LIC of India Launches New Term Life Insurance Plans

Life Insurance Corporation of India (LIC) has been a trusted name in the insurance sector for 67 years, with a 71.76% market share. Continuing its legacy, LIC launched 4 New Term Life Insurance plans on Monday, 5th August 2024. These include, 

• LIC's Yuva Term (Plan 875) / Digi Term (Plan 876)

• LIC's Yuva Credit Life (Plan 877) / Digi Credit Life (Plan 878)

These plans are majorly designed for the following purposes:

• To cover loan liabilities such as education, housing, vehicles, and others. 

• For youngsters who want to take Term insurance in the initial stages of life 

LIC’s Digi Term and Digi Credit Life are available online, while LIC's Yuva Term and Yuva Credit Life are only available offline and can be bought through certified LIC agents or intermediaries, brokers and insurance marketing firms.

Now, let’s have a look at detailed benefits, eligibility criteria, and other details about these plans. 

New Term Life Insurance plans Launched by LIC in 2024

1. LIC's Yuva Term (Offline) / Digi Term (Online)

LIC’s Yuva Term/Digi Term is a Non-Par, Non-Linked, Life, Individual, Pure Risk Plan,

which provides financial protection to the policyholder's family in case of their untimely demise during the policy term.

Because it’s a non-par product, payable death benefits are fixed and guaranteed. 

Eligibility Criteria of LIC's Yuva Term / Digi Term

Other Important Details

Key Features of LIC's Yuva Term / Digi Term

• Special premium rates for women 

• Flexibility to choose from 

  • Two Death Benefit options (Level Sum Assured and Increasing Sum Assured)

  • Single, Regular and Limited Premium Payment

  • Policy Term

• Attractive High Sum Assured Rebate.

• Option to take Death Benefit in instalments instead of a lump sum. 

• Premium rates will be different for non-smokers and smokers. 

• A 30-day free-look period is available for policyholders to cancel the policy if they are not satisfied with the “Terms and Conditions.”  

2. LIC's Yuva Credit Life (Offline) / Digi Credit Life (Online)

LIC’s Yuva Credit Life plan is a Non-Par, Non-Linked, Life, Individual, Pure Risk plan that provides financial safety against any loan repayment to the policyholder’s family in case of their unfortunate demise during the policy term.

Eligibility Criteria of LIC's Yuva Credit Life / Digi Credit Life 

Other Important Details

Key Features of LIC's Yuva Credit Life / Digi Credit Life 

• Special premium rates for women 

• Flexibility to choose from 

  • Single Premium and Limited Premium Payment
  • Policy Term/Premium Paying Term

• Attractive High Sum Assured Rebates 

• Different premium rates for non-smokers and smokers. 

• Policyholders can opt to choose loan interest rates that best suit their needs at the inception of the policy. 

• If the policyholder repays the outstanding loan before the policy term ends, they have two options:

  • Surrender the Insurance Cover: By choosing this option, the policyholder can cancel their insurance cover. Upon cancellation, they will receive an amount equal to the Unexpired Risk Premium Value, if any. 

  • Continue the Policy Until the End of the Term: The policyholder can opt to keep the policy active until the policy term ends. But if they die during the policy term, the death benefit will be paid to the nominee as per the Risk Cover Schedule.

Frequently Asked Questions (FAQs)

Q. What are the new term life insurance plans introduced by LIC of India?

LIC has launched four new term life insurance plans that are available for sale from 5th August 2024. 

• LIC's Yuva Term (Plan 875)

• LIC's Digi Term (Plan 876)

• LIC's Yuva Credit Life (Plan 877)

• LIC's Digi Credit Life (Plan 878)

Q. Who should consider buying these plans?

These plans are ideal for:

• The ones who own any type of loan liability, such as education, housing, and vehicles and want to ensure their debts are covered in case of an untimely event.

• Ideal for youngsters who want to secure their family's future by taking term insurance early in the initial stages. 

Q. Where can I purchase these new plans?

• LIC's Yuva Term and Yuva Credit Life: Available offline and can be bought through LIC agents or brokers.

• LIC's Digi Term and Digi Credit Life: Available online.