Life Insurance Corporation of India has introduced two new plans Bima Account-I & II (table Nos 805 & 806). The plans are non participating variable insurance type of policies with regular mode of premium payment. The option of top-up facility is also provided.
Under these plans, there will be a policy holder account maintained separately for each policy holder, an official release said.
The premiums net of charges as specified will be credited to the policy holder's account and it will earn an annual interest six per cent per annum. This interest is guaranteed for the whole of policy term. The corporation may also declare additional interest based on its experience under the plan, it said.
In case of unfortunate death of Life Assured, when the policy is in force, the insured amount along with the balance in the account will be paid to the nominee. On maturity, the life assured will be entitled to the amount in his account.
The policies are available for persons in the age group of eight to 60 years. The premiums can be paid in yearly/ halfyearly/quarterly/monthly ECS modes.
While the policy holder will be entitled to the full amount in his account after three years of premium payment by way of surrender value, Loan can be availed after completiton of one year from commencement provided at least one full year's premiums have been paid. IT benefits under Sec 80C and Sec 10 (D) are also available, as per IT rules, the release said.