LIC Jeevan Chhaya is suitable for a person who wants to provide funds for their daughter’s marriage. This policy is open even to bachelors. This plan is NOT allowed for (1) When occupation Extra is chargeable (2) Pregnant ladies.

W.e.f. 01-03-1991

LIC Jeevan Chhaya General Conditions:

1. Min. age at entry:  18 year.
2. Max. age at entry:  47 years.
3. Min. S.A.: Rs. 50,000.
4. Max. SA.: Any amount.
5. SA in multiples: Rs. 5,000
6. Max. Maturity age: 65 years.
7. Modes Allowed: ALL
8. Accident benefit per 1000 SA: Re. 1 extra.
9. Min Term: 18 years.
10. Max Term: 25 years.

Requirements in writing:

1. Female lives category: I/II
2. Non-Medical General :  Allowed
3. Non-Medical Professional:  Allowed
4. Non-Medical Special:  Allowed
5. Age proof: Standard. See NSAP Article for details: NSAP-I(WR 5 lacs)
6. Form Number:  300
7. Dating Back @ 8%: Allowed
8. Risk Coverage:  SA and premimum waived
9. Actual Sum assured: 1.5 times of SA

Policy Servicing:

1. Term Rider Option: No.
2. Critical Illness Rider: No.
3. Policy Loan @ 9%: Yes.
4. Revival: Yes.
5. Surrender of Policy: Yes.
6. Housing Loan: Yes.
7. Assignment: Yes.
8. Survival Benefits: Yes.

Other Details:

(1) For the fixed term of the policy premium has to be paid. (2) If policy holder is surviving, 25% of SA is given every year during the last 4 years of maturity. If policy holder dies anytime during policy life or during the years before maturity, the nominee will get the SA.

Benefits:

Death benefits:  Sum assured is immediately paid to the nominee if the policy holder dies during thee life of the policy. Future premiums are waived. 25% of Sum assured every year during the last 4 years of term will also be paid. Apart from this, at the end of the term, bonus for full term along with final additional bonus is any will be paid.

Maturity benefits: Along with the last 25% balance of Sum Assured, on maturity, Bonus on the full sum assured & final additional bonus if any is given.

Examples:

Mr. Ramesh takes a Jeevan chhaya Policy for 20 years for Rs. 1 lakh sum assured with double benefits.He appoints Mrs. Pooja,his wife as appointee and nominates Kum. twinkle,his daughter aged 4 years, as his nominee.

In an accident Mr. Ramesh expires after sometime. Ramesh wife Mrs.Pooja receives 2 times the sum assured i.e.,Rs. 2 lakhs as death claim on behalf of her daughter.At the end of 17 years from the commencements of policy,Ramesh daughter Kum. Twinkle receives 1/4th of S.A.  i.e.Rs 25,000.Also at the end of 18th and 19th year of policy she receives similar amount. Kum. Twinkle gets Rs.25,000+ Bonus of Rs. 84,000 at an estimated bonus of Rs. 42 per thousand at the end of 20th year.

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