LIC Jeevan Lakshya 933

LIC Jeevan Lakshya 933 plan is participating non-linked that combines savings and protection. It offers a lump sum payment at maturity regardless of the policyholder’s survival and an annual income benefit that may enable the family, especially for the benefit of children, to meet its financial obligations in the terrible event of the policyholder’s passing at any point before maturity.

Let’s look at Jeevan Lakshya 933 LIC plan chart:

Age	Min. age 18 yrs. Max. age 50 yrs.
Policy Term	Min. Term 15 yrs. Max. Term 25 yrs.
Premium Term	(Policy Term -3) Years
Sum Assured	Min. Sum Assured – Rs. 1, 00,000/- Max. Sum Assured – No Limit (depend on your income)
Maturity Age	65 Years (Max.)
Premium Paying Mode	Monthly, Quarterly, Half-Yearly and Yearly
Riders (Optional)	a) Accidental Death and Disability Benefit Rider b) Accident Benefit Rider c) New Term Assurance Rider d) New Critical Illness Benefit Rider
Tax Benefits	Premium is exempted (80c) and Maturity/Death Claim is Tax-Free (10(10D)
Maturity Amount	Basic Sum Assured + Accumulated Simple Reversionary Bonus during Policy Term + Final Additional Bonus
Death Claim	10% of the Basic Sum Assured every year from the year of death till one year before the policy’s Maturity Date and on completion of the policy term, Death Sum Assured + Accumulated Simple Reversionary Bonus till the time of Death + Final Additional Bonus + Rider (if taken)
Death Sum Assured	110 % of Basic Sum Assured or 7 times of Annualized Premium, whichever is higher.

LIC Jeevan Lakshya 933 plan details and benefits:

Death Benefit

If the insured passes away before the term ends. In that case, the beneficiary will receive:

10% of the Basic Sum Assured every year from the year of death till one year before the policy’s Maturity Date and on completion of the policy term, Death Sum Assured + Accumulated Simple Reversionary Bonus + Final Additional Bonus, if any (will be paid on maturity date)

It’s important to note that the Death Benefit shall always be more than 105% of all premiums paid on the date of the policyholder’s death.

Maturity Benefit

A policyholder will get a maturity benefit given to him at the time of the policy’s maturity. The major factor of the policy is that it allows you to receive the “Maturity Benefit,” which will be paid in instalments for 5, 10, or 15 years or in lumpsum amounts as chosen by the policyholder. The policyholder has to inform at least three months before the maturity claim.

Maturity Benefit = Basic Sum Assured + Accumulated Simple Reversionary Bonus Final Additional Bonus (Paid at the time of death or maturity)

Tax Benefits

The policyholder can avail of the loan against the policy LIC Jeevan Lakshya Plan 933 after the completion of 2 full years. The maximum loan amount available in the policy is:
90% of the loan surrender value is available for Enforce policy.
Loan for a paid-up policy is 80% of the surrender value.

Rider Option

Four riders are available for this plan that are not included in the base Plan. However, the policyholder can choose between Accidental Death and Disability Benefit Rider or Accident Benefit Rider. Apart from that, up to three riders can be taken. They are:

Accidental Death and Disability Benefit Rider or Accident Benefit Rider
New Term Assurance Rider
New Critical Illness Benefit Rider

Rebate

LIC Jeevan Lakshya 933 plan offers rebates based on premium paying modes and the sum-assured rebate that we have chosen.

Premium paying mode:
Yearly – 2% of Tabular Premium
Half-yearly – 1% of Tabular premium Quarterly.
Monthly – NIL

Sum Assured Rebate:

BASIC SUM ASSURED	REBATE
Rs. 1,00,000/- to Rs. 1,90,000/-	–
Rs. 2,00,000/- to Rs. 4,90,000/-	2 % of Basic Sum Assured
Rs. 5,00,000/- and above	3 % of Basic Sum Assured

Loan Facility

The policyholder can avail of the loan against the policy Jeevan Lakshya 933 after the completion of 2 full years. The maximum loan amount available in the policy is:

90% of the loan surrender value is available for Enforce policy.
Loan for a paid-up policy is 80% of the surrender value.

Grace Period

There will be a grace period of 30 days for yearly, half-yearly, or quarterly payments and 15 days for monthly payments beginning on the date of the first unpaid premium.

The grace period mentioned above also applies to rider premiums, which must be paid in addition to the base insurance premium.

Revival Period

The policy will expire if premiums are not paid within the grace period. If necessary, lapsed insurance may be revived within five years, starting on the first unpaid premium date and before the date of maturity.

Surrender Value

LIC Jeevan Lakshya policy can be surrendered at any time provided at least two full years premiums have been paid.

On surrender of the policy, the Surrender Value equal to the higher Guaranteed Surrender Value or Special Surrender Value will be paid by LIC.

Free Look Period

If the Policyholder is not satisfied with the “Terms and Conditions.” of the policy. In that case, the Policyholder has 15 days from receipt of the policy to return the policy and get a full refund after deducting the proportionate risk premium, expenses on medical examination, stamp duty and other charges, if any.

Jeevan Lakshya plan Example

Plan: LIC Jeevan Lakshya 933 Plan Premium and Maturity Calculation.

Age:30
Term:15
Principal Paying Term: 12 i.e. (policy term – 3)
Sum Assured Taken: 500000

1st-year Premium With TAX 4.5%:
Yearly: (39917 + 1796) = 41713
Half-yearly: (20167 + 908) = 21075
Quarterly: (10188 + 458)) = 10646
Monthly (ECS): (3396 + 153) = 3549

Note: Remember, tabular rebate comes into play when you choose yearly, half-yearly, quarterly, or monthly into the premium.

From 2nd year Premium With TAX 2.25%:
Yearly: (39917 + 898) =55458
Half-yearly: (20167 + 454) =28013
Quarterly: (10188 + 229) =14149
Monthly (ECS): (3396 + 76) =4717

Return at Maturity Time:
Sum Assured: 500000
Bonus: 285000
Final Additional Bonus: 10000
Total Approximate Return at Maturity Time: (1000000+285000+10000) =795000

The total approximate premium we paid in these 12years: 490678.

In the Case of Death Before Maturity:
Suppose the policy holder dies after payment of 5th year premium, then in that case from next year onwards till 14th year his nominee will receive (10% of Basic Sum Assured) =50000 every year.

On 15th year he will receive (110% of Sum Assured + Bonus + F.A.B.):
(55000 + 285000 + 10000) = 845000.

Note: The premium shown here is indicative but not exact. Actual premium may vary as per underwriting rules. However, the maturity calculation shown here is accurate per the current bonus rate.