All About LIC's New Children’s Money Back Plan

As a parent, you strive to provide all-rounded protection to your child. To make it easy for you, LIC has come up with a specially tailored scheme that can provide utmost protection and keep your child financially secure. This scheme is a participating scheme. It is a non-linked money-back scheme. The scheme’s main aim is to provide the most to your child based upon their needs. 

This scheme offers many benefits that help your child receive the best care and security financially. It provides benefits like survival benefit, maturity benefit, death benefit, etc. These benefits make sure that the plan does not stop supporting the child financially at times of crisis or the sudden death of the parent or the guardian. This plan makes sure it helps the child fulfill their short and long-term goals like higher education, marriage, or any important pre-planned goal the child has, financially. 

Benefits Offered by  LIC's New Children’s Money Back Plan

To support your child, the plan comes with the following benefits -

• Survival Benefit

On surviving the entire duration of this policy, the child receives a bonus called the survival benefit to celebrate the anniversary. This survival benefit is equivalent to 20% of the sum assured. It is paid on reaching certain age milestones of the policy term. 

• Death Benefit

If an unfortunate event like an accidental unforeseen death of the life assured after the risk commencement during the policy term, the sum assured on death and any applicable bonuses will be paid to the child to support their immediate needs and expenditures. This helps the child to gain financial stability in times of crisis.

• Maturity Benefit

On maturity of the policy, a bonus of the sum assured and all the applicable bonuses in the term of the policy are paid to the child. This helps the child to save for their future pre-planned plans. They can save for their higher education, marriage, or any other major plans they have in mind for their future.

• Loans

You can avail of loans under this policy to meet the expenditures of unforeseen emergencies like medical or financial. If there happens to occur any unexpected emergency, say an accident, you can avail of a loan under this policy for the treatment.

• Rebates

To help you save money, LIC provides rebates on high premium amounts. A rebate means a refund for someone who has paid an expensive amount for tax, rent, or a utility.

• Riders

The plan sure covers most of the parts of the child’s life financially. To provide extensive security for the aspects that are not covered in the plan, LIC offers additional riders or add-ons. By choosing or adding these riders to your plan, you can cover the aspects that are not covered under the plan. This makes sure that all the aspects you want to cover financially in the child’s future are financially secured. 

• Surrender Value

If you want to surrender the policy, you can surrender and avail of the surrender benefit. This can be done after the completion of 3 financial years of the policy term.

Conclusion

LIC's New Children’s Money Back Plan is tailored specifically to meet all the needs of a child financially. This scheme is a money-back scheme that requires participation. It is non-linked. It provides many benefits like survival, death, maturity, surrender value, and many more. If you want to cover other aspects of your child’s life than those that are covered in the plan, you can choose additional riders.

Also read 

What are the Eligibility Criteria to Purchase a Money-Back Plan?

Are Money-Back Policies Productive?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.