LIC Single Premium Plans

Sometimes if you get a lump sum of money, you might think about investing it in a life insurance policy. It can also be so that you want to finish your contribution towards an insurance policy with a single payment. It’s at times like these that a single premium policy comes in handy. These policies can be term insurance or endowment plans or even group insurance plans. They offer the benefits of cover for the life insured, tax benefits and even maturity benefits. Some of them can even come with no limits on the sum assured, which means that there is no limit on the sum assured.

The advantage of paying the premium in a lump sum is that it can provide a better tax benefit than the ones that you get from regular or limited premium payments durations. There is another advantage to single premiums and it is that with a single premium payment, your policy is bought and paid for in one go which means you don’t have to worry about missing payments and having the policy lapse. For those with a lump sum to invest, a single premium can also help ensure that the money is used exactly the way you planned instead of it getting over with sudo emergencies that seem to crop up only when you have money saved up.

LIC also offers some life insurance plans where the premiums need to be paid in a lump sum. These plans offer different benefits to policyholders that range from group protection to building savings through endowment plans.

1. Endowment plans:These are the plans that don’t just provide life insurance cover but also allow investors to build savings that can be used to plan big expenses in the future.
   1. Single Premium Endowment Plan:The Single Premium Endowment Plan provides a minimum cover of Rs. 50,000 and has no limit on the maximum cover possible. It is also available to anyone between the ages of 90 days and 65 years.
2. Money back plans: These are plans that offer both death and survival benefits and come with either fixed or flexible tenures.
   1. New Bima Bachat: This is a participating money back plan that provides both protection for the life insured and the option to create savings. IT has 3 options for tenures and offers bonuses like loyalty additions.
3. Pension plans: Pension plans are the best thing if you are looking to use life insurance policies to provide you with an income after retiring.
   1. Jeevan Akshay VI: The minimum premium that can be for this policy is Rs. 1 lakhs and it can even be bought online. Higher premiums also become eligible for higher annuity as a result of incentives for high sum assured.
4. Micro insurance: Micro insurance plans offer smaller sum assured as compared to other plans but can be great for those looking for investing and saving at the same time.
   1. New Jeevan Mangal: This is a protection plan that offers the option to have premiums returned upon maturity. The cover provided is a maximum of Rs. 50,000 but, due to the accident benefit which is built in, the sum assured doubles in case of accidental deaths.
5. Group Insurance: Group insurance policies the ideal thing for companies and other groups of people to provide insurance benefits to members of the group.All these plans are tailor made to suite the specific needs of a variety of people and can be a worthwhile investment.
   1. Single Premium Group Insurance: This is a group protection plan that comes with a maximum cover of Rs. 10 lakhs. It can be taken for a tenure ranging from 2 years to 7 years and requires a group of at least 50 people.