LIC New Children’s Money Back Plan – 932 | Policy details review

LIC New Children’s Money Back Plan – 932 is a non-linked, participating, individual life assurance money back policy for attractive payouts at important stages of your child’s growth.

 This plan is designed to meet the educational, other needs and saving for growing child through survival benefits. This plan can be purchased by parent or grandparent for child age 0 to 12 years.

In the following paragraphs, we have explained the details review of LIC New Children’s Money Back Plan – 932.

     

    What are the benefits of LIC Children Money Back Plan?

    Survival and Maturity Benefits

    LIC New Children’s Money Back policy provides maturity benefits into two parts as mentioned here:

    Age

    Survival Benefit

    Maturity Benefit

    18

    20% of Basic Sum Assured

    Not applicable

    20

    20% of Basic Sum Assured

    22

    20% of Basic Sum Assured

    25

    No Survival Benefit

    40% of basic sum assured

     

    Example: Suppose you want to buy a LIC child money back plan 932 and the basic sum assured is Rs. 100000 and policy term 25 years of your child age.

    In this case, you will receive 20% of Basic sum assured on completion of 18 years, 20 years and 22 years of age of your child as survival benefits and on completion of 25 years of age of your child 40% of basic sum assured and bonus shall be paid as maturity benefit.

     

    Death Benefit

    On death of the life assured before the commencement of risk, only premium paid excluding tax, extra premium & rider premium etc. shall be paid.

    On death of the life assured after the commencement of risk, death benefit as per sum assured + simple reversionary bonus + final bonus if any shall be paid with the following conditions:

    Sum assured on death shall be paid higher of the

    • 7 times of annualised premium or
    • Basic sum assured

    Death benefit shall not be less than 105% of the total premium paid up to date of death.

    Bonus

    You shall be paid Simple Reversionary Bonus every year by credited to your policy account throughout the term of the policy and Final Additional Bonus may also be paid on maturity.

    Loan against Policy

    You can apply for a loan against this policy from LIC after two years of policy period completion. You shall be allowed to loan 80% to 90% on surrender value of policy. You have to pay interest on loan. If you don’t pay outstanding loan (EMI) within loan period then outstanding loan with interest shall be recovered from claim at the time of maturity.

    Tax Benefit

    Tax deduction on premium paid under section 80c of Income Tax Act 1961 shall be allowed on LIC New Children Money Back policy.

     

    What are the eligibility conditions of LIC New Children’s Money Back Plan?

    Minimum Basic Sum Assured

    Rs.1,00,000

    Maximum Basic Sum Assured

    No Limit

    The Basic Sum assured shall be in multiple of Rs.10000

    Minimum Age at entry of life assured

    0 years (last birthday)

    Maximum Age at entry of life assured

    12 years (last birthday)

    Minimum / Maximum Maturity age

    25 years (last birthday)

    Policy Term

    (25 age at entry) years

    Premium Paying Term

    (25 age at entry) years

     

     

    What is the payment of Premium for of LIC New Children’s Money Back Policy 932?

    You can pay premium on yearly, half yearly, quarterly or monthly by National Automated Clearing House (NACH mode) or through (SSS mode) i.e. salary deduction.

    The following are the Sample illustrations of annual premium as mentioned by LIC of India for Rs. 100000 sum assured.

    Age at entry (in years)

    Premium (in Rs.)

    0

    4327

    5

    5586

    10

    7899

    12

    9202

     

    Grace period of 30 days for yearly, half yearly, quarterly and 15 days of monthly payment of premium shall be allowed.

     

    What are the rebates under LIC New Children Money Back Plan 932?

    Mode Rebate

    • Yearly mode - 2% of Tabular Premium
    • Half yearly mode - 1% of Tabular Premium
    • Quarterly, Monthly & SSS mode – NIL

    High Sum assured rebate (on premium)

    Sum assured

    Rebates

    Rs.100000 – Rs. 190000

    NIL

    Rs. 200000 – Rs. 490000

    2 per thousand of S.A.

    Rs. 500000 and above

    3 per thousand of S.A.

     

    Additional Information for LIC Child Money Back Plan 932

    Free Look Period

    Free look period shall be allowed for 15 days to check the “terms and conditions” of the LIC New Children’s Money Back policy. If you do not agree with the terms and condition then you can apply for a refund of the premium paid and cancel the policy. LIC will refund the amount paid after deducting expenses of medical examination and stamp duty charges etc.

    Surrender Value

    After two years of policy completion, you can surrender the policy. On surrender LIC shall refund the premium paid after deducting surrender value as per rule by IRDAI.

    Revival of Policy

    If premiums are not paid within the grace period then policy will be lapse. You can revive the lapsed policy within a period of 5 consecutive years from the date of unpaid premium. You have to pay the arrears of premiums and interest on revival.


    Conclusion

    LIC New Children’s Money Back Plan – 932 helps you to save the amount for the future saving and other needs of your child like education and other expenses between the ages of 18 to 25. Survival benefits and Maturity benefits can be utilized for education or marriage purposes. It is the best child insurance money back plan in India.


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