Jeevan Tarun is a non-linked, participating, limited premium payment policy offered by Life Insurance Corporation of India (LIC) for children. The policy provides for a fixed annual income and lump sum payment on maturity. This policy is designed to provide financial support for children’s education, marriage, or other future requirements.
Here is an example to understand the policy. Suppose a 5-year-old child is insured under a Jeevan Tarun policy for a sum assured of Rs. 5 lakhs. The premium payment term is 15 years, and the policy term is 25 years. The annual premium payable would be Rs. 40,274. On the child’s 20th birthday, the policyholder will receive a fixed annual income of Rs. 25,000 for the next 5 years. On maturity of the policy, i.e., on completion of the 25-year policy term, the policyholder will receive the sum assured of Rs. 5 lakhs plus any accrued bonuses.
Some of the key features of Jeevan Tarun policy are:
- Limited premium payment option
- Fixed annual income for the child after a certain age
- Lump sum amount on maturity of the policy
- Option to choose the age at which the fixed annual income will start
- Flexibility to choose the premium payment term and policy term
- Loan facility available after the policy acquires surrender value
- Tax benefits as per prevailing tax laws
Here is a table that shows the premium rates for Jeevan Tarun policy for a sum assured of Rs. 1 lakh:
| Age of Child (in years) | Premium Paying Term (in years) | Yearly Premium (in Rs.) | Half-Yearly Premium (in Rs.) | Quarterly Premium (in Rs.) | Monthly Premium (in Rs.) |
|---|---|---|---|---|---|
| 0 | 15 | 7,836 | 3,909 | 1,950 | 651 |
| 5 | 15 | 8,162 | 4,078 | 2,035 | 680 |
| 10 | 15 | 8,618 | 4,304 | 2,149 | 717 |
| 15 | 10 | 12,769 | 6,365 | 3,175 | 1,062 |
Please note that these are indicative rates and the actual premium may vary based on age, sum assured, and other factors. It is always advisable to check with the LIC agent or visit the LIC website for the latest premium rates.