The LIC Amrit Baal Plan (Plan 774) is a non-linked, with-profit, limited premium payment plan designed to provide financial protection to children. Here are the key features and benefits of the LIC Amrit Baal Plan: Age:0-13 andSum Assured Minimum 2 Lakhs.
Death Benefit: In the unfortunate event of the demise of the life assured (child) during the policy term, provided the policy is in force, the nominee receives the death benefit. The death benefit payable is the higher of the sum assured on death or 10 times the annualized premium paid. Additionally, the policy continues, and all future premiums are waived off.
Survival Benefit: The plan offers survival benefits to the child at specific intervals during the policy term, provided the life assured survives till the specified durations. These survival benefits are paid as a percentage of the sum assured and are typically payable at ages 18, 20, and 22 of the child.
Maturity Benefit: If the life assured survives till the end of the policy term, and all due premiums have been paid, the maturity benefit is payable. The maturity benefit includes the sum assured along with any vested simple reversionary bonuses and final additional bonus, if any.
Premium Payment Term: The premium payment term is shorter than the policy term, making it suitable for those who want to plan for their children's future with a limited premium payment period.
Bonus: The plan participates in the profits of the Corporation and is eligible for bonuses declared by LIC. These bonuses, if any, are added to the policy and paid out at maturity or death.
Loan Facility: Policyholders can avail of loan facilities against the policy, subject to the terms and conditions specified by LIC.
Surrender Value: If the policyholder decides to surrender the policy before the completion of the full policy term, a surrender value is payable, provided the policy has acquired a surrender value.
Tax Benefits: Premiums paid towards the policy are eligible for tax benefits under Section 80C of the Income Tax Act, 1961. Additionally, the proceeds received under the policy are also eligible for tax benefits under Section 10(10D) of the Income Tax Act, subject to the conditions specified therein.
Overall, the LIC Amrit Baal Plan is designed to provide financial security and meet the future needs of children, ensuring that their aspirations and dreams are protected even in the event of any unforeseen circumstances.
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