POSTED BY February 14, 2012 11:56 am COMMENTS (4)ON
Yesterday, one LIC agent (family friend) has visited our house, explaining the importance of Jeevan Ankur plan. We listened him with half-heartedly. But, he has shown amazing results.
My younger brother is 30 years and he has 1 year old son. The premium (including accident death benefit rider) for a sum assured of 5 lakh rupees works out to little less than 16,000/- for 24 years term.
In total, we need to pay a premium of about 3,83,000 spanning 24 years. The benefits are as follows:
• No Death – Maturity benefit of 5 Lakh as sum assured + 3 Lakh as loyalty benefits
• Normal Death – immediate 5 lakh rupees + 50,000 every year till 25th year of son + 5 Lakh as sum assured + 3 Lakh as loyalty benefits (This total is coming to 13 Lakh + 50,000 pa till 25th year)
• Death due to accident – immediate 10 lakh rupees + 50,000 every year till 25th year of son + 5 Lakh as sum assured + 3 Lakh as loyalty benefits (This total is coming to 18 Lakh + 50,000 pa till 25th year)
LIC Agent has shown the calculations in excel sheet, which is working out to 5.9% pa (compound interest) as returns. This is almost equal to bank FD amount for 24 years.
What I understood is even with no death and maturity, the plan is giving a genuine benefit equal to FD. With death of life, the returns are huge (beating all MFs, term plans etc).
Request you all please check the above calculations and pl. let me know where is the cache point? Are the calculations wrong or some hidden thing is lying.
Thanks & regards, KK Babu