LIC’S BIMA RATNA INTRODUCED

Life Insurance Corporation of India said it has introduced a new plan Bima Ratna, which is a limited premium paying, moneyback plan with guaranteed additions. It is a non-linked, non-participating, individual, savings life insurance plan which offers a combination of protection and savings, the insurer said.

According to the insurer, the plan is available for a term of 15, 20 and

25 years and the premium paying term is four years less than the policy term.

“The plan provides 25 per cent of basic sum assured as survival benefit at the end of each year for the last two years of policy term (T-2 & T-1) , provided the policy is in force and on maturity balance 50 per cent of sum assured is payable along with guaranteed additions. The guaranteed additions shall increase in steps with the duration of the policy,” LIC said its release.

The sum assured on death is higher of the

125 per cent of basic sum assured or seven times of annualised premium and shall not be less than 105 per cent of total premiums paid excluding Taxes, any extra premium and premium paid for riders.

The insurer said the plan also takes care of liquidity needs through loan facility. Optional riders are available under this plan on payment of additional premium subject to conditions. Settlement option is available to receive maturity/death benefit in instalments over a period of five years instead of lump sum under an inforce as well as paid up policy.

The minimum sum assured under this plan is `5 lakh and can be increased on multiples of `25,000. There is no limit for maximum sum assured. The minimum age at entry ranges from

90 days to five years depending upon chosen policy term.

The plan is available for purchase only through LIC’s Corporate Agents (including Banks), Insurance Marketing Firms (IMF), Brokers, CPSC-SPV and POSP-LIs engaged by these intermediaries.

THE MINIMUM sum assured under this plan is `5 lakh and can be increased on multiples of `25,000. There is no limit for maximum sum assured. The minimum age at entry ranges from

90 days to five years depending upon the policy.