Here's a unique Insurance plan from LIC . It's called Jeevan Saral and it lives upto its name, for sure.

You simply decide the amount you are ready to pay every month. LIC will insure you for 250 times that amount, regardless of your age ( between 18 and 50, of course). And if you have any qualms about paying monthly, you can opt for quarterly, halfyearly or annual payments too.

The Maturity Sum Assured depends on the age at entry of the life to be assured and is payable on survival to the end of the policy term. It also offers the flexibility of term and a lot of liquidity by way of partial surrender of policy whenever you require some urgent money.

For benefit details and an illustration too, go to the LIC website

Jeevan saral is an Endowment Assurance plan where the proposer has simply to choose the amount and mode of premium payment. The plan also offers the flexibility of term and a lot of liquidity.

Premiums:
Premiums are payable yearly, half-yearly, quarterly, or monthly through salary deductions as opted by you throughout the term of the policy or till earlier death.

Loyalty Additions:
This is a with-profits plan and participates in the profits of the Corporation’s life insurance business.  It gets a share of the profits in the form of loyalty additions which are terminal bonuses payable along with death benefit or maturity benefit.  Loyalty Additions may be payable from the 10th year onwards depending upon the experience of the Corporation.

Benefit Illustrations

The Corporation has a benefit illustration here that clearly reads, " in preparing this benefit illustration, it is assumed that the Projected Investment Rate of Return that LICI will be able to earn throughout the term of the policy will be 6% p.a. or 10% p.a., as the case may be.  The Projected Investment Rate of Return is not guaranteed.

We have heard about the LIC Agents projecting a return of over 10%. We feel that this return of over 10% is over optimistic as Insurers invest a majority of their premium collection in Government Securities and their investment yield is hardly over 6-7%. How can they give a return of over 10% after taking care of their expenses of staff, offices and sales staff?

Be aware of the over optimistic projections and decide for yourself before buying a insurance policy.

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