Product
summary:
These are Deferred Annuity plans that
allow the policyholder to make provision
for regular income after the selected
term.
Premiums:
Premiums are payable yearly, half-yearly,
quarterly, monthly or through Salary
deduction, as opted by you, throughout
the term of the policy or till earlier
death. Alternatively, the premium may
be paid in one lump sum (single premium).
Tax
Benefits:
Tax relief under Section 80ccc is available
on premiums paid under New Jeevan Suraksha
I (Table No.147). The premiums paid
under New Jeevan Dhara I (Table No.148)
qualify for tax relief under Section
88.
Bonuses:
These are with-profit plans and participate
in the profits of the Corporation's
annuity / pension business. Policies
get a share of the profits in the form
of bonuses. Simple Reversionary Bonuses
are declared per thousand Sum Assured
annually at the end of each financial
year. Once declared, they form part
of the guaranteed benefits of the plan.
Final (Additional) Bonuses may also
be payable provided policy has run for
a certain minimum period.
Death
Benefit:
On death of the Life Assured during
the term of the policy the basic premiums
paid, excluding any rider premiums or
extra premiums, up to the date of death
accumulated with interest at such rates
as decided by the Corporation will be
payable to the nominee. Currently, the
interest rate is 3%, 4% or 5 % if the
death occurs within the first 10 years,
20 years or thereafter respectively.
Maturity
Benefit:
At maturity the policyholder can encash
up to a maximum 25% of the maturity
proceeds as a tax-free lump sum. The
balance should be compulsorily converted
to an annuity at the rates applicable
at the time of maturity of the policy.
The policyholder has the choice of opting
for any one of 5 annuity options. The
annuity options available are
(i) annuity payable for remainder of
life
(ii)
annuity payable for life with guaranteed
period of 5, 10, 15 or 20 years
(iii)
Joint life and last survivor annuity
to the annuitant and his/ her spouse
under which annuity payable to the spouse
on death of the purchaser will be 50%
of that payable to the annuitant
(iv)
Life annuity with a return of purchase
price on death of the annuitant
(v)
Life annuity increasing at a simple
rate of 3% per annum
Supplementary/Extra Benefits:
These are the optional benefits that
can be added to your basic plan for
extra protection/option. An additional
premium is required to be paid for these
benefits.
Surrender
Value:
Buying a life insurance contract is
a long-term commitment. However, surrender
value is available on the plan on earlier
termination of the contract.
Guaranteed
Surrender Value:
The policy may be surrendered after
it has been in force for 2 years or
more but before the vesting date. The
guaranteed surrender value is 90% of
the basic premiums paid excluding the
first year's premium. In case of a single
premium policy the guaranteed surrender
value is allowed after 2 years from
the date of commencement of the policy.
Corporation's
policy on surrenders:
In practice, the company will pay a
Special Surrender Value - which is equal
to or higher than the Guaranteed Surrender
Value. The benefit payable on surrender
reflects the discounted value of the
reduced claim amount that would be payable
on death or at maturity. This value
will depend on the duration for which
premiums have been paid and the policy
duration at the date of surrender. In
some circumstances, in case of early
termination of the policy, the surrender
value payable may be less than the total
premium paid.
The
Corporation reviews the surrender value
payable under its plans from time to
time depending on the economic environment,
experience and other factors.
Note:
The above is the product summary giving
the key features of the plan. This is
for illustrative purpose only. This
does not represent a contract and for
details please refer to your policy
document.
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