LIC Saral Jeevan Bima Plan is a Non-Linked, Non-Participating, Individual, Pure risk life insurance plan. This plan provides financial protection to the insured’s family in case of unfortunate death of the policyholder during the policy term. So If a policyholder survives till the end of the policy term, no benefits are paid. You can buy this plan through offline as well as online mode.
| Plan Name | LIC Saral Jeevan Bima Plan |
| Table No. | 859 |
| UIN No. | 512N341V01 |
| Plan Type | Term Plan |
| Launch Date | 19 April 2021 |
List of Topic Covered
Key Features of LIC Saral Jeevan Bima Plan
- LIC Saral Jeevan Bima Plan is a pure term insurance plan which provides fixed amount to the insured’s family at a very affordable price.
- Flexibility to choose Premium Payment
- Single premium payment
- Regular premium payment
- Limited premium payment
- Premium rebates are available for online and offline mode.
- No Maturity benefit and surrender value benefit available under this plan
- Loan benefit is not available under LIC Saral Jeevan Bima Plan.
- There is a waiting period of 45 days in this plan.
- LIC Saral Jeevan Bima Plan provides tax benefits as well.
LIC Saral Jeevan Bima Plan Benefits
- 1) Death Benefit in LIC Jeevan Saral Bima Plan
- During the waiting period of 45 days from the date of commencement of risk.
- If death happens other than accident within a waiting period of 45 days then only the amount equal to 100% of premiums received (excluding taxes) shall be paid.
- If death happens due to accident within 45 days of date of commencement of risk then Sum Assured on Death payable would be,
- For Regular and limited premium policy, sum assured on death shall be highest of,
- 10 times the annual premium, or
- 105% of all premiums paid as on the date of death, or
- Absolute amount assured to be paid on death.
- For single premium policy, sum assured on death would be the highest of,
- 125% of single premium, or
- Absolute amount assured to be paid on death.
- For Regular and limited premium policy, sum assured on death shall be highest of,
- After the expiry of waiting period of 45 days from the date of commencement of risk
- If death happens after the expiry of waiting period (provided the policy is in force) then Sum Assured on Death payable would be,
- For Regular and limited premium policy, sum assured on death shall be highest of,
- 10 times the annual premium, or
- 105% of all premiums paid as on the date of death, or
- Absolute amount assured to be paid on death.
- For single premium policy, sum assured on death would be the highest of,
- 125% of single premium, or
- Absolute amount assured to be paid on death.
- For Regular and limited premium policy, sum assured on death shall be highest of,
- If death happens after the expiry of waiting period (provided the policy is in force) then Sum Assured on Death payable would be,
Here the absolute amount assured to be paid on death will be equal to basic sum assured.
- 2) Death Benefit in LIC Jeevan Saral Bima Plan
As this is a pure term insurance plan so if the policyholder survives till the end of the policy term, no maturity benefit is payable.
Eligibility conditions and other restrictions in LIC Saral Jeevan Bima Yojana
| Minimum | Maximum | |
| Basic Sum Assured | ₹ 5,00,000 | ₹ 25,00,000 (Per life basis) |
| Policy Term | 5 years | 40 years |
| Premium Paying Term | Regular Premium – Same as policy term Limited Premium – 5 and 10 years Single Premium – Premium is payable in lumpsum | |
| Entry Age | 18 years (Last birthday) | 65 years (Last birthday) |
| Maturity Age | – | 70 years (Last birthday) |
How LIC Saral Jeevan Bima Plan Works with Example
As this is a pure protection plan so insured’s nominee will only get a death benefit.
Suppose Ram takes this plan with following details in regular premium:
Ram’s Lifestyle : Non-smoker, healthy
Age – 30
Policy Term – 25 years
Sum Assured – 10 Lakhs
Premium Paying Term – 25 Years
Based on Ram’s lifestyle, age, policy term and sum assured his premium will be calculated and he will have to pay the premium Rs. 4,670/- annually (Offilne) and Rs. 4,336/- annually (Online).
- Scenario 1 – If Ram dies during a waiting period of 45 days from the date of commencement of risk. So here two cases possible.
- If Ram’s death happens other then accident so his will receive the premium paid i.e. Rs. 4,670/- (If paid offline) and Rs. 4,336/- (If paid online)
- If Ram’s death happens due to accident so here his nominee will receive the Sum Assured on Death which will be the highest of,
- 10 times the annual premium, or
- 105% of all premiums paid as on the date of death, or
- Absolute amount assured to be paid on death.
So 10 times annual premium will be 10 x 4670 = Rs. 46,700
105% of all premiums paid (4670 x 105) / 100 = Rs. 4,903
Absolute amount assured to be paid on death is same as basic sum assured = 10 Lakhs
Therefore we can clearly see that out of all the three amounts, 10 Lakhs is the highest so Ram’s nominee will receive 10 Lakh as sum assured on death and policy will close.
- Scenario 2 – If Ram dies after the expiry of 45 days of date of commencement of risk.
- So here Ram’s nominee will receive the Sum Assured on Death which will be the highest of,
- 10 times the annual premium, or
- 105% of all premiums paid as on the date of death, or
- Absolute amount assured to be paid on death.
- So here Ram’s nominee will receive the Sum Assured on Death which will be the highest of,
So 10 times annual premium will be 10 x 4670 = Rs. 46,700
105% of all premiums paid (4670 x 105) / 100 = Rs. 4,903
Absolute amount assured to be paid on death is same as basic sum assured = Rs. 10 Lakhs
Therefore we can clearly see that out of all three 10 Lakhs is highest so Ram’s nominee will receive 10 Lakh as sum assured on death and policy will close.
Payment of premium in LIC Saral Jeevan Bima Policy
Regular premium, limited premium and single premium options are allowed in this plan.
Grace period in LIC Saral Jeevan Bima Plan
Under this plan a grace period of 30 days shall be allowed for payment of yearly or half yearly premiums and 15 days are allowed for monthly premium from the date of fist unpaid premium. If premiums are not paid before expiry of the grace period, the policy lapse and nothing shall be payable.
LIC Saral Jeevan Bima Sample Illustrative premiums chart
Sample illustrative premiums for basic sum assured of Rs. 10 Lakhs for Male, Non-Smoker (Offline Mode)
| Age (Last Birthday) | Single Premium | Regular Premium – Annual | Regular Premium – Half Yearly | Regular Premium – Monthly |
| 25 | Rs. 41,610 | Rs. 3,850 | Rs. 1,965 | Rs. 331 |
| 30 | Rs. 52,260 | Rs. 4,670 | Rs. 2,383 | Rs. 401 |
| 35 | Rs. 70,840 | Rs. 6,110 | Rs. 3,117 | Rs. 525 |
| 40 | Rs. 98,630 | Rs. 8,340 | Rs. 4,254 | Rs. 716 |
| 45 | Rs. 1,38,230 | Rs. 11,660 | Rs. 5,948 | Rs. 1,001 |
Sample illustrative premiums for basic sum assured of Rs. 10 Lakhs for Male, Non-Smoker (Online Mode)
| Age (Last Birthday) | Single Premium | Regular Premium – Annual | Regular Premium – Half Yearly | Regular Premium – Monthly |
| 25 | Rs. 40,776 | Rs. 3,574 | Rs. 1,826 | Rs. 308 |
| 30 | Rs. 51,213 | Rs. 4,336 | Rs. 2,216 | Rs. 373 |
| 35 | Rs. 69,421 | Rs. 5,675 | Rs. 2,900 | Rs. 488 |
| 40 | Rs. 96,655 | Rs. 7,749 | Rs. 3,959 | Rs. 667 |
| 45 | Rs. 1,35,463 | Rs. 10,837 | Rs. 5,536 | Rs. 932 |
Rebate / Loading in LIC Saral Jeevan Bima Plan
The following rebates are applicable under this plan.
- Mode Rebate (Applicable for regular and limited premium payment)
| Mode | Rebate |
| Yearly Mode | Nil |
| Half-yearly mode | 2% of tabular annual premium |
| Monthly (ECS/NACH) | 3% of tabular annual premium |
- High sum assured rebate
| Basic sum assured (BSA) | Rebate (Rs) |
| 5,00,000 to 9,50,000 | Nil |
| 10,00,000 to 14,50,000 | 0.10 % of BSA |
| 15,00,000 to 19,50,000 | 0.20 % of BSA |
| 20,00,000 and above | 0.25 % of BSA |
| Premium paying term | Online sale (Rate of Rebate) |
| Single premium | 2.00% of tabular premium |
| 5 to 9 years | 5.00 % of tabular premium |
| 10 to 14 years | 6.00 % of tabular premium |
| 15 years and above | 7.00 % of tabular premium |
Revival in LIC Saral Jeevan Bima Plan
If premiums are not paid within the grace period then the policy will lapse. A lapsed policy can be revived within a period of 5 consecutive years from the date of first unpaid premium but before the end of policy term. For revival you will have to pay all the arrears of premium with interest at a rate which will be declared by the corporation.
Surrender Value in LIC Saral Jeevan Bima Plan
There is no surrender value under this plan.
Loan Facility in LIC Saral Jeevan Bima Plan
There is no loan facility available under this plan.
Tax Benefit in LIC Saral Jeevan Bima Plan
- Premiums paid are exempted under section 80C of the income tax act of 1961.
- The maximum exemption can be availed is 1.5 Lakhs
- Also the Death amount received are exempted under section 10(10D).
Free Look Period in LIC Saral Jeevan Bima Plan
If the policyholder is not satisfied with the policy, he or she can return the policy to the corporation stating the reason for the same. After receiving the request, the Corporation shall cancel the policy and return the premium amount after deduction of risk premium, expenses incurred on medical examination, special report if any and stamp duty charges.
Exclusion in LIC Saral Jeevan Bima Plan
Suicide:
- Under single premium policy:
- If policyholder commits suicide within 12 Months from the date of commencement of risk, the corporation will not entertain any other claim except 90% of the single premium paid.
- Regular / Limited Premium Payment Policy:
- If the policyholder commits suicide within 12 Months from the date of commencement of risk provided policy is in force or within 12 months from the date of revival, the corporation will not entertain any other claim except 80% of the premiums paid till the date of death.
How to buy LIC Saral Jeevan Bima Plan
LIC Saral Jeevan Bima Plan can be purchased offline and online as well.
Step by step process to buy LIC Saral Jeevan Bima Plan Online
- Log on to www.licindia.in website.
- Click on Buy Policies online.
- Click on Term Assurance heading.
- Then select LIC Saral Jeevan Bima Plan.
- Click on buy online.
- You will be asked that have you been diagnosed with COVID in past three Months?
- If you will say yes then your journey will end but if you will say no then you have to enter your personal details and an OTP will be sent to your phone.
- Then Choose your desired sum assured, premium payment option, residence country, Payment mode, policy term, premium paying term, gender.
- After adding all these details, a premium calculator will calculate the premium for the selected parameters.
- After this enter Name, Address, Occupation, Qualification etc to complete the proposal form online.
- At last pay the premium online and fulfil the underwriting requirements if any.
Documents required to buy LIC Saral Jeevan Bima Plan
You need to have the following documents to buy this plan.
- LIC Proposal form, duly filled by the Policyholder online.
- Age proof of the proposer
- Identity proof of the proposer/Policyholder
- Address proof of the proposer
- Medical examination report of the life insured if required by the policy because of the age and/or the sum assured chosen
- Income proof of the proposer if the sum assured or the premium of the policy is high
- PAN card of the proposer
How to make claim in LIC Saral Jeevan Bima Plan
Maturity Claim / Surrender Claim
- There is no maturity benefit under this plan
- If you are making a surrender claim, you have to inform the company in writing or contact your agent for this.
How to make a Death claim in LIC Saral Jeevan Bima Plan?
In case of death claim, nominee can get the death benefit by submitting required documents.
Below are the list of documents which nominee has to submit to get the policy amount.
- Claim Form ‘A’ in Form No.3783.
- If policy has run for 3 years or more from date or risk, claim Form No.3783A may be used
- Certified extract from death register issued by hospital/Doctors/District level authorities.
- The original policy document with Deed of assignment
In case you face any issue, contact your agent or visit your respective servicing branch.
Click here to Read LIC Jeevan Amar Plan in Detail
I hope this helps you to understand LIC Saral Jeevan Bima Plan really well. If you have any question about this policy, please comment below and we will get back to you immediately.