The plans were launched on September 1, coinciding with LIC’s 70th anniversary. Both are non-linked and non-participating plans, meaning their benefits are not linked to market performance and policyholders do not participate in LIC’s surplus through bonuses.
Bima Platinum offers guaranteed additions and income payouts
LIC’s Bima Platinum (Plan 770) is a limited-premium savings and protection plan. It provides guaranteed additions of ₹70 for every ₹1,000 of annual premium paid during the premium-paying term.
The guaranteed additions accrue at the end of each policy year during the premium-paying period. The plan also provides a one-time Booster Income Benefit equivalent to 70% of the Basic Sum Assured if the policyholder survives until the end of the fifth year after the premium-paying term.
This is followed by an annual Regular Income Benefit equivalent to 10% of the Basic Sum Assured during the payout period.
The minimum Basic Sum Assured is ₹3 lakh, with no stated upper limit, although the actual amount is subject to LIC’s underwriting policy. The Basic Sum Assured has to be in multiples of ₹10,000.
Policyholders can choose premium-paying terms of seven, 10, 12, 15 or 18 years. The minimum entry age is 30 days, while the maximum varies with the premium-paying term and can go up to 55 years.
Jeevan Raksha is a pure-risk insurance plan
LIC’s Jeevan Raksha (Plan 894) is structured differently. It is a pure-risk plan that provides a fixed, guaranteed death benefit during the policy term. It does not offer bonuses or other discretionary benefits linked to LIC’s surplus.
The minimum Basic Sum Assured is ₹5 lakh and the maximum is ₹24 lakh, subject to underwriting. The sum assured can be selected in specified increments.
The plan is available through single-premium, regular-premium and limited-premium payment options. Entry is allowed from 18 years to 45 years, while the maximum maturity age is 60 years.
LIC has also specified separate rates for women and a high-sum-assured rebate under the plan.
What the two plans mean for buyers
The two products target different insurance needs. Bima Platinum combines life cover with a predetermined savings and income structure, while Jeevan Raksha is focused primarily on providing death-risk protection.
Since both plans are non-linked and non-participating, their stated benefits are fixed under the policy terms rather than being dependent on market returns or future bonuses. However, buyers would need to compare the premium, policy term, death benefit and effective returns with other insurance and investment products before choosing either plan.
LIC said both plans will be available from September 7, through its distribution channels and online platform.
