LIC New Money Back Plan 20 Years

LIC New Money Back Plan 20 Years
LIC’s money back plans are the combination of insurance-cum-investment plans. The LIC’s New Money Back Plan-20 years is a participating non-linked plan that offers a combination of protection against death throughout the term of the plan along with the periodic payment on survival at specified durations during the term.

LIC’s New Money Back Plan 20-Years can be purchased by any one for the minimum sum assured of Rs. 1 lakh and there is no upper limit for sum assured.

According to LIC, this plan comes with a policy term of 20 years while its premium-paying term – the term till which the policy holder must pay the premium – is 15 years.

The minimum entry age for life assured is 13 years and maximum age at entry of life assured is 50 years.

Benefits of LIC New Money Back Plan-20 Years :

In case the policy holder of this LIC New Money Back Plan-20 Years survives during the policy term period, with all insurances paid, the policy holder gets 20 percent of the basic sum assured at the end of every fifth, tenth and fifteenth policy years.

On maturity of the Plan, 40 percent of the basic sum assured along with the invested simple reversionary bonuses and final additional bonus, will be payable to the policy holder.

If the policy holder dies during the policy term, the nominee will get a sum assured along with the invested simple reversionary bonuses and final additional bonus.

According to LIC the “Sum assured on death is defined as higher of 125 per cent of the basic sum assured or 10 times of annualized premium,” .

LIC Premiums :
According to licindia.in, here are the premium rates per Rs. 1,000 of basic sum assured for LIC New Money Back Plan 20 Years.

Age LIC Premium

  • 20 – 78.00
  • 30 – 79.10
  • 40 – 82.95
  • 50 – 92.05

The premiums paid for LIC New Money Back Plan-20 Years qualify for the income tax benefits under the Section 80C of the Income Tax Act.

The premiums for the policy can be paid regularly at yearly, half-yearly, quarterly or monthly basis or through salary deductions over the term of policy.