Popular LIC Life Insurance Plans You Should Know

The Life Insurance Corporation of India (LIC) is the oldest and most trusted name in the Indian life insurance sector. For generations, it has been synonymous with financial security. LIC offers a wide range of policies that combine insurance with savings and investment. Here’s a look at some of the popular LIC life insurance plans.

Understanding LIC Plan Categories

LIC's portfolio can be broadly categorized into:

• Endowment Plans: These offer a combination of savings and insurance. You get a lump sum at maturity, and your family gets the sum assured if you pass away during the term.
• Term Assurance Plans: Pure protection plans that offer a high life cover for a low premium.
• ULIPs (Unit Linked Insurance Plans): These plans offer both insurance and investment in market-linked funds.
• Pension Plans: Designed to provide you with a regular income after retirement.

Popular LIC Life Insurance Plans

1. LIC Jeevan Labh

Jeevan Labh is a limited premium paying, non-linked, with-profits endowment plan. Key Features:

• You pay premiums for a shorter duration than the policy term (e.g., pay for 16 years for a 25-year policy).
• It provides a death benefit to the nominee in case of the policyholder's demise and a maturity benefit if they survive the term.
• It participates in profits, meaning you get bonuses declared by LIC.

2. LIC Jeevan Anand

This is one of LIC's most iconic plans, offering the dual benefit of an endowment plan and a whole life plan. Key Features:

• On maturity, you receive the sum assured plus bonuses.
• However, the life cover continues even after maturity, until your death. Your nominee receives the basic sum assured again upon your passing.
• This "live long, get paid, and still leave a legacy" feature makes it a very popular choice for long-term financial planning.

3. LIC SIIP (Systematic Investment Insurance Plan)

For those looking for market-linked returns along with life cover, LIC's SIIP is a good option. Key Features:

• It's a Unit Linked Insurance Plan (ULIP) where part of your premium goes into life cover and the rest is invested in funds of your choice (equity, debt, or balanced).
• It offers guaranteed additions as a percentage of your annual premium, boosting your fund value.
• Provides flexibility to switch between funds based on market performance.

Conclusion

Choosing the right LIC life insurance plan depends on your financial goals. Whether you are looking for pure protection, guaranteed returns, or market-linked growth, LIC has a product to suit your needs. It's always a good idea to consult a financial advisor to understand which plan aligns best with your long-term objectives.