LIC’s Limited Premium Endowment Plan 2024 Benefits, Features, Details, Reviews

What are the features of the Limited Premium Endowment Plan?

If you’re looking for a retirement plan that offers a variety of benefits, the Limited Premium Endowment Plan (LPEP) may be a good option for you. This plan is designed for high-net-worth individuals who want to invest in stocks and bonds.

The Limited Premium Endowment Plan offered by LIC has the following appealing features:

• This is a standard plan for an endowment that increases savings and provides financial stability.
• It is a plan with a limited premium, which means that the premium must be paid for only eight or nine years.
• The plan allows customers to choose their preferred policy term, which can be 12 years, 16 years, or 21 years.
• The policyholder is entitled to the maturity benefit if they survive the policy term.
• The nominee receives the death benefit in the event of the life assured’s death.
• By paying an additional premium for the rider sum assured, the plan provides additional coverage.
• Because it is a participating plan, policyholders are eligible for a simple revisionary bonus and, if applicable, an additional bonus.

What are the benefits offered by the LIC Limited Premium Endowment Plan?

If you’re looking for a long-term investment that will provide you with significant returns, the LIC Limited Premium Endowment Plan is a great option. This plan offers investors a range of benefits, including regular dividend payments, tax advantages, and the option to sell their shares at any time. In this article, we’ll take a closer look at each of these benefits and explain why they’re so valuable. Ready to invest? Let’s get started!

LIC’s Limited Premium Endowment Plan hosts a range of benefits as under:

Death Benefit :

The term “death benefit” refers to the money paid to the beneficiary in the event of the policyholder’s death. The nominee is entitled to the following death benefit in the event that the life assured passes away during the policy term:

Please be advised that the LIC’s Limited Premium Endowment Plan’s death benefit cannot be less than 105% of the total premiums paid up to the death date.

Maturity Benefit :

The policyholder is entitled to “the Guaranteed Sum Assured on Maturity,” which is the equivalent of the Basic Sum Assured in addition to any Simple Reversionary Bonuses or Final and Terminal Additional Bonuses, if any, if the life assured survives until the policy’s maturity. At the end of the policy term, the policyholder will receive a one-time payment of the amount assured upon maturity.

Participation in Profits :

The Limited Premium Endowment Plan of LIC is a participatory plan, which means that the policyholders are entitled to receive the Simple Reversionary Bonuses and Final additional bonus, if any, as declared by LIC. Additionally, the policy is eligible to participate in LIC’s profits. As long as the policy is in effect at the time, it can share in profits.

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Loan Facility :

The Limited Premium Endowment Plan of LIC is a participatory plan, which means that the policyholders are entitled to receive the Simple Reversionary Bonuses and Final additional bonus, if any, as declared by LIC. Additionally, the policy is eligible to participate in LIC’s profits. As long as the policy is in effect at the time, it can share in profits.

Rebates and Discounts :

The plan provides attractive discounts and rebates. Discounts and rebates are allowed for higher sum assured and certain payment methods for premiums.

Optional Benefit:

This plan offers the following optional benefits in addition to the benefits listed above. The following riders are available to the policyholder:

• Accidental Death and Disability Benefit Rider
• LIC’s New Term Assurance Rider

Policyholders can increase the amount of coverage provided by the LIC Limited Premium Endowment Plan by attaching a rider sum assured to their policy. Sympathetically note that the rider aggregate guaranteed profited can’t be more than the essential total guaranteed picked under the arrangement.

What are the eligibility conditions of the LIC Limited Premium Endowment Plan?

The Limited Premium Endowment Plan from LIC can only be purchased if the plan’s eligibility requirements are met.

How to calculate premium of Limited Premium Endowment Plan?

What are the various modes of premium payment?

The annual, half-yearly, quarterly, and monthly modes of premium payment for the LIC Limited Premium Endowment Plan are available. The method of premium payment is up to the convenience of the customer.

What are the various rebates and discounts offered?

LIC’s Limited Premium Endowment Plan offers attractive rebates and discounts as under:

Rebates on premium paying mode

Rebates on High Sum Assured

What are various methods of Payment?

Choosing the right payment method can be a daunting task – there are so many to choose from! But don’t worry, we’re here to help. In this article, we’ll discuss various methods of payment and their benefits. We’ll also give you some tips on how to choose the best option for your business. So read on, and let us help you make the best decision for your needs!

For the ease of transaction, LIC accepts premium payment in various methods namely

• Net Banking
• Phone Banking
• Cash
• Cheque
• Debit Card or Credit Card
• ECS
• Salary Deduction

Further, the premium of LIC Limited Premium Endowment Plan can be paid at various centers namely

• LIC Office and Branches
• Authorized premium collection centers
• LIC Authorized Banks

As a result, LIC wants to give their customers as much freedom as possible to choose how, where, and how they pay their premiums.

How to buy LIC’s Limited Premium Endowment Plan?

The most straightforward and convenient ways to purchase the LIC Limited Premium Endowment Plan are as follows

• Office of LIC: To purchase the plan, you can go to the LIC branch or office closest to you.
• Authorized Agents: You can purchase the plan from a vast network of authorized agents and brokers affiliated with LIC.

• Online: alternatively, you can also go the official website of LIC (www.licindia.in) to buy the Limited Premium Endowment Plan online.

What are the documents required for buying the plan?

You must submit the following documents to purchase the LIC Limited Premium Endowment Plan:

• A recent Coloured passport-sized photograph
• A copy of Identity Proof
• A copy of Address Proof
• A copy of Age Proof
• A completely filled proposal form

What is the procedure to make claim under Limited Premium Endowment Plan?

If you are a policyholder of a Limited Premium Endowment Plan (LPEP), and you want to make a claim on the plan, you will need to follow the correct procedure. This article provides the details you need to know, so you can start the claim process as quickly as possible. Note that this is a complex process, and it is important to seek help if you have any questions or problems. We hope this article has provided the information you need to start your claim. Thank you for reading!

Claim settlement under LIC Limited Premium Endowment Plan is as under:

Maturity Claim :

A maturity claim is made when eligible dues are paid on the maturity date. The following is a list of mandatory documents that must be submitted to LIC in order for maturity claims to be processed:

• a discharge form that is completely filled out.
• Original policy document copy.
• Copy of proof of identity.
• fully completed and signed NEFT mandate form

Please be advised that the same documents are needed to surrender an LIC Limited Premium Endowment Policy. Your bank account will be credited with the maturity claim or surrender value of your policy following the submission of the aforementioned documents.

Death Claim :

The payment that must be made in the event of the life assured’s death is referred to as the death claim. The death claim will be processed by LIC and credited to the nominee’s account as soon as LIC is informed of the life assured’s death and all required documents are submitted. The following is a list of documents that must be submitted in order for a death claim to be processed:

• A completely and correctly filled claim form
• Original copy of the policy document
• Completely filled NEFT mandate form of nominee’s bank account
• Identity Proof of Nominee
• Proof of title
• Death certificate
• Records related to medical treatment, if any

In addition to the aforementioned documents, LIC may request additional documentation in the event of an accident-related death or a claim for partial or permanent disability, such as:

• A certified copy of FIR
• A copy of Police Inquest Report
• A copy of police punchanama
• A copy of the Post-Mortem Report
• A copy of Coroner’s Report
• Reports and records of hospital treatment

Other additional information

We’ve seen the basic features and benefits of the Limited Premium Endowment Plan above. Now let’s look at some more important details about the policy:

1. Revival of the lapsed policy
   Your LIC Limited Premium Endowment Plan will change status and become a lapsed policy if the premiums remain unpaid even after the grace period has expired. Since a policy that has expired can’t take advantage of the plan’s benefits and features, it’s always best to keep the policy in effect. Therefore, if your policy has expired, you can reinstate it within two years of the first unpaid premium. Restoration of slipped by strategy should be possible by paying all the neglected charges for example overdue debts alongside interest. The policyholder must provide satisfactory evidence of good health to qualify for the revival. Sum assured rider renewal can be done in conjunction with basic policy renewal and not separately.

2. Surrender Value
   The limited premium endowment plan can be surrendered if the first two years’ premium are paid. The Guaranteed Surrender value, expressed as a percentage of the total premiums paid (excluding any and all riders’ premiums and additional premiums).The policy term and policy year will determine the percentage factor used to calculate the guaranteed surrender value. The policy year at the time of surrender will determine the surrender value. An example of the guaranteed surrender value factors that apply to the total premium paid under the LIC Limited Premium Endowment Plan is provided below.

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