Introduction
LIC’s JEEVAN TARUN is a participating non-linked limited premium payment plan which offers an attractive combination of protection and saving features for children. This plan is specially designed to meet the educational and other needs of growing children through annual Survival Benefit payments from ages 20 to 24 years and Maturity Benefit at the age of 25 years.
Table No.
834
Plan Type
Plan Basis
Individual
Customization
Policyholders can choose between four options
Eligiblity Criteria
Entry Age
Minimum :
90 days
Maximum :
12 years
Maturity Age
Minimum
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Maximum
25 years
Basic Sum Assured
Maximum
Rs 75,000
Minimum
No Upper Limit
Policy Term
5 minus the entry age,
i.e., if the entry age is 8 years, the policy term will be (25 minus 8) = 17 years
Policy Paying Term
20 minus the entry age,
i.e., if the entry age is 8 years, the PPT will be (20-8) = 12 years
Premium Payment Frequency
Annually, half-yearly, quarterly and monthly |
Coverage
Death Benefit
- Flexibility
- Death Benefit
- Survival Benefit
- Maturity Benefit
- Participation In Profit
- Simple Reversionary Bonus
- Final (Additional) Bonus (if any)
What do you mean by Date of commencement of risk?
In case the age of entry Life Assured is less than 8 Yrs, then risk under this plan commence either one day before the completion of 2 years from the date of commencement of the policy or completion of 8 years of age, whichever is earlier.
Key Features
It is a participating limited pay traditional plans
You have to pay premiums until your child becomes 20 years old and the policy will remain active until your child become 25 years old.
The child would be able to get the risk cover once the child becomes 8 years old or 2 years from the date of commencement whichever is earlier.
Under the plan you have to pay premium till the age of 20 of your child after that you don’t have to pay the premium but your plan will remain active for the next five year as well.
The remaining sum assured along with the vested bonus will be paid to your child as a maturity benefit.
- LIC Jeevan Tarun is participating non-linked limited premium payment plan.
- A Traditional Child Plan that offers secured returns to cater to the child’s future needs
- The plan has an additional benefit of premium waiver rider and offers tax benefit as well.
- A plan bought by parent or grandparent for a child aged 90 days to 12 years
Policy Benefits
Flexibility Benefit
One can choose between four plan options in the policy, each one providing a different survival and maturity benefit.
| Option | Money Back Options | Maturity Benefit |
| Option 1 | No money Back during policy term | 100% of Sum Assured |
| Option 2 | 5% of Sum Assured for 5 years. After child reaches the age of 20, 21, 22, 23 & 24 years | 100% of Sum Assured |
| Option 3 | 10% of Sum Assured for 5 years. After child reaches the age of 20, 21, 22, 23 & 24 years | 50% of Sum Assured |
| Option 4 | 15% of Sum Assured for 5 years. After child reaches the age of 20, 21, 22, 23 & 24 years | 25% of Sum Assured |
Death Benefit
The death cover actually starts only after the “Date of commencement of Risk”. In case the child is less than 8 years of age when taking the policy, the risk cover will start either one day before the completion of 2 years from the date commencement of policy or one day before the policy anniversary coinciding with or immediately following the completion of 8 years of age, whichever is earlier.
- In case the policyholder dies before the “Date of commencement of Risk”, all premiums paid till now will be returned. This does not include the tax amounts paid or any rider premium which has been paid.
- In case the policyholder dies after the “Date of commencement of Risk”, the higher of 10 times the annual premium or 125% of Sum Assured along with the Simple Reversionary Bonus and Final Addition Bonus which has been declared will be paid.
Survival Benefit
This will depend on the Plan Option which has been selected.
| Option | Money Back Options |
| Option 1 | No money Back during policy term |
| Option 2 | 5% of Sum Assured for 5 years. After child reaches the age of 20, 21, 22, 23 & 24 years |
| Option 3 | 10% of Sum Assured for 5 years. After child reaches the age of 20, 21, 22, 23 & 24 years |
| Option 4 | 15% of Sum Assured for 5 years. After child reaches the age of 20, 21, 22, 23 & 24 years |
Maturity Benefit
This will also depend on the Plan Option selected.
| Option | Maturity Benefit |
| Option 1 | 100% of Sum Assured |
| Option 2 | 75% of Sum Assured |
| Option 3 | 50% of Sum Assured |
| Option 4 | 25% of Sum Assured |
Along with this, the Simple Reversionary Bonus and the Final Addition Bonus as declared will be paid to the policyholder.
Rebate
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Profit Participation
The policy shall participate in profits of the Corporation and shall be entitled to receive Simple Reversionary Bonuses declared as per the experience of the Corporation, provided the policy is inforce.
Ideal Plan
This plan is specially designed to meet the educational and other needs of growing children
Tax Benefits
- The premiums paid for the plan are exempt from taxation under Section 80C of the Income Tax Act.
- Maturity Claim – Maturity amount is exempted from tax under Sec 10(10D) of the Income Tax Act
- Death Claim – Death claims received under the plan are free from taxation under Section 10(10D) of the Income Tax Act
Loans
Policyholders can avail a loan through the policy, once it acquires the surrender value.
You can avail a long against this policy after you have paid 3 years of premium.
Riders
- LIC’s Premium Waiver Benefit Rider
Accidental Death and Disability Rider
Disability Benefit Rider
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LIC’s New Term Assurance Rider
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Surrender Value
Guaranteed Surrender Value
If you surrender the plan anytime before paying 3 years of premiums, you will not be paid anything back. In case you have paid at least 3 years premiums, the policy will acquire a Surrender Value. The bonus which you get in the policy also has a surrender value. Click here to understand the Surrender Value Calculations in the LIC Jeevan Tarun Plan.
Special Surrender Value
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Rebates
Rebate on Premium Payment Mode
2% on yearly
1% on Half Yearly
Nil on Quarterly & Monthly
Rebate on Sum Assured
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High Sum Assured and Mode Rebate
High Sum assured Rebate (per Thousand of SA)
Rs. 0 on 75,000 to 1,90,000
Rs. 2 on 2,00,000 to 4,90,000
Rs. 3 on SA on 5,00,000 and above
Other Details
Revival Period
apsed policies in which premium has not been paid after due date can be revived within two years of first unpaid premium. This can be done by paying all dues, including premiums and any fines as applicable
Free Look Period
15 day free look period is provided within which an individual can choose to return the policy
Grace Period
- 30 days for annual, half-yearly or quarterly payment frequencies
- 15 days for monthly frequency
Nomination
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Assignment
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Exclusions
Suicide
If proposer commits suicide within 12 months of policy commencement, then this benefit will not be available. In addition, this benefit ceases in case of lapsed/paid up condition.
Claim Process
Death Claim
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Maturity Claim
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Surrender Claim
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Examples
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How to the different Plan Options work in Jeevan Tarun
Let us first understand how the different plan options work.
Option 1
In this option, you don’t get any money back during the term of the policy.
During the term of the policy – No payout
On Maturity – 100% Sum Assured + Simple Reversionary Bonus + Final Additions declared
Option 2
End of Year 20 – 5% of Sum Assured
End of Year 21 – 5% of Sum Assured
End of Year 22 – 5% of Sum Assured
End of Year 23 – 5% of Sum Assured
End of Year 24 – 5% of Sum Assured
On Maturity – 75% Sum Assured + Simple Reversionary Bonus + Final Additions declared
Option 3
End of Year 20 – 10% of Sum Assured
End of Year 21 – 10% of Sum Assured
End of Year 22 – 10% of Sum Assured
End of Year 23 – 10% of Sum Assured
End of Year 24 – 10% of Sum Assured
On Maturity – 50% Sum Assured + Simple Reversionary Bonus + Final Additions declared
Option 4
End of Year 20 – 15% of Sum Assured
End of Year 21 – 15% of Sum Assured
End of Year 22 – 15% of Sum Assured
End of Year 23 – 15% of Sum Assured
End of Year 24 – 15% of Sum Assured
On Maturity – 25% Sum Assured + Simple Reversionary Bonus + Final Additions declared
FAQs
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