The Life Insurance Corporation of India (LIC) has unveiled a new suite of term insurance products specifically designed for young individuals, named LIC’s Yuva Term/Digi Term and LIC’s Yuva Credit Life/Digi Credit Life, which are non-participating, non-linked life insurance plans that provide both term insurance and a safety net against loan repayments.
LIC’s Yuva Term/Digi Term offers financial protection to the insured’s family in the event of the policyholder’s death during the policy term. As a non-participating product, the benefits payable on death are guaranteed. Siddhartha Mohanty, CEO and MD of LIC, announced the launch of these plans, emphasizing the corporation’s commitment to catering to the financial security needs of young individuals. The Yuva Term plan will be available offline through intermediaries, while the Digi Term plan will be available online via LIC’s website.
Also read: LIC Partners with IDFC First Bank to Boost Bancassurance
Similarly, LIC’s Yuva Credit Life/Digi Credit Life is a pure decreasing term assurance plan where the death benefit decreases over the policy term. This plan is designed to cover various loan liabilities such as home, education, and vehicle loans, providing a safety net for the insured’s family against loan repayments. The Yuva Credit Life plan will be marketed through intermediaries, whereas the Digi Credit Life plan will be available online only.
These new plans target young individuals who wish to purchase term insurance early in life. The minimum entry age for all the new plans is 18 years, with a maximum age of 45 years. The minimum basic sum assured is ₹50 lakh, and the maximum is ₹5 crore.
Under the Yuva Term/Digi Term plan, the minimum age at maturity is 33, and the maximum age is 75. This plan features attractive high-sum assured rebates and special lower premium rates for women.
For the Yuva Credit Life/Digi Credit Life plan, the minimum age at maturity is 23 years, with a maximum age of 75 years. This plan offers the choice of loan interest rates appropriate to the policyholder at the inception of the policy.
