If you are planning to buy an insurance that gives you a high coverage at a very minimal payment of premium, LIC term plan is the one for you. LIC being the oldest and the most reputed insurers in India is preferred by many. You might have often come across people talking about LIC and agents getting in touch to sell a product to you. But is it the only way to get an LIC term plan?
There are various ways of buying an LIC term plan:
1. Online: To make it easy for the customers who do not have ample time to visit the branches or speak to an agent and who wish to do their own research and choose the plan that suits them the best, LIC has launched its online term plan called LIC e-Term. Apart from saving the investors time and being misguided by unregistered agents, the LIC e-term plan is cheaper compared to its offline counterpart by as much as 35%.
Follow the simple steps to buy the LIC term plan online.
A. Log on to the LIC’s official website and click on the ‘Buy Online’ button.
B. The click directs you to a page where you need to check the box indicating ‘I am an Indian citizen’ and ‘Residing in India’ followed by clicking the submit button.
C. LIC offers flexibility in the sum you wish to be assured and the number of years you wish to take the term plan for. The page allows you to enter few other personal details like the DOB, lifestyle- a smoker or a non-smoker and gender. You can also select the mode of premium payment, however, in an LIC e-term plan, the mode of payment of the premium is yearly. The next button ‘Show Premium’ tells you what premium you need to pay yearly.
D. The yearly premium payment is inclusive of the instalment premium along with education cess and service tax. If the premium amount is desirable, click the next button ‘Proceed’. If you wish to go for a higher sum assured or lower to adjust the premium to your budget, select ‘Recalculate’
E. The next steps are to input your personal details and lifestyle details, correspondence addresses, identity proofs and employment details.
F. The next window leads to you enter your nominee details.
G. The site further prompts you to enter your previous insurance details, if any, bank account details and medical history.
H. In the next step you declare to the terms and conditions and confirmation on the authenticity of the information provided.
I. At the final step, you can edit the proposal or buy the plan by paying the premium.
J. LIC then arranges for a medical examination. If the plan is rejected, the amount paid is refunded.
The easier option is to compare the plans on comparison websites like Coverfox and then buying it through them so that there is assistance and convenience at your disposal.
2. Agents: Alternatively, one can buy from a registered LIC agent.
3. Aggregator Websites: Various aggregator websites compare and furnish the best plan for you according to your needs. You can also opt to buy from an aggregator website with an expert opinion as well.
Best LIC term plan 2018
LIC term plans have various options to choose from including the LIC e-term plan as discussed above. Let’s look at other LIC term plans.
1. LIC Anmol Jeevan II Term Plan:
A. This LIC term plan assists the nominee with a lump sum amount upon the death of the policy holder. The age limit to apply for the plan is 18 to 56 years.
B. The policy term period is flexible and can be chosen from 5 years term to 25 years term and the assured sum is paid completely on the demise of the policy holder. However, if the policy holder survives the policy term, no benefit is paid.
C. The flexibility of premium payments exists and can be paid annually or semi-annually with the sum assured ranging from INR 6 L to INR 24 L. Additionally, the plan is eligible for tax exemptions on the premium payment under Section 80C and Section 10D.
2. LIC Amulya Jeevan II Term Plan
A. The basic of the plan is like the LIC Anmol Jeevan II plan but covers a wider age group of 18-60 years.
B. The sum assured has no ceiling but is capped to a minimum of INR 25L.
Things you cannot miss about LIC Term plans
- LIC term plans offer higher coverage at a very minimum and affordable premium amount.
- The Flexibility is commendable in terms of fixing a sum assured, payment of premium and the claims process.
- Riders are available to make your plan even stronger.
LIC Term Plans have been a choice of many and the insurer is one of the best in India due to higher benefits, low cost and flexibility.
