Whole of Life Plans
Whole of Life plans are ideally suited to those people who do run their own businesses and hence do not ever need to retire. A whole of life plan can be an important component of one’s estate planning. These plans are available from ages 18 to 60 years. There are three types of Whole of Life Plans as listed below. These are appropraitely named as Wealth Builder Plans because of relatively large bonuses to the size of premiums collected under these policies.
The whole of life premiums are generally payable though out the lifetime of the policyholder and the policy monies (sum assured + vested bonuses) are returned to his beneficiaries only on the death of the policyholder. However, LICI provides an extra benefit to its Whole of Life policyholders – it treats the policy as matured as soon as the life assured crosses 80 years of age (subject to the condition that the policy must have completed at least 40 years from the date of commencement) and pays the sum assured + bonuses vested till that date; policy will be terminated on payment of the maturity value.
Basic Benefits:
Death Benefit – Payment of the sum assured + the vested bonuses on death of the life assured.
Maturity Benefit – Pays the sum assured + bonuses vested till that date to the policyholder after his 80th year of age or after the policy has completed a minimum duration of 40 years from the commencement date, whichever comes later; policy will be terminated on payment of the maturity value. (See details)
Terminal Illness Benefit – 50% of the sum assured is payable if the life assured becomes terminally ill and the balance along with the vested bonuses is payable on the death of the assured. (See details)
Optional Benefits:
Accident Benefit Rider package (accidental death benefit + total and permanent disability benefit + premium waiver benefit).
Wealth Builder Limited Payment and Single Premium Plans (Plan 613 LP)
The wealth builder single premium and limited payment options offer more flexibility in choosing one’s premium payment term than the regular whole life plan, Wealth Builder Classic (Table 612) One has the choice of paying all the premiums under the policy either in one Single Premium payment (Table 613 SP) or in 5 or more annual premiums (Table 613 LP).
Risk cover on the life of the assured however extends throughout the life time of the policyholder. Just like the Long Life Plan, the maturity value under the policy can be claimed by the policyholder after he reaches 80 years of age provided the policy has completed at least 40 years from the commencement date.
Basic Benefits: See under - Wealth Builder Classic (Table 612) Plan
Optional Benefits: The Accident Benefit Rider package is available only during the premium paying term and not for the entire term of the policy.
Convertible Whole Life Plan With Profits (Table 28F)
A convertible whole life plan is available for ages between 16 and 50 years at entry. Under this plan the policyholder has an option to convert the Whole Life Plan into an Endowment Plan with a specified term (of 5 more years and upwards) after completion of 5 years.
This option may be exercised at the proposal stage itself or in the 5th year. On the other hand, if the conversion option is not exercised, the policy continues as a whole life plan with premium payment ceasing at age 70.
Basic Benefits:
Death Benefit – Payment of the sum assured + the vested bonuses on death of the life assured.
Maturity Benefit:
- If Conversion Option is Not Exercised: See under Wealth Builder Classic Plan (Table 612)
- If Conversion Option is Exercised: Maturity value is settled at the end of the chosen endowment term just as mentioned under Target Classic Plan (Table 614)
Terminal Illness Benefit:– 50% of the sum assured is payable if the life assured becomes terminally ill and the balance along with the vested bonuses is payable on the death of the assured. (See details..)
Optional Benefits: The Accident Benefit Rider package is available only during the premium paying term and not for the entire term of the policy.
- World-wide risk coverage
- Lower premiums, Highest Bonuses
- Policy loan facility after 3 years.
The whole of life premiums are generally payable though out the lifetime of the policyholder and the policy monies (sum assured + vested bonuses) are returned to his beneficiaries only on the death of the policyholder. However, LICI provides an extra benefit to its Whole of Life policyholders – it treats the policy as matured as soon as the life assured crosses 80 years of age (subject to the condition that the policy must have completed at least 40 years from the date of commencement) and pays the sum assured + bonuses vested till that date; policy will be terminated on payment of the maturity value.
Basic Benefits:
Death Benefit – Payment of the sum assured + the vested bonuses on death of the life assured.
Maturity Benefit – Pays the sum assured + bonuses vested till that date to the policyholder after his 80th year of age or after the policy has completed a minimum duration of 40 years from the commencement date, whichever comes later; policy will be terminated on payment of the maturity value. (See details)
Terminal Illness Benefit – 50% of the sum assured is payable if the life assured becomes terminally ill and the balance along with the vested bonuses is payable on the death of the assured. (See details)
Optional Benefits:
Accident Benefit Rider package (accidental death benefit + total and permanent disability benefit + premium waiver benefit).
Wealth Builder Limited Payment and Single Premium Plans (Plan 613 LP)
The wealth builder single premium and limited payment options offer more flexibility in choosing one’s premium payment term than the regular whole life plan, Wealth Builder Classic (Table 612) One has the choice of paying all the premiums under the policy either in one Single Premium payment (Table 613 SP) or in 5 or more annual premiums (Table 613 LP).
Risk cover on the life of the assured however extends throughout the life time of the policyholder. Just like the Long Life Plan, the maturity value under the policy can be claimed by the policyholder after he reaches 80 years of age provided the policy has completed at least 40 years from the commencement date.
Basic Benefits: See under - Wealth Builder Classic (Table 612) Plan
Optional Benefits: The Accident Benefit Rider package is available only during the premium paying term and not for the entire term of the policy.
Convertible Whole Life Plan With Profits (Table 28F)
A convertible whole life plan is available for ages between 16 and 50 years at entry. Under this plan the policyholder has an option to convert the Whole Life Plan into an Endowment Plan with a specified term (of 5 more years and upwards) after completion of 5 years.
This option may be exercised at the proposal stage itself or in the 5th year. On the other hand, if the conversion option is not exercised, the policy continues as a whole life plan with premium payment ceasing at age 70.
Basic Benefits:
Death Benefit – Payment of the sum assured + the vested bonuses on death of the life assured.
Maturity Benefit:
- If Conversion Option is Not Exercised: See under Wealth Builder Classic Plan (Table 612)
- If Conversion Option is Exercised: Maturity value is settled at the end of the chosen endowment term just as mentioned under Target Classic Plan (Table 614)
Terminal Illness Benefit:– 50% of the sum assured is payable if the life assured becomes terminally ill and the balance along with the vested bonuses is payable on the death of the assured. (See details..)
Optional Benefits: The Accident Benefit Rider package is available only during the premium paying term and not for the entire term of the policy.
