Child Career Plan

This It has been decided to introduce a new with profits plan for children, LICs Child Career Plan (Plan No. 184) w.e.f 8th February 2007. This plan is designed to meet the increasing educational and other needs of growing children, which provides the risk cover on the life of child not only during the policy term but also during the extended term (i.e. 7 years after the expiry of policy term). On surviving to the end of the specified durations, a number of Survival benefits are also payable.

The policy is available for terms 11 to 27 years. Premiums are payable regularly during the policy term with yearly, half-yearly, quarterly or through salary deductions. Premiums may be paid either for 6 years or upto 5 years before the policy term. The Extended term will be 7 years from the date of expiry of policy term. No premiums are payable during the Extended term of plan. On life assured surviving to the end of the specified durations an amount as specified below is payable:
-5 years before the date of expiry of policy term - 30% of the Sum Assured along with vested Simple
Reversionary Bonuses-4 years before the date of expiry of policy term - 15% of the Sum Assured-3 years before the date of expiry of policy term - 15% of the Sum Assured-2 years before the date of expiry of policy term - 15% of the Sum Assured-1 years before the date of expiry of policy term - 15% of the Sum Assured On the date of expiry of policy term - 15% of the Sum Assured along with Final (Additional) Bonus, if any will be paid.

If after at least two full years premiums have been paid, and any subsequent premium be not duly paid, full death cover shall continue for a period of two years from the due date of the First Unpaid Premium (FUP). This period of 2 years from FUP shall be called Auto Cover Period. During this Auto Cover Period, the Proposer/ Life Assured can pay one or more installments premiums with interest without submission of evidence of health. On payment of one or more of the arrears of installment premiums with interest, the Auto Cover Period of 2 years shall be extended from the due date of new FUP.If death of Life Assured occurs during the Auto Cover period, then death benefit after deducting unpaid premiums, with interest, as also premiums falling due before the next anniversary of the policy, is payable along with the vested bonus, if any. Premium Waiver Benefit, if any, shall remain in force during the Auto Cover period.

Date of commencement of risk: In case the age of Life Assured at entry is less than or equal to 10 years, risk under this plan shall commence either after 2 years from the date commencement of the policy or from the policy anniversary coinciding with or immediately following the completion of 5 years of age of Life assured, whichever is later. Where the age at entry is more than 10 years but less than 12 years, the risk shall commence from the policy anniversary coinciding with or next following 12th birthday of the Life Assured. For those aged 12 years or more risk will commence immediately.b) Date of Vesting: The policy shall automatically vest in the Life Assured on the policy anniversary coinciding with or immediately following the completion of 18 years of age and shall, on such vesting, be deemed to be a contract between the Corporation and the Life Assured.