LIC Saral Jeevan Bima Vs LIC Jeevan Umang

Comparison Between LIC Saral Jeevan Bima & LIC Jeevan Umang

Here is a detailed comparison between LIC of India’s Saral Jeevan Bima and Jeevan Umang so that you can make an informed choice between the two.

The following sections discuss the two plans in more detail.

About LIC Jeevan Umang

LIC Jeevan Umang is a whole life assurance plan which offers a combination of income and protection to your family. The plan provides annual survival benefits after the completion of premium payment tenure. Also, a lump-sum payment is made at the time of maturity or following the demise of the policyholder during the policy term.

In addition, LIC Jeevan Umang also takes care of liquidity needs through loan facilities, unlike the LIC Saral Jeevan Bima policy.

Jeevan Umang Benefits

The following are the benefits offered under LIC Jeevan Umang Plan

1. Death Benefit

   On the demise of the policyholder during the policy term, the sum assured on death along with a vested simple reversionary bonus and a final additional bonus is paid to the beneficiary of the policy.

   Sum assured on death will be equal to the basic sum assured amount or 7 times the annualized premium, whichever is higher.

2. Survival Benefit

   If the life assured survives the premium paying term, an annual Survival benefit equal to 8% of the Basic Sum Assured is paid till death or policy maturity (whichever comes earlier).

3. Maturity Benefit

   On survival of the life assured till the date of maturity, LIC is liable to pay the basic sum assured in lump sum plus bonuses.

4. Profit Participation

   LIC Jeevan Umang is a participating policy, unlike LIC Saral Jeevan Bima. This means that the policy participates in the profits of the company. This entitles policyholders to the simple reversionary bonus and the final additional bonus, payable along with the death or maturity benefit.

Eligibility Conditions

Premium Rebates

About LIC Saral Jeevan Bima

Saral Jeevan Bima is a Non-Linked, Non-Participating, Individual, limited premium, Pure Risk Life Insurance plan by LIC. The main purpose of this LIC policy is to offer financial protection to the family of the policyholder in case of his/her unfortunate demise during the policy period.

Saral Jeevan Bima Benefits

The following are the benefits offered under LIC Saral Jeevan Bima Plan.

1. Death Benefit

   On the death of the life insured under the following circumstances -

   1. If death occurs due to an accident during the waiting period (45 days)

   2. If death occurs after the waiting period

   The Sum Assured on Death will be the highest of the following -

   Regular / Limited Premium Payment	Single Premium Payment
   10 times the Annual Premium 105% of all premiums paid till death Basic Sum Assured	125% of the Single Premium amount Basic Sum Assured

2. Maturity Benefit

   LIC does not pay a maturity benefit if the life insured survives the whole policy term as it is a pure risk term life cover.

Eligibility Conditions

Premium Rebates

Summing It Up

This complete comparison between Saral Jeevan Bima and Jeevan Umang should help you select a policy that is suitable for you. While one only offers a risk cover on the life of an individual (Saral Jeevan Bima), the other comes with savings opportunities as well (LIC Jeevan Umang).