Terminal Illness
Subject to the general policy conditions, a Terminal Illness Benefit is available to all ‘With Profit’ policies issued under Whole Life, Endowment and Money Back Plans (Plans 2, 5, 14, 28, 48, 74, 75, & 93 only) with effect from 1st August 2004. NO EXTRA PREMIUM IS CHARGED AND NO NEED TO EXERCISE ANY OPTION; THIS IS A FREE BENEFIT.

Benefit: 50% of the sum assured under the policy shall be paid provided if it is conclusively proved to the satisfaction of LICI that the life expectancy of the life assured under the policy is no greater than 6 months due to an illness. The balance 50% sum assured along with the vested bonuses will be paid on the death of the life assured. This benefit shall be subject to the following conditions:

  •  This benefit will commence after two years from the date of issue of the policy.
  •  On payment of this benefit, the sum assured under the policy is automatically reduced by half.
  •  The policyholder will continue to pay the premiums falling due under the policy.
  •  All attachable benefits such as accident benefit, critical illness, and term assurance, if any, shall cease on payment of this benefit

Procedure for making a claim for terminal Illness benefit: The procedure will be advised by the office on intimation by the policyholder or his or her legal representatives. An e-mail intimation will only serve as information; it will not be acted upon unless a signed letter of intimation is physically received by our office.
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