Sage-Tips

What is guaranteed addition?

Guaranteed Addition (GA) is equal to a fixed Guaranteed Addition Rate multiplied by the sum of all premiums paid. For example, if your annual premium is `50,000, the GA will be as below: Policy Year. Premiums Paid for the Year. Total Premiums paid till date.

What is guaranteed bonus in insurance?

In the insurance sector, a bonus is an additional sum which is accrued to the life insurance policy on an. This amount is paid out by the insurer to the policyholder at the time of either maturity or sudden demise.

How can I check my LIC policy bonus?

If your LIC policy has lapsed, one need to send SMS in the format ‘ASKLIC REVIVAL’ at 56677. To know about the LIC policy bonus, the LIC policyholder needs to send the SMS in the format ‘ASKLIC BONUS’ on the same number.

Is LIC return guaranteed?

LIC’s Jeevan Vriddhi is a single premium plan wherein the risk cover is a multiple of premium chosen by you. On maturity this plan offers a Guaranteed Maturity Sum Assured and Loyalty Addition, if any.

How is guaranteed maturity benefit calculated?

Maturity benefit is calculated as the [Sum Assured + Bonus Amounts] which have been accumulated throughout the policy term + any [Final Addition Bonus] if declared. However if the policy holder does not survive the policy tenure, the nominee will additionally get the Sum Assured amount as the Death Benefit.

What is the bonus amount in LIC?

Bonus is declared either as a certain amount per Rs 1,000 sum assured or as a percentage of the sum assured. For example, bonus may be Rs 40 for every Rs 1,000 of the sum assured. So, for a policy with the sum assured of Rs 1 lakh, the bonus amount will be Rs 4,000.

What is vested bonus in LIC money back policy?

It is onetime bonus associated with year of maturity or death provided that policy has completed 15 year at time of death or maturity. In case of maturity or death claim under endowment plans, total vested bonus is sum of simple reversionary bonus + Final Addition Bonus.

What is the LIC loyalty additions bonus?

Loyalty Additions is a non guaranteed type of bonus and totally depends on the LIC’s performance. If the loyalty additions rate for 20 year term is Rs 35 per thousand sum assured and the sum assured is Rs 1,00,000. 4. Guaranteed Additions (GA)

What is guaranteed addition in LIC policies?

In few plans bonuses is guaranteed where LIC obliged to pay a fixed amount of bonus till the agreed period. It is usually called as Guaranteed Addition. 4. Loyalty Addition (LA)

What is bonus bonus in LIC Life Insurance?

Bonus is generally paid on all traditional policies of life insurance companies, including LIC. It is shown as blue arrows and is declared every year. Bonus is also accrued and not paid immediately. Once declared that amount is guaranteed, but it does not grow till maturity – it is a fixed amount and paid at policy maturity.

What is simple revisionary bonus in LIC policy?

Simple Revisionary Bonus is provided by the LIC of India every year as it is the bonus amount available every year on the policy. The LIC policy official Bonus rates are available in the PDF format which can be downloaded from the official website of the LIC of India.