The Hindu Business Line : LIC's Jeevan Vishwas

JEEVAN Vishwas is a policy designed to take care of the financial needs of a handicapped dependant on the occurrence of an untoward event. The payout is by way of an annuity so that it secures a regular income for the dependant.

Guaranteed additions

The plan offers a guaranteed addition of Rs 60 per Rs 1,000 sum assured for each completed policy year. The guaranteed additions will be payable on the death of the life assured or on maturity. Loyalty addition may also be payable either on maturity or on death after five policy years.

The benefits are payable either on survival or on death during the policy term. The benefit would be the sum assured plus guaranteed additions plus loyalty additions. Twenty per cent of the benefit is payable lumpsum and the rest is converted into an annuity.

Annuity options

The following annuity options come with the policy.

Regular income for life

Definite regular income for 5, 10 or 15 years and for life thereafter, where annuity is paid for a minimum of 5,10 or 15 years.

Regular income for life with return of initial price paid to purchase the annuity, that is, 80 per cent of the benefits.

In case the handicapped dependant dies before the life assured, the life assured can:

surrender the policy if it has acquired surrender value; and

continue to pay premiums, in which case payments can be received either lumpsum or 80 per cent as annuity and the rest lumpsum.

Surrender value

The plan acquires guaranteed surrender value after three years premiums have been paid.

The guaranteed value is 30 per cent of the premiums paid in the case of regular premium payment and 90 per cent of the premium paid in the case of a single premium policy.

You can opt for an accident benefit rider along with the regular premium paying option for payment of an additional premium. The policy is not eligible for a loan.

(Readers are requested to compare products featured under this column with similar ones offered by other players.)

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