LIC's Premium Waiver Benefit Rider: Benefits & Details
This Rider can be selected along with the Base Plan at the inception or at any time during the Premium Paying Term (PPT) of the Base Plan only provided that the outstanding Premium Paying Term of the Base Term Plan and Rider is a minimum 5 years. Premium waiver benefit provides some benefits to its policyholder, which are mentioned below.
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LIC’s Premium Waiver Benefit Rider
LIC’s Premium Waiver Benefit Rider is a non-linked,, individual non-participating rider option that is to be complemented with term insurance plans under which this Rider is allowed (Base Plan). This Rider option provides for the waiver of the future premium payments payable under the Base Plan till the completion of the Rider Term, in case of the unfortunate death of the life assured of the Base Plan during the Rider Term.
Benefits of LIC’s Premium Waiver Benefit Rider
The key benefits provided by LIC’s Premium Waiver Benefit Rider are below-mentioned-
1. Death Benefit
In case of death of life assured during the rider term,, premiums payable under the Base Policy falling due after the date of death till the expiry of Rider Term will be payable by the insurance company itself. However, premiums paid towards any other riders, if selected for, different than this rider under the Base Policy, will not be waived and continue to be paid as per respective rider terms and conditions. Moreover, if Premium Paying Term of the Base Policy exceeds the Rider Term, all the due premiums under the Base Policy from the date of the expiry of this rider will be payable by the policyholder as per the terms and conditions of the Base policy.
2. Maturity Benefit
On survival of the life assured till the end of the Rider Term, no maturity benefit will be payable.
3. Participation in profits
This Rider does not participate in the profits of the Corporation, hence, the policyholder does not get any bonuses.
You may also like to read:- Benefits Of Enhancing Your Life Insurance With Riders
Eligibility Critera for LIC’s Premium Waiver Benefit Rider
To attain Premium Waiver Benefit Rider of LIC, following is the eligibility conditions-
|
Eligibility Criteria |
LIC's Premium Waiver Benefit Rider |
|
Minimum age at entry |
18 years |
|
Maximum age at entry |
55 years |
|
Maximum age at maturity |
70 years |
|
Rider Term |
Outstanding Premium Paying Term of the base plan as on the date of opting this rider or (25 minus age of the minor as on the date of opting this rider), whichever is lower, subject to the minimum outstanding rider term of 5 years. |
|
Minimum/Maximum Sum Assured |
Sum total of the future premiums payable under the Base Policy till the expiry of Rider Term. |
You may also like to read: All About Waiver of Premium Rider
Suicide Exclusion Under LIC’s Premium Waiver Benefit Rider
This Rider will be held null if the life assured (whether sane or insane) commits suicide anytime within 12 months from the date of commencement of this rider or within 12 months from the date of revival. The term insurance company will not sanction any claim under this situation in the rider (i.e. premiums payable under the Base Policy will not be waived), however, 80% of the premiums paid for LIC’s Premium Waiver Benefit Rider shall be refunded provided the policy is in-force.
Also Read:- How To Choose The Right Life Insurance Riders?
