LIC of India Jeevan Tarun Plan
The LIC Jeevan Tarun Plan is a life insurance savings plan for children that gives both protection and savings. Parents or grandparents can buy this plan for a child aged 0 to 12 years. You pay premiums for a limited time, and the plan also provides extra bonuses from LIC's profits. It helps meet a child's educational and other financial needs. The plan pays yearly Survival Benefits from ages 20 to 24 and a Maturity Benefit when the child turns 25. This makes it a smart combination of money-back savings and life cover.
Eligibility Criteria of LIC Jeevan Tarun Plan
| Parameters | Criteria |
|---|---|
| Entry Age (Last Birthday) of Child | Min: 30 days (completed)Max: 12 years |
| Basic Sum Assured | Min: Rs. 2,00,000Max: No Limit |
| Maturity Age (Last Birthday) of Child | 25 years |
| Premium Paying Term (PPT) in years | (20 - Entry Age) years |
| Policy Term (PT) in years | (25 - Entry Age) years |
| Premium Paying Frequency | Annual, Half-yearly, Quarterly, Monthly |
Key Features of LIC Jeevan Tarun
The LIC Jeevan Tarun plan is a life insurance plan for children that gives both protection and savings.
- You can choose how often to pay your premiums, monthly, quarterly, half-yearly, or yearly.
- You can take a loan from the policy if you need money for emergencies.
- You can choose the survival benefit option to suit your needs.
- You can receive the death or maturity benefits in instalments instead of a lump sum.
- The plan lets you increase coverage by adding the Premium Waiver Benefit Rider at an extra cost.
- There are rebates (discounts) on high sum assured amounts, starting from Rs. 5 Lakhs.
This plan is flexible and helps parents or grandparents save for a child's future while providing financial protection.
LIC Jeevan Tarun Plan Benefits
Here are some benefits that you can get with this LIC plan:
Death Benefit
If the child (policyholder) passes away during the policy term, the person named as nominee will get the Sum Assured plus any bonuses. This amount does not include survival benefits already paid. The Sum Assured is the higher of:125% of the sum chosen when buying the policy7 times the yearly premium paidAt least 105% of the total premiums paid until the date of death
Bonus
This is a participating plan, so the policyholder also gets Simple Reversionary Bonuses and a Final Additional Bonus when LIC declares them.
Survival Benefit
If the child survives, LIC pays a part of the Sum Assured as Survival Benefit in the last 5 years of the policy, as per the schedule chosen at the start. The policy continues according to the plan.
Maturity Benefit:
If the child survives the full policy term, LIC pays the remaining Basic Sum Assured plus all bonuses as the Maturity Benefit, and the policy ends.
Option Survival Benefit Maturity Benefit 1 No payouts during the policy term Full Sum Assured (100%) along with accrued bonuses 2 5% of the Sum Assured is paid annually during the final 5 years of the policy Remaining 75% of the Sum Assured plus accumulated bonuses 3 10% of the Sum Assured is paid each year in the last 5 policy years Remaining 50% of the Sum Assured, along with accrued bonuses 4 15% of the Sum Assured is paid annually over the last 5 years of the policy term Remaining 25% of the Sum Assured plus accumulated bonuses 
Tax Benefits
The LIC Jeevan Tarun plan gives good tax savings. You can get a deduction on the premiums you pay under Section 80C, which lowers your taxable income. Also, the money you or your child gets when the policy matures or if the child passes away is usually tax-free. This makes the plan a smart way to save for your child's future while saving on taxes.
Instalment and Settlement Options
This plan lets you receive your death or maturity money in parts (instalments) instead of getting the full amount at once.You can choose to get the money over 5, 10, or 15 years.This option is available for both active policies and paid-up policies.You can take the full amount in instalments or only a part of it.The policyholder can choose this option when the child is a minor, or the life assured can choose it after turning 18.Payments are made in advance and can be received monthly, quarterly, half-yearly, or yearly.
Minimum Instalment Amount:Monthly: 5,000Quarterly: 15,000Half-yearly: 25,000Yearly: 50,000
Riders Available with Jeevan Tarun Policy
- 01
Premium Waiver Benefit Rider
If the person who pays the premium (parent/guardian) dies unexpectedly, all future premiums are cancelled. The policy will continue without any more payments.
- 02
Tax Benefits
You can get income tax benefits on the premium you pay, as per tax rules, because the sum assured is at least 7 times the yearly premium.
- 03
Payment Options
You can choose to pay premiums yearly or half-yearly.
LIC Jeevan Tarun Policy Details
Free Look Period
The free look period is like a trial period after you buy the policy. You get 30 days to check all the details and decide if the policy is right for you. If you are not satisfied and you have not made any claim, you can cancel the policy within these 30 days and get your money back (as per the rules).
Grace Period
The grace period is extra time given to you to pay your premium after the due date. If you pay yearly, half-yearly, or quarterly, you get 30 extra days. If you pay monthly, you get 15 extra days. During this time, your policy continues as normal. But if you do not pay within this extra time, your policy will stop working (this is called a lapse).
Revival
If your policy stops because you did not pay the premium on time, you still have a chance to restart it. You can revive the policy within 5 years from the date it stopped. To do this, you must pay all the missed premiums along with interest and also meet LIC's health requirements.
LIC will then review your request and decide whether to accept it, accept it with some changes, or reject it. If you had any extra benefits (riders), they can only be restarted along with the main policy.
Paid-Up Policy
If you have paid less than one year's premium and then miss a payment, the policy will stop, and you will not get any benefits. But if you have paid at least one full year's premium and then stop paying, the policy will not fully end. It will become a paid-up policy. In this case, you will still get benefits, but they will be reduced. Also, you will not get any future bonuses, survival benefits, or extra rider benefits.
Surrender
You can close (surrender) the policy after paying at least one full year's premium. After this, the policy starts getting a surrender value. There are two types: Guaranteed Surrender Value (after 2 years of payments) and Special Surrender Value (after 1 year).
When you surrender the policy, you will get whichever value is higher. The amount you receive depends on how much premium you have paid, how long the policy has run, and any benefits you have already received.
Loan
You can take a loan against the policy after paying at least one full year's premium. The loan amount depends on the policy status and how much premium you have paid. Usually, you can get up to 75% of the surrender value if the policy is active. You will have to pay interest on the loan, and the rate may change every year.
If you do not pay the loan interest and it becomes more than the policy's value, the policy may be closed. Also, if there is any unpaid loan, it will be deducted from the money you receive when you claim the policy.
Policy Termination
The policy will automatically end in the following situations:When you cancel the policy during the free look period.When the policy is not revived on time, and it has not become paid-up.When the last instalment under the settlement option is paid.When you do not pay the loan interest on time, the policy cannot continue.When the policy reaches maturity, and no settlement option is chosen.When the policy is forfeited due to non-payment or breaking the rules.When the death benefit is fully paid (either lump sum or last instalment).When you surrender the policy and receive the surrender value.
Rebates
You can get a small discount depending on your payment mode:Mode Rebate (Discount based on how you pay the premium)Yearly payment: 2% off the standard premiumHalf-yearly payment: 1% off the standard premiumQuarterly or Monthly payment: No discountHigh Sum Assured Rebate (on Premium)Insurance Rs. 2,00,000 to less than Rs. 5,00,000: No discountInsurance Rs. 5,00,000 to less than Rs. 10,00,000: Rs. 2.5 for every Rs. 1,000 of sum assuredInsurance Rs. 10,00,000 or more: Rs. 4 for every Rs. 1,000 of sum assured
LIC Jeevan Tarun Plan - What is Not Covered (Exclusions)
If the person with the policy dies by suicide within 12 months of the start of the policy, the full death benefit will not be paid. In this case, the company will only give 80% of the premiums paid back. This does not include taxes, extra charges, or premiums for extra riders (except Term Assurance Rider). The policy must be active for this return.
Example of Benefits of LIC Jeevan Tarun Plan
This shows how much yearly premium you pay for a sum assured of Rs. 2,00,000 for healthy people:
| Age of Child | Policy Term and Premium Payment Term | Yearly Premium (Rs) |
|---|---|---|
| 0 years | 25 years and 20 years | Rs. 9,524 |
| 4 years | 21 years and 16 years | Rs. 12,023 |
| 8 years | 17 years and 12 years | Rs. 16,160 |
| 12 years | 13 years and 8 years | Rs. 23,882 |
Disclaimer: Squareinsurance.in does not endorse or recommend any specific insurance company or insurance plan. For more details about this plan, please check the plan brochure or the policy document for exact details.
FAQs
It is a life insurance plan for children. It helps parents or grandparents save money and gives protection. It also pays extra bonuses from LIC profits.
Yes, you can add a Premium Waiver Rider. If the parent or guardian dies, all future premiums are waived, and the policy continues.
Yes, after paying at least one full year's premium, you can surrender it and get a surrender value.
The LIC Jeevan Tarun plan is a good choice to secure a child's future. It is both a savings and insurance plan for children. This plan gives money when the child needs it most, like for school or college.
Yes, during the free look period of 30 days, you can cancel and get your money back.