LIC Kanyadan Scheme: At Rs 3447/month for 22 years, get Rs 22.50 lakh corpus in 25 years; learn how with calculations
The plan provides tax benefits, flexible terms, and life insurance coverage. Premium waivers and additional benefits apply in case of the father's accidental death, ensuring comprehensive support for the family. Read more.
The LIC Kanyadan Scheme offers substantial benefits for financial planning for a daughter's future. With a premium of Rs 3,447 per month for 22 years, parents can accumulate a corpus of Rs 22.50 lakh over 25 years. This plan includes tax exemptions, a loan facility, life insurance coverage, and premium waivers in case of the father's demise.
Tax Benefits
Enjoy tax exemptions under Section 80C for premiums paid and Section 10D for maturity benefits.
Early Financial Planning
Ideal for parents to start financial planning for their daughter from birth to secure her future.
Eligibility
Suitable for daughters aged 1 to 10 years. The father's age must be between 18 to 50 years.
Flexible Policy Term
Policy terms range from 13 to 25 years. Premiums can be paid monthly, quarterly, half-yearly, or yearly.
Maturity Benefits
On maturity, receive Sum Assured, Bonus, and Final Bonus.
Loan Facility
Loan facility available from the third year of the policy.
Surrender Policy
Option to surrender the policy after two years.
Accidental Death Benefits
In case of accidental death of the father, nominee gets an additional Rs 10 lakh.
Premium Waiver
If the father dies during the policy term, the premium is waived and the daughter gets Rs 1 lakh annually until the end of the policy term.
Life Insurance Coverage
Provides life insurance coverage of Rs 22.5 lakh during the policy term.
Understanding the benefits with an example
Let's say you opt for a plan with a 25-year term and an annual premium of Rs 41,367. This means your monthly premium would be approximately Rs 3,447. You will pay this premium for 22 years, and during this period, you will have life insurance coverage of Rs 22.5 lakh.
If the policyholder (the father) passes away during the policy term, the child will not need to pay the premiums for the remaining term. The premiums are waived in such cases. Additionally, the child will receive Rs 1 lakh annually until the policy term ends after 25 years, along with a lump sum maturity amount at the end of the term.