It
is a unit linked Endowment plan where
the premium payment term (PPT) is limited
to single lump sum, or uniformly over
3, 4 or 5 years. You can choose the
level of cover within the limits, which
will depend on whether the policy is
a Single premium or Limited premium
contract, term chosen and on the level
of premium you agree to pay.
Four
types of investment Funds are offered.
Premiums paid after allocation charge
will purchase units of the Fund type
chosen. The Unit Fund is subject to
various charges and value of units may
increase or decrease, depending on the
Net Asset Value (NAV).
Payment
of Premiums:
You may pay premiums regularly at yearly,
half-yearly, quarterly or monthly (ECS)
intervals over the premium paying term
of 3, 4 or 5 years. The minimum premium
will be Rs.10000/-. Alternatively, a
Single premium can be paid subject to
a minimum of Rs.20,000/- .
Other Features:
i)
Partial Withdrawals: You may encash
the units partially after the third
policy anniversary subject to the following:
i)
In case of minors, partial withdrawals
shall be allowed from the policy anniversary
coinciding with or next following the
date on which the life assured attains
majority (i.e. on or after 18th birthday).
ii)
Partial withdrawals may be in the form
of fixed amount or in the form of fixed
number of units.
iii)
For 2 years' period from the date of
withdrawal, the Sum Assured under the
Basic plan shall be reduced to the extent
of the amount of partial withdrawals
made.
iv)
Under Limited Premium Paying Term policies
where less than 3 years' premiums have
been paid and further premiums are not
paid, the partial withdrawals shall
not be allowed.
v)
Under Limited Premium Paying Term policies
where atleast 3 years' premiums have
been paid, partial withdrawal will be
allowed subject to Policyholder's Fund
Value being at least Rs. 10000/-.
vi)
Under Single Premium policies, the partial
withdrawal will be allowed subject to
a minimum balance of Rs. 5000/- in the
Policyholder's Fund Value.
ii) Switching: You can switch between
any fund types for the entire Fund Value
during the policy term subject to switching
charges, if any.
iii)
Discontinuance of premiums: If premiums
are payable either yearly, half-yearly,
quarterly or monthly (ECS) and the same
have not been duly paid within the days
of grace under the Policy, the Policy
will lapse. A lapsed policy can be revived
during the period of two years from
the due date of first unpaid premium.
I
Where atleast 3 years' premiums have
been paid, the Life Cover, Accident
Benefit and Critical Illness Benefit
riders, if any, shall continue during
the revival period.
During
this period, the charges for Mortality,
Accident Benefit and / or Critical Illness
Benefit cover, if any, shall be taken,
in addition to other charges, by cancelling
an appropriate number of units out of
the Policyholder's Fund Value every
month. This will continue to provide
relevant risk covers for:
i.
two years from the due date of first
unpaid premium, or
ii. till the date of maturity, or
iii. till such period that the Policyholder's
Fund Value reduces to Rs. 5,000/-, whichever
is earlier.
The benefits payable under the policy
in different contingencies during this
period shall be as under:
A. In case of Death: Higher of Sum Assured
under the Basic Plan or the Policyholder's
Fund Value. The Sum Assured shall be
subject to provisions of Partial Withdrawals
made, if any.
B.
In case of Death due to accident: Accident
Benefit Sum Assured in addition to the
amount under A above, if Accident Benefit
is opted for.
C.
In case of Critical Illness claim: Critical
Illness Rider Sum Assured, if opted
for.
D.
On maturity: The Policyholder's Fund
Value.
E.
In case of Surrender (including Compulsory
Surrender): The Policyholder's Fund
Value. The Surrender value, however,
shall be paid only after the completion
of 3 policy years.
F.
In case of Partial Withdrawals: For
2 years period from the date of withdrawal,
the sum assured under the basic plan
shall be reduced to the extent of the
amount of partial withdrawals made.
II
Where the policy lapses without payment
of at least 3 years' premiums, the Life
Cover, Accident Benefit and/or Critical
Illness Benefit rider covers, if any,
shall cease and no charges for these
benefits shall be deducted. However,
deduction of all the other charges shall
continue. The benefits under such a
lapsed policy shall be payable as under:
G.
In case of Death: The Policyholder's
Fund Value.
H.
In case of death due to accident: Only,
the amount as under G above.
I.
In case of Critical Illness claim: Nil.
J.
In case of Surrender (including Compulsory
Surrender): Policyholder's Fund Value
/ monetary value as the case may be,
shall be payable after the completion
of the third policy anniversary. No
amount shall be payable within 3 years
from the date of commencement of policy.
K.
In case of Partial withdrawal: Partial
Withdrawals shall not be allowed under
such a policy even after completion
of 3 years period.
iv)
Revival: If due premium is not paid
within the days of grace, the policy
lapses. A lapsed policy can be revived
during the period of two years from
the due date of first unpaid premium
or before maturity, whichever is earlier.
The period during which the policy can
be revived will be called "Period
of revival" or "revival period".
If
premiums have not been paid for at least
3 full years, the policy may be revived
within two years from the due date of
first unpaid premium. The revival shall
be made on submission of proof of continued
insurability to the satisfaction of
the Corporation and the payment of all
the arrears of premium without interest.
If
atleast 3 full years' premiums have
been paid and subsequent premiums are
not paid, the policy may be revived
within two years from the due date of
first unpaid premium but before the
date of maturity. No proof of continued
insurability shall be required but all
arrears of premium without interest
shall be required to be paid.
The
Corporation reserves the right to accept
the revival at its own terms or decline
the revival of a lapsed policy. The
revival of a lapsed policy shall take
effect only after the same is approved
by the Corporation and is specifically
communicated in writing to the Proposer
/ Life Assured.
Irrespective
of what is stated above, if less than
3 years' premiums have been paid and
the Policyholder's Fund Value is not
sufficient to recover the charges, the
policy shall be terminated and thereafter
revival will not be entertained. If
3 years' or more than 3 years' premiums
have been paid and the Policyholder's
Fund Value reduces to Rs. 5000/-, the
policy shall terminate and Policyholder's
Fund Value as on such date shall be
refunded to the Life Assured and thereafter
revival will not be allowed.
v)
Settlement Option: When the policy comes
for maturity, you may exercise "Settlement
Option" and may receive the policy
money in instalments spread over a period
of not more than five years from the
date of maturity. There shall not be
any life cover during this period. The
value of installment payable on the
date specified shall be subject to investment
risk i.e. the NAV may go up or down
depending upon the performance of the
fund.
Reinstatement:
A policy once surrendered can not be reinstated.
Risks
borne by the Policyholder:
i) LIC's Profit Plus is a Unit Linked
Life Insurance products which is different
from the traditional insurance products
and are subject to the risk factors.
ii)
The premium paid in Unit Linked Life
Insurance policies are subject to investment
risks associated with capital markets
and the NAVs of the units may go up
or down based on the performance of
fund and factors influencing the capital
market and the insured is responsible
for his/her decisions.
iii)
Life Insurance Corporation of India
is only the name of the Insurance Company
and LIC's Profit Plus is only the name
of the unit linked life insurance contract
and does not in any way indicate the
quality of the contract, its future
prospects or returns.
iv)
Please know the associated risks and
the applicable charges, from your Insurance
agent or the Intermediary or policy
document of the insurer.
v)
The various funds offered under this
contract are the names of the funds
and do not in any way indicate the quality
of these plans, their future prospects
and returns.
vi)
All benefits under the policy are also
subject to the Tax Laws and other financial
enactments as they exist from time to
time.
Cooling
off period:
If you are not satisfied with the "Terms
and Conditions" of the policy,
you may return the policy to us within
15 days.
Assignment:
Assignment will be allowed under this
plan.
Exclusions:
In case the Life Assured commits suicide
at any time within one year, the Corporation
will not entertain any claim by virtue
of the policy except to the extent of
the Fund Value of the units held in
the Policyholder's Fund Value on death.
.
