LIC has withdrawn two of its term plans and relaunched them with new features. Is. This information has been given in the internal circular of LIC . According to which Jeevan Amar and Tech term plans are being withdrawn.
The decision to withdraw these plans has come into effect from 23 November. At the same time, New Jeevan Amar and New Tech term plan have been launched. LIC Tech term plan is an online policy whereas LIC Jeevan Amar is an offline policy. According to reports, these plans have been withdrawn due to the rising cost of reinsurance.
What are the benefits of the new plan
New Jeevan Amar and New Tech Term both are term insurance plans. Both the new plans are non linked and non participating plans. That is, the policy holder will have to pay a fixed premium and in return will get guaranteed returns.
Why did you decide to withdraw the old plan
According to sources, these term plans have been withdrawn due to the increase in reinsurance rates. Actually Jeevan Amar plan was launched in August 2019 and Tech term plan was launched in September 2019. Since then till now there has been no change in the premium for these policies.
Although the rates of reinsurance have increased during this period. Actually reinsurance is the process when the company providing insurance policy to the general public covers some part of the policy distributed by it through another insurance company to reduce its risk. Due to which, when the number of claims suddenly increases manifold on occasions like epidemics, the risk on the company remains under control.
What will be the effect on the holders of the old policy
Those who have invested in both these policies will not be affected by this, their policy will continue as before and benefits will be available on the basis of that. According to the sources, not only this, those people who have completed their purchase by November 22 or the proposal and money related to the policy have also been deposited, then the policy will be issued to all those people whose proposals are accepted by November 30.