Endowment plan has been the mainstay of life insurance in the Indian household, catering to long-term goals envisaged in financial planning. An endowment plan is essentially an agreement between the insurer and the policyholder, specially designed to pay a lump-sum amount at the end of a mutually defined term or on death, whichever is earlier. The endowment plan’s contours are defined explicitly with maturity terms, age restrictions, and accruals during the policy’s currency.Read more
Some endowment plans offer additional riders to enhance the Sum Assured to cover unforeseen events.
The LIC Endowment Plan Calculator Plan combines protection and savings elements to financially support the deceased policyholder’s family. The LIC Premium Calculator helps the applicant with the wherewithal about the plan to purchase. It is a handy tool that provides answers to design the plan, the contours suiting the preferences and financial capability to sustain the policy in the long run.
The LIC Endowment Plan Calculator Policy eligibility norms are checked using the versatile Premium Calculator tool provided in the LIC’s official portal. It is an uncomplicated way to know in advance what the plan will return in the long run to match the individual’s future goals. The calculator asks a few simple questions to get you started. The endowment plan can be designed with the outcome to the following inputs, not necessarily in this sequence.
Your queries are answered in a matter of minutes, to help arrive at an informed decision. The crucial input in this module is the plan name, which helps you to navigate and restrict your inputs to the eligibility norms defined in the named plan. For example, if the minimum sum assured in the plan is Rs.1 Lakh, the premium calculator sum assured field will prompt you to enter Rs.1 Lakh and above.
The LIC Endowment Plan Calculator Plan provides a host of benefits. It is a versatile, yet powerful tool to help predict the financials as a guide to match with one’s credentials. The basis for choosing an Endowment Plan is building a corpus in the long-term in consonance with the applicant’s present financial status. Some of the benefits are described below:
The LIC Endowment Plan Calculator Policy offers two options - to pay the premium in the regular frequency of yearly, half-yearly, quarterly, and monthly installments, or as a single premium for the desired Sum Assured. The Premium Calculator helps in answering your queries in both situations. Let us check a few samples in hypothetical situations to get greater clarity.
The yearly premium (inclusive of 18% GST) payable by a 30 years standard life male for Rs.5 Lakh Sum Assured is:
The premium (inclusive of 18% GST) payable by a 30 years standard life male for Rs.5 Lakh Sum Assured is:
The documents required for buying a LIC Endowment Plan Calculator Plan are standard primarily focused on KYC compliance. The copies of documents must be those that are accepted as Officially Valid. The following are mandatory:
The availability of suitable digital platforms has revolutionized the buying of the LIC Endowment Plan Calculator Policy. The customer can visit the LIC’s official portal or any aggregator to avail of their services. It is also sensible to use the Premium Calculator to model a policy with defined contours to help arrive at an informed decision. The Premium Calculator is designed to display the proposed premium for a Sum Assured and its Maturity amount, inclusive of prospective Simple reversionary and Final Additional Bonus. Customers can additionally get detailed information on the surrender, loan value, and future returns.
The defined steps for buying the policy online are described below briefly for easy comprehension.
Step 1: Visit the LIC of India portal and either invoke the online service portal or select the plan to invoke the “Buy Online” option.
Step 2: Enter the basic personal information, including gender, date of birth, and communication details.
Step 3: In the next step, the policy framework and financials are finalized for processing and quote generation.
Step 4: Approve the received quote and complete the online form with all the requisite information and scanned documents upload.
Step 5: Pay the premium online and comply with other underwriting norms for the LIC Endowment Plan Calculator Policy, if any, to sign off.
Understanding the claim process is intrinsic to life insurance, and exclusions are the essential factors that impact the settlement process. It makes sense to scan the policy document’s fine print to comprehend the impact of exclusions to ensure a seamless claim settlement in the future. Some of the necessary items for special attention are:
This clause is invoked when the policyholder commits suicide with twelve months of risk commencement or the revival date, and the policy is void. However, 80% of the premium paid is refunded after recovering charges and incidental expenses.
It is applicable when the policyholder chooses the Critical Illness Rider covering 15 listed Critical Illnesses. Since the Critical Illness Rider is invoked upon diagnosis, it is incumbent for the policyholder to check for clauses and provisions regarding Sum Assured payment after complying with the Waiting and Survival norms.
A1. The premium for the monthly premium frequency payment mode is through NACH or the Salary Savings route.
A2. The various factors impacting the Endowment Plan premium are age, gender, sum assured, policy term, smoking, and health history. Thus the applicant must follow the following cardinal principles for a lower premium.
A3. All LIC plans are subject to compliance with the GOI-framed extant Income Tax Laws. As of now, the premium paid in a financial year is eligible for tax deduction up to a maximum of Rs.1.5 Lakh under Section 80 C of the Income Tax Act, 1961.
A4. The applicant can find the Premium Calculator option on the Home Page of the official LIC portal under the LIC Online Service module. The clicking on the option a page opens seeking personal information comprising name, middle name, surname, date of birth, gender, phone number, and mail ID. Click next to proceed to the next page to select the plan for premium calculation, and click on coverage to lead to the next page. Enter the sum assured, policy term and tick the check box for Accident Benefit Rider, if interested. Click on the quote button to get the premium with the necessary break-up on the screen.
A5. If the premium is not paid before the policy anniversary or the following applicable grace period, the policy lapses and the risk cover ceases.
A6. The policyholder can pay the premium online at the LIC portal using the different offered methods, or through the traditional method through a cheque.
A7. It depends on the policy tenure and the payment type, whether regular, limited, or single.
Disclaimer: Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by an insurer.
*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C apply.
**Tax benefit is subject to changes in tax laws
*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply
^Trad plans with a premium above 5 lakhs would be taxed as per applicable tax slabs post 31st march 2023
+Returns Since Inception of LIC Growth Fund
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