The Main features of LIC Jeevan Sugam Policy :
- Single Premium Policy : This is one time investment policy with no upper limit.
- Maturity Benefit : Guaranteed Maturity Sum Assured plus Loyalty Additions
- Death Benefit and Risk coverage : If Death occurs with in 5 years, 10 times of the premium paid (excluding any premium any) where as If Death occurs after 5 years, 10 times of the premium paid with Loyalty .
- Guaranteed Surrender Value : First year: 70% of the single premium excluding extra premium after that 90%
- Easy Liquidity : Loans are available on this policy, Maximum 60% of Surrender value Interest 10.5% p.a. compounded half yearly
- Income tax rebate under sec.80c
- Age at entry : 8 years (completed) To 45 years
- Policy Term : 10 years.
- Min Maturity Sum assured : Rs. 60,000 /-
- Max Sum assured : No limit
- Premium Mode : Single
- Minimum Sum Assured will be in multiples of Rs.5,000 /- only.
Other Charges and Forms
Form no. 300 : Above 18 years
Form no. 340 : For 8 years To 18 Years
Service Tax 3.09% will be applicable on the single premium
Opinion : In my opinion one time plan for Insurance never be a good idea for investment. This is nothing but as like Bank’s fixed deposit with locking period. This policy is beneficial to individual under 20% Tax bracket and for saving Tax they are looking for some alternate option of Tax shield FD’s.