LIC’s Aadhaar Shila - Life Insurance for Women on a Budget

About LIC’s Aadhar Shila Policy

Exclusively designed for females, LIC Aadhar Shila offers comprehensive coverage to the life assured along with benefits of savings. However, it is important to note that the policy can only be availed by women who possess a valid Aadhar card. Without providing it at the time of policy inception, you will not be allowed to proceed further. 

LIC’s Aadhar Shila is an endowment-based policy and serves to address the capital needs of the policyholder's family on her unfortunate demise. On top of that, should the life assured survive the policy term, she is entitled to receive the sum assured on the maturity of the policy. 

Important Features of LIC’s Aadhar Shila Policy 

• Death Benefit - Provided that all due premiums are paid and the policy is in force, beneficiaries of the female lives are entitled to the sum assured on death.

• Maturity Benefit - Women covered under the policy shall receive a maturity benefit that is equal to the basic sum assured at the end of the policy tenure. 

• Loyalty Additions - On the completion of 5 policy years and payment of due premiums, the plan shall participate in LIC's profits. The extra amount is added to the death/maturity benefit at the time of the final payout. 

• LIC’s Accident Benefit Rider - Women policyholders of LIC’s Aadhar Shila can claim extra cover against accidental death with this rider. However, note that the policy term has to be a minimum of 5 years to avail the rider benefits. 

• Benefits in Installments - On choosing the settlement option, the life assured shall receive the maturity benefit in installments. Moreover, she can also choose to claim death benefits in installments.

  This is an excellent option for anybody who wishes to manage their funds efficiently, instead of receiving a lump sum payout and potentially running out of capital. 

• Premium Payment - Women with LIC’s Aadhar Shila life cover have the flexibility to choose from yearly, half-yearly, quarterly, or monthly payments. 

• Tax Exemption - As a policyholder covered under this policy, you can enjoy income tax exemptions under sections 80C and 10(10D) of the Income Tax Act, 1961.

Cover-Up to 3 Lakhs at Rs.912 per Month!

LIC’s Aadhaar Shila was created with the sole objective of making women self-reliant and ensuring that their dependents do not run out of finances. Given the greater purpose of the scheme, it allows one to accumulate up to Rs.3 Lakhs, which they can use to fund various needs.  

Any woman in the age bracket of 8 to 55 years can choose to invest in the policy for a term of 10 years to 20 years. The premium paying term shall be the same as the policy term that she chooses. Please note that you will have to assure a sum of at least Rs.75,000 under LIC’s Aadhaar Shila. 

While the maximum basic sum assured has been capped at Rs.3 Lakhs, one is entitled to additional returns in the form of loyalty additions. 

Let’s look at a sample illustration to explain the premium amount that you would have to pay against a sum assured of Rs.3 Lakhs.  

Sample Illustration for LIC’s Aadhar Shila Policy

Let’s assume a 26-year-old female who has chosen to secure a sum of Rs.3 Lakhs for a policy term of 20 years. The premium paying term thus shall be 20 years, payable yearly, half-yearly, quarterly, or monthly. The following illustration highlights the respective premiums payable (inclusive of taxes) against each mode of payment. 

If you wish to understand the premium amounts payable against various sums, you can use LIC's online premium calculator to come to an accurate estimate. The tool is completely free of cost and can be used from the comfort of your home. 

Summing Up!

LIC’s Aadhaar Shila scheme has the potential to relieve you of the financial burden of your dependents in case of your death. With this policy, you can make sure that their needs are taken care of and they don't have to struggle for financial assistance. Further, with the maturity proceeds, you can also add to your savings and safeguard your personal needs in the future.