Excelsior Correspondent
JAMMU, Oct 8: Life Insurance Corporation (LIC) of India has introduced ‘Single Premium Group Micro Term Insurance’ plan which is a non-participating, non-linked, group, pure risk, life micro insurance product specially designed to provide simple, flexible and affordable life insurance to cater the needs of financial institutions including micro finance institutions, co-operatives, SHGs and NGOs to cover their members and loanees.
A handout stated that the plan also addresses the essential insurance requirement of members of unorganised groups, employer-employee groups and other homogeneous affinity groups.
In the context of the Indian market, this product has the potential to provide accessible life insurance solutions at nominal cost for a significant portion of Indian population which still remain uninsured.
More importantly, it provides customised credit protection to the customers of financial institutions and protects the families from the burden of repayment of outstanding loans in case of unfortunate demise of the breadwinner.
The product is available for a group with size 50 or more members, risk cover sum assured here ranges from Rs. 5000 to Rs. 200000 for members.
More features of this plan are-single premium mode is payable in one lump sum, there is flexibility to choose term from 1 month to 10 years for risk cover, joint life cover for spouse is available here under lender-borrower relationships and it is easy to avail and there is no need for any medical examination in this plan.
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