LIC’s New Pension Plus 867

1. Premiums:

• Grace Period: A grace period of 30 days is provided for yearly, half-yearly, or quarterly premium payments, and 15 days for monthly (NACH) premium payments.

2. Benefits Payable Under an In-Force Policy:

A. Death Benefits:

• Before Vesting (including during Grace Period in Regular Premium):
  The beneficiary receives the higher of:
  • Unit Fund Value on the date of death notification, or
  • Assured Death Benefit (105% of Total Premiums paid, reduced by any partial withdrawals made in the last two years).
• Utilization of Death Benefits:
  The Nominee/Beneficiary can choose to:
  a) Withdraw the entire policy proceeds, or
  b) Use the proceeds to purchase an immediate or deferred annuity at prevailing rates.If the policy proceeds are insufficient to purchase the minimum annuity, a lump sum may be paid.

B. Benefit Payable on Vesting (Policy Term End):

• On Survival to Vesting Date:
  The Unit Fund Value vests and can be used to purchase an annuity.
• Annuitisation Options at Vesting, Surrender, or Discontinuance:
  The Life Assured can:
  a) Use the entire proceeds to buy immediate or deferred annuity from the Corporation or any other insurer (up to 50%).
  b) Commute up to 60% of the proceeds and purchase annuity with the balance.If the proceeds are insufficient to purchase a minimum annuity, a lump sum will be paid.If opting for an annuity from another insurer, the policyholder must notify the Corporation before the vesting date.

3. Eligibility Conditions and Other Restrictions: