LIC PREMIUM POINT
M M ROAD PILATHARA
PO. PILATHARA, DT. KANNUR 670504
9447035472
8848656959
kalasaparambil@gmail.com
A Money Back Insurance policy is a popular type of life insurance that strategically combines the security of life cover with the benefit of planned, periodic returns. It is essentially an endowment plan that offers a unique liquidity feature by returning a portion of the Sum Assured at regular intervals during the policy term, rather than paying the entire amount only at maturity.
This structure makes Money Back plans ideal for individuals who desire life protection alongside assured cash flows to meet predictable future expenses, such as a child's school fees, a down payment for a car, or planned vacations.
Money Back policies are structured to provide financial advantages at three different stages: survival, death, and maturity.
These are the distinguishing payouts. At predefined intervals (e.g., every 5 years), the policyholder receives a fixed percentage of the Basic Sum Assured.
Liquidity: These periodic payments act as a second source of guaranteed income, providing necessary liquidity to fulfill short-term or planned financial goals without terminating the policy.
If the policyholder passes away during the policy term, the nominee receives the full Death Benefit, which is typically the full Sum Assured plus accrued bonuses.
Key Advantage: The unique feature here is that the Death Benefit is paid irrespective of the Survival Benefits already received by the policyholder. The primary purpose of financial protection remains uncompromised.
If the policyholder survives the entire policy term, they receive the remaining portion of the Basic Sum Assured (the percentage not paid out through Survival Benefits), along with accumulated Vested Simple Reversionary Bonuses and any applicable Final Additional Bonus (FAB).
Guaranteed Returns: Since these are generally non-linked (not dependent on the market), the Survival Benefits are fixed and guaranteed at the policy's inception.
Bonus Participation: Most Money Back plans are 'participating,' meaning they share in the insurer’s profits in the form of annual bonuses, which significantly enhances the final maturity payout.
Loan Facility: After the policy acquires a surrender value (usually after 2 or 3 years of paying premiums), the policyholder can avail of a loan against the policy during financial emergencies.
Tax Benefits: The premiums paid are generally eligible for deduction under Section 80C of the Income Tax Act, 1961, and the maturity/death proceeds are tax-exempt under Section 10(10D), subject to prevailing conditions.
Low Risk: They are considered low-risk financial products, making them suitable for conservative investors who prioritize stability over market-linked growth.
| Feature | Money Back Policy | Term Insurance | Endowment Policy |
|---|---|---|---|
| Payout Structure | Periodic payouts + Lump sum at maturity/death. | Lump sum only on death. | Lump sum only on maturity/death. |
| Liquidity | High (Guaranteed payouts during the term). | None during the term. | Low (Money is locked in until maturity). |
| Premium | Highest (Due to dual benefit & liquidity). | Lowest (Pure protection). | Medium to High (Savings and protection). |
| Best For | Meeting periodic, defined financial milestones. | Providing maximum coverage at the lowest cost. | Long-term wealth accumulation and lump-sum goals. |
Money Back Insurance offers a disciplined approach to savings, ensuring you have cash flow at critical life junctures while retaining the full security of a substantial life cover for your family.
LIC Bima Jyoti-860 is an endowment plan that offers dual protection of savings and protection. The plan provides financial security to policyholders’ loved ones in case of his/her unfortunate demise during the policy tenure. A guaranteed payment is also made to the policyholder at maturity if he/she survives it.
LIC Jeevan Umang is a whole-life insurance plan that provides income + protection + lump-sum maturity benefit.
A single premium, non-linked, non-participating annuity plan
LIC SIIP is a unit-linked, regular premium life insurance plan that offers both life cover and market-linked investment returns.
It provides flexibility, guaranteed income options at retirement, and the security of LIC’s brand.
It’s perfect for those who want long-term investment growth with life cover security — all in one plan.
It’s ideal for those who want security, guaranteed returns, and no recurring premiums.
t’s ideal for those who want risk-free savings with life insurance protection.
This plan is perfect for those who want to secure their family’s financial goals (like children’s education or marriage) while building long-term savings.
This plan helps small savers build a secure future with affordable premiums.
LIC Jeevan Utsav – A Lifetime Celebration of Guaranteed Income and Security
LIC Amritbaal Plan – Secure Your Child’s Bright Future with Guaranteed Growth
“Protecting lives and dreams with LIC’s trusted assurance.”
“Safeguarding your health with trusted coverage and care.”
