LIC Money Back plans
LIC Money Back plans from LIC is designed with specific requirement. Policyholder investment would not be blocked for long term and regular inflows every 5 years gives a kind for flexibility. Planning for future by Policyholder would be easy if the flow of funds is regular.
LIC Money Back plans can linked with child education. Every 5 years, from day of school fee and other expenses can be maintained from this plan. when the child comes out for work or higher studies, this plan help him by giving tax free lump-sum.
Money Back Plans are participating non-market-linked plan which offers an attractive combination of protection against death throughout the term of the plan along with the periodic payment on survival at specified durations during the term. Money Back plans are very popular due to their nature. This plan gives continues returns every 5 years tax free which can be utilised or saved in Banks for future use.
2 types of LIC Money Back Plans :
LIC Money Back plans provide a kind of flexibility and trust. LIC Premium can be paid every month or three months, half yearly or yearly. Returns every 5 years is guaranteed. This plan is very popular with middle class as it helps them to invest small amount and get returns very punctually.
This policy has got dual tax benefit like major LIC policies.
All premiums paid to LIC Money Back policy is exempted under 80C of Income Tax Act.
The benefits of this Money back policies are, Survival benefit, Maturity benefit, Death benefit. The first 2 benefits are tax free to the policyholder and the last benefit Death Benefit is also tax free to the nominee