The LIC’s New Money Back Plan-20 years is a participating plan with a money back feature as the name suggests.
1) It is a non-linked life insurance plan that offers guaranteed returns and bonus.
2) Premium has to be paid for 15 years but the policy continues for 20 years.
3) Money Back, which is 20% of the Sum Assured will be given at end of every 5 years and maturity along with the bonus at the end of policy term.
4) Large Sum Assured is available in this plan.
5) Anyone between 13 to 40 years of age can take this policy for a fixed tenure of 20 years.
6) Loan facility is also available in this policy after 3 years from the start of the policy.
7) The policy can be surrendered after 3 years of full premium payment.
8) Basic sum assured is minimum Rs.1,00,000 with no maximum limit.
9) The Death Benefit is Sum Assured+ Simple Reversionary Bonuses+ Final Additional Bonus.
10) The Maturity Benefit is 40% of Sum Assured+ Simple Reversionary Bonuses+ Final Additional Bonus.
11) The Survival Benefit is 20% of the Basic Sum Assured at the end of each of 5th, 10th & 15th policy year.
12) The insured can avail tax benefits under section 80C for the premium paid.
13) The maturity amount is also tax-free under section 10(10)D.
14) You can opt for Accidental Death and Disability Benefit Rider for additional benefits.