LIC Dhan Varsha Policy : Looking for a secure, high-return investment option that guarantees financial protection and wealth growth? The LIC Dhan Varsha policy may be just what you need. This limited premium, non-linked, non-participating individual savings plan by the Life Insurance Corporation of India offers both life insurance coverage and a guaranteed lump sum return. Designed to combine security with high returns, this policy is perfect for those who want to invest smartly while safeguarding their family’s future.
In this article, we’ll explore how LIC Dhan Varsha works, its benefits, eligibility criteria, premium structure, and how it compares with other plans. Let’s dive into how you can make the most out of this promising investment.
What is LIC Dhan Varsha Policy?
LIC Dhan Varsha is a single premium plan launched by LIC, aimed at individuals looking for assured returns along with life cover. It’s ideal for those who prefer a one-time investment instead of regular premium payments. This plan provides financial protection to the policyholder’s family and a lump sum benefit on survival or death during the term.
Key Features of LIC Dhan Varsha
- Single Premium Payment: Pay once and enjoy lifelong benefits.
- Guaranteed Benefits: Returns are fixed and clearly defined.
- Two Sum Assured Options: Choose based on your financial goals.
- Flexible Policy Term: Choose between 10 and 15 years.
- Tax Benefits: Eligible under Section 80C and Section 10(10D).
Benefits of LIC Dhan Varsha Plan
LIC Dhan Varsha is more than just a savings plan. Here are some of its most attractive benefits:
1. Guaranteed Returns
This plan assures a fixed maturity benefit, giving you peace of mind with predictable outcomes.
2. High Life Cover
Choose between Option 1 (1.25 times the premium) and Option 2 (10 times the premium) for your Sum Assured.
3. Tax Savings
Investors can claim tax deductions under Section 80C for the premium paid and enjoy tax-free maturity under Section 10(10D).
4. One-Time Investment
Only one premium payment is needed, making it ideal for people who want a hassle-free experience.
Eligibility Criteria and Policy Options
The policy offers two different options for Sum Assured and terms. Here’s a quick breakdown:
| Criteria | Option 1 | Option 2 |
|---|---|---|
| Minimum Entry Age | 3 years (completed) | 3 years (completed) |
| Maximum Entry Age (10 years) | 60 years | 40 years |
| Maximum Entry Age (15 years) | 60 years | 35 years |
| Minimum Sum Assured | ₹1.25 lakh | ₹10 lakh |
| Maximum Sum Assured | No limit (depends on underwriting) | No limit (depends on underwriting) |
| Policy Term | 10 or 15 years | 10 or 15 years |
| Premium Payment Mode | Single | Single |
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Sum Assured Options in Detail
LIC Dhan Varsha offers two unique sum assured options tailored to different risk and return profiles.
Option 1: Moderate Cover
- Sum Assured on Death: 1.25 times the single premium
- Ideal For: Conservative investors looking for steady returns
Option 2: High Cover
- Sum Assured on Death: 10 times the single premium
- Ideal For: Those seeking higher life insurance coverage with guaranteed maturity
LIC Dhan Varsha: Premium vs. Benefits Comparison
To understand the returns better, here is a comparison table for different investment amounts and terms:
| Single Premium Paid | Sum Assured (Option 1) | Sum Assured (Option 2) | Policy Term | Maturity Benefit (Approx) | Death Benefit (Approx) |
|---|---|---|---|---|---|
| ₹2,00,000 | ₹2,50,000 | ₹20,00,000 | 10 years | ₹2,80,000 – ₹3,00,000 | ₹2.5L or ₹20L |
| ₹5,00,000 | ₹6,25,000 | ₹50,00,000 | 15 years | ₹6,80,000 – ₹7,20,000 | ₹6.25L or ₹50L |
| ₹10,00,000 | ₹12,50,000 | ₹1 crore | 10 years | ₹13,80,000 – ₹14,20,000 | ₹12.5L or ₹1cr |
| ₹20,00,000 | ₹25,00,000 | ₹2 crore | 15 years | ₹27,00,000 – ₹28,50,000 | ₹25L or ₹2cr |
Note: Actual returns may vary slightly based on age, GST, and policy issuance terms.
Why Choose LIC Dhan Varsha Over Other Plans?
When compared with traditional fixed deposits or other life insurance plans, Dhan Varsha stands out due to its guaranteed maturity, tax benefits, and life cover.
| Feature | LIC Dhan Varsha | Fixed Deposits | ULIPs / Market-linked Plans |
|---|---|---|---|
| Premium Type | One-time | Lump sum | Regular |
| Life Cover | Yes | No | Yes |
| Returns | Guaranteed | Fixed | Market-based |
| Tax Benefits | 80C + 10(10D) | Only interest taxable | 80C + 10(10D) |
| Risk Level | Low | Very Low | Moderate to High |
| Maturity Amount | Tax-free | Taxable | Tax-free (conditions apply) |
How to Buy LIC Dhan Varsha Policy
Purchasing this plan is quick and simple. Here’s how:
- Visit LIC Branch: Connect with an LIC agent or go directly to the branch.
- Online Purchase: Available via the official LIC website with minimal documentation.
- Choose Option and Term: Select between Option 1 and 2 and decide on a 10 or 15-year term.
- Submit KYC & Payment: Provide ID proof, age proof, and address proof with your one-time premium payment.
Who Should Consider LIC Dhan Varsha?
This policy is a great fit for:
- Parents planning long-term savings for their children’s education or marriage
- Individuals nearing retirement seeking tax-free, risk-free returns
- Investors who want to diversify with guaranteed return insurance products
- Those preferring single-payment policies to avoid recurring premiums
Things to Keep in Mind
- Surrender before completion of term may attract deductions.
- Maturity and death benefits are subject to conditions under Section 10(10D).
- Riders like accidental death benefit are available at additional cost.
- GST is applicable on the premium amount.
LIC Dhan Varsha offers a rare combination of guaranteed returns and life insurance coverage, with the added advantage of one-time premium payment. Whether you’re a conservative investor or someone looking for long-term financial planning with tax efficiency, this plan has something valuable to offer.
Make sure to evaluate both the sum assured options carefully based on your financial goals and insurance needs. Always consult with a financial advisor or LIC agent before making the final decision.
The information provided is based on publicly available LIC data and is intended for informational purposes only. Policy terms, maturity benefits, and other features are subject to change as per LIC’s discretion. Please read the policy brochure or consult with an LIC representative for the latest details.