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  • Jeevan Saral Illustration

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    Harish Chand
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    Why Insurance Almost each one of us has bought or plans to buy life insurance. The usual process is contact an insurance agent who helps you estimate the policy value and goes ahead and buys the policy on your behalf. So you feel good that you now have a life policy showing how much you worth! Take a step back before you buy that policy. Have you ever considered buying more then one policy value you desire? There are some great gains in doing so. These are.... During Financial lows If you go through a situation where you are financially constrained to surrender your life policy, you will lose the cover for the entire policy even if you do not need the entire surrender value of the policy. For instance if your policy's surrender value is Rs 10 Lakh and you need Rs 4 Lakh cash, you will have to cancel the entire policy and lose life over completely. had this policy of Rs 10 lakh been taken as 2 policies of Rs 5 lakh each, you could have surrendered just one policy. You would still remain covered for Rs 5 lakh! Distributing your estate Breaking up your life policy help in this count too. Taking the same example, instead of having one Rs 10 lakh policy, having 2 Rs 5 Lakh policies helps allocate your estate among your children ( this is an ideal situiation if you have 2 children - each child gets proceeds from one policy). Taking a loan You can use your life policy as a pledgeable security while taking a loan. Lenders as well as the insurer usually offers loans up to a specified percentage of the surrender value of the policy. If you dont need a loan to the extent of the amount you are eligible for, you will still have to offer the entire policy as security to the lender till the repayment of the loan. During the period the policy remains with the lender, he is eligible for all the rights to the policy. However if you break up your policies, you need to pledge only just that many policies to raise the necessary loan. Tax Benefits Section 88 of the Income Tax Act states that premium paid on a life policy is eligible for tax rebate. The beneficiary may be different from the premium paying person. For instance your wife can pay premium for your policy and claim the tax benefit. Breaking up for life policy helps in this case too. If the premium paid on a consolidated policy is higher than the amount of rebate you need, you can break the policy to claim the entire tax rebate. This can be done by another tax paying family member paying the premium for one policy and claiming the rebate. Meeting your life goals You can divide your life insurance portfolio into a number of policies spread over different tenors to give you a stream of steady income to take care of your life's financial commitments like children's education and marriage, buying property, asving up for your old age etc. Check out specific plans structured by insurers specifically for these purposes. What if you have already taken a consolidated life policy? Dont despair. You can break it to peices! contact your insurance agent to guide you to doing so. By paying a small sum to the insurer, your policy can be broken up into more than one, without any loss to you. It is worth the efforts. Contact Us Harish Chand [Authorised LIC Agent] 9811896425 9212201725 www.delhilicagent.com harishchand@in.com

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    Why Insurance Almost each one of us has bought or plans to buy life insurance. The usual process is contact an insurance agent who helps you estimate the policy value and goes ahead and buys the policy on your behalf. So you feel good that you now have a life policy showing how much you worth! Take a step back before you buy that policy. Have you ever considered buying more then one policy value you desire? There are some great gains in doing so. These are.... During Financial lows If you go through a situation where you are financially constrained to surrender your life policy, you will lose the cover for the entire policy even if you do not need the entire surrender value of the policy. For instance if your policy's surrender value is Rs 10 Lakh and you need Rs 4 Lakh cash, you will have to cancel the entire policy and lose life over completely. had this policy of Rs 10 lakh been taken as 2 policies of Rs 5 lakh each, you could have surrendered just one policy. You would still remain covered for Rs 5 lakh! Distributing your estate Breaking up your life policy help in this count too. Taking the same example, instead of having one Rs 10 lakh policy, having 2 Rs 5 Lakh policies helps allocate your estate among your children ( this is an ideal situiation if you have 2 children - each child gets proceeds from one policy). Taking a loan You can use your life policy as a pledgeable security while taking a loan. Lenders as well as the insurer usually offers loans up to a specified percentage of the surrender value of the policy. If you dont need a loan to the extent of the amount you are eligible for, you will still have to offer the entire policy as security to the lender till the repayment of the loan. During the period the policy remains with the lender, he is eligible for all the rights to the policy. However if you break up your policies, you need to pledge only just that many policies to raise the necessary loan. Tax Benefits Section 88 of the Income Tax Act states that premium paid on a life policy is eligible for tax rebate. The beneficiary may be different from the premium paying person. For instance your wife can pay premium for your policy and claim the tax benefit. Breaking up for life policy helps in this case too. If the premium paid on a consolidated policy is higher than the amount of rebate you need, you can break the policy to claim the entire tax rebate. This can be done by another tax paying family member paying the premium for one policy and claiming the rebate. Meeting your life goals You can divide your life insurance portfolio into a number of policies spread over different tenors to give you a stream of steady income to take care of your life's financial commitments like children's education and marriage, buying property, asving up for your old age etc. Check out specific plans structured by insurers specifically for these purposes. What if you have already taken a consolidated life policy? Dont despair. You can break it to peices! contact your insurance agent to guide you to doing so. By paying a small sum to the insurer, your policy can be broken up into more than one, without any loss to you. It is worth the efforts. Contact Us Harish Chand [Authorised LIC Agent] 9811896425 9212201725 www.delhilicagent.com harishchand@in.com

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    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
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    10 views3 pages

    Jeevan Saral Illustration

    Uploaded by

    Harish Chand
    Why Insurance Almost each one of us has bought or plans to buy life insurance. The usual process is contact an insurance agent who helps you estimate the policy value and goes ahead and buys the policy on your behalf. So you feel good that you now have a life policy showing how much you worth! Take a step back before you buy that policy. Have you ever considered buying more then one policy value you desire? There are some great gains in doing so. These are.... During Financial lows If you go through a situation where you are financially constrained to surrender your life policy, you will lose the cover for the entire policy even if you do not need the entire surrender value of the policy. For instance if your policy's surrender value is Rs 10 Lakh and you need Rs 4 Lakh cash, you will have to cancel the entire policy and lose life over completely. had this policy of Rs 10 lakh been taken as 2 policies of Rs 5 lakh each, you could have surrendered just one policy. You would still remain covered for Rs 5 lakh! Distributing your estate Breaking up your life policy help in this count too. Taking the same example, instead of having one Rs 10 lakh policy, having 2 Rs 5 Lakh policies helps allocate your estate among your children ( this is an ideal situiation if you have 2 children - each child gets proceeds from one policy). Taking a loan You can use your life policy as a pledgeable security while taking a loan. Lenders as well as the insurer usually offers loans up to a specified percentage of the surrender value of the policy. If you dont need a loan to the extent of the amount you are eligible for, you will still have to offer the entire policy as security to the lender till the repayment of the loan. During the period the policy remains with the lender, he is eligible for all the rights to the policy. However if you break up your policies, you need to pledge only just that many policies to raise the necessary loan. Tax Benefits Section 88 of the Income Tax Act states that premium paid on a life policy is eligible for tax rebate. The beneficiary may be different from the premium paying person. For instance your wife can pay premium for your policy and claim the tax benefit. Breaking up for life policy helps in this case too. If the premium paid on a consolidated policy is higher than the amount of rebate you need, you can break the policy to claim the entire tax rebate. This can be done by another tax paying family member paying the premium for one policy and claiming the rebate. Meeting your life goals You can divide your life insurance portfolio into a number of policies spread over different tenors to give you a stream of steady income to take care of your life's financial commitments like children's education and marriage, buying property, asving up for your old age etc. Check out specific plans structured by insurers specifically for these purposes. What if you have already taken a consolidated life policy? Dont despair. You can break it to peices! contact your insurance agent to guide you to doing so. By paying a small sum to the insurer, your policy can be broken up into more than one, without any loss to you. It is worth the efforts. Contact Us Harish Chand [Authorised LIC Agent] 9811896425 9212201725 www.delhilicagent.com harishchand@in.com

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    of 3

    Harish Chand

    Delhi LIC Agent

    577, GH-9, PASCHIM VIHAR


    NEW DELHI- 110087
    INDIA, 9811896425, 9212201725
    www.delhiLICagent.com

    Jeevan Saral Plan Presentation


    Date : 13/11/2010
    HIGHLIGHTS

    LIC’s Jeevan Saral is a unique plan having good features of the conventional plans and
    the flexibility of unit linked plans. To the policyholder it provides —
    · higher cover
    · a smooth return,
    · liquidity and
    · a lot of flexibility

    BENEFITS:
    On death:
    · 250 times the monthly premium, plus
    · return of premiums excluding extra/rider premium and first year premium,
    plus
    · the loyalty addition, if any.
    On Maturity:
    · Maturity sum assured, plus
    · The Loyalty Additions, if any

    Special Features:
    · High risk cover at low premium
    · Extended risk cover for one year after 3 years premium payment.
    · Optional higher cover through Term Riders
    · The policyholder can choose a maximum term but can surrender at any time
    without any surrender penalty or loss after 5 years
    · Any number of withdrawals through partial surrendering

    ELIGIBILITY CONDITIONS AND OTHER RESTRICTIONS:


    · Age at entry : Minimum 12 (completed) and maximum 60 years nearest
    · Age at maturity: Maximum 70 years.
    · Term : All terms from 10 to 35 years.
    · Premium : Minimum premium of Rs.250/- per month for entry age
    upto 49 years and Rs.400/- per month for entry age 50
    years and above. There will be no limit on the maximum
    premium per month.
    · Mode : Yearly, Half-yearly, Quarterly and Monthly under Salary
    Saving Scheme

    In case of term rider, minimum and maximum age at entry will be 18 and 50 years
    respectively. Further minimum sum assured will be Rs.1 lakh.

    The above statement is based on certain assumptions which are


    liable to change according to Government/Corporation's policies.
    Harish Chand
    Delhi LIC Agent

    577, GH-9, PASCHIM VIHAR


    NEW DELHI- 110087
    INDIA, 9811896425, 9212201725
    www.delhiLICagent.com

    Jeevan Saral Plan Presentation


    Jeevan Saral Plan Continued ... Pg. 2

    Name
    Mr.:Rajan Age : 22 years

    Term :
    16 Years Mode : Monthly

    Premium Budget p. m. : 2000 Installment Premium : 2000

    Term Rider : 0 Term Rider Premium : 0

    DAB : 500000 DAB Premium : 42

    Total Installment Premium : 2042 Total Annual Premium : 24504

    Section 80 CCE Invst. Limit : 100000 Section 80 CCE Tax Savings : 33.99 %

    Risk Cover Benefits

    DEATH BENEFIT

    Variable Total
    Annual Tax Nett Total
    Year Age Premium Saved Premium Premium Paid Guaranteed Scenario1 Scenario2 Scenario1 Scenario2
    2010 22 24504 8329 16175 16175 500000 0 0 500000 500000
    2011 23 24504 8329 16175 32350 524000 0 0 524000 524000
    2012 24 24504 8329 16175 48525 548000 0 0 548000 548000
    2013 25 24504 8329 16175 64700 572000 0 0 572000 572000
    2014 26 24504 8329 16175 80875 596000 0 0 596000 596000
    2015 27 24504 8329 16175 97050 620000 0 0 620000 620000
    2016 28 24504 8329 16175 113225 644000 0 0 644000 644000
    2017 29 24504 8329 16175 129400 668000 0 0 668000 668000
    2018 30 24504 8329 16175 145575 692000 0 0 692000 692000
    2019 31 24504 8329 16175 161750 716000 78848 155735 794848 871735
    2020 32 24504 8329 16175 177925 740000 89371 186883 829371 926883
    2021 33 24504 8329 16175 194100 764000 102094 223933 866094 987933
    2022 34 24504 8329 16175 210275 788000 115145 265482 903145 1053482
    2023 35 24504 8329 16175 226450 812000 128201 311728 940201 1123728
    2024 36 24504 8329 16175 242625 836000 141187 363177 977187 1199177
    2025 37 24504 8329 16175 258800 860000 163239 429609 1023239 1289609

    392064 133264 258800

    Note : The figures in columns Scenario 1 and Scenario 2 above are non-guaranteed. They are estimated on the assumption of
    LIC’s projected investment rate of return of 6% and 10% respectively on the investible portion of the premium.
    90% of the premium is estimated as average investible portion in this Illustration.

    The above statement is based on certain assumptions which are


    liable to change according to Government/Corporation's policies.
    Harish Chand
    Delhi LIC Agent

    577, GH-9, PASCHIM VIHAR


    NEW DELHI- 110087
    INDIA, 9811896425, 9212201725
    www.delhiLICagent.com

    Jeevan Saral Plan Presentation


    Jeevan Saral Plan Continued ... Pg. 3

    Name
    Mr.:Rajan Age : 22 years

    Term :
    16 Years Mode : Monthly

    Premium Budget p. m. : 2000 Installment Premium : 2000

    Term Rider : 0 Term Rider Premium : 0

    DAB : 500000 DAB Premium : 42

    Total Installment Premium : 2042 Total Annual Premium : 24504

    Section 80 CCE Invst. Limit : 100000 Section 80 CCE Tax Savings : 33.99 %

    Maturity / Surrender Value Benefits

    MATURITY / SURRENDER VALUE BENEFIT

    Variable Total
    Annual Tax Nett Total
    Year Age Premium Saved Premium Premium Paid Guaranteed Scenario1 Scenario2 Scenario1 Scenario2
    2010 22 24504 8329 16175 16175 0 0 0 0 0
    2011 23 24504 8329 16175 32350 0 0 0 0 0
    2012 24 24504 8329 16175 48525 41120 0 0 41120 41120
    2013 25 24504 8329 16175 64700 65808 0 0 65808 65808
    2014 26 24504 8329 16175 80875 94900 0 0 94900 94900
    2015 27 24504 8329 16175 97050 118160 0 0 118160 118160
    2016 28 24504 8329 16175 113225 142260 0 0 142260 142260
    2017 29 24504 8329 16175 129400 167680 0 0 167680 167680
    2018 30 24504 8329 16175 145575 194360 0 0 194360 194360
    2019 31 24504 8329 16175 161750 222940 78848 155735 301788 378675
    2020 32 24504 8329 16175 177925 253420 89371 186883 342791 440303
    2021 33 24504 8329 16175 194100 284160 102094 223933 386254 508093
    2022 34 24504 8329 16175 210275 317180 115145 265482 432325 582662
    2023 35 24504 8329 16175 226450 352960 128201 311728 481161 664688
    2024 36 24504 8329 16175 242625 391740 141187 363177 532927 754917
    2025 37 24504 8329 16175 258800 424560 163239 429609 587799 854169

    392064 133264 258800

    Note : The figures in columns Scenario 1 and Scenario 2 above are non-guaranteed. They are estimated on the assumption of
    LIC’s projected investment rate of return of 6% and 10% respectively on the investible portion of the premium.
    90% of the premium is estimated as average investible portion in this Illustration.

    The above statement is based on certain assumptions which are


    liable to change according to Government/Corporation's policies.

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