Lic New Endowment Plan No 814

LIC’s

NEWENDOWMENT

PLANTable No.

814

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Table No. 14

Table No.814

LIC’s New Endowment Plan – BenefitsEndowment Assurance Plan

New Endowment PlanMaturity

BenefitMaturity Benefit

Nochange

Basic Sum Assured along

with Vested Simple

Reversionary Bonuses andFinal

Additional

Basic Sum Assured along withVested Simple Reversionary Bonuses andFinal Additional Bonus, if Any.Bonus, if

Any. Death Benefit

Death Benefit

Modified ‘SumAssured onDeath' insteadof SA.

Sum Assured (SA) along

with Vested Simple

Reversionary Bonuses

andFinal Additional Bonus, if any.

‘Sum Assured on Death’ along with

Vested Simple Reversionary Bonuses

and Final Additional Bonus, if any.The death benefit as defined above shall not be less than 105% of total premiums*

paid as on the date of death.







LIC’s New Endowment Plan – Benefit on Death

What is Sum Assured on Death?

Sum Assured on Death shall be Higher of ~Basic Sum Assured (BSA)

OR

10 times Annualised Premium.(10 x AP).

[*The premiums mentioned in death benefit are excluding taxes, extra premiums and premiums for riders, if any]







LIC’s New Endowment Plan

Particulars

Table No. 14 Endowment Assurance Plan

Table No. 814 New Endowment Plan

Eligibility Conditions and Restrictions

Age at entry

12 to 65 years

8 to 55 years

Age atentrymodified

Maximum 75 YearsAge atMaturity

Maximum 75 years

Policy Term

5 to 55 years

12 to 35 years

Policy

Premium mode

Yearly, Half-yearly, Quarterly, Monthly (SSS or ECS)

Yearly, Half-yearly, Quarterly, Monthly (SSS or ECS)

termmodified

Basic Sum Assured

50000 and above

100000 and above( In multiples of 5000

MinimumSum) Assured Modified







LIC’s New Endowment Plan ~ RebatesMode

RebateTable No.

14Table No. 814Yearl

y3% of tabular Premium

2% of tabular premium

Ratemodified

Half-yearly

1.5% of tabular premium

1% of tabular premium

Quarterly

Nil NilateTable No 14

Endowment Assurance Plan

Slab & RTable No. 814

modified

New Endowment PlanBasic Sum Assured

Rebate (Rs.)

Basic Sum Assured

Rebate (Rs.)

100001 and above

2.00‰ SA 5,00,000 and above

3.00‰ BSA

50001 to 100000 1.00‰ SA 2,00,000 to 4,95,000

2.00‰ BSA

Upto 50000 Nil <1,95,000 Nil







LIC’s New Endowment Plan ~ Policy Loan

Surrender Value shall depend on the Policy Term, as given in th table below.

e% of loan modified

Table No. 14 Endowment Assurance Plan

Available after payment of 3 full years premiums.

Loan granted shall be 90% of the Surrender Value in case of inforce policies and 85% of the Surrender Valuein case of Paid-up policies irrespective of the policy term.

Foreclosure action was initiated on default of 2 or more half-yearly loan interest installments.



The maximum amount of loan that can be granted as a percentage of

Foreclosure action shall not be taken under fully paid-up and inforce policies even if there is default of loan interest.Policy Term Upto 23 24 to 27 28 to 31 32 to 35

% for inforce policies 90% 80% 70% 60%% for Paid-up policies 80% 70% 60% 50%







Table No.14 Table No. 814

Guaranteed Surrender Value (GSV) Guaranteed Surrender Value (GSV)

LIC’s New Endowment Plan ~ Surrender Value



NoChange

GSV shall be equal to 30% of the total premiums paid less First Year Premium and extra premium, if any.

GSV shall be a percentage of total premiums paid (net of taxes) excluding extra premium, if any and premium paidfor riders,if opted for.Examples of GSV factors applicable for total premiums paidPolicy Year ~ GSV factor3 = 30%

5 = 50%80% (t=Policy Term)

t -1 =

GSV %modified

Cash Value of vested bonuses, if any.

GSV factor applicable to vested bonus,if any. Examples of Vested bonus factors –Year of SV – Policy Term – Factor Bonus

Payablemodified

3 12 18.60%

19 25 20.85%

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No change in SSV


Special Surrender Value (SSV)

Surrender Value shall be the discounted value of the Paid-up Sum Assured and vested simple reversionary bonuses.

The discount factors shall be surrender value factors as provided in Table-1A of the Special Surrender Value Booklet and will depend upon the policy term and duration elapsed since the commencement of the policy.

Surrender Value payableThe Higher of Guaranteed

Surrender Value and Special Surrender Value shall be payable.

LIC’s New Endowment Plan

Table No. 14 Endowment Assurance PlanSpecial Surrender Value

(SSV)Surrender Value shall be the

discounted value of the Paid-up Sum Assured and vested simple reversionary bonuses.

The discount factors shall be surrender value factors as provided in Table-1A of the Special Surrender Value Booklet and will depend upon the policy term and duration elapsed since the commencement of the policy.

Surrender Value PayableThe Higher of Guaranteed

Surrender Value and Special Surrender Value shall be payable.







LIC’s New Endowment Plan ~ Table No. 814

Table No 14 Endowment Assurance Plan

Table No 814 New Endowment plan

A Policy may be revived within a period of 5 years from the date of first unpaid premium.

A Policy may be revived within a period of 2 years from the date of first unpaid premium.

Taxes, if any , were borne by the corporation.

Taxes, if any, shall be applicable at the prevailing rates and borne by the policyholder as per rules.

There shall be no change in the following Items

Back DatingGrace PeriodPaid-up Value

Assignment/Nomination







LIC’s New Endowment Plan – Changes overTable No.14

• ‘Sum Assured on Death’ has been defined separately.

• Age at entry has been reduced.

• Percentage of Loan payable as a percentage of Surrender Value shall depend upon policy term.

• GSV percentage shall also depend on policy term and year of Surrender.

• Rebates for high SA and premium mode modified.









THANK YOU…





Lic New Endowment Plan No 814

Economy & Finance