All you need to know about LIC's Dhan Varsha plan

Life Insurance Corporation of India has launched a new life insurance plan dubbed Dhan Varsha (Plan No. 866). A close-ended plan, it is a non-linked, non-participating, individual, savings, single premium life insurance plan which offers a combination of protection and savings.
If the life assured passes away during the policy term, this plan will give cash support to the family, the LIC website stated. On the date of maturity, it also offers a guaranteed lump payment amount for the remaining assured life. According to the LIC website, the plan will be available for both non-medical and medical schemes depending on total non-medical limit, age and chosen sum assured.

Maturity Advantage: The "Basic Sum Assured" and accrued guaranteed additions (as described below) will be paid if the life assured survives the specified date of maturity.


Guaranteed Additions: Throughout the policy term, the guaranteed additions will accrue at the conclusion of each policy year. The basic sum assured, the policy term, and the option selected will all affect the guaranteed additions.

The rates for guaranteed additions are as follows:
In the event of death, the guaranteed additions for the policy year in which the death occurred shall be payable.

When a policy is surrendered, the accrued guaranteed additions also include the guaranteed additions in proportion to the months that have already been completed for the policy year in question.

The "Sum Assured on Death" and accrued guaranteed additions will be paid as the death benefit in the event that the Life Assured passes away within the policy term following the date on which the risk first became apparent but prior to the specified date of maturity.

Option 1: 1.25 times of Tabular Premium for the chosen Basic Sum Assured.

Option 2: 10 times of Tabular Premium for the chosen Basic Sum Assured.