary Bonuses and Final Additional Bonus, if any. Sum Assured on Death is the higher of 125% of the Basic Sum Assured or 7 times the annualised premium. The death benefit will never be less than 105% of total premiums paid up to the date of death.
• Death after the policy term ends: the Basic Sum Assured is paid, so the cover continues for life after maturity.

Maturity benefit

If the life assured survives to the end of the policy term with all premiums paid, LIC pays the Sum Assured on Maturity (equal to the Basic Sum Assured) plus vested Simple Reversionary Bonuses and Final Additional Bonus, if any. Bonuses depend on LIC's experience and are not fixed in advance; once declared, reversionary bonuses become part of the guaranteed benefits.

Optional riders

Up to three riders can be added for extra premium (you can choose only one of the two accident riders):

• LIC's Accidental Death and Disability Benefit Rider (UIN: 512B209V02)
• LIC's Accident Benefit Rider (UIN: 512B203V03)
• LIC's New Term Assurance Rider (UIN: 512B210V02) - at inception only
• LIC's Critical Illness Health Rider (UIN: 512B227V01) - at inception only; Option 1 covers 15 major critical illnesses, Option 2 covers 40 including Assisted Living Benefit

Loan, surrender & revival

• Loan: available after the first policy year once one full year's premium is paid, within the surrender value. Limit: 50% of surrender value (in-force) or 40% (paid-up) before two full years' premiums; 75% (in-force) or 65% (paid-up) after two full years' premiums. For loans sanctioned between 1 May 2024 and 30 April 2025, interest was 9.5% p.a. compounding half-yearly.
• Surrender: possible after the first policy year once one full year's premium is paid. Guaranteed Surrender Value is acquired after at least two full years' premiums; you receive the higher of Guaranteed and Special Surrender Value.
• Paid-up: if at least one full year's premium is paid and premiums stop, the policy continues with reduced (paid-up) benefits but stops earning future bonuses.
• Revival: a lapsed policy can be revived within 5 consecutive years from the first unpaid premium, but before the end of the policy term, by paying arrears with interest (9.50% p.a. compounding half-yearly for 1 May 2024 to 30 April 2025) and subject to continued insurability.

Other key terms

• Grace period: 30 days for yearly, half-yearly and quarterly premiums; 15 days for monthly premiums.
• Free-look period: 30 days from receiving the policy document to return it if you disagree with the terms.
• Settlement option: maturity proceeds (and, at the life assured's choice, death benefit) can be taken in instalments over 5, 10 or 15 years. Minimum instalments: ₹5,000 monthly, ₹15,000 quarterly, ₹25,000 half-yearly, ₹50,000 yearly.
• Mode rebate: 2% of tabular premium for yearly mode, 1% for half-yearly; nil for quarterly, monthly and salary deduction.
• High Sum Assured Rebate: nil for ₹2,00,000 to below ₹5,00,000; 2.50 per thousand of Basic Sum Assured for ₹5,00,000 to below ₹10,00,000; 4.00 per thousand for ₹10,00,000 and above.
• Suicide exclusion: within 12 months of start of risk, 80% of premiums paid is payable (policy in-force); within 12 months of revival, higher of 80% of premiums paid or surrender value.