Statutory Warning: “Some
benefits are guaranteed and some benefits are variable with returns
based on the future performance of your insurer carrying on life
insurance business. 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
future 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 dependent on a number of
factors including future investment performance.”
Illustration 1
Table No. 147/148
Age at entry: 35 years
Policy Term: 25 years
Premium paying term: 25 years
Sum Assured: Rs. 1,00,000/-
Yearly Premium: Rs. 3,130/-
Year
Total premiums paid till end of year
Benefit on death payable at the end of year (Rs.)
Guaranteed
Variable
Total
Scenario 1
Scenario 2
Scenario 1
Scenario 2
1
3130
3130
79
188
3209
3318
2
6260
6260
238
576
6498
6836
3
9390
9390
479
1174
9869
10564
4
12520
12520
804
1996
13324
14516
5
15650
15650
1216
3055
16866
18705
6
18780
18780
1716
4366
20496
23146
7
21910
21910
2308
5943
24218
27853
8
25040
25040
2992
7803
28032
32843
9
28170
28170
3771
9961
31941
38131
10
31300
31300
4648
12438
35948
43738
15
46950
46950
15568
37222
62518
84172
20
62600
62600
29027
74718
91627
137318
25
78250
78250
78250
168913
145787
247163
Maturity
Guaranteed
Variable
Total
Scenario 1
Scenario 2
Scenario 1
Scenario 2
25
78250
100000
53000
156500
153000
256500
Illustration 2:
Table No. 147/148
Age at entry: 35 years
Policy Term: 25 years
Sum Assured (Rs.): 100000
Single Premium (Rs.): 41,327
Year
Total premiums paid till end of year
Benefit on death payable at the end of year (Rs.)
Guaranteed
Variable
Total
Scenario 1
Scenario 2
Scenario 1
Scenario 2
1
41327
41327
1033
2479
42360
43806
2
41327
41327
2092
5108
43419
46435
3
41327
41327
3177
7894
44504
49221
4
41327
41327
4290
10847
45617
52174
5
41327
41327
5431
13978
46758
55305
6
41327
41327
6599
17296
47926
58623
7
41327
41327
7798
20813
49125
62140
8
41327
41327
9026
24542
50353
65869
9
41327
41327
10285
28494
51612
69821
10
41327
41327
11575
32683
32683
74010
15
41327
41327
27910
72695
69237
114022
20
41327
41327
40905
118595
82232
159922
25
41327
41327
82878
241699
124205
283026
Maturity Benefit
Benefit Payable at Maturity
Guaranteed
Variable
Total
Scenario 1
Scenario 2
Scenario 1
Scenario 2
25
41327
100000
36500
216500
136500
316500
i) This
illustration is applicable to a non-smoker male/female 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.
iii) The
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.
iv) Future
bonus will depend on future profits and as such is not guaranteed.
However, once bonus is declared in any year and added to the policy,
the bonus so added is guaranteed.
v) The
maturity sum shown in the illustration is to be annuitised. However,
the policyholder can opt to take upto one-fourth of the maturity sum as
a tax-free lump sum.
