LIC International Child Education Plan – Plan No. 272
This is a non-linked, non-Participating Limited premium endowment plan designed for children. The plan provides financial protection on death of the life assured during the policy term and maturity payout on survival of the policyholder to the end of the policy term. The product also offers option premium waiver benefit on death of the proposer during the policy term.
In the event of unfortunate death of the life assured during the policy term but before the date of commencement of risk, total premiums paid till date of death, excluding extra premiums and/or rider premiums, if any, shall be paid to the proposer.
If death occurs during policy term but after the date of commencement of risk, Basic Sum Assured with accrued Guaranteed Additions on the Basic Sum Assured shall be paid to the proposer, if age of Life Assured is below 18 years. If the age is above 18 years, the amount shall be paid to the nominee/beneficiary.
The Policy will terminate upon payment of Death Benefit.
The Basic Sum Assured along with accrued Guaranteed Additions on the Basic Sum Assured shall be payable in lump sum to the policyholder on survival to the end of the policy term. The policy shall terminate on payment of the maturity benefit.
Guaranteed Additions shall accrue on completion of every policy year at a rate of USD 30 p.a. per thousand Basic Sum Assured.
RISK COMMENCEMENT DATE
Risk Commencement Date under this plan shall be policy anniversary immediately after child attaining the age of 7 years (last birthday) or completion of 2 years from policy commencement date, whichever is later.
PREMIUM WAIVER BENEFIT RIDER (PWB)
Under this optional benefit rider, the future premiums payable shall be waived in case of the death of the proposer. All benefits under the plan will continue as in-force on such death and shall be paid on events as described in this certificate.
The Life Assured may appoint a beneficiary / nominee after age of attaining 18 years to receive the policy moneys in the event of his/her death. Such appointment of beneficiary / nominee can be made while effecting the policy or subsequently by an endorsement on the policy. The appointment of beneficiary/ nominee can be cancelled or changed by the Life Assured during his life time. However, the change of beneficiary / nominee shall not be operative as against the Company unless it is communicated to in writing and registered by the Company and the policy is endorsed to that effect.
In the event of the Life Assured surviving to the date of maturity under the policy, the appointment of beneficiary / nominee shall automatically stand as cancelled and the policy amount shall be payable to the Life Assured as stipulated in the policy conditions, with the Company’s Liability in respect of this policy to any party being fully and completely discharged thereby.
BASIC PRODUCT ELIGIBILITY CONDITIONS
|Attribute||Minimum Limit||Maximum Limit|
|Sum Assured||USD 25,000||USD 1,000,000|
|Entry Age||0 Years||11 Years (Completed)|
|Maturity Age||18 Years (Completed)||25 Years (Completed)|
|Term||7 Years||25 Years|
|Premium Paying Term||Limited Premium Paying terms of 5 and 7 Years|
|Mode of Premium Payment||Yearly, Half Yearly, Quarterly and Monthly|
GRACE PERIOD FOR PAYMENT OF PREMIUM
A Grace Period of one calendar month but not less than 30 days shall be allowed for payment of Yearly, Half Yearly or Quarterly premiums and 15 days for Monthly premiums.
PAID UP VALUE
Policy shall acquire a paid-up value on payment of three full policy year’s premiums. If at least three full year’s premiums have been paid, and subsequent premium is not paid within the grace period, then the policy shall be converted into a reduced paid-up policy.
The policy will acquire a surrender value after completion of three full policy year’s premiums have been paid. If three full year’s premiums have not been received, the policy will lapse without acquiring any surrender value. On surrender, the higher of Guaranteed Surrender Value and Special Surrender Value shall be payable.
Revival/Reinstatement period will be as per the Company’s policy. If a premium is in default beyond the Grace period and provided that the policy is not surrendered, the policy may be revived during the premium paying term, but within the revival period whichever is earlier.
Provided the policy has acquired surrender value the life assured may obtain loan up to 80% of surrender value of the policy subject to production of satisfactory title to the policy and satisfactory assignment of the policy to the company.
All aspects of underwriting will be as per the underwriting policy of the company.
RESTRICTIONS IN CASE OF DEATH OF LIFE ASSURED
Death resulting directly or indirectly from suicide (whether sane or insane at the time) before the expiry of 12 months of the risk commencement date; the Policy shall be void except to the extent of a third party’s bonafide beneficial interest acquired in the policy for valuable consideration of which notice has been given in writing to the office to which premiums under this policy were paid last, at least one calendar month prior to death.
If the life assured dies as a result of a violent act of the beneficiary / nominee, the latter shall lose his/her rights to the Death Benefit, which shall nevertheless remain payable to the other legal heirs.
The Company shall not be liable to pay any claim if the claim arises directly or indirectly as a result of the life insured’s active involvement in:
-War or warlike operations (Whether war is declared or not)
-Invasion, hostilities, mutiny, riot, civil commotion, civil war, rebellion, insurrection or the usurping of government power.
-an act committed by a foreign enemy.
-any activity (military or otherwise) or conspiracy that causes or leads to the proclamation of martial law or a state of siege, or
– Terrorism or conspiracy to commit terrorism which includes any activity that jeopardizes the continuance of human life or causes damage to property.
FREE LOOK PERIOD
The Policy provides for a period of 30 days as a “free look period”. The Free Look Period starts on the date of policy issuance, the date when coverage commences, or the date when the policy documents are signed by the client, whichever is earlier. During the free look period, the policyholder/proposer may review the terms and conditions of the policy and where he/she disagrees to any of those terms and conditions, he/she has the option to return the policy. The Company may deduct reasonable medical underwriting costs that have been incurred, for which a receipt and report must be provided to the policyholder.