Finally, LIC has started offering an online term insurance plan (LIC’s e-Term Plan UIN: 512N88V01)
In this post, we will discuss the various features of this plan as well as merits & demerits, cost of LIC e-term plan etc.
LIC’s e-Term is a regular premium non-participating “on-line term assurance policy” which provides financial protection to the insured’s family in case of his/her unfortunate demise.
This plan will be available through ONLINE application process only and no intermediaries will be involved.
A. Key features of this plan are :
- Available only through Online mode (www.licindia.in)
- Pure Term plan ( No Survival Benefit)
- Differential premium rates for Smoker/Non-Smoker lives
- Proposal on own life ONLY will be considered
- There are no accidental benefit rider or other additional riders available.
Death Benefit – In case of unfortunate death of the Life Assured during the policy term Sum Assured shall be payable
Maturity benefit / Survival Benefit – On survival to the end of the policy term, nothing shall be payable.
| Minimum Sum Assured | Rs 25 Lakh for Aggregate category & Rs 50 Lakhs for Non-Smoker Category |
| Maximum Sum Assured | No Limit (subject to underwriting) |
| Minimum age at entry | 18 years (Completed) |
| Max age at entry | 60 years (nearest birthday) |
| Maximum cover ceasing age | 75 years (nearest birthday |
| Minimum policy term | 10 years |
| Maximum policy term | 35 years |
| Premium payment | Annual |
B. Eligible Life
- The person should be Resident Indian residing in India.
- He should NOT BE Non-Resident Indian(NRI), Overseas Citizen of India(OCI)or Person of Indian Origin(PIO).
- He/she must have own earned income.
- One cannot propose for anyone other than self.
- Key Man Insurance (KMI)/ Partnership/ Employer-Employee Cover will not be allowed.
C. LIC e-Term Plan Premium Calculator
- Sum Assured – Rs 1 crore
- Age – Dob 01-01-1984 for 30 years –
- Premium will be Rs 15700+ST = 17641 per year (for male non-smoker)
You can also check the premium calculator at LIC Link below :
https://e2e.licindia.in:8080/onlinePlansIndex/login.do
Brochure – To get more details on Lic e-Term online term plan , you can also download the brochure / see the details at the link above.
D. Comparison with Other online Term Insurance Plan
| Premium (in Rs including ST) | |||||
| LIC e-Term Plan |
LIC Amulya Jeevan II (Offline Term Plan) |
HDFCLife click2protect |
SBI e-Shield |
Reliance Life e-Term Plan |
|
| Sum Assured – Rs 1 crore Age – 30 Years Policy for 30 years Male, Non Smoker |
16405 | 26180 | 11903 | 13135 | 7319 |
| Wealth18.com | |||||
From the table above it is clear that LIC e-Term Plan is expensive as compared to online term plan of some other big players.
However, it is better than LIC offline Term Insurance Plan – Amulya Jeevan II
E. How to Apply for LIC eTerm Plan
You can apply for LIC eTerm Online Insurance Plan at the link below
https://e2e.licindia.in:8080/onlinePlansIndex/login.do
1) Enter the details as required in the link above. Once you enter details, premium amount will appear
2) You need to select a City. If you city is not listed, then select your nearest city
3) Once you submit the contact details, a 10 digit Access ID will be sent to your mobile number & email ID
4) Enter other details like – Personal details, Correspondence, Identity, employment, lifestyle , nominee and add family members details. Now enter your previous policy details, medical details, bank details, personal financial queries.
5) You will get the proposal form in PDF format. You can modify the details in anything is incorrect
6) If everything is correct, make payment through net-banking/credit card/debit card.
7) PAN Number is MUST as well asForm 16 or ITR for 3 years.
F. Summary
LIC eTerm Plan is expensive as compared to other online term Insurance plan.
But people who want to go only with LIC , can consider this online option as it is cheaper than LIC offline Term Insurance.
Other benefit is that it is available for 35 years, as some insurance companies offer maximum of 30 years.
There are no accidental benefit rider or other additional riders available.