What does sum assured means in LIC policy?
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What does sum assured means in LIC policy?
The sum assured is the guaranteed amount that the beneficiary of your life insurance policy will receive in case of your death. The sum assured is also known as the coverage or the cover of your insurance policy.
What is difference between sum assured and sum insured?
Sum insured is the value applied to Non-life insurance. Sum assured is the value applied to Life insurance policies. There is no monetary benefit rewarded, its reimbursement as per the Sum Insured. Sum assured is a monetary benefit that is given to the insured or his/her family after policy’s term is up.
How is sum assured in LIC calculated?
The basic format is Sum Assured + Bonuses + Final Additional Bonus (if declared). An example for calculation demonstration: Mr Z buys a policy of Sum Assured 15 Lakh with a term of 20 years. The insurance company includes Bonuses and Final Additional Bonus in the maturity value as per their company policy.
What is maturity sum assured in LIC?
The Maturity Sum Assured depends on the age at entry of the life to be assured and is payable on survival to the end of the policy term. It also offers the flexibility of term and a lot of liquidity.
How do you calculate sum assured?
For calculating the minimum cover you need, you can go by the common thumb rule of having a sum assured that is 10 times your annual income. So if your current annual income is ₹10 lakh, you should have a life cover worth at least ₹1 crore.
How can I check my lic sum assured?
How to Check LIC Policy Details Online?
- Step 1: Go to the official LIC website, fill in your credentials like username and password.
- Step 2: Login to your account and select the option ‘View Enrolled Policies’.
- Step 3: You will be directed to a page where you can see all the listed enrolled policies.
What is sum assured money?
Sum assured is a pre-defined sum that the insurance company agrees to pay to you or your nominee if the insured event happens or at the end of the insurance term. The sum assured in insurance is determined at the time of policy purchase. It remains unchanged throughout the policy period.
What is the meaning of ‘sum assured’ in insurance?
What is the Sum Assured? The sum assured is the guaranteed amount that the beneficiary of your life insurance policy will receive in case of your death.
What is sum assured?
In simple terms, the Sum Assured is the maximum Sum that can be awarded via an Insurance policy, given that the policy is triggered due to an event.
What are LIC policies?
LIC policy is a legal agreement between a policy holder and the insurance company wherein the insurance company promises to pay nominees of policy holder a fixed amount in case the policy holder dies. The policyholder is required to pay premiums to get this agreement started and be in force.
What is the sum insured?
Sum insured is the amount of money that an insurance company is obligated to cover in the event of a covered loss. This term is commonly associated with homeowner’s or property insurance. The sum insured amount is dependent upon the premium price that is being paid for the insurance coverage.