LIC's Jeevan Lakshya is popularly known as Kanyadan policy. Here's why

LIC’s Jeevan Lakshya is a limited premium paying conventional  endowment plan. In case of death of the policyholder any time before maturity, a regular yearly income benefit is provided to the nominee under this scheme.

In addition, a lump sum is also made available at the end of the maturity period, regardless of the survival of the policyholder.

‘Kanyadan policy’

LIC’s Jeevan Lakshya policy is popularly known as ‘Kanyadan policy’. “It’s a concept. There is no LIC policy by that name, said Debasish Dutta, LIC agent belonging to the Million Dollar Roundtable club.

Features

LIC’s Jeevan Lakshya is a limited premium paying  non-linked and with-profits endowment assurance plan.

The premiums are paid every year in advance at yearly, half-yearly, quarterly or monthly mode. One can also take loan pledging the scheme.

Here’s a look at other key features:

The minimum age at entry: 18 years

Maximum age at entry: 50 years

Maximum maturity age: 65 years

Minimum basic sum assured: Rs 100,000

Maximum basic sum assured: No limit

Policy term: 13 to 25 years

Premium paying term: Policy term – 3 years

Grace Period: 30 days for yearly, half-yearly or quarterly premiums; 15 days for monthly premiums.

Surrender

The policy can be surrendered at any time provided at least two full years’ premiums have been paid.

Loan

Loan can be availed under the policy after at least 2 years full premiums payments.

Maturity benefit

By the time the policy is ready for payment, the policyholder would receive:

Basic sum assured

Simple reversionary bonus

Final addition bonus if declared

Death Benefit

In the case of unfortunate death of the policyholder during the policy term, the nominee will receive all of the following:

10% of the basic sum assured as an annual income benefit from the next policy anniversary date till one year before the maturity date while 110% of the basic sum assured payable on the maturity date

Simple reversionary bonus payable at the maturity date

Final addition bonus if declared payable on the maturity date

Rider benefits

There are four optional riders available under this plan. A customer can opt for any three.

The four riders are: accidental death and disability benefit rider, accident benefit rider, new term assurance rider and new critical illness benefit rider.

‘Kanyadan’ name

 The feature of the policy that enables one to get a lump sum after 25 years – a time when one’s daughter approaches an age to get married, assuming that the policy is bought when she is 1 – has popularised it among the agents as Kanyadan.