Life Insurance Corporation of India is a government-owned insurance and investment company. The company has a reputation and its policies came up with almost no risk. LIC provides very attractive plans to its customers. One of these plans is LIC’s Single Premium Endowment Plan also known as plan no. 817
In this policy, you need to deposit a single premium at the starting of the policy period. After the policy term is over a lump sum assured with other bonuses shall be payable. LIC Single Premium Endowment Plan is a participating policy that provides both insurance cover and savings characteristics.
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Key features
- Twin benefits of saving and life insurance
- Entry age is 90 days to 65 years
- Rs.50,000 is the minimum sum assured, there is no limit to the maximum sum assured
- Policy term period can be from 10 to 25 years
- Loan facility
- Tax benefits under the Income Tax Act
Eligibility
The LIC has set some eligibility for their plan no. 817. You need to meet these in order to avail of this Single Premium Endowment Plan. Below is the eligibility criterion which you should be aware of:
| Entry Age | Min-90 days, Max-65 years |
| Sum Assured | Min-Rs.50,000, Max-No limit |
| Maximum Maturity Age | 75 years (nearest birthday) |
| Policy Term Period | Min-10 years, Max-25 years |
| Premium Payment Time | Only a single premium payment at the beginning. |
Benefits of LIC plan 817
This non-linked endowment policy has various benefits up in its sleeves.
In case the policyholder survives till the end of the policy term below benefits shall be applicable.
- Maturity Benefit:
Final addition bonus, if any
Lump-sum assured
Simple reversionary bonuses
If unfortunately, the policyholder dies during the policy period then below benefits shall be applicable to the nominee.
- Death Benefit:
Death before the date of commencement of risk: In this situation benefit payment will be return as single premium excluding taxes and interests.
Death during the policy term: Sum assured with simple reversionary bonuses and final additional bonus if any shall be payable.
- Income Tax benefits: Tax benefits on the premium paid along with the received claims shall be payable.
- Loan facility: After the successful completion the policyholder can avail the loan.
- Freelook period: Policyholders can cancel the plan anytime within 15 days from the policy initiation. In case you don’t find the plan suitable.
Exclusion
90% of single premium paid excluding taxes and extra premium if any will be returned by the company in case the policyholder commits suicide within 12 months from the beginning of the policy. Other than this no death benefit will be given.
Final words
LIC policies are trusted and risk-free, especially this plan benefits the most to those people who want insurance cum saving kind of plan. Its single premium payment makes it easier, to begin with. Participation in a corporation’s profit is an added advantage provided in LIC plan 817. It is ideal for those who want to deposit a lump sum amount of money for a long period of time.
Also, the benefits which come with it are very appealing. The amount after the maturity of the policy end term can be spent on a child’s education, home or accommodation, vehicle, and marriage. Although, these types of plans are not beneficial for tax-saving motives. Get in touch with the LIC’s nearest branch for more information regarding LIC Single Premium Endowment Plan (817).
FAQs
LIC plan no.817 is a Single Premium Endowment Plan in which you have to deposit a lump sum amount.
There is a minimum limit of Rs.50,000. No limit on the maximum sum to deposit.
You have the option for 10 years minimum and 25 years maximum. There is also maximum maturity age which is 75 years.
Yes. The entry age is a minimum of 90 days (completed) and a maximum of 65 years (nearest birthday).
This plan is both saving and life insurance at the same time. If the policyholder dies then the sum assured including bonuses shall be payable. Whereas if the insured survives till the term end a lump sum amount will be paid as a maturity benefit.
Of course, LIC provides a free look period in plan no.817. You can cancel the plan anytime within 15 days from the policy initiation. Premium amount excluding expenses like stamp duty, charges of medical examination if any will be returned to you.
I’m Shiv Kumar, a graduate with a passion for finance, marketing, and technology. My journey into finance started with a desire to understand money management and investing.
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