Last year, Mr. Arhaan bought the LIC Bima Jyoti plan. He is a 30-year-old IT professional and lives with his wife and 1 kid. He was looking for a plan that will offer him the benefits of life protection as well as help him to invest his money for the future. Looking at his needs and budget, he decided to buy the LIC Bima Jyoti plan.
LIC Bima Jyoti is an endowment plan that is designed to offer comprehensive coverage to the policyholder and his family by providing death benefits and maturity benefits. In addition to this, there are several other features and benefits of the plan that seem to be useful to Mr. Sharma in the long run.
Let’s explore the other key benefits and features of LIC Bima Jyoti that convinced Mr.Sharma to choose this plan.
What are the Benefits of LIC Bima Jyoti?
With this plan, Mr. Sharma and his family will also be entitled to the below-mentioned benefits:
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Death Benefits
If the policyholder dies during the policy term, the family of the policyholder will be entitled to the death benefit. The death benefit paid by the company will be 7 times the annual premium amount or 125% of the Base Sum Assured, whichever is higher at the time of death.
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Maturity Benefits
In case the policyholder survives till the end of the policy tenure, the plan will offer the basic sum assured to the insured. The maturity amount will be calculated as the sum assured along with the vested Simple Reversionary Bonuses and Final Additional Bonus if any.
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Tax Benefits
The LIC Bima Jyoti policy offers tax benefits to the insured on the premium paid and on the claims received under Sections 80C and 10(10D) of the Income Tax Act.
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Availability of Riders for enhanced protection
The plan offers four additional riders that can be added for extra protection against natural death, death or disability by accident, and critical illnesses. The riders available are LIC Accident Benefit Rider, LIC Accidental Death, and Disability Benefit, LIC New Term Assurance Rider, LIC Waiver of Benefit, and LIC New Critical Illness Benefit Rider.
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Option to receive Death and Maturity Benefit in Installments
The policyholder or the nominee has the option to receive death/ maturity benefits in installments. The minimum installment amount for each manner of payment is as follows:
Mode of Installment payment |
Minimum installment amount (in Rs.) |
Monthly |
5,000 |
Quarterly |
15,000 |
Half-yearly |
25.000 |
Yearly |
50,000 |
To Sum it Up
Along with Mr. Sharma, the other buyers of the LIC plan are satisfied with the features and benefits of the plan. The plan is affordable and provides complete coverage. Not only does the plan look after your family’s financial needs after your demise, but also ensures that at the end of the policy term, you can fulfill your future goals.