LIC Tech Term Plan - Details, Advantages, Features Etc
Published On Feb 15, 2022
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For a person who is looking to invest in a term insurance plan but has a limited budget, LIC Tech Term Plan is an ideal choice. This online pure risk plan offers life insurance cover at a relatively low premium rate in exchange for well rounded coverage. LIC Tech Term Plan is also convenient because of the online renewal system in place. The plan was introduced by LIC to facilitate easy access to term plans for those looking to buy from the comfort of their homes. In addition to covering the potential financial expenses of the insured's family, the Tech Term Plan comes with additional benefits in the form of riders for enhanced coverage.
Benefits of LIC Tech Term Plan
The benefits of LIC Tech Term Plan are as follows:
1. 2 Options of Sum Assured
There are two options of sum assured payment- the level sum assured and the increasing sum assured. The absolute sum assured amount to be paid on death remains the same throughout the policy tenure. Otherwise, the absolute sum assured amount to be paid at the death remains the same till the completion of the 5th policy year then the basic sum assured increases by 10% from the 6th policy year till the 15th policy year. From the 16th policy year onwards the absolute sum assured remains constant and equal to twice the basic sum assured.
2. 2 Options of Death Benefit Claim Payment
Following are the two options to death benefit claim payment offered by the policy: the death benefit payment is paid as lump sum and the death benefit is paid in installments. Under the second option, the beneficiary of the policy is paid the death benefits installments over a period of 5, 10 or 15 years. The payments shall be done at yearly, half-yearly, quarterly or monthly intervals as opted for.
3. Premium Payment
This plan offers the policyholder to choose from any of the following premium payment options: single, limited and regular premium payment option.
4. Benefit of Riders
Accidental Death Benefit Rider can be available under regular and limited premium payment policies as an optional rider by paying an additional premium. This rider can be opted at any time within the premium payment term of the base plan.
No medical test is required up to a sum assured of 75 lakhs provided, you are a non-smoker, age is less than 35 years and your annual income is greater than 3 years. Also, all deaths are covered under this plan except suicide during first year.
Key Details For LIC Tech Term Plan
Entry age is minimum 18 years and maximum is 65 years. Maturity age is minimum 28 years and maximum 65 years. The term of the policy can be of minimum 10 years and of maximum 40 years. Minimum sum assured is Rs. 50,00,000 and there is no maximum limit.
This plan is helpful for those who have low budgets but want a higher sum assured. This is an online plan and hence you can avail it at the comfort of your home. This article will help you to know the benefits and the eligibility criteria for this plan and will help you make an informed decision.
Also read- Should I Go With SIP Or FD?
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.