LIC’s Money Back 20 Table No. 820 is a plan with a Limited premium paying terms of 15 Year, money back, non-linked Endowment and Assurance Plan with Profit.
Money back of 20% of Basic Sum Assured will take place after completion of 5, 10 and 15th (3 times, 20 %) year of the policy. Remaining 40 % amount of basic sum assured and additional bonuses will be paid to the policy holder at maturity of the policy.
Sum Assured: Minimum limit for the sum assured is Rs. 1,00,000/- and there is no maximum limit.
Policy Term: 20 Year
Premium Paying Term: 15 Year.
Entry Age: 13 years to 50 years.
Maximum Maturity Age: 70 Years.
Premium Payment Mode: Premium can be paid Monthly, Quarterly, Half Yearly or Yearly.
Money Back: Money back at the rate of 20 % of Basic Sum Assured will be paid to the policy holder at the interval of 5 years to the policy holder.
Maturity Benefits: on maturity, Remaining 40 % of basic sum assured along with vested simple reversionary bonus and the final additional bonus is paid to the policy holder.
If the Death happens after the commencement of risk, the nominee will get:
Base Sum Assured + Simple Reversionary Bonus (every year) + Final Additional Bonus (applicable in the year of death)
Rider benefits: Accidental Death benefit is available during the policy term; accident benefit sum assured will be paid along with death benefit under the basic plan. Disability benefits are paid till 70 years of age of the policy holder
Income Tax Benefit: Premium paid in this policy is tax exempted under section 80C. The maturity benefits are also exempted from tax under section 10(10D).
Liquidity Benefit: Policy holder can take loan under this policy after completion of 3 full years of the Policy.
For simplicity study following table
|Plan||Money Back 20|
|Min Age||13 Year|
|Max Age||50 Year|
|Max Maturity Age||70 Year|
|Policy Term||20 Year|
|Premium Paying Term||15 Year|
|Min Sum Assured||Rs. 1,00,000/-|
|Max Sum Assured||Any|
An example of LIC’s Money Back 20 Table No. 820
Following is the illustration of this plan taking the age of the policy holder as 30 year and basic sum assured amount as Rs. 10,00,000/-
“Money Back 20” Table 820
Basic Sum Assured: Rs. 10,00,000/-
|Plan||Money Back 20|
|Premium Paying Term||15|
|Basic Sum Assured||Rs. 10,00,000/-|
|Double Accidental Benefit||Ra. 10,00,000/-|
|Death Sum Assured||Rs. 12,50,000/-|
|Premium First Year||Rs. 79,125/-|
|Premium second Year Onwards||Rs. 77,422/-|
|Total Premium Paid||Rs. 11,63,033/-|
|Money Back At the Year||5, 10, 15|
|Money back %||20%|
|Total Money Back||Rs. 2,00,000/- X 3 Time|
|Maturity Return||Rs. 12,20,000/-|
|Total Return||Rs. 18,20,000/-|
|Life Time Cover||NA|
Above Calculations are approximate and according to current bonus rate. It may vary according to the rate of bonus and taxes.