New Endowment Plan (814)

LIC’s New Endowment Plan is a participating non-linked plan which offers an attractive combination of protection and saving features. This combination provides financial support for the family of the deceased policyholder any time before maturity and good lump sum amount at the time of maturity for the surviving policyholders. This plan also takes care of liquidity needs through its loan facility.

Plan Parameters

Age of Entry 8 to 55 years
Premium Paying Mode Yearly, Half Yearly, Quarterly, Monthly (ECS Only)
Policy Term 12 to 35 Years
Basic Sum Assured 100000 and above ( in multiples of 5000)
Policy Revival within 2 year
Premium Mode Rebate2% on yearly, 1% on Half Yearly, Nil on Quarterly
Higher Sum Assured Rebate 0% on 0 to 1,95,000 of Sum Assured
2% on 2,00,000 to 4,95,000 of Sum Assured
3% on 5,00,000 and above Sum Assured
Loan AvailabilityAfter 3 years
SurrenderAfter 3 years of full premium payment

Plan Benefits

Death Benefit: On death of the Life Assured during the policy term, the Death Benefit, defined as sum of “Sum Assured on Death”, vested Simple Reversionary bonuses and Final Additional bonus, if any, shall be payable, where “Sum Assured on Death” is higher of Basic Sum Assured or 10 times of annualised premium. 
This Death Benefit (as defined above) shall not be less than 105% of total premiums paid as on date of death. 
The premiums mentioned above exclude taxes, extra premium and rider premiums, if any. 

Maturity Benefit: On survival to the end of the policy term, Basic Sum Assured along with vested Simple Reversionary bonuses and Final Additional bonus, if any, shall be payable.

Participation in Profits: Depending upon the Corporation’s experience the policies shall participate in the profits and shall be eligible for simple reversionary bonus at such rate and on such terms as may be declared by the Corporation. 

Final Additional Bonus may also be declared under the policy which will be payable on the expiry of the policy term or on earlier death provided the policy has run for certain minimum term.

Optional Benefit:  This plan provides the following optional rider by payment of additional premium: 

LIC’s Accidental Death and Disability Benefit Rider UIN (512B209101); LIC’s Accidental Death and Disability Benefit Rider (AD&DB) is available as an optional rider by payment of additional premium during the term of the policy. If there be more policies than one and if the total Accident Benefit exceeds Rs.50 lakhs, the benefits shall apply to the first Rs. 50 lakhs Sum Assured in order of date of policies issued. 

If this benefit is opted for, an additional amount equal to the Accident Benefit Sum Assured is payable on death due to accident, provided the rider is in force at the time of accident. In case of accidental permanent disability (within 180 days from the date of accident), an amount equal to the Accident Benefit Sum Assured will be paid in equal monthly installments spread over 10 years and future premiums for Accident Benefit Sum Assured as well as premiums for the portion of Basic Sum Assured which is equal to Accident Benefit Sum Assured under the policy, shall be waived. If the policy becomes a claim by way of death or maturity before the expiry of the said period of 10 years, the disability benefit instalments which have not fallen due will be paid along with the claim amount.