Lic Bachat Plus Features and Benefits and Review
Lic Batchat Plus plan No.861 has been launched on 15th March 2021.
In addition, this plan will available for 180 days for sale.
This plan from Lic is a Non-Linked and Non participating Individual Life Assurance savings plan.
In addition, under this plan, You can pay a select single premium (lump sum) or limited premium payment term.
However, You can select 5 years term in a limited Period.
In addition, the proposer has two options in choosing the death benefit in each of the above premium payment options.
Moreover, this plan is available both online and offline.
Lic Bachat Plus Plan Features Eligibility and Benefits…
Features and Eligibility…
What are the benefits of Lic Batchat Plus Plan?…
Lic Batchat Plus Plan Maturity Benefit…
You will receive sum assured + Loyalty at the time of maturity of the policy.
However, the Loyalty addition will not be paid on paid-up policies.
Death Benefit…
In the case of Single Premium…
The policyholder will get 10 times of tabular on Basic Sum Assured premium in Option A.
But in the case of option B, 1.25 times the Basic Sum Assured will be paid as a death benefit.
In case of Limited Premium Option…
In option 1, the higher of the below will be paid as a death benefit.
- 10 times of the Tabular Premium for the chosen Basic Sum assured + modal loading.
(or)
2. Guaranteed Sum Assured on Maturity ( Basic Sum Assured).
In option 2, higher of the below two choices will be paid as a death claim.
- 7 times of the Tabular premium for chosen Basic Sum Assured + modal loading. (or)
- Guaranteed Sum Assured on maturity ( Basic Sum Assured).
ROI in this Batchat Plus Plan No.861?…
You can see in the above image, that the return on investment in the Batchat plus plan is 6.45%.
In addition, I have considered age as 28 years, Sum Assured as 1 lakh, Policy period as 25 years, Limited Premium, and Option 1, and loyalty addition as Rs.1000 per 1000 sum assured.
And the premium is including GST comes asRs.9462.
But 6.45% is also not easy in this policy as I took very high loyalty addition( 1000) for calculating the ROI for this plan.
Conclusion about Batchat Plus Plan…
The real rate of return (6.45%) is too low after considering the highest Loyalty addition.
If you feel that this return is good, then go ahead and buy this policy.
But the fact is you can get much more return by investing in mutual funds for the purpose of returns and by taking pure term insurance for risk coverage.
Read the article, why you should not mix your savings with insurance.
