Amritbaal, a traditional endowment insurance that is non-linked and non-participating, has been introduced by the Life Insurance Corporation of India (LIC). It is intended for parents who want to provide their children with a longer-term higher education.
The youngster must be 30 days old to enter, with a maximum age of 13 years. According to LIC’s official statement, the minimum age at maturity is 18 years old, and the maximum age is 25 years old.
The shorter premium payment terms of five, six, and seven years are associated with the guaranteed return policy. For single premium insurance and restricted premium pay policies, the minimum policy tenure is five years and ten years, respectively. For single and restricted premium pay policies, the maximum insurance term is 25 years.
“The plan is specifically designed to have an adequate corpus to meet the higher education and other needs of the child. It facilitates accumulation of corpus through guaranteed additions at the rate of Rs 80 per thousand basic sum assured at the end of each policy year from the inception till the end of policy term provided policy is in force,” the life insurance venture stated.
“On the date of maturity, sum assured along with guaranteed additions will be payable…maturity amount can also be received through settlement options in installments over five, 10 or 15 years,” LIC added.
