LIC Aadhaar Stambh

LIC Aadhaar Stambh has presented a sack full of different benefits and facilities. To know more about its advantages and key features, have a look at the below mentions.

Death Benefit:

• On death during the first five years – In case of the unfortunate and untimely demise of the life assured before the date of maturity, during the first five years of the policy, Sum Assured on Death will be paid to the beneficiary of the policyholder. In this case, the policy should be an active one,
• On death after the completion of five policy years – In that case, on the demise of the life assured, the Sum Assured on Death along with loyalty addition have to be paid by the Corporation. Remember, in this case too, the policy should be in force which means all the due premiums should be paid. 

The death benefit should not be less than 105% of total premiums paid up to the date of death. And this premium does not include any taxes, extra premium, and rider premium. 

Maturity Benefit:

This is an endowment plan, so certainly this plan comes with maturity benefits. But, it has conditions like, the life assured has to survive the entire policy tenure and the policy should be active which means all the due premiums should be paid clearly. Only after fulfilling these conditions, one is eligible to receive the maturity benefit that is the compilation of Sum Assured on Maturity and loyalty additions. This Sum Assured on Maturity is equal to the basic sum insured. 

Loyalty Addition:

The life assured is only eligible for the loyalty addition when he/she fulfills the following criteria.

• The policy has to complete 5 years.
• During these five years, all the premiums have to be paid without any delay.
• The Corporation’s experience with the policies is a driving factor to receive the loyalty additions.

Only after fulfilling the aforesaid criteria, the life assured become eligible to get loyal addition at the time of exit that means either in case of demise of the insured person or at the time of the maturity of the policy. The rate of loyalty addition and the conditions to receive it are totally decided by the Corporation alone. One is also eligible to receive the same under the Special Surrender Value calculation if he/she surrenders the policy following the same eligibility criteria. 

Surrender Value:

This policy is so flexible that it gives you the opportunity to surrender the policy at any time of your convenience only if you have paid the premiums for this plan for two consecutive years. Upon surrendering this policy, you are eligible to avail of any of the following benefits, whichever is higher.

Guaranteed Surrender Value – It is payable during the policy term, which is equal to the total premiums paid to the policy multiplied by the Guaranteed Surrender Value factor. This premium excludes extra premiums, taxes, and premiums paid for the rider(s) if any. This surrender value totally depends on the policy term and the policy year in which the policy is surrendered.

Special Surrender Value – This surrender value is reviewed and determined by the Corporation itself and it is subject to time to time prior to the approval of IRDAI.

Policy Loan: 

Once you have paid at least 2 consecutive years’ premiums, you are eligible to avail of the loan facility against the LIC Aadhaar Stambh plan. But it is subject to the terms and conditions of the Corporation and it can be reviewed from time to time by the same.

The maximum loan as a percentage of surrender value will be as under:

For in-force policies – up to 90%

For paid-up policies – up to 80%

Tax Exemption: 

If statutory taxes are imposed on this plan by the government of India or any other constitutional Tax Authority of India, then you need to pay the applicable taxes as determined by the tax laws. Remember, you need to pay the applicable taxes for base policy and rider, if any including extra premiums, separately.