LIC Saral Jeevan Bima
What is the LIC Saral Jeevan Bima Policy?
The Life Insurance Corporation of India (LIC) offers the Saral Jeevan Bima Plan (Plan Code: 859). This simple and affordable life insurance policy provides financial protection to your family in case of your untimely death. This is a pure term insurance plan, which means it offers a fixed amount (death benefit) to your family if you pass away during the policy term. However, no maturity benefit is paid if you survive the term. Designed to be easy to understand, this plan can be purchased both online and offline.
Key Features of LIC Saral Jeevan Bima Plan
| Feature | Details |
|---|---|
| Type of Plan | Non-Linked, Non-Participating, Individual, Pure Risk Life Insurance Plan |
| Primary Benefit | Financial protection for the family in case of the policyholder's death |
| Premium Payment Options | Single Premium, Regular Premium, Limited Premium |
| Limited Premium Terms | 5 years or 10 years |
| Policy Term | Flexible (Choose the term as per your requirement) |
| Maturity Benefit | Not applicable (no payout if the policyholder survives the policy term) |
| Rebates | Attractive rebate on high Sum Assured |
Eligibility Criteria Of LIC Saral Jeevan Bima
Here is the table showing the eligibility criteria of LIC Saral Jeevan Bima:
| Criteria | Details |
|---|---|
| Minimum Basic Sum Assured | ₹5,00,000 |
| Maximum Basic Sum Assured | ₹25,00,000 (in multiples of ₹50,000) |
| Minimum Age at Entry | 18 years (Last Birthday) |
| Maximum Age at Entry | 65 years (Last Birthday) |
| Maximum Maturity Age | 70 years (Last Birthday) |
| Policy Term | 5 to 40 years |
| Premium Paying Term | |
| Regular Premium | Same as policy term |
| Limited Premium | 5 and 10 years |
| Single Premium | Payable in a lump sum |
Benefits of LIC Saral Jeevan Bima Plan?
Here are some benefits of the LIC Saral Jeevan Bima Plan that you should know before buying the plan:
- 01
Death Benefit
The plan provides financial protection to the policyholder's family in the event of the policyholder's death. The death benefit depends on when the death occurs, whether during or after the waiting period.
A During the Waiting Period (First 45 Days from Risk Commencement)
The policy only covers accidental death during the first 45 days.If the death is not due to an accident, the nominee will receive 100% of the premiums paid (excluding taxes), but not the Sum Assured.If the death is due to an accident, the full Sum Assured on Death will be paid as a lump sum:For Regular or Limited Premium policies: The highest of:10 times the annualized premium105% of all premiums paid up to deathBasic Sum AssuredFor Single Premium policies: The higher of:125% of the single premiumBasic Sum Assured
B After the Waiting Period (Post 45 Days):
If the death occurs after the 45-day waiting period (while the policy is active and before maturity), the full Sum Assured on Death is paid:For Regular or Limited Premium policies: The highest of:10 times the annualized premium105% of all premiums paid up to deathBasic Sum AssuredFor Single Premium policies: The higher of:125% of the single premiumBasic Sum AssuredNote: Extra charges (if any) due to medical conditions are not included in the benefit calculations.
- 02
Maturity Benefit
There is no maturity benefit under this plan. If the policyholder survives the entire policy term, no amount will be paid.
Important Details Of The Saral Jeevan Bima
Here is the important information about the plan that you should know:
| Feature | Details |
|---|---|
| Modes of Premium Payment | YearlyHalf-yearlyMonthly |
| Premium Calculation Factors | Depends on:Age at entryPolicy termPremium paying termSum Assured |
| Grace Period | 30 days for yearly/half-yearly payments15 days for monthly payments |
| Policy Revival | It can be revived within 5 years from the date of the first unpaid premium (before maturity).It requires payment of all due premiums + interest.It needs proof of good health (medical reports, health declaration). LIC may accept, modify, or reject the revival. |
| Revival Interest Rate (Example) | 9.5% per annum (compounded half-yearly) for May 2020 - April 2021 |
| Surrender Value | Not applicable under this plan |
| Policy Cancellation Value | Payable only for:Single Premium Policies : After paymentLimited Premium Policies: If at least 2 full years' premiums are paid |
| Policy Cancellation Value Formula | Single Premium : 70% x Single Premium x (Unexpired Term ÷ Original Term)Limited Premium (5 or 10 years) : 70% x Total Premiums Paid x (Unexpired Term ÷ Original Term) |
| Policy Loan | Not available |
| Taxes | Applicable as per prevailing tax laws. Taxes are extra and not included in benefit calculations |
| Free Look Period | 15 days (offline purchase)30 days (online purchase)Refund after deducting risk cover charges, stamp duty, and medical costs |
| Suicide Clause | Regular/Limited Premium : If suicide occurs within 12 months, 80% of premiums paid (excluding taxes and extras) is returnedSingle Premium : If suicide occurs within 12 months, 90% of the single premium (excluding taxes and extras) is returned |
How To Buy LIC Saral Jeevan Bima?
To buy the LIC Saral Jeevan Bima Plan online, you have to go through the given steps:
Step 1
Go to the official LIC website (www.licindia.in).
Step 2
On the homepage, go to Buy Policies Online or select the plan category (like Term Assurance LIC Plan).
Step 3
Choose the specific plan you want to buy.
Step 4
Click on Learn More to open the application page.
Step 5
Fill in the form and upload the required documents.
Step 6
Submit the form and make the payment online.
Rebate And Loading
Here is brief information about the discounts and charges on the premium amount:
High Sum Assured Rebate
(discount based on the Sum Assured):₹5,00,000 to ₹9,50,000: No rebate₹10,00,000 to ₹14,50,000: 0.10% of Basic Sum Assured₹15,00,000 to ₹19,50,000: 0.20% of Basic Sum Assured₹20,00,000 and above: 0.25% of Basic Sum Assured
Online Purchase Rebate
(if bought directly online without an agent/intermediary):Single Premium: 2% rebate5-9 years Premium Term: 5% rebate10-14 years Premium Term: 6% rebate15 years or more Premium Term: 7% rebate
Mode Loadings
(extra charges based on payment frequency):Applicable for Regular and Limited Premium optionsYearly: No extra chargeHalf-yearly: 2% extra on the annual premiumMonthly (via ECS/NACH): 3% extra on annual premium
Note: ECH stands for Electronic Clearing Services, and NACH stands for National Automated Clearing House.
FAQs
It is a simple life insurance plan that gives financial help to your family if something happens to you (death). This is a pure term plan, which means it only gives a death benefit — no money is given if you stay alive till the end of the policy.
Anyone who wants to protect their family financially in case of their untimely death can buy this plan. It is affordable, easy to understand, and doesn't require any investment knowledge.
No. This plan is not linked to the stock market, so your money is safe from market ups and downs.
No. If you live till the end of the policy term, no money is returned. This is a pure protection plan, not a savings plan.
You can choose a minimum cover of ₹5 lakh and a maximum of up to ₹25 lakh. The amount should be in multiples of ₹50,000.
You can pay in three ways:
- Single Premium: Pay only once
- Regular Premium: Pay every year/month till the policy ends
- Limited Premium: Pay for only 5 or 10 years, but enjoy full policy term benefits
You can pay the premium:
- Once a year (Yearly)
- Every 6 months (Half-Yearly)
- Every month (Monthly - only through bank auto-debit/ECS)
Yes, there is a 45-day waiting period from the day your policy starts.
- If death happens due to an accident, LIC will pay the full death benefit.
- If death happens due to illness or natural reasons, LIC will only return the premium amount (excluding taxes).