all you need to know

The Life Insurance Corporation of India (LIC) has launched Dhan Sanchay Savings Scheme, which is an individual, unlinked, non-participating savings life insurance scheme that combines life protection and savings. The plan provides a guaranteed income benefit during the payout period from the maturity date and a guaranteed termination benefit.

Here’s everything you need to know

The Dhan Sanchay plan offers the options of level income benefit, increasing income benefit, single premium level income benefit and single benefit with different calculation of guaranteed income benefit at maturity.

Maturity benefits will be payable in the form of a guaranteed income benefit and a guaranteed termination benefit.

Options, age and premium limit

Four types of plans have been introduced under the LIC Dhan Sanchay plan. These are options A, B, C and D. The minimum sum insured under option A & B of the plan is Rs 3,30,000. For option C, it is Rs 2,50,000 and for option D, it is Rs 22,00,000.

The minimum age for entry is 3 years (full) and the maximum age for entry is as follows:

Option A & B: 50 (earlier birthday)

Option C: age 65 (nearest birthday)

Option D: 40 (earlier birthday)

There is no maximum limit on premium contributions. However, the minimum annualized / single premium limit for the different plan options is as follows.

Option A & B: Rs 30,000

Option C&D: Rs 2,00,000

Maturity period and death benefits

The Dhan Sanchay plan is available for a period of 5 years minimum to 15 years maximum depending on the option chosen by the insured.

Policy term for options A and B: 10 and 15 years

Policy term for options C and D: 5, 10 and 15 years

In the event of the unfortunate death of the policyholder during the term of the policy, after the start of the policy, the plan will provide financial support to the family. Death benefits can be paid in a single payment and/or in installments over a period of 5 years, depending on the option chosen by the policyholder. Installments are paid in advance on an annual or half-yearly, quarterly or monthly basis, as chosen by the policyholder (subject to a minimum down payment).

Passengers and other features

Optional riders are available upon payment of an additional premium subject to conditions.

Accidental Death and Disability Insurance Rider, New Term Insurance Rider, Accident Benefit Rider, Critical Illness Benefit Rider and Waiver Rider LIC premium options are available depending on the options and premium payment method selected by the policyholder.

The Dhan Sanchay plan also takes care of liquidity needs through a loan facility.

Where to Buy LIC’s Dhan Sanchay Plan

LIC’s Dhan Sanchay Savings Life Insurance Plan can be purchased offline through agents or other intermediaries including Point-of-Sale Personal Life Insurance (POSP-LI), common public services (CPSC-SPV). The plan can be purchased online directly from the official website of LIC

(Edited by : Sudarsanan Mani)

First post: STI

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