“Some benefits are guaranteed and some benefits are variable with returns based
on the future performance of your life insurance company. If your policy offers
guaranteed returns then these will be clearly marked “guaranteed” in the
illustration table on this page. If your policy offers variable returns then
the illustrations on this page will show two different rates of assumed
investment returns. These assumed rates of return are not guaranteed and they
are not upper or lower limits of what you might get back as the value of your
policy is dependant on a number of factors including future investment
illustration is applicable to a standard (from medical, life style and
occupation point of view) life.
ii) The non-guaranteed benefits (1) and (2) in above illustration are calculated so that they are consistent with the Projected Investment Rate of Return assumption of 6% p.a.(Scenario 1) and 10% p.a. (Scenario 2)respectively. In other words, in preparing this benefit illustration, it is assumed that the Projected Investment Rate of Return that LICI will be able to earn throughout the term of the
policy will be 6% p.a. or 10% p.a., as the case may be. The Projected Investment Rate of Return is not guaranteed.
main objective of the illustration is that the client is able to appreciate the
features of the product and the flow of benefits in different circumstances with
some level of quantification.
SECTION 45 OF INSURANCE ACT, 1938:
policy of life insurance shall after the expiry of two years from the date on
which it was effected, be called in question by an insurer on the ground that a
statement made in the proposal for insurance or in any report of a medical
officer, or referee, or friend of the insured, or in any other document leading
to the issue of the policy, was inaccurate or false, unless the insurer shows
that such statement was on a material matter or suppressed facts which it was
material to disclose and that it was fraudulently made by the policyholder and
that the policyholder knew at the time of making it that the statement was false
or that it suppressed facts which it was material to disclose.
Provided that nothing in this section shall prevent the insurer from calling for proof of
age at any time if he is entitled to do so, and no policy shall be deemed to be
called in question merely because the terms of the policy are adjusted on
subsequent proof that the age of the life assured was incorrectly stated in the
SECTION 41 OF
INSURANCE ACT 1938
person shall allow or offer to allow, either directly or indirectly, as an
inducement to any person to take out or renew or continue an insurance in
respect of any kind of risk relating to lives or property in India, any rebate
of the whole or part of the commission payable or any rebate of the premium
shown on the policy, nor shall any person taking out or renewing or continuing a
policy accept any rebate, except such rebate as may be allowed in accordance
with the published prospectuses or tables of the insurer: provided that
acceptance by an insurance agent of commission in connection with a policy of
life insurance taken out by himself on his own life shall not be deemed to be
acceptance of a rebate of premium within the meaning of this sub-section if at
the time of such acceptance the insurance agent satisfies the prescribed
conditions establishing that he is a bona fide insurance agent employed by the
person making default in complying with the provisions of this section shall be
punishable with fine which may extend to five hundred rupees.
Conditions apply for which please refer to the Policy document or contact our
nearest Branch Office.