Personal Finance
LIC's Bima Ratna policy offers high returns with short premium period.
Updated : May 17, 2023, 01:48 PM IST | Edited by : Raunak Jain
The Life Insurance Corporation of India (LIC) holds the esteemed position of being the oldest and largest insurance company in the nation, catering to a diverse clientele. Within its expansive repertoire of offerings, there exists a policy that demands our attention today – the Bima Ratna Policy. This particular life insurance plan, devoid of links and participation, emerges as a solitary savior for individuals seeking to save. What makes it truly remarkable is its guaranteed bonus feature, a lustrous opportunity that beckons all. By committing a hefty sum of Rs. 5 lakh to this policy, investors can expect a maturity value that soars to an impressive Rs. 50 lakh, an exponential surge that stands as a testament to the power of investment.
One must acknowledge the standout attributes that grace this policy, for they are certainly worth our attention. The premium payment period, blessed with brevity, ensures that investors bask in the glory of the promised bonus upon reaching maturity. Eligibility requirements dictate that policyholders must possess a minimum sum assured of Rs. 5 lakh, and the plan itself can be set in motion as early as 90 days from birth, with an age limit that extends to a maximum of 55 years. A plethora of options for premium payment frequencies lie at the investor's disposal – monthly, quarterly, half-yearly, and yearly – each catering to the whims and fancies of the individual.
The policy, in its munificence, presents an array of flexible terms for consideration – 15, 20, and 25 years – each altering the duration of premium payments accordingly. For instance, those who opt for the 15-year term find themselves obligated to pay premiums for a mere 11 years, while the 20-year term necessitates a longer span of 16 years. As for the 25-year term, individuals must embrace the commitment of paying premiums for 21 years.
The potential returns that come bundled with investing in this policy are truly tantalizing. A minimum sum assured of Rs. 5 lakh, when subjected to the whims of a 15-year investment, blossoms into an amount that hovers close to the illustrious figure of Rs. 9,00,000. Now, let us divert our attention to the realm of premium payments, where investors are compelled to contribute a minimum of Rs. 5,000 per month, which, in simpler terms, translates to a daily savings effort of approximately Rs. 166.
It becomes quite evident that the LIC Bima Ratna policy stands as an alluring investment avenue, boasting guaranteed bonuses and returns that bear substantial weight. The abbreviated premium payment period affords investors the luxury of quantifying the bonus they shall receive upon maturity, thereby bestowing upon them a sense of security and convenience.