Are PMJJBY policyholders eligible for discounted LIC IPO shares?
All policies other than group policies qualify for Bidding in the Policyholder Reservation Portion. The total number of reservations for eligible policyholders shall not exceed 10% of the total offer size.
According to LIC DRHP FAQ, "I am having a Pradhan Mantri Vaya Vandana Yojana policy. Whether I am eligible to apply for the Equity Shares of the Corporation in the Offer? Yes, all policies other than group policies qualify for Bidding in the Policyholder Reservation Portion."
Here is a list of group policies of LIC according to the DRHP. Pradhan Mantri Jeevan Jyoti Bima Yojana The cover under PMJJBY is for death only and hence benefit will accrue only to the nominee. PMJJBY is a pure term insurance policy, which covers only mortality with no investment component. For a premium of Rs 330 per annum per subscriber, PMJJBY offers renewable one-year life insurance of Rs 2 lakh to all savings bank account holders in the age group of 18-50 years, covering death due to any circumstance.
The Rs 2 lakh life insurance policy will be valid for a year, from June 1 to May 31, and will be renewable. The annual premium is auto-debited in one instalment from the subscriber's bank account on or before the 31st May of each annual coverage term under the scheme, as per his option.
PMJJBY is available to people in the age group of 18 to 50 years (life cover up to age 55) having a savings bank account who give their consent to join and enable auto-debit.
LIC IPO investment guide for policyholders: 10 FAQs answered
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Up to 10% will be reserved in the IPO for eligible LIC policyholders under the Policyholder Reservation Portion, wherein they may get discounted shares.
Up to 10% will be reserved in the IPO for eligible LIC policyholders under the Policyholder Reservation Portion, wherein they may get discounted shares.
Equity shares can only be issued in dematerialized form. Thus both policyholders or retail investors must have a demat account to apply.
Equity shares can only be issued in dematerialized form. Thus both policyholders or retail investors must have a demat account to apply.
Eligible Policyholder(s) across categories have to apply for the said minimum x number of Equity Shares, as specified in the Offer Documents.
Eligible Policyholder(s) across categories have to apply for the said minimum x number of Equity Shares, as specified in the Offer Documents.
The discount offered is Rs Z per Equity Share. If Offer Price is Rs X, Eligible Policyholder(s) will be allotted Equity Shares at Rs (X-Z) per Share.
The discount offered is Rs Z per Equity Share. If Offer Price is Rs X, Eligible Policyholder(s) will be allotted Equity Shares at Rs (X-Z) per Share.
Only one of you can apply for the discounted equity shares. If the demat account is joint, the applicant needs to be the first/primary account holder.
Only one of you can apply for the discounted equity shares. If the demat account is joint, the applicant needs to be the first/primary account holder.
All policies which have not exited LIC records by way of maturity, surrender or by way of death of policyholder are eligible under the Policyholder Reservation Portion.
All policies which have not exited LIC records by way of maturity, surrender or by way of death of policyholder are eligible under the Policyholder Reservation Portion.
No. The policyholder has to have the demat account in his/her name.
No. The policyholder has to have the demat account in his/her name.
Yes, if you are applying for Equity Shares as a karta you are eligible to Bid under the Policyholder Reservation Portion.
Yes, if you are applying for Equity Shares as a karta you are eligible to Bid under the Policyholder Reservation Portion.
No minimum balance of equity shares is required to be kept in the demat account.
No minimum balance of equity shares is required to be kept in the demat account.
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