If you are looking for a child plan that combines the benefits of savings and protection, then LIC’s Jeevan Tarun is the plan for you. With this plan, you only have to pay premiums until the child turns 20 and the policy coverage continues until 25. This child plan can be purchased for kids who are over 3 months old and under 12 years of age.Read more
LIC Jeevan Tarun is a child plan launched by the government-backed organization Life Insurance Corporation (LIC) to cover and secure the future of children. It is a non-linked, participating plan, which means you will be offered a portion of the company’s declared profits without worrying about market risks affecting your investment. The premiums can be paid on a monthly, quarterly, bi-annually, or yearly basis. The plan also offers 4 different survival and maturity benefit options.
LIC Jeevan Tarun works by securing your child till 25 years of age for premiums paid till 20 years of age. This plan offers survival and maturity benefit options under which you can choose for your child to receive survival benefits of 5% to 15% of the sum assured, each year after the end of the premium paying term.
For example, if you purchased this policy for your 12-year-old son, then the policy term will be for 13 years while the premium paying term will be 8 years. For a sum assured of Rs. 5 Lacs, the annual premium will be Rs. 53,723, which is approximately Rs. 150 daily. At the maturity of the plan, your son will receive a total of Rs. 5 Lacs as guaranteed benefits and Rs. 1,95,000 as revisionary benefits under option 1 of the survival benefits.
There are several benefits available under LIC Jeevan Tarun, some of them are as follows:
Survival Benefits: You can opt to receive survival benefits as 5%, 10%, or 15% of the sum assured, each year after the end of the premium paying term until the end of the policy term.
Maturity Benefits: Your child will receive the sum assured on maturity at the end of the policy term. This maturity benefit can be 100%, 75%, 50%, or 25% of the total sum assured, depending on the policy option chosen.
Participation in Profits: Under this plan you will be eligible to receive a portion of the profits declared by the company.
Rider Benefits: This policy only offers LIC’s Waiver of Premium Rider, through which in case of your unfortunate death, the remaining premiums will be waived off.
Tax Benefits: You can avail of tax benefits under Section 80C and 10(10D) of the Income Tax Act.
LIC Jeevan Tarun is a LIC plan that will not only give wings to your child’s dreams and aspirations but also help fund any unexpected expenses like medical emergencies or higher education fees. Through this plan, you can secure Lacs of money for your child’s future at minimal premium rates.