The Life Insurance Corporation of India, commonly known as the LIC, has been a pioneer in designing exclusive child plans. The child plans designed under the LIC Child Plan Calculator Policy aim primary focus on securing the child’s future, be it education or wedding. The essential premise is that the child is provided with adequate funds when it is most needed - after completing schooling to pursue a degree. Higher education is a costly affair in India, mainly because it may need the child’s relocation. It is during these times that funds play a significant role in the child chasing a dream.Read more
With the LIC premium calculator, you can design the contours of the offered products to your advantage. The LIC premium calculator is the right tool to assess the child’s plans to make an informed decision. The same applies to the child’s well-being post-education when you desire your child to settle down as a parent.
Since the LIC Child Plan Calculator Plan is specifically designed for the child’s benefit, the premium calculator also uses different set inputs to display the outcome in harmony with the plan features. Basically, the child plans have two major components. The life assured or the child, and the proposer can be either of the parents or the Grandparents. The LIC Child Plan Calculator Policy is geared to handle the specific requirements in the overall plan design. The essential contour confines the child’s plan from birth to its 25th birthday, which is the day the plan matures. However, the maximum child entry age is restricted to 12 years. The other parameters are adjusted in conformity with these limits. Thus, the essential inputs in the LIC Child Plan Calculator Plan are:
The LIC Child Plan Calculator Policy’s premium calculator is a multi-faceted tool to help design the plan suiting one’s preferences. The primary purpose of using the premium calculator is to assess if the plan is viable and will deliver the child’s envisaged goals. In today’s world, every parent desires the best education opportunity for the child. In fact, the Right to Education is a landmark feature to empower our children with a wholesome education. Such a scenario goes without saying that a suitable LIC Child Plan Calculator Policy goes a long way to realise the child’s aspirations. The LIC premium calculator is the tool that facilitates the right purchase. Accordingly, the benefits accrued by using the premium calculator are listed below:
The premium calculator displays the payable premium based on the inputs matching LIC child plans. Even the results are displayed in frequencies applicable in the LIC Child Plan Calculator Plan - yearly, half-yearly, quarterly, and monthly.
Let us consider a sample illustration for the LIC Child Plan Calculator Policy, which pertains to the LIC Children’s Money Back Policy with a proposed Rs.1 Lakh Sum Assured. The annual premium arrived by the premium calculator for the child’s different entry ages are:
The premium calculator documents considered for the LIC Child Plan Calculator Policy are elaborate, considering that the KYC norms have to be complied with for both the proposer and the life assured. However, since the last-named is a minor, the appropriate authority’s Birth Certificate is mandatory. The insurer may call for additional documents if warranted. The standard documents required are:
Over time, the digital platform’s use has increased manifold for the convenience of its safety and comfort around the clock. Buying the LIC Child Plan Calculator Policy online is no exception for its efficacy and ease of operation. The prospective policyholder can buy the selected policy either at the official LIC portal or the many aggregators who offer such a facility. Additionally, the online platform provides a Premium Calculator module to help model the chosen plan’s contours to suit individual preferences and make an informed choice. Visit the official LIC portal and choose the Online Service Portal or select the plan or invoke the Buy Online option to initiate the process. The following steps are tabulated below:
Step 1: Enter the basic details comprising skeletal personal information and communication address. The information pertains to both the child and the proposer.
Step 2: Choose the financial parameters and shape the policy framework. It is decided by the child’s entry age which impacts the money-back pattern and the policy term. The term is arrived at by deducting the child’s entry age from 25 years, being the maturity age.
Step 3: Complete the online form and await the quote.
Step 4: Approve the received quote to pay the premium online and comply with other underwriting formalities to complete the process.
It is essential to check the LIC Child Plan Calculator Policy document for the exclusion description to ensure a seamless claim experience if the need arises. Poor understanding of exclusions can severely mar the future claim settlement process. The primary exclusion in the LIC Child Plan Calculator Plan relates to the suicide clause. It states that no claim is admissible if the insured commits suicide with twelve months of the risk commencement date. However, the beneficiary is entitled to 80% of the total premium paid.
The same clause applies to the revived policy. The rule will not apply under the following conditions:
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A1. Yes, the projection is accurately made by the premium calculator based on the input parameters. There are multiple options for the premium calculator to accurately display the results in the LIC Jeevan Tarun.
A2. The Premium Waiver Benefit Rider, as the name suggests, is a worthy choice made at the proposal stage to ensure that the child’s future is not affected by the proposer’s unfortunate demise. All the future premiums are waived to enable the child to continue with the studies unhindered, and the money-back schedule and maturity features are not impacted.
A3. One of the primary ways to reduce the child plan’s premium is by buying the policy when the child is born. The entry age is thus defined from birth to 12 years, while the maturity is fixed at 25 years. The policy term is calculated by deducting the entry age from the maturity age; thereby, it is 25 - 0 for a child plan bought at birth, denoting the longest policy term possible. It ensures a low premium and a handsome money-back and maturity benefit displayed by the premium calculator.
A4. For any default in premium payment even within the permissible grace period, the policy is considered to have lapsed, and the risk cover ceases.
A5. The premium paid during a financial year is entitled to tax exemption up to a maximum of Rs.1.5 Lakh under Section 80 C of the Income Tax Act, 1961.
A6. The LIC premium calculator can be used for multiple plans depending on the input, making it a versatile and powerful tool.
A7. Apart from insurer-specific premium calculators, several aggregators also provide premium calculator services.