Tag Archives: LIC Child Future Plan premium

LIC Child Future Plan: Features, Benefit & Illustration

LIC Child Future Plan: This plan is specially designed to meet the increasing educational, marriage 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 duration.

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
Age Maturity Age

23

24

25

26

27

0

112.55

108.00

103.65

99.45

95.45

4

132.35

127.00

121.85

116.90

112.15

8

156.20

149.90

143.85

138.05

132.45

12

184.20

176.85

169.75

162.95

156.40

 

For Premium paying term  = Policy Term less 5 years
Age Maturity Age

23

24

25

26

27

0

53.10

49.45

46.20

43.25

40.60

4

71.80

66.90

61.65

57.00

52.95

8

107.80

96.30

86.75

78.75

71.90

12

184.20

155.40

133.90

117.25

108.05

Mode and High S.A. Rebates:

Mode Rebate:

Yearly mode 2% of Tabular Premium
Half-yearly mode 1% of the tabular premium
Quarterly & Salary deduction NIL

Sum Assured Rebate:

Sum Assured Rebate (Rs.)
1,00,000 to 2,99,999 Nil
3,00,000 to 4,99,999 1.5 %o S.A.
5,00,000 and above 2 %o S.A.

 Benefits of Child Future Plan:

    • 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 term 25% of the Sum Assured
4 years before the date of expiry of policy term 10% of the Sum Assured
3 years before the date of expiry of policy term 10% of the Sum Assured
2 years before the date of expiry of policy term 10% of the Sum Assured
1 years before the date of expiry of policy term 10% of the Sum Assured
On the date of expiry of policy term 50% of the Sum Assured along with vested Simple Reversionary Bonuses and Final (Additional) Bonus, if any.

 

  • Death Benefit:
    On death (after the Date of Commencement of Risk) – Sum Assured along with vested Simple Reversionary Bonuses and Final (Additional) Bonus, if any shall be 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.

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

 Illustration of Child Future Plan:

Age of LA (Yrs.): 0
Term(Yrs.): 25
Age At Maturity (Yrs.): 25
PPT(Yrs.): 6
Sum Assured(Rs.): 100000
Premium: 10158
Extd Term(Yrs.): 7

END OF YEAR TOTAL PREMIUMS PAID BENEFIT ON DEATH DURING THE YEAR
GUARANTEED VARIABLE TOTAL
SCENARIO 1 SCENARIO 2 SCENARIO 1 SCENARIO 2
1 10158 10463 0 0 10463 10463
2 20316 21239 0 0 21239 21239
3 30474 32339 0 0 32339 32339
4 40632 43772 0 0 43772 43772
5 50790 55548 0 0 55548 55548
6 60948 100000 13200 54000 113200 154000
7 60948 100000 15400 63000 115400 163000
8 60948 100000 17600 72000 117600 172000
9 60948 100000 19800 81000 119800 181000
10 60948 100000 22000 90000 122000 190000
11 60948 100000 24200 99000 124200 199000
12 60948 100000 26400 108000 126400 208000
13 60948 100000 28600 117000 128600 217000
14 60948 100000 30800 126000 130800 226000
15 60948 100000 42000 180000 142000 280000
16 60948 100000 44800 192000 144800 292000
17 60948 100000 47600 204000 147600 304000
18 60948 100000 50400 216000 150400 316000
19 60948 100000 53200 228000 153200 328000
20 60948 100000 56000 240000 156000 340000
21 60948 100000 58800 252000 158800 352000
22 60948 100000 61600 264000 161600 364000
23 60948 100000 64400 276000 164400 376000
24 60948 100000 67200 288000 167200 388000
25 60948 100000 70000 300000 170000 400000
26 100000 0 0 100000 100000
27 100000 0 0 100000 100000
28 100000 0 0 100000 100000
29 100000 0 0 100000 100000
30 100000 0 0 100000 100000
31 100000 0 0 100000 100000
32 100000 0 0 100000 100000