Child Career LIC Policy: Child career LIC insurance policy gives the risk cover on the child’s life not only during the term of the policy but during the extended term of 7 years post maturity as well. In this insurance policy, the survival benefit is 30% of the S.A. amount plus vested reversionary bonus 5 years before the expiry date. Whereas it is 15% of S.A. in the last 4 years, 3 years, 2 years, and 1 year before the policy matures. Maturity benefit is 15% of S.A. plus bonus (if any). There is an additional rider of premium waiver benefit.
Risk Commencement under Child Career LIC Policy
The risk under this policy will commence either after 2 years from the commencement of the policy, policy anniversary coinciding with or following the completion of 5 years of age of the insured whichever is later. If in a case the entry age of the proper is more than 10 years but less than 12 years then the risk will commence from the policy anniversary coinciding with or next following 12th birthday of the insured person. If an insured aged 12 years or more then risk will commence immediately.
Parameters of the policy
| Entry age | Minimum 0 years (LBD) and maximum 12 years (LBD) |
| Maturity age | Minimum 23 years (LBD) and maximum of 27 years (LBD) |
| S.A. amount | Minimum 1 Lacs and maximum a Crore |
| Sum Assured in Multiples | Rs. 5,000 |
| PPT | 6 hours |
| Policy Term | 5 years |
| Payment Mode | YLY/HLV/QLY |
| Policy Loan | Yes |
| Housing Loan | Yes |
| Assignment | No by the proposer but assignable after the policy has vested in the insured. |
| Revival | Yes |
Underwriter Condition for Child Career LIC Policy
| Form No. | 340/360 |
| Age Proof | Standard/NSAP |
| Actual S.A. | Basic S.A. |
| Risk Coverage | Sum Assured plus bonus |
| Dating back | Allowed @ 8% P.A. |
Age proof for Child Career LIC Policy
Age proof for children aged 5 years and above is a school certificate. Whereas for children aged less than 5 years is a certificate from municipal/local/village panchayat records.
Check also: Jeevan Kishore LIC Policy with Profit Plan (Table No. 102)
Auto Cover under the policy
After paying two years premium amount if the insured fails to pay any subsequent premium duly, full death cover shall continue for a period of two years from the due date of FUP (first unpaid payment) PWB and will remain inflow within the auto cover period.
Benefits
Death benefit of Child Career LIC Policy
- The corporation will pay S.A. along with vested simple reversionary bonuses and FAB (if any), in case if the death happens during the period from the date of risk commencement to 5 years before the expiry date of the policy term
- If the death occurs within the extended policy term then the corporation will pay S.A. amount.
- On the other hand, if death occurs before the date of risk commencement then all the paid premiums (excluding premium for extra and PWB, if any) plus interest @ 3% P.A. ill be payable.
- If the death happens within the auto cover period then the death benefit after deducting unpaid premium with interest and also the premium falling due before the next anniversary of the insurance policy is payable along with vested bonus (if any).
Survival benefit of Child Career LIC Policy
On life insured survival till the end of the specified duration’s amounts is payable as survival benefit under the policy.
- 5 years before the expiry date of policy term: 30% of S.A. plus vested simple reversionary bonuses.
- 4 years before the expiry date of policy term: 15% of S.A.
- 3 years before the expiry of the policy term: 15% of S.A.
- 2 years before the expiry date of policy term: 15% of S.A.
- 1 year before the expiry date of policy term: 15% of S.A.
- On expiry date of policy term: 15% of S.A. plus additional bonus ( if any).
Premium Waiver benefit
This benefit is payable under the policy on which payment of an additional premium within the premium paying term or till the proposer dies whichever is earlier.
- After the date of the insured the premium failing waiver benefit shall in progress.
- The premium waiver benefit will remain inflow during the auto cover period.
- The premium waiver benefit as mentioned in (point no. 1) will be granted on the basics of the proposer’s age personal health declaration and other requirements. All clime to the benefit will be ceased if in case any given information is found to be untrue and incorrect.
- If the proposer dies by his/her own hands whether the same or insane within one year from the issuance of FPR, the PWB described in (1) and (2) will not be operated.
Cooling off period of Child Career LIC Policy
The cooling-off period is of 15 days if the proposer is not satisfied with the terms and conditions.