LIC stands for Life Insurance Corporation of India or the Indian Life Insurance Corporation, a government institution that has been providing insurance related services to us Indians for years.
LIC is the largest life insurance company in India, and if you are watching this video, you must have heard about this company. In this blog, you will learn about LIC and LIC Top 5 Best Insurance Policies And Pricing.
Growth Of LIC in India
The development of LIC and the development of this country are intertwined. LIC was established in 1956 when the Indian government nationalized all private life insurance companies and formed a single life insurance company called Life Insurance Corporation of India, or LIC. LIC has prepared various insurance plans for Indians, including life insurance, savings plans, and retirement plans.
This company has taught Indians to buy insurance, and invest in insurance, and has helped millions of families achieve their financial goals. LIC has not only secured people’s futures but has also used its insurance policies to invest people’s money in children’s education and marriages over the past several years.
In addition to this, this company has made a significant contribution to the country’s economy. Yes, LIC is the largest shareholder of Indian companies, and with LIC’s money, roads, bridges, and railway lines have been constructed in India. Today, LIC is one of the largest institutional investors in India.
LIC Top 5 Best Insurance Policies
LIC has a list of their insurance policies, each very useful and very specified to their target users but here are the LIC Top 5 Best Insurance Policies:
#1 LIC New Life Anand Plan
LIC New Life Anand Plan, the minimum age of entry is 18 years. If you want to take LIC’s New Life Anand Plan and want to invest in this policy, the maximum age of entry is 50 years, meaning if you are over 50 years old, you cannot take this plan.
The minimum sum assured in this plan is ₹1 lakh, and you have to take at least ₹1 lakh sum assured in this plan. While there is no upper limit on the maximum sum assured. If policyholders wish, they can also take a loan against this policy. Let’s now understand this policy with an example.
Mr. Kumar wants to invest in LIC’s New Life Anand Plan and wants to benefit from this investment. He is 26 years old and has opted for a sum assured of ₹10 lakhs and has taken a policy term of 21 years. Yes, the tenure is 21 years. So, Mr. Kumar’s annual premium will be ₹7454.
Mr. Kumar’s age is 26 years and he has taken a policy for 21 years, which means its maturity will be when Kumar Ji reaches 47 years, at which point he will receive ₹1,102,000 as maturity benefit along with an accrued bonus amount of ₹25,000.
Not only will the nominee receive the accrued bonus, but they will also receive the bonus amount associated with the policy, which will provide additional financial support. As I mentioned, Arjun will have to pay a premium of ₹7454 every year. The LIC New Jeevan Anand Plan offers Mr. Arjun a secure future, providing him with insurance coverage and investment benefits.
Now, let’s move on to the 2nd policy on our LIC Top 5 Best Insurance Policies.
#2 The LIC Term Plan or Plan Number 854
First, let’s look at the eligibility criteria for LIC Term Plan Or Plan Number 854-
The minimum entry age is 18 years and the maximum entry age is 65 years. The age of exit is after the age of 80 years. The minimum sum assured in this policy is ₹1 lakh and there is no limit to the maximum sum assured. The minimum term of the policy is 10 years and the maximum term is 40 years.
Policyholders can choose from 3 premium payment options:
- Single Premium
- Limited Premium
- Regular Premium Payment Options.
Now, let’s look at some of the eligibility criteria before buying this term plan. If the person is a non-smoker and has no previous medical history, they can buy this policy without a medical test between the ages of 18 and 35. People aged 36 to 45 can buy this plan if their annual income is more than ₹1 lakh, but the maximum sum assured can be up to ₹75 lakh. Individuals aged 36 to 45 can buy this plan if their annual income is more than ₹1 lakh and their maximum sum assured can be up to ₹50 lakh.
Now, let’s move on to the 3rd policy on our LIC Top 5 Best Insurance Policies
#3 LIC Endowment Plus Policy
Let’s take a look at the eligibility criteria for this policy-
The minimum entry age is 18 years, and the maximum entry age is 65 years. But, you can also get this policy for a child of 7 years, and the maximum entry age is 60 years. The minimum maturity age is 18 years and the maximum maturity age is 70 years.
In this plan, you can also choose a monthly premium mode. This means if you are paying a premium of ₹20,000 per year, you can pay a premium of ₹1,750 per month. You can pay annual premiums up to ₹1 lakh, and there is no upper limit on a single premium. You can pay a minimum of ₹1,000,000 in a single premium and there is no maximum limit in a single premium.
- First, if you pay a regular premium, and if you have taken this plan at the age of 45 years, then your maturity amount will be 30 times the annual premium. If you have taken this policy between the ages of 46 and 60, then your annual premium will be 25 times, which will be your maturity amount for this policy.
- Second, if you pay a single premium and if you have taken this policy at the age of 55 years, then you will receive five times your annual premium as age at maturity benefit. And if you take this policy between the ages of 56 and 60, you will receive three times your annual premium as age at maturity benefit.
Now, let’s move on to the 4th policy on our LIC Top 5 Best Insurance Policies
#4 LIC Bima Shree Plan
This policy plan is a regular premium paying plan and works like a money-back plan. Under this scheme, the policyholder’s family receives a lump sum payment. At regular intervals, LIC provides the policyholder with regular income.
Against this policy, the policyholder can also take a loan. You can take this loan with the help of the fund. In the LIC Bima Shree Policy following benefits are covered:
- Death Benefits
- Survival Benefits
- Maturity Benefits
- Critical Illness Benefits
Now, let’s move on to the 5th policy on our LIC Top 5 Best Insurance Policies
#5 LIC Jeevan Amar Plan
The LIC Jeevan Amar Plan has some features. In this policy, the policyholder can choose two types of benefits: increasing sum assured and level sum assured. In the LIC Jeevan Amar Plan, female policyholders are given a special premium discount.
The policyholder has multiple premium payment options such as single, regular, and limited premium paying periods. LIC checks before issuing this policy whether the policyholder is a smoker or a non-smoker, and this criterion determines how much premium the policyholder will be charged.
The minimum entry age is 18 years and the maximum entry age is 65 years. Yes, you can also buy this policy for a 7-year-old child, and the maximum entry age is 60 years. The minimum maturity age is 25 lakh ₹ and there is no upper limit for the maximum sum assured. The minimum term of the policy is 10 years and the maximum term is 40 years.
