Blma Bachat ( Plan 175 )

Introduction Df LlC's Blma Bachat ( Plan 175 )

It has been decided to introduce LIC's Bima Bachat (plan no.175) with effect from 14th November, 2005.

1. INTRODUCTlON:
This is a single premium money back type plan where Single Premium paid under the policy shall be paid back to the policyholder along with Loyalty Additions, if any, on maturity. In addition, the survival benefit installments are payable on survival of the policyholder till the specified durations. The plan also provides for the payment of Sum Assured in case of death during the term of the policy irrespective of whether or not any survival benefits have been paid earlier. No rider benefits shall be available.

2. BENEFITS:

Death Benefit: On death of the Life Assured during the term of the policy, an amount equal to the Sum Assured ¬shall be payable.

Survival Benefit: In case the life Assured is surviving to the end of the specified durations the following benefit shall be payable:
Policy term 9 years: 15% of the Sum Assured at the end of 3rd & 6th policy year
Policy term 12 years: 15% of the Sum Assured at the end of 3rd, 6th & 9th policy year.
Policy term 15 years: 15% of the Sum Assured at the end of 3rd, 6th, 9th & 12th policy
year

Maturity Benefit: Single Premium paid excluding extra premium along with Loyalty Additions, If any, shall be payable in case of Life Assured surviving to the end of the term.

3. LOYALTY ADDITIONS:

This is a participating plan and the policy shall participate In the proms of the Corporation’s with-profits assurance business. The policy shall, however not be eligible for reversionary bonuses and shall participate to a share of profits in the form of Loyally Addition (one time) only payable on maturity. On the Life Assured surviving, the stipulated date of maturity, the policy may be eligible for payment of Loyalty Addition, if any, depending upon the experience of the Corporation at such rate and on such terms as may be declared by the Corporation.


4. LOAN:

Loan facility is available under this plan. The rate of Interest to be charged for loan amount would be determined from time to time by the Corporation. Presently the rate of interest is 9% p.a. payable half-yearly.

5. REBATES / INCENTIVE FOR HIGH SUM ASSURED:

High Sum Assured Rebates (As Percentage of Basic Tabular Premium):
Less than Rs.50,000 : NIL
Rs.50,000 to less than Rs.1,00,000 : 5%
Rs.1,00,000 to less than Rs.2,00,000 : 7%
Rs.2,00,000 and above : 8%

6. CEIS REBATE:
The rebate for eligible employees of the Corporation shall be @ 2% of the Tabular Premium for the basic plan.

7. MODES OF PREMIUM PAYMENTS:
Premium is payable once at the beginning of policy term.

8. ELIGIBILITY CONDITIONS AND RESTRICTIONS:

Minimum age at entry: 15 years (completed)
Maximum age at entry : 66 years nearer birthday
Maximum age at maturity: 75 years nearer birthday
Terms : 9, 12 or 15 years.
Minimum Sum Assured: Rs.20.000/-
Maximum Sum assured: No limit
Sum Assured will be in multiples of Rs.5,000I- only.

9. PREMIUM RATES:
As enclosed In Annexure 1.

10. EXTRA PREMIUM RATES:
As enclosed In Annexure 2.

11. CREDIT:
Commission to Agents, Corporate Agents and Brokers Is payable 0 2% of the Single Premium received. No Bonus Commission will be payable.'

Development Office’s Credit for Incentive: 5% of Single premium

12. UNDERWRITING, AGE PROOF AND MEDICAL REQUlREMENTS:
Same as Blma Nlvesh Plan.

13. SURRENDER VALUES (G8V,SSV):
The policy can be surrendered for cash after completion of at least one policy year. The Guaranteed Surrender Value is equal to 90 per cent of the Single Premium paid excluding extra premium paid and the survival benefits paid earlier.

For calculation of Special Surrender Value, the amount of Single Premium paid excluding any extra/optional premium shall be taken as paid-up value and Surrender Value Factors for quarterly elapsed durations are given In Annexure 3.

14. NORMAL REQUIREMENTS FOR CLAIM:

The normal documents which the claimant shall submit while lodging the claim in case of death of the policyholder shall be the claim forms, as prescribed by the Corporation, accompanied with the original policy document, proof of title, proof of death, proof of accident/disability, medical treatment prior to death, employer's certificate, whichever is applicable, to the satisfaction of the Corporation. If the age is not admitted under the policy, the proof of age of the Life Assured shall also be submitted.
Where the policy results into a maturity claim or in case of surrender of the policy, the Life Assured shall submit the discharge form along with the original policy document besides proof of age, If the age Is not admitted earlier.

15. COOLING-OFF PERIOD:

If a policy holder is not satisfied with the "Terms and Conditions” of the policy, he/she may return the policy to the Corporation within 15 days from the date of receipt of the policy.

16. BACK DATING INTEREST:

The policies can be dated back within the financial year, as usual. Back- dating interest will be charged al the rate of 9% p.a. for dating back in excess of one month. This rate is subject to revision. The Interest shall be charged even where the policy is beck dated to a lean month. .

17. POLICY STAMPING:

Policy stamping charges will be 20 paise per thousand Sum Assured.

18. REINSURANCE:

There will be no reinsurance under this plan.

19. ASSIGNMENT / NOMINATIONS:

Notice of assignment or change of nomination should be submitted for registration to the office of the Corporation, where this policy is serviced. In registering an assignment or nomination the Corporation does not accept any responsibility or express any opinion as to its validity or legal effect.



20. PROPOSAL FORM: Proposal Form No. 300 or 340 will be used for the plan.

21. POLICY DOCUMENT: A specimen copy of the Policy Document is enclosed as
Annexure 4.

Chief (Actuarial)

ANNEXURE - 1 ANNEXURE - 3
Single Premium for 1000 SA S.S.V. Factors
Age / Term 9 12 15 Completed Duration in Years S.S.V. Factor As % of Paid-up Value
14 718.20 771.20 803.80 1.00 90.25
15 716.40 771.35 804.00 1.25 91.50
16 716.80 771. 50 804.10 1.50 92.75
17 718.80 771.60 804.20 1.75 94.00
11 716.95 771.70 804.25 2.00 95.25
19 717.05 771.80 804.35 2.25 95.50
20 717.20 771.85 804.40 2.50 97.75
21 717.30 771.95 804.50 2.75 99.00
22 717.35 772.00 804.50 3.00 84.00
23 717.40 772.05 804.65 3.25 85.25
U 717.50 772.15 804.80 3.50 86.50
25 717.55 772.25 804.95 3.75 87.75
26 717.65 772.40 805.10 4.00 89.00
27 717.75 772.55 805.30 4.25 90.25
28 717.95 772.75 805.55 4.50 91.50
29 718.15 773.00 805.80 4.75 92.75
30 718.45 773.35 806.10 5.00 94.00
31 718.80 730.70 806.45 5.25 95.25
32 719.25 774.10 808.90 5.50 96.50
33 719.75 774.60 807.40 5.75 97.75
34 720.40 775.156 807.95 6.00 83.00
35 721.05 775.75 808.55 6.25 84.25
36 721.80 776.45 809.25 6.50 85.50
37 722.85 777.25 810.05 6.75 86.75
38 723.60 778.15 810.95 7.00 88.00
39 724.85 779.15 811.90 7.25 89.25
40 725.80 780.25 812.95 7.50 90.50
41 727.15 781.50 814.10 7.75 91.75
42 728.80 782.80 815.35 8.00 93.00
43 730.25 784.25 816.65 8.25 94.25
44 732.10 785.90 818.10 8.50 95.50
45 734.10 787.60 819.60 8.75 95.75
46 736.30 788.45 821.20 9.00 82.00
47 738.85 791.40 822.95 9.25 83.00
ANNEXURE - 1 ANNEXURE - 3
Single Premium for 1000 SA S.S.V. Factors
Age / Term 9 12 15 Completed Duration in Years S.S.V. Factor As % of Paid-up Value
48 741.20 793.45 824.80 9.50 84.00
49 743.85 795.80 828.80 9.75 85.00
50 746.60 787.90 828.95 10.00 88.00
51 748.45 800.40 831.25 10.25 87.00
52 762.40 803.00 833.8O 10.50 88.00
53 755.60 805.85 836.10 10.75 89.00
54 758.00 808.90 838.80 11.00 90.25
55 762.65 811.95 841.75 11.25 91.50
56 768.85 816.20 844.90 11.50 92.75
57 770.85 818.75 848.20 11.75 94.00
58 775.10 822.65 851.75 12.00 81.00
59 779.75 828.85 855.50 12.25 82.50
60 784.80 831.30 859.35 12.58 84.00
61 790.50 838.15 - 12.75 85.50
62 798.45 841.10 - 13.00 87.00
63 802.70 - . 13.25 88.50
64 809.40 . . 13.50 90.00
65 816.25 . . 13.75 91.50
66 823.15 - . 14.00 93.00
14.25 94.50
14.50 96.00
14.75 97.50