Children's Plan

LICI's Aspire, the new children’s educational plan will help you realize your dreams about your child’s future. The plan aims at providing for your child’s secondary and tertiary educational needs. You can take out a policy under this plan on your child – right from the just born to 10 years of age and start saving right away.

The Plan provides for returning of the sum assured under the policy in seven annual survival benefits from the age 14 of the child assured under the plan. The policy matures on the child’s 20 year of age; the last survival benefit is payable along with the vested bonuses.
The Maximum Sum Assured Available Under all Aspire Plans for each child is $100,000.

BASIC BENEFITS
Survival Benefits: You can choose from one the following three cash flows as annual survival benefits for your child. These survival benefits are meant for meeting (partly or fully, depending upon the sum assured opted under the policy) the child’s secondary and tertiary education. These survival benefits fall due on the date of every policy anniversary falling due on or after the child’s attaining 14th year through 20th year.

Plan 601 602 603
Age Plan I Plan II Plan III
14 5% 5% 10%
15 5% 5% 10%
16 5% 7.5% 10%
17 5% 7.5% 10%
18 25% 25% 20%
19 25% 25% 20%
20 30% 25% 20%
Table of Survival Benefits (as % of the Sum Assured) payable under Aspire Plans

Maturity Benefit: The policy matures on the policy anniversary falling on or after the child’s attainment of 20th year of age. The last (seventh) survival benefit is payable along with the vested bonuses under the policy as maturity benefit.

Death Benefit:
Commencement of Risk: Risk cover on the life of the child assured under the policy commences from the date of the policy anniversary falling on or after his or her attainment of 10th birthday.

Death after the Commencement of Risk: Full Sum Assured is payable along with the vested bonuses – without deducting the survival benefits that may have been already paid out – in case of the child’s unfortunate death after the commencement of risk cover.

Death prior to the Commencement of Risk: In case of unfortunate death of the child prior to the date of risk commencement (as explained above), the premiums paid till that date are returned to the proposer.

OPTIONAL BENEFITS
The following optional benefits are available under the Aspire Plans on payment of additional premiums. Both these riders cover the risk on the life of the proposer and are enormously useful to opt for.

Premium Waiver Benefit: Waives premiums in case of unfortunate death of the proposer under the policy during the term of the policy. Proposer is the sponsor of the policy. If he is no more, the child assured or his or her family may not be able to afford to pay the premiums. Waiver benefit ensures that the educational needs of the child are met unhampered under such circumstances. However, there may be some restrictions regarding the age of the proposer for granting this rider cover.

Term Assurance Benefit: Pays an amount equivalent to 20% of the basic sum assured as a token of relief to the family in case of unfortunate death of the proposer during the term of the policy. There may be some restrictions regarding the age of the proposer for granting this rider cover.
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