LIC Jeevan Tarun Plan

LIC Jeevan Tarun Plan (Table No: 834)

LIC’s Jeevan Tarun (Table No: 834) is children money back plan which is specially designed for securing children education. This plan gives options to choose survival benefit and helps to ensure financial requirements of child education from 20 to 25 years of child age. This plan can be purchased by parent or grand parent for their 0-12 year old child and very useful with premium waiver rider which provides premium waiver in case of death of guardian (proposer) during policy term.

Key Features

  • A plan to fulfill requirement child education
  • Option to select required amount from 20-25 year age of child
  • Premium waiver option which and important feature
  • Paid premiums are exempted from income tax under sec 80C
  • Maturity amount is tax free under 10 (10D)

Eligibility Conditions

Age of Entry90 days to 12 years
Premium Paying ModeYearly, Half Yearly, Quarterly, Monthly (ECS Only)
Policy Term25 – Age at Entry (20 years in case of 5 year old child)
Premium Paying Term20 – Age at Entry (15 years in case of 5 year old child)
Sum Assured75000 and above (in multiples of 10000)
Premium Payment Mode rebate2% on yearly, 1% on Half Yearly, Nil on Quarterly & Monthly
High Sum assured Rebate (per Thousand of SA)Rs. 0 on 75,000 to 1,90,000
Rs. 2 on 2,00,000 to 4,90,000
Rs. 3 on SA on 5,00,000 and above
LoanAfter 2 Years for less than 10 year term & 3 years for more than 10 year term
SurrenderAfter 2 Years for less than 10 year term & 3 years for more than 10 year term
RevivalWithin 2 Years of Lapse

Starting of Risk

  • In case, the child is less than 8 year old, then, life cover will start 2 year after policy purchase or completion of 8 year of age, whichever is earlier.
  • Example, if child is 2 year old, then life cover (risk) will start after 2 year i.e. when child will become 4 year old and if child is 7 year old then, risk will start when child becomes 8 year old i.e. that is one year after purchasing policy.
  • If child is 8 year old at the time of buying policy then, risk will start immediately.

Death benefits

  • If death of child happens before start of risk, all premiums paid excluding taxes will be paid to nominee as death claim.
  • If death of child happens after start of risk, then Sum Assured on death (125% of sum assured) + Bonus + FAB will be paid to nominee as death claim.

Maturity benefit

There are four options available to take the maturity on survival which gives the flexibility to plan and secure future requirements from 20 year of age to 25 year of age child. The four option are explained in following table.

OptionFrom 20 -24 year of ageAt 25 Year of Age
10100% of SA + Bonus + FAB
25% of SA75% of SA + Bonus + FAB
310% of SA50% of SA + Bonus + FAB
415% of SA25% of SA + Bonus + FAB

Premium Waiver Benefit Rider (PWB)

This plan can be bought with Premium waiver benefit against life of proposer (Parents or Grand Parents) with additional premium. In case of death of Parents, further premiums will not be required to pay. This rider must be included with this policy to get a complete child plan.

Jeevan Tarun plan with Example

To Illustrate the benefits of Jeevan Tarun plan, Lets take an example of a who is 32 year old and who is purchasing this plan for his 3 year old child.
Father (Proposer) Age :33 Years
Child Age:3 Years
Sum Assured:Rs. 5,00,000
Policy Term:23 (25-3) Years
Premium Paying Term:17 (20-3) Years
Policy Purchase Year:2015

Following table explains approximate premium to be paid and money back amounts along with maturity which will be available from 20 to 25 year age of child.
OptionsPremium (yearly)From 20 -24 year of ageAt 25 Year of Age
22614525000 Each year978000
32686550000 Each year853000
42756075000 Each year728000

With the help of above example, we can understand that Jeevan Tarun plan allows to plan children education and marriage needs from 20 to 25 year age.