The Life Insurance Corporation of India (LIC) has launched Dhan Sanchay Savings Scheme, which is an individual, unlinked, non-participating savings life insurance scheme that combines life protection and savings. The plan provides a guaranteed income benefit during the payout period from the maturity date and a guaranteed termination benefit.
Here’s everything you need to know
The Dhan Sanchay plan offers the options of level income benefit, increasing income benefit, single premium level income benefit and single benefit with different calculation of guaranteed income benefit at maturity.
Maturity benefits will be payable in the form of a guaranteed income benefit and a guaranteed termination benefit.
Options, age and premium limit
Four types of plans have been introduced under the LIC Dhan Sanchay plan. These are options A, B, C and D. The minimum sum insured under option A & B of the plan is Rs 3,30,000. For option C, it is Rs 2,50,000 and for option D, it is Rs 22,00,000.
The minimum age for entry is 3 years (full) and the maximum age for entry is as follows:
Option A & B: 50 (earlier birthday)
Option C: age 65 (nearest birthday)
Option D: 40 (earlier birthday)
There is no maximum limit on premium contributions. However, the minimum annualized / single premium limit for the different plan options is as follows.
Option A & B: Rs 30,000
Option C&D: Rs 2,00,000
Maturity period and death benefits
The Dhan Sanchay plan is available for a period of 5 years minimum to 15 years maximum depending on the option chosen by the insured.
Policy term for options A and B: 10 and 15 years
Policy term for options C and D: 5, 10 and 15 years
In the event of the unfortunate death of the policyholder during the term of the policy, after the start of the policy, the plan will provide financial support to the family. Death benefits can be paid in a single payment and/or in installments over a period of 5 years, depending on the option chosen by the policyholder. Installments are paid in advance on an annual or half-yearly, quarterly or monthly basis, as chosen by the policyholder (subject to a minimum down payment).
Passengers and other features
Optional endorsements are available upon payment of an additional premium subject to conditions.
The Accidental Death and Disability Insurance Rider, New Term Insurance Rider, Accident Benefit Rider, Critical Illness Benefit Rider, and Indemnity Rider LIC premium waiver options are available depending on the premium payment options and method selected by the policyholder.
The Dhan Sanchay plan also takes care of liquidity needs through a loan facility.
Where to Buy LIC’s Dhan Sanchay Plan
(Edited by : Sudarsanan Mani)
First post: STI