Child future plan from LIC is specially designed to meet the increasing educational, marriage and other needs of growing children. It provides the risk cover on the life of child not only during the policy term but also during the extended term (i.e. 7 years after the expiry of policy term). A number of Survival benefits are payable on surviving by the life assured to the end of the specified durations.
Child future plan Options:
You may choose Sum Assured (S.A.), Maturity Age, Policy Term, Mode of Premium payment and Premium Waiver Benefit.
Payment of Premiums for Child future plan:
You may pay the premiums regularly at yearly, half-yearly, quarterly or through Salary deductions over the term of policy. Premiums may be paid either for 6 years or up to 5 years before the policy term.
Mode Rebate for Child future plan:
Yearly mode – 2% of Tabular Premium
Half-yearly mode – 1% of the tabular premium
Quarterly & Salary deduction – NIL
Sum Assured Rebate for Child future plan:
Sum Assured – Rebate (Rs.)
1, 00,000 to 2, 99,999 – Nil
3, 00,000 to 4, 99,999 1.5 %o S.A.
5, 00,000 and above – 2 %o S.A.
Benefits for Child future plan:
Survival Benefit:
On life assured surviving to the end of the specified durations an amount specified below is payable:
5 years before the date of expiry of policy term – 25% of the Sum Assured
4 years before the date of expiry of policy term – 10% of the Sum Assured
3 years before the date of expiry of policy term – 10% of the Sum Assured
2 years before the date of expiry of policy term – 10% of the Sum Assured
1 years before the date of expiry of policy term – 10% of the Sum Assured
On the date of expiry of policy term – 50% of the Sum Assured along with vested Simple Reversionary Bonuses and Final (Additional) Bonus, if any.
Death Benefit for Child future plan:
On death (after the Date of Commencement of Risk) – Sum Assured along with vested Simple Reversionary Bonuses and Final (Additional) Bonus, if any shall be payable.
On death during the Extended Term – Sum Assured is payable.
On death (before the Date of Commencement of Risk) – All the premiums paid (excluding extra premium and premium for premium waiver benefit, if any,) along with interest of 3% p.a compounding yearly shall be payable.
Auto Cover for Child future plan:
If after at least two full years premiums have been paid and any subsequent premium be not duly paid, full death cover shall continue for a period of two years from the due date of the First Unpaid Premium (FUP). During this Auto Cover Period, one or more installments of premiums with interest can be paid without submission of evidence of health. On payment of one or more of the arrears of installment premiums with interest, the Auto Cover Period of 2 years shall be extended from the due date of new FUP. Premium Waiver Benefit shall remain in force during the Auto Cover period.
Premium Waiver Benefit:
The proposer can opt for this benefit if aged between 18 and 55 and is medically fit. It provides waiver of premiums on death of proposer. Further the benefit shall remain in force during the Auto cover period. Any premiums that have fallen due and not paid during the Auto Cover period shall also be waived. This benefit shall not be available in case of suicide by the proposer within one year of policy. Further, revival of the policy shall be subject to medical fitness of the proposer.
Eligibility Conditions and Other Restrictions for Child future plan:
(a) Minimum Entry Age : 0 years (last birthday)
(b) Maximum Entry Age : 12 years (last birthday)
(c) Minimum Maturity Age : 23 years (last birthday)
(d) Maximum Maturity Age : 27 years (last birthday)
(e) Minimum Sum Assured : Rs. 1, 00,000
(f) Maximum Sum Assured : Rs. 100, 00,000
(g) Policy term : 11 to 27 years
(h) Premium Paying term : 6 years and Policy term less 5 years
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