LIC Jeevan Labh – Check Features, Benefits and Eligibility Criteria

LIC Jeevan Labh plan 936 is a non-linked endowment plan, which is not linked with the market conditions for returns/profits. The plan is available with several benefits and it serves as a combination of savings and protection plan. Hence, you can accumulate money under this plan while staying protected. The plan also pays your family member’s death benefit in case of the unfortunate demise of the policyholder.

Under this basic endowment plan, you are required to pay premiums for a limited duration of time to receive maturity benefits at the end of the policy term. Also, if the policyholder dies during the term of the policy, the nominee of the plan receives a death benefit as the sum assured along with bonuses.

Features of LIC Jeevan Labh Plan    

Features	LIC Jeevan Labh Policy Details
Plan type	It is an endowment plan, non-linked with limited PPT
Plan basis	Individual plan
Benefits	Death and maturity benefit, bonus, FAB, etc.
Policy tenure	16/21/25 years
PPT or Premium Paying Term	10/15/16 years PPT
Loans	Yes, can avail loan against this policy if the policyholder has paid the premium for 3 full years
Free-look period	15 days from the date of buying the policy
Nominations	A nomination facility is available
Basic Sum Assured	Min – 2 lakh, Max – No Limit
Frequency of premium payment	Yearly/Half-Yearly/Quarterly/Monthly
Revival	Can be revived within 2 years of the first unpaid premium

Benefits of LIC Jeevan Labh Plan

Here are some LIC Jeevan Labh benefits:

1. Death benefit:

If the policyholder dies during the term of the plan, the nominee will receive a sum assured of 105% of the premiums paid. Together with that, they would receive the simple reversionary bonus along with FAB or the final additional bonus (if any).

 2.Maturity benefit:

If the policyholder outlives the policy term, the person is eligible to receive the maturity benefit in the form of sum assured, reversionary bonus, and FAB.

3. Rebate:

LIC also offers various rebates based on premium paying modes such as; a 2% rebate if the premium is paid every year as a one-time payment, a 1% rebate in half-yearly, etc.

4. Loans :

The policy offers a loan facility of up to 90 % of the surrender value to its policyholders if they pay the premiums regularly for the first three years of the plan. LIC decides the LIC Jeevan Labh interest rates for such loans.

5. Additional Profit:

The policyholder or nominee might also receive an additional bonus if it is declared during the policy term by the insurer.

6. Suits for long-term goals:

If you want to save enough for the wedding or education of your children, this plan will suit you aptly.

7. Income tax benefit:

The policy premiums paid as well as the maturity amount are all available with LIC Jeevan Labh tax benefits under various sections of the income tax act.

Eligibility Required for LIC Jeevan Labh Plan

Criteria of eligibility	Minimum	Maximum
Sum assured	INR 2 lakh	No limit
Policy tenure (in years)	16/21/25
PPT (in years)	10/15/16 years
Entry age	8 years	59 years
Maturity age		75 years
Premium paying frequency	Annual, semi-annual, quarterly, and monthly

Riders of LIC Jeevan Labh Plan

Below are some riders available with LIC Jeevan Labh Policy:

1. Accidental Death and Disability Rider:

With this rider the nominee of the plan receives an additional sum assured in the event of accidental death of the nominee during the policy period. However, if the policyholder survives the accident and becomes disabled for life, the insurance company will pay for the sum assured in 10 equal installments over the next 10 years.

2. New Term Assurance Rider:

This rider enhances the death benefit to be received by the nominee in the event of the death of the policyholder. The insured can buy this rider by paying an additional cost at the time of buying the plan.

3. Accidental Benefit Rider:

Under this rider, the nominee of the policy is paid a sum assured in the event of accidental death of the insured within 180 days from the date of an accident.

4. Critical Illness Benefit Rider:

If the policyholder is diagnosed with any critical disease among the 15 mentioned under the rider, he/she can avail of a lump sum amount for treatment of the illness.

5. Premium Waiver Benefit Rider:

This rider allows the premiums to be waived in case of the sudden demise of the policyholder.

Policy Exclusion of Jeevan Labh 

Among the various LIC Jeevan Labh 936 plan details, one point to note is related to suicide exclusion. In this case, the insurer will not pay any benefit to the policy nominee if the policyholder commits suicide within one year of the policy tenure. However, if the policyholder commits suicide after 1 year of the policy period, the nominee will receive 80% of the premiums without any interest.