LIC (Life Insurance Corporation of India) is the largest insurance company in India with various insurance plans to suit everybody’s need. Now if one does not want to continue paying the premiums for his insurance plan and opt out of the plan, he can surrender LIC policy and take a part of total amount money he has paid so far. However, different insurance plans offer different surrender values and the policy holder must have been paying the premium regularly for 3 years to be eligible for the surrender value.
Here is a small chart of 3 most popular LIC plans and their surrender values :
1. LIC Jeevan Anand : LIC Jeevan Anand is an endowment assurance plan where the minimum surrender value is 30% of the total premiums, that the policy holder has paid till date, excluding the first year payment.
2. LIC Money Back Policy : With LIC money back policy, the guaranteed surrender value is 30% of the total basic premium that has been paid so far, excluding the first year payment and all survival benefits paid earlier.
3. LIC Komal Jeevan : LIC Komal Jeevan is a children insurance plan where the guaranteed surrender value is 90% of the total premiums paid till date excluding first year’s premium.
Once the risk period commences, the total surrender value will be 90% of the total premium he has paid so far, excluding the first year’s premium. If the policy holder opts out of the insurance plan after the end of the risk period, he will get 30% of the total premium that he has paid, after the date of commencement of the risk.