You should know about LIC’s New Money Back Plan – 20 years (UIN: 512N280V01). It is a life insurance policy that will give you money if you die. It will also give you some money while you are alive at certain times during the 20 years. I think this plan is a good choice if you want life insurance and also want to get some money regularly.
What You Should Know
The LIC New Money Back Plan – 20 Years (Plan No. 820) is a life insurance policy that lasts for 20 years. But you only need to pay for it for 15 years. It will give you money at different times while you are alive and will also give money to your family if something happens to you.
This plan has many good things. You will get 20% of the money you put in at the end of 5, 10, and 15 years. At the end of 20 years, you will get 40% of your money plus extra money called a bonus. If something bad happens to you during the 20 years, your family will get the money you put in plus the bonus money. You will also get some tax benefits with this plan.
Important Things About the Plan
- Money While Alive: You will get 20% of your money back at the end of 5, 10, and 15 years
- Money at the End: After 20 years, you will get 40% of your money plus bonus money
- Money for Your Family: If something happens to you in the 20 years, your family gets your money plus bonus
- Extra Money Every Year: LIC will give you a bonus every year
- Save on Taxes: You can save money on taxes with this plan
Who Can Get This Plan
To get the LIC New Money Back Plan, you need to be a certain age when you start and when the plan ends after 20 years. The plan always lasts 20 years and you pay for 15 years. There are also rules about the least and most amount of money you can put into the plan.
| Rule | Least | Most |
|---|---|---|
| Age at Start | 13 years | 50 years |
| Age at End | 33 years | 70 years |
| Plan Length | 20 years | |
| Pay Length | 15 years | |
| Money to Put In | Rs. 1,00,000 | No Limit |
Other Good Things
The LIC New Money Back Plan gives you some extra time to pay your money if you need it. The amount of extra time depends on how often you pay. This helps in case something unexpected happens and you can’t pay on time.
If you need money and have paid for at least 3 years, you can take a loan from your plan. This loan won’t change the good things you get from the plan. It’s like a backup for when you need money.
If you decide to stop the plan after paying for 3 years, you will still get some money back. This is called a surrender value. It means you can leave the plan early but still get something.
LIC will give you extra money if you put more money in the plan or if you pay once a year or every 6 months. These are called rebates and they make it easier to pay.
An Extra Choice
You can choose to add something called the LIC Accidental Death and Disability Benefit Rider to your plan. You pay a little more money for this. It gives you more protection if an accident happens.
With this extra rider, you can get between Rs. 1,00,000 and Rs. 50,00,000 more. You can add it if you are between 18 and 70 years old. It stops when you turn 70.
If something very bad happens to you because of an accident and you pass away, this rider gives more money to the person you choose. If an accident makes it so you can’t do things like before, this rider gives you money to help.
When It Doesn’t Work
- If something very sad happens and the person with the plan dies in the first 12 months, the plan won’t pay the full money. Instead, it will give back 80% of the money paid.
- For the accident rider to work, the disability from the accident must happen within 180 days of the accident. If it happens after that, the rider won’t give any money.
Questions You May Have
How old do I need to be to get the LIC New Money Back Plan?
You need to be at least 13 years old and not more than 50 years old when you get this plan. This means the plan is good for people of many ages who want to save money.
How long does the plan last and how long do I pay?
The LIC Money Back Plan lasts for 20 years. This means it will help you with money for a long time. But you only have to pay for the first 15 years. This makes it easier for you because you don’t have to pay for the last 5 years of the plan.
Is there a biggest amount of money I can put in the plan?
One of the best things about this plan is that there is no biggest amount of money you can put in. You can choose how much money you want to put in based on what you need. But you have to put in at least Rs. 1,00,000 to make sure the plan can help you enough.
Can I borrow money from my LIC Money Back plan?
Yes, LIC knows that sometimes you may need money quickly. If you have paid for the plan for at least two years, you can borrow some money from it. This borrowing won’t change the good things you get from the plan. It’s like a backup for when you need money fast.