WHAT IS LIC’S DHAN VRIDDHI PLAN?
LIC’s Dhan Vriddhi is a Non-Linked, Non-Participating, Individual, Savings, Single Premium Life Insurance plan which offers a combination of protection and savings. This plan provides financial support for the family in case of unfortunate death of the life assured during the policy term. It also provides guaranteed lumpsum amount on the date of maturity for the surviving life assured.
BENEFITS OF LIC’S DHAN VRIDDHI PLAN
throughout the Policy Term
Death or Maturity
WHY BUY AN ENDOWMENT PLAN?
Buying an endowment plan can be a suitable financial decision for individuals with specific financial goals and risk preferences. Endowment plans offer a unique combination of life insurance protection and savings or investment components. Here are some reasons why someone might consider purchasing an endowment plan:
LIFE INSURANCE PROTECTION
Endowment plans provide life insurance coverage, ensuring that your loved ones receive a lump sum payout in the event of your untimely demise during the policy term. This can offer financial security and support to your family in difficult times.
SAVINGS AND LONG-TERM GOALS
Endowment plans are designed to encourage disciplined savings over the policy term. By paying regular premiums, policyholders build up a corpus, which can be useful for achieving long-term financial goals such as buying a house, funding a child's education, or planning for retirement.
Many endowment plans offer guaranteed returns on the premiums paid, providing a certain level of financial predictability and stability. The insurance company typically guarantees a minimum sum assured, which acts as a safety net for the policyholder.
At the end of the policy term, if the policyholder survives, they receive the maturity benefit, which includes the sum assured along with any applicable bonuses or investment returns. This maturity benefit can be used to fulfill financial objectives or enjoy a financial windfall.
Premiums paid towards an endowment plan often qualify for tax benefits under Section 80C of the Income Tax Act. Additionally, the maturity proceeds may also be tax-exempt under certain conditions, making endowment plans a tax-efficient investment option.
FORCED SAVINGS AND DISCIPLINED INVESTING
Endowment plans require regular premium payments, instilling a sense of discipline in policyholders to set aside funds for their future. It can help individuals develop a habit of regular saving and investing.
Compared to some other investment options, endowment plans are generally considered to be lower-risk products. As they offer guaranteed returns and life insurance protection, they can be a suitable choice for individuals who seek stability in their investments.