Description

Jeevan Bachat (Single Premium Plan)

This is a non-linked, with profits, single premium payment endowment plan which offers the policyholder a combination of protection as well as savings.

Benefits

Benefits:
Death
On death of the life assured during the policy term, the Sum Assured under the policy plus the Accrued Reversionary Bonus as on the date of death will be payable to the nominee / beneficiary. The policy will terminate upon such payment.

Maturity
On the survival of the life assured to the end of the policy term, the Sum Assured under the policy plus the Accrued Reversionary Bonus shall be payable. The policy will terminate upon such payment.

Bonus:
The policy will participate in the profits of the company’s participating fund on commencement of the policy. It gets a share of the profits emerging from the Company’s Participating Fund in the form of bonuses. Simple Reversionary Bonuses are declared as a percentage rate, which apply to the sum assured under the Policy. They are declared annually at the end of each financial year based on the Statutory Valuation carried out under prevailing Regulations. Once declared, they form a part of the guaranteed benefits of the Policy. The policy will cease to participate in the profits of the company’s participating fund upon non-payment of due premiums, death of the life assured or on payment of maturity benefit whichever event occurs earlier, and no further bonuses will accrue on the policy.

Optional Benefits:

• Accidental Benefit rider

Surrender and Loan:
Surrender value will acquire after one year and loan will be allowed upto 90% of surrender value for this plan.
Settlement Option for Maturity Benefit:

Settlement Option is a facility made available to the life assured to receive Maturity Benefit in installments over a chosen period of 5 to 10 years, instead of lump sum amount under an inforce or paid-up policy. The instalments shall be paid in advance at yearly or half-yearly or quarterly or monthly intervals, as opted for by the life assured, subject to each installment amount being at least NPR 1,000. This option can be exercised by the policyholder at least 3 months prior to maturity.

The amount received by the life assured for each installment under this option shall be such that it is equal to the balance amount under the settlement option being split equally across all the outstanding installments on the date of each payment.

This can be demonstrated as follows:

The settlement period chosen is 5 years with installments payable annually. The installment payments shall then be as follows:

1st Installment: 1/5th of the balance amount
2nd Installment: 1/4th of the balance amount
3rd Installment: 1/3rd of the balance amount
4th Installment: 1/2 of the balance amount
5th Installment: Remaining balance in full

Interest shall accrue on the balance amount under the settlement option. The interest rate applicable under this option shall be as fixed by the Company from time to time.

The first payment will be made on the date of maturity and thereafter, based on the mode of instalment payment opted for by the life assured, every month or three months or six months or annually from the date of maturity, as the case may be.

After the commencement of Installment payments under Settlement Option, the Life Assured may choose to withdraw the balance amount at any time. No charges are applicable on such complete withdrawals. However, no partial withdrawal of the balance amount shall be allowed. On death of the life assured during this period, the balance amount as on the date of death shall be payable to the nominee and the policy shall terminate.

Features

Eligibility Conditions:

Minimum Sum Assured NPR 100,000
Maximum Sum Assured No limit
Minimum Age at Entry 16 years
Maximum Age at Entry 65 years (Nearest Birthday)
Maximum Age at Maturity 70 years (Nearest Birthday)
Policy Term 5 to 25 years

High Sum Assured Rebate:

The High Sum Assured Rebate allowed under this plan are as follows:

Sum Assured Range Rebate (per 1000 Sum Assured)
Less than 200,000 Nil
200,000 to 499,999 25
500,000 and above 40