Here’s a brief description of LIC's term plans, focusing on the New Jeevan Amar Plan (Table No. 955) and Yuva Term Plan (Table No. 875):
1. LIC New Jeevan Amar Plan (Table No. 955)
Type: Non-Linked, Pure Life Term Insurance Plan
Objective: To provide financial protection to the family of the policyholder in case of their untimely death during the policy term.
Key Features:
Death Benefit: The sum assured is paid to the nominee in the event of the insured’s death during the policy term.
No Maturity Benefit: This is a pure term plan, which means there are no benefits payable on survival after the term.
Policy Term: The policy can be taken for a variety of terms, offering flexibility to policyholders.
Premium Payment: Premiums can be paid in various modes, including yearly, half-yearly, quarterly, or monthly.
Tax Benefits: Premiums paid are eligible for tax deductions under Section 80C, and the death benefits are tax-free under Section 10(10D) of the Income Tax Act.
2. LIC Yuva Term Plan (Table No. 875)
Type: Non-Linked, Pure Term Insurance Plan
Objective: Aimed at the younger population, providing a substantial cover at an affordable premium to secure their family’s future.
Key Features:
Death Benefit: The sum assured is paid to the nominee if the insured dies within the policy term.
No Maturity Benefit: Similar to other term plans, no amount is payable on survival of the policyholder at the end of the term.
Choice of Term: Offers flexibility in choosing policy terms and premium payment frequency.
Age of Entry: Typically available for younger individuals, making it an attractive choice for those in their early careers.
Tax Benefits: Like other LIC plans, it offers tax benefits under Section 80C and Section 10(10D).
Key Considerations
Both plans focus on providing financial protection against unforeseen events, ensuring that the insured’s family remains secure.
It’s crucial to assess personal insurance needs, as term plans are designed primarily for risk cover rather than investment.
If you need more detailed information about these plans or any specific aspects, please let me know!
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