LIC Yuva Term Plan 875

Keep reading to find out more about the LIC Yuva Term Plan 875 (UIN No. 512N355V01).

LIC Yuva Term Plan 875- An Overview

The LIC Yuva Term Plan 875 is a non-participating, non-linked pure term insurance plan offered by LIC of India. Designed for individuals looking for affordable life insurance, the plan provides financial protection to your family in case of your unfortunate demise during the policy term. Since it is a pure protection plan, it does not offer maturity benefits, bonuses, or profit-sharing, allowing you to secure a higher life cover at comparatively lower premiums.

The plan offers flexible premium payment options—Single, Regular, and Limited Premium—as well as two death benefit options: Level Sum Assured and Increasing Sum Assured, allowing you to choose coverage based on your financial needs. Eligible non-smokers can also benefit from lower premium rates, making the plan even more cost-effective. The LIC Yuva Term Plan 875 is available through LIC agents and other authorised offline distribution channels.

Key Features of LIC Yuva Term Plan 875

Flexibility:

• The LIC Yuva Term plan provides flexible death benefit options such as Level or Increasing Sum Assured.

• You can choose the Premium payment options, including Single, Regular, or Limited Premium and calculate the amount using LIC Yuva term plan calculator.

Special Rates for women: The LIC Yuva Term plan 875 offers special rates for women. The premium rates for women are lower than the standard rates. Eligible women can secure the same life cover at comparatively lower premium rates, making long-term financial protection more affordable.

Non-smoker benefit: If you qualify as a non-smoker, you can enjoy lower premium rates, making it easier to secure higher life cover at a lower cost. If you pass the ‘Urinary Cotinine’ test, you are eligible for these rates.

Rebates: In the Yuva Term Plan LIC offers discounts for higher sums assured. If you need a higher life cover, these rebates can reduce your overall premium, making larger coverage more cost-effective.

Instalment benefit: The LIC Yuva Term Plan 875 death benefit can be received in instalments if chosen. Instead of receiving a lump sum all at once, your family can choose regular payouts to help manage monthly expenses and maintain financial stability over the long term.

LIC Yuva Term Plan Eligibility Criteria

Benefits of LIC Yuva Term Plan 875

Below are the benefits of the LIC Yuva Term plan 875 the nominee will receive after the policyholder's unfortunate demise.

Death Benefit:

The nominee will receive the death benefit if the policyholder dies during the policy term. Under Regular Premium and Limited premium payment, “Sum Assured on Death” is defined as the highest of:

• 7 times the annualised premium,

• 105% of total premiums paid, or the absolute amount assured

Under Single premium payment, “Sum Assured on Death” is defined as the higher of:

• 125% of Single Premium;

• Absolute amount assured to be paid on death.

Maturity Benefit:

As a pure term insurance plan, LIC Yuva plan provides no maturity benefit if the life assured survives to the end of the policy term.

Option to Take Death Benefit in Installments:

LIC Yuva term insurance death benefit can be received in installments over 5, 10, or 15 years, with monthly, quarterly, half-yearly, or yearly payments available if the total claim amount meets the minimum installment requirements.

Sample Premium Illustration of LIC Yuva Term Plan 875

The sample illustrative premiums for LIC Yuva Term plan’s Option I (Level Sum Assured) and Option II (Increasing Sum Assured) for Basic Sum Assured of Rs 50 Lakh for Non-Smoker, Male, Standard lives under different Premium Payment options are as under:

Option I (Level Sum Assured):

Option II (Increasing Sum Assured):

The premium amounts for the LIC Yuva term plan 875 can be easily calculated by the customer or the policyholder in various modes. The LIC Yuva Term Plan Calculator provides the premium amounts on a monthly/ quarterly/ half-yearly/ yearly basis.

Details Required By LIC Yuva Term Plan Calculator

The LIC Yuva Term Plan Calculator requires basic details about the policyholder and the plan to generate accurate premium and sum assured projections. Those details include:

• Your Current Age

• Gender

• Smoker Status

• Basic Sum Assured (₹)

• Death Benefit Option

• Premium Payment Term

• Policy Term (Years), and

• Premium Payment Mode

Based on this information, the LIC calculator will provide the results showing premium amounts and the sum assured amount of the policy.

Yuva Term LIC 875 Plan Details

The following are the LIC 875 plan details for everyone who wishes to purchase or has an LIC Yuva Term plan.

Grace Period
A grace period of 30 days is given for yearly or half-yearly premium payments. During this time, the policy stays active with full risk cover. If the premium isn't paid within this period, the policy will lapse and all benefits will stop.

Rebates
The following rebates shall be applicable:

Revival
You can revive a lapsed LIC Yuva Term plan within 5 years from the first unpaid premium, before maturity, by paying all due premiums with interest and fulfilling health requirements. LIC may accept, modify, or reject the revival. If not revived within this time, the policy ends with no benefit, except limited plans may get a small amount back.

Free-Look Period
If you're unsatisfied with the policy terms and conditions, you can return the policy within 30 days of receiving it (physical or electronic copy, whichever is earlier). LIC will cancel the policy and refund the premium paid after deducting charges for risk cover, medical tests (if any), and stamp duty.

What is Not Covered in the LIC Yuva Term Plan 875?

The LIC Yuva Term plan has a suicide exclusion clause as follows:

Regular/Limited Premium Policy

If the life assured (whether sane or insane) commits suicide within 12 months from the commencement or revival of the policy, the nominee will receive 80% of the total premiums paid (excluding extra premium, rider premium, and taxes), provided the policy is in force. No benefit is payable if the policy has lapsed.

Single Premium Policy

If the life assured (whether sane or insane) commits suicide within 12 months from the commencement of risk, the nominee is entitled to 80% of the single premium paid (excluding extra premium, rider premium, and taxes).

Note: You should also check the term insurance benefits if you are planning to purchase the term insurance plan.

Who Should Buy LIC Yuva Term Plan 875?

The LIC Yuva Term Plan 875 is designed for individuals who want affordable life insurance coverage and long-term financial security for their loved ones. It is a suitable choice for:

• Young Professionals: Start your financial planning early with high life cover at affordable premiums.

• Salaried Individuals: Ensure your family's financial stability and protect their future income needs.

• Newly Married Couples: Secure your spouse against financial uncertainties with adequate life insurance coverage.

• Parents with Young Children: Create a financial safety net to support your children's education and daily expenses in your absence.

• Home Loan Borrowers: Help your family repay outstanding home loans or other financial liabilities without additional burden.

• First-Time Insurance Buyers: If you're purchasing life insurance for the first time, the LIC Yuva Term Plan offers straightforward coverage with flexible premium payment options.

• Non-Smokers: Eligible non-smokers can benefit from lower premium rates, making the plan even more cost-effective.

• Women Policyholders: Women enjoy special premium rates, making the plan an economical option for long-term financial protection.

Is LIC Yuva Term Plan 875 a good choice?

The LIC Yuva Term Plan 875 can be a suitable choice for young individuals seeking affordable life insurance with high financial protection. With flexible premium payment options, lower premium rates for eligible non-smokers and women, and a choice between Level and Increasing Sum Assured, it caters to different protection needs. Before purchasing, you can use the LIC Yuva Term Plan Calculator to estimate your premium and choose the coverage that best fits your financial goals.

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