Introduction:
This plan is specially designed to meet the increasing educational and other needs of growing children. It provides the risk cover on the life of child not only during the policy term but also during the extended term (i.e. 7 years after the expiry of policy term). A number of Survival benefits are payable on surviving by the life assured to the end of the specified durations.

Options:
You may choose Sum Assured (S.A.), Maturity Age, Policy Term, Mode of Premium payment and Premium Waiver Benefit.

Payment of Premiums:
You may pay the premiums regularly at yearly, half-yearly, quarterly or through Salary deductions over the term of policy. Premiums may be paid either for 6 years or upto 5 years before the policy term.

Sample Premium Rates:
Following are some of the sample premium rates per Rs. 1000/- S.A.:

For 6 years’ Premium paying term
AgeMaturity Age

23

24

25

26

27

0

111.25

107.25

103.35

99.60

95.95

4

128.35

123.80

119.35

115.05

110.90

8

148.15

143.05

138.05

133.20

128.50

12

170.20

164.55

159.05

153.65

148.40

For 6 years’ Premium paying term
AgeMaturity Age

23

24

25

26

27

0

111.25

107.25

103.35

99.60

95.95

4

128.35

123.80

119.35

115.05

110.90

8

148.15



143.05

138.05

133.20

128.50

12

170.20

164.55

159.05

153.65

148.40

Mode and High S.A. Rebates:

Mode Rebate:

Yearly mode2% of Tabular Premium
Half-yearly mode1% of the tabular premium
Quarterly & Salary deductionNIL

Sum Assured Rebate:

Sum AssuredRebate (Rs.)
1,00,000 to 2,99,999Nil
3,00,000 to 4,99,9991.5 %o S.A.
5,00,000 and above2 %o S.A.

Benefits:

    • Survival Benefit:
      On life assured surviving to the end of the specified durations an amount specified below is payable:
5 years before the date of expiry of policy term30% of the Sum Assured along with vested
Simple Reversionary Bonuses
4 years before the date of expiry of policy term15% of the Sum Assured
3 years before the date of expiry of policy term15% of the Sum Assured
2 years before the date of expiry of policy term15% of the Sum Assured
1 years before the date of expiry of policy term15% of the Sum Assured
On the date of expiry of policy term15% of the Sum Assured along with Final (Additional) Bonus, if any.

  • Death Benefit:
    On death (after the Date of Commencement of Risk) –
    (i) If death occurs within the period from date of commencement of risk to 5 years before the date of expiry of policy term: Sum Assured along with Vested Simple Reversionary Bonuses and Final (Additional) bonus (if any) is payable.
    (ii) If death occurs within 5 years before the date of expiry of policy term: Sum Assured along with Final (Additional) bonus (if any) is payable.On death during the Extended Term – Sum Assured is payable.

    On death (before the Date of Commencement of Risk) – All the premiums paid (excluding extra premium and premium for premium waiver benefit, if any,) along with interest of 3% p.a compounding yearly shall be payable.�

Auto Cover:
��� If after at least two full years’ premiums have been paid, and any subsequent premium be not duly paid, full death cover shall continue for a period of two years from the due date of the First Unpaid Premium (FUP). During this Auto Cover Period, one or more instalments of premiums with interest can be paid without submission of evidence of health. On payment of one or more of the arrears of instalment premiums with interest, the Auto Cover Period of 2 years shall be extended from the due date of new FUP. Premium Waiver Benefit shall remain inforce during the Auto Cover period.���

Premium Waiver Benefit:
The proposer can opt for this benefit if aged between 18 and 55 and is medically fit. It provides waiver of premiums on death of proposer. Further the benefit shall remain in force during the Auto cover period. Any premiums that have fallen due and not paid during the Auto Cover period shall also be waived. This benefit shall not be available in case of suicide by the proposer within one year of policy. Further, revival of the policy shall be subject to medical fitness of the proposer.

���

Eligibility Conditions and Other Restrictions:

(a)Minimum Entry Age:0 years (last birthday)
(b)Maximum Entry Age:12 years (last birthday)
(c)Minimum Maturity Age:23 years (last birthday)
(d)Maximum Maturity Age:27 years (last birthday)
(e)Minimum Sum Assured:Rs. 1,00,000
(f)Maximum Sum Assured:Rs. 100,00,000
(g)Policy term:11 to 27 years
(h)Premium Paying term:6 years and Policy term less 5 years

Participation in Profits of the Corporation:
Simple Reversionary Bonuses shall be declared per thousand Sum Assured annually at the end of each financial year depending upon the Corporation’s experience, provided the policy is in full force.  In case of a paid up policy, bonuses shall be payable only if, at least, 3 full years’ premiums have been paid. On surrender, the discounted value of vested bonuses, if any, (if not paid earlier) will be payable. Final (Additional) Bonus may also be declared in addition.

Paid-up Value:
Not withstanding the death benefit provided under the Auto Cover period, if at least three full years’ premiums have been paid and any subsequent premium be not duly paid, this policy shall not be wholly void but shall become paid-up.

If policy becomes paid-up before the commencement of risk, then the policy shall be entitled to receive the Guaranteed Surrender Value. If the policy is not surrendered, this Guaranteed Surrender Value shall be payable on the expiry of policy term or on death of Life Assured, if earlier.

If policy becomes paid-up after the commencement of risk, then the sum assured of policy shall be reduced to such a sum, called paid-up value, as shall bear the same proportion to the full Sum Assured as the number of premiums actually paid bears to the total number of premiums stipulated for in the policy. This reduced value (called paid up value) along with vested bonuses, if any, shall be payable on the date of expiry of policy term or at Life Assured’s prior death. No survival benefit shall be payable under a reduced paid-up policy. Extended Term cover shall cease to apply if the policy is in lapsed/ Paid-up condition.

Surrender Value:
You may surrender the policy for cash after at least three full years’ premiums have been paid. The Guaranteed Surrender Value will be as under:

  • Before commencement of risk: 90% of the total amount of premiums (excluding premiums for the first year ) paid.
  • After commencement of risk: 90% of the total amount of premiums (excluding premium for the first year) paid before commencement of risk and 30% of premiums paid on and after the commencement of risk.

The Guaranteed Surrender value calculated above will be subject to the deduction of the total amount of survival benefits that might have become due on or before the date of surrender. Further all extra premiums and/or any other premium including premium for Premium Waiver Benefit shall not be considered in the premiums refunded.

The cash value of any existing vested bonuses, if any, will also be paid if not paid earlier.

Corporation may, however, pay Special Surrender value as the discounted value of Paid up value and existing vested bonus, if not paid earlier, as applicable on date of surrender. The Special Surrender value will be subject to the deduction of the survival benefits which have become due on or before the date of surrender.

The Special Surrender value will be payable provided the same is higher than Guaranteed Surrender value.

Grace Period:
A grace period of one calendar month but not less than 30 days will be allowed for payment of premiums.

Revival:
If the policy is lapsed it can be revived by paying arrears of premium together with interest within a period of five years, subject to production of satisfactory evidence of continued insurability. The rate of interest applicable will be as fixed by the Corporation from time to time.

cooling-off period:
If you are not satisfied with the “Terms and Conditions” of the policy you may return the policy to us within 15 days.

Exclusions:
Suicide is excluded for Premium Waiver Benefit for first year. No other exclusions.

Miscellaneous Provisions:

Date of commencement of risk : If age of Life Assured is upto 10 years, risk shall commence either after 2 years from the date commencement of policy or from the policy anniversary coinciding with or immediately following the completion of 5 years of age of Life assured, whichever is later. In other cases, risk shall commence from the policy anniversary coinciding with or next following 12th birthday of the Life Assured.

Date of Vesting: The policy shall automatically vest in the Life Assured on the policy anniversary coinciding with or immediately following the completion of 18 years of age and shall on such vesting be deemed to be a contract between the Corporation and the Life Assured.

Statutory warning :
“Some benefits are guaranteed and some benefits are variable with returns based on the future performance of your Insurer carrying on life insurance business.  If your policy offers guaranteed returns then these will be clearly marked “guaranteed” in the illustration table on this page.  If your policy offers variable returns then the illustrations on this page will show two different rates of assumed future investment returns.  These assumed rates of return are not guaranteed and they are not the upper or lower limits of what you might get back, as the value of your policy is dependent on a number of factors including future investment performance.”

Benefit Illustration1

Age of LA (Yrs.): 0
Term(Yrs.): 25
Age At Maturity (Yrs.): 25
PPT(Yrs.): 6
Sum Assured(Rs.): 100000
Premium: 10128
Extd Term(Yrs.): 7

END OF YEARTOTAL PREMIUMS PAIDBENEFIT ON DEATH DURING THE YEAR
GUARANTEEDVARIABLETOTAL
SCENARIO 1SCENARIO 2SCENARIO 1SCENARIO 2
11012810432001043210432
22025621177002117721177
33038432244003224432244
44051243643004364343643
55064055384005538455384
6607681000001320045000113200145000
7607681000001540052500115400152500
8607681000001760060000117600160000
9607681000001980067500119800167500
10607681000002200075000122000175000
11607681000002420082500124200182500
12607681000002640090000126400190000
13607681000002860097500128600197500
146076810000030800105000130800205000
156076810000042000150000142000250000
166076810000044800160000144800260000
176076810000047600170000147600270000
186076810000050400180000150400280000
196076810000053200190000153200290000
206076810000056000200000156000300000
21607681000001260052500112600152500
22607681000001320055000113200155000
23607681000001380057500113800157500
24607681000001440060000114400160000
25607681000001500062500115000162500
2610000000100000100000
2710000000100000100000
2810000000100000100000
2910000000100000100000
3010000000100000100000
3110000000100000100000
3210000000100000100000

Benefit Illustration2

Age of LA (Yrs.): 0
Term(Yrs.): 25
Age At Maturity (Yrs.): 25
PPT(Yrs.): 6
Sum Assured(Rs.): 100000
Premium: 10128
Extd Term(Yrs.): 7

END OF YEARTOTAL PREMIUMS PAIDBENEFIT ON DEATH DURING THE YEAR
GUARANTEEDVARIABLETOTAL
SCENARIO 1SCENARIO 2SCENARIO 1SCENARIO 2
11012800000
22025600000
33038400000
44051200000
55064000000
66076800000
76076800000
86076800000
96076800000
106076800000
116076800000
126076800000
136076800000
146076800000
156076800000
166076800000
176076800000
186076800000
196076800000
2060768300004400015000074000180000
216076815000001500015000
226076815000001500015000
236076815000001500015000
246076815000001500015000
25607681500015000625003000077500

Benefit Illustration3

Age of LA (Yrs.): 0
Term(Yrs.): 25
Age At Maturity (Yrs.): 25
PPT(Yrs.): 20
Sum Assured(Rs.): 100000
Premium: 4513
Extd Term(Yrs.): 7

END OF YEARTOTAL PREMIUMS PAIDBENEFIT ON DEATH DURING THE YEAR
GUARANTEEDVARIABLETOTAL
SCENARIO 1SCENARIO 2SCENARIO 1SCENARIO 2
1451346480046484648
2902694360094369436
31353914368001436814368
41805219447001944719447
52256524679002467924679
6270781000001200033000112000133000
7315911000001400038500114000138500
8361041000001600044000116000144000
9406171000001800049500118000149500
10451301000002000055000120000155000
11496431000002200060500122000160500
12541561000002400066000124000166000
13586691000002600071500126000171500
14631821000002800077000128000177000
156769510000039000105000139000205000
167220810000041600112000141600212000
177672110000044200119000144200219000
188123410000046800126000146800226000
198574710000049400133000149400233000
209026010000052000140000152000240000
21902601000001260031500112600131500
22902601000001320033000113200133000
23902601000001380034500113800134500
24902601000001440036000114400136000
25902601000001500037500115000137500
2610000000100000100000
2710000000100000100000
2810000000100000100000
2910000000100000100000
3010000000100000100000
3110000000100000100000
3210000000100000100000

Benefit Illustration4

Age of LA (Yrs.): 0
Term(Yrs.): 25
Age At Maturity (Yrs.): 25
PPT(Yrs.): 20
Sum Assured(Rs.): 100000
Premium: 4513
Extd Term(Yrs.): 7

END OF YEARTOTAL PREMIUMS PAIDBENEFIT ON DEATH DURING THE YEAR
GUARANTEEDVARIABLETOTAL
SCENARIO 1SCENARIO 2SCENARIO 1SCENARIO 2
1451300000
2902600000
31353900000
41805200000
52256500000
62707800000
73159100000
83610400000
94061700000
104513000000
114964300000
125415600000
135866900000
146318200000
156769500000
167220800000
177672100000
188123400000
198574700000
2090260300004000011000070000140000
219026015000001500015000
229026015000001500015000
239026015000001500015000
249026015000001500015000
25902601500015000375003000052500

Notes :

 (i) This illustration is applicable to a standard (from medical, life style and occupation point of view) life. 

(ii) The non-guaranteed benefits (1) and (2) in above illustration are calculated so that they are consistent with the Projected Investment Rate of Return assumption of 6% p.a.(Scenario 1) and 10% p.a. (Scenario 2) respectively.  In other words, in preparing this benefit illustration, it is assumed that the Projected Investment Rate of Return that LICI will be able to earn throughout the term of the policy will be 6% p.a. or 10% p.a., as the case may be.  The Projected Investment Rate of Return is not guaranteed.

(iii) The main objective of the illustration is that the client is able to appreciate the features of the product and the flow of benefits in different circumstances with some level of quantification.

EXTRACT from Section 41 of the Insurance Act :

No person shall allow or offer to allow, either directly or indirectly, as an inducement to any person to take out or renew or continue an insurance in respect of any kind of risk relating to lives or property in India, any rebate of the whole or part of  the commission payable or any rebate of the premium shown on the policy, nor shall any person taking out or renewing or continuing a policy accept any rebate,  except such rebate as may be allowed in accordance with the published prospectuses or tables of the insurer : provided that acceptance by an insurance agent of commission in connection with a policy of life insurance taken out by himself on his own life shall not be deemed to be acceptance of a rebate of premium within the meaning of this sub-section if at the time of such acceptance the insurance agent satisfies the prescribed conditions establishing that he is a bonafide insurance agent employed by the insurer.

Any person making default in complying with the provisions of this Section shall be punishable with a fine which may extend to Rs.500 / –

Note : “Conditions apply” for which please refer to the Policy document or contact our nearest Branch Office.

LIC Child Career Plan
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