With rising inflation and increasing expenses on education and marriage, every parent is worried about how to secure their daughter’s future. Keeping this in mind, Life Insurance Corporation of India (LIC) has launched Kanyadan Yojana, which is a strong step towards the bright future of daughters. This scheme not only provides financial security to your daughter, but also gives you an opportunity to save and save tax.
ELIGIBILITY AND OPTIONS OF LIC KANYADAAN POLICY
The LIC Kanyadan Policy is specially designed for parents who want to ensure a secure financial future for their daughter. The father should be below 50 years of age to take the policy. You can choose a policy for a period ranging from 13 years to 25 years, which suits your daughter’s age and your goals.
You have several convenient options to pay premiums: monthly, quarterly, half-yearly, or yearly. It gives you the flexibility to pay according to your income. The minimum sum assured under the scheme is decided according to your needs, so that your daughter gets adequate coverage.
How to get ₹ 22.5 lakhs
If you join this scheme at a young age, you can create a large fund. If you join this scheme at the age of 25 and deposit the premium at the rate of ₹ 3,447 per month for 22 years, then after 25 years, you can get a lump sum amount of about ₹ 22.5 lakhs. This amount includes Sum Assured, Bonus, and Final Additional Bonus, which significantly increases your total amount received. This amount can become a big support for your daughter’s higher education, marriage, or career start.
Tax relief will also be available
The benefits available under this plan are not limited to security only, but it also provides tax relief. On premium payment, you get tax exemption under Section 80C of the Income Tax Act, which increases your savings even more. The benefit on maturity amount is completely tax-free under Section 10(10D). This means that you will not have to pay any tax on the entire amount received, which keeps your hard-earned money safe.
Key features of the plan
One of the biggest features of this plan is its flexibility and convenience. After two years of starting the policy, you can also take a loan against it, which can prove to be very useful in any emergency. If, for some reason, you are unable to continue the plan, you can surrender it after the completion of two years.
If the premium is missed in any month, LIC gives you an opportunity to pay the premium without any penalty in the grace period. This protects you from inadvertently letting the policy lapse. Apart from this, this plan comes with monthly, quarterly, half-yearly, or annual payment options, so that you can invest as per your convenience.
Daughter’s future secured even in the absence of a father
This policy is special for its death benefit facility, which secures the daughter’s future even in the absence of the father. If the policyholder, i.e., the father, dies under normal circumstances, the daughter does not have to pay any further premiums. In addition, she gets a fixed amount of ₹ 1 lakh every year for the next 25 years. Apart from these monthly payments, the entire sum assured is also given to the daughter on maturity of the policy.
At the same time, if the father dies due to an accident, a lump sum death benefit of up to ₹ 10 lakh is also provided to the daughter or nominee. This benefit plays a vital role in financially securing the daughter’s future, ensuring that her dreams are fulfilled.