However, LIC will not make the payouts as mentioned above in case the policyholder contracts one of the specified conditions within the first year of the policy. The policyholder will have to continue making premium payments and will be entitled to receive benefits either at maturity or on death.

Survival benefits

Should the policyholder go through the entire policy term without contracting any of the specified conditions, he will receive the policy sum assured along with the vested bonus on maturity.

In such a case, the policy will assume the proportions of a regular participating plan. If the policyholder dies without having contracted any of the specified ailments, the beneficiaries will receive the sum assured and the bonuses vested till that date.

An accident cover at the rate of Re 1 per thousand sum assured can also be taken under the plan.

What to look out for

As is the case with policies that make a payout when the policyholder contracts a specific medical ailment, it is important that those considering this plan examine the conditions closely.

To illustrate, in the case of coronary disease, non-invasive procedures such as the use of a balloon will not qualify the policyholder for a receipt from the Corporation. A clear understanding of the fineprint is necessary.

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