Introduction:
LIC’s Gathering Post-Retirement Health advantage Plan is a Non-connected Non-taking part, Life, Gathering
Investment funds Protection Item. This plan assists with meeting the business’ commitment for Post-Retirement
Health advantage to their workers. Post-Retirement Health advantage can likewise be permitted to qualified
relatives of such representative individuals whenever permitted by and covered under the plan rules and
might be payable subject to accessibility of assets in the Gathering Strategy Record.
2. Eligibility Conditions and Other Restrictions:
Minimum Entry Age
18 years (completed)
Maximum Entry Age
75 years (Nearer Birthday)
Maximum Age at Renewal
80 years (Nearer Birthday)
Minimum Contribution
The minimum contribution shall be the total amount
required to provide Post-Retirement Medical Benefit
as per the Scheme Rules and shall be in accordance
with extant accounting standard governing the
measurement of long term employee benefits (subject
to a minimum of Rs.1,00,000/- at the time of inception
of the policy) along with Risk Premium for providing
the Life Cover Benefit of Rs. 5000/- per member.
Maximum Contribution
The maximum contribution shall be the total amount
required to provide Post-Retirement Medical Benefit
as per the Scheme Rules and shall be in accordance
with extant accounting standard governing the
measurement of long term Employee Benefits along
with Risk Premium for providing the Life Cover
Benefit of Rs. 5000/- per member.
Minimum Group Size
50
Maximum Group Size
No Restriction
Minimum / Maximum Sum assured
Rs. 5000/-
Policy Term
Annually renewable
Note: Section of new individuals is confined as long as 75 years (closer birthday). In any case, reestablishment of the
Life Cover Advantage in regard of a part will be permitted as long as 80 years (closer birthday).
3. Benefits:
The accompanying advantages are payable under a strategy during the approach term:
On death of a Part while in help before Retirement: Total Guaranteed in regard of the qualified
representative part will be payable. Likewise, Advantages as per the Plan Rules will
be payable subject to the accessibility of assets in the Gathering Strategy Record.
On Retirement/Exit: On renunciation or end of administrations or retirement (counting typical
retirement, willful retirement, and retirement on clinical grounds according to Plan Rules), of an
representative part, Post Retirement Health advantages to the worker part according to Plan Rules
will be payable subject to the accessibility of assets in the Gathering Strategy Record. Post Retirement
Health advantage can likewise be permitted to the qualified relatives of such worker part if
permitted by and covered under the plan leads and might be payable subject to the accessibility of
assets in the Gathering Strategy Record. On the off chance that, the equilibrium in the Gathering Strategy Record of the Plan is deficient to pay out the advantages as
per the Plan Rules, it will be the obligation of the Expert Policyholder to initially make the installment
to the Partnership in order to empower the Enterprise to pay such advantages. Notwithstanding, regardless for the
Post Retirement Health advantage, the Organization’s complete risk towards the Expert Policyholder will
be restricted to the Gathering Strategy Record Worth.
4. Installment of Commitments and Chance Premium:
I) The Expert Policyholder can pay the Commitments to the Enterprise whenever during the arrangement
term. Be that as it may, the Endanger Premium for Life Cover Advantage alongside material Duties will be paid
at beginning and from that point, at the very latest every Yearly Reestablishment Date in regard of the relative multitude of Individuals
covered from the date of joining the Plan and in regard of new Individuals according to subtleties determined in Para 5 benefit.
ii) if there should arise an occurrence of non finishing of reestablishment process for example accommodation of Individuals’ information and installment of
Risk Premium inside the time of 30 days from Yearly Restoration Date (ARD), after the expiry of
the expressed time of 30 days, the Existence Cover Advantage of Part will go on with impact from that ARD. For this situation, month to month Hazard Premium portion will be deducted from Gathering Strategy Account. The month to month Chance Premium will be shown up at by applying the month to month stacking element to the yearly Gamble Premium.
5. Risk Premium:
The age-wise Gamble Premium rates for Total Guaranteed in regard of every Part will rely upon the size
of the gathering, mortality experience and chance profile including control of the gathering at beginning
what’s more, on ensuing recharges prior to Yearly Reestablishment Date. The Gamble Premium in regard of all the
individuals will be payable by the Expert Policyholder on yearly premise at the very latest every Yearly Recharging
Date.
Another Part can be confessed to the Plan at whatever month out on the town agreeing with the schedule
date of Yearly Reestablishment Date (ARD). For such new Member(s) joining during the strategy year, the
proportionate Gamble Premium will be expected to be paid on the Date of joining of the Plan. The
proportionate Gamble Premium in regard of each of the new Member(s) will be founded on the age closer
birthday as at the date of passage into the Plan and the length from date of section till the following ARD.
For this situation, Life Cover Advantage will initiate solely after the receipt of Hazard Premium and Individuals’
information. For this reason, New Part would mean any Part as educated by the Expert Policyholder
during the year notwithstanding the Individuals previously covered as on ARD.
Prior to each ARD, the Expert Policyholder will give representatives’ information along Chance
Premium for Life Cover Advantage to finish the recharging system. Risk Premium will be gathered with
interest (from ARD to date of receipt of Chance Premium), if any, for defer in installment of Hazard Premium
alongside appropriate assessments, if any. A most extreme time of 30 days will be given by the Company
to the Expert Policyholder to finish the recharging system (for example accommodation of Individuals’ information and
installment of Chance Premium).
The pace of interest relevant for late installment of Hazard Premium under this item for each 12
months’ time frame from first May to 30th April will not surpass long term G-Sec Rate p.a. compounding halfyearly as at the last exchanging day of past monetary year 300 premise focuses or the yield acquired on the
Partnerships Non-Connected Non-Taking part reserve in addition to 100 premise focuses, whichever is higher. For 12
LIC’s Gathering Post-Retirement Health advantage Plan (UIN: 512N352V01) 3
months’ time frame initiating from first May, 2022 to 30th April, 2023, the material loan fee will be
9.50% p.a. intensifying half-yearly. The premise of assurance of loan fee for late installment of Hazard
Premium is likely to change.
In the event of death of a Part, during the previously mentioned time of 30 days, total guaranteed in regard of
that part will be payable subject to derivation of pertinent yearly gamble premium from the Gathering Strategy Record.
In the event of non consummation of restoration process inside the time of 30 days from ARD, after the expiry of
the expressed time of 30 days, the Existence Cover Advantage per Part will go on with impact from ARD.
In light of existing Individuals’ information as accessible on ARD/as given by the Expert Policyholder
(counting new individuals), the relating regularly scheduled payment Chance Premium for one month for
such Individuals from ARD alongside premium by virtue of late receipt of Chance Premium and advance
premium for the following month and relevant charges, if any, will be auto charged from the Gathering Strategy
Represent the Existence Cover benefit toward the start of the second month from ARD. From there on, during
that strategy year the regularly scheduled payment risk premium alongside pertinent expenses, assuming any will
kept on being auto-charged from the Gathering Strategy Record.
While settling the passing case in regard of a Part, where the month to month Chance Premium is deducted,
remarkable month to month Chance Premium(s), if any, for the extraordinary period upto the following ARD will likewise
be deducted from the Gathering Strategy Record.
On reestablishment of a strategy under this arrangement, there might be correction in Chance Premium rates, utilizing lighter rates
at the point when mortality experience is ideal and utilizing heavier rates when the mortality experience
declines. For modification in Chance Premium rates, number of expected claims is contrasted and the number of genuine cases during the approach year viable.
6. Bunch Strategy Record:
A Gathering Strategy Record will be kept up with in regard of all Commitments got from Expert
Policyholder.
For another Plan, a Gathering Strategy Record will be made in regard of a Plan when the
Policyholder pays the principal Commitment.
Every one of the Commitments paid to get Post-Retirement Health advantage by manager/legal administrators will be
credited to the separate Gathering Strategy Record.
A non-negative Loan fee subject to a base financing cost of 0.5% p.a. will be pronounced toward the end
of each monetary year. The base loan cost of 0.5% p.a. will remain ensured during the whole
term of the agreement. Toward the finish of each monetary year, the announcement of loan cost in regard of each
Plot will be according to the Financing cost Announcement and Costs Charging strategy for Asset based
results of the Enterprise. The premium sum will be credited to a Gathering Strategy Record at the
end of each monetary year.
During the monetary year, expansion to a Gathering Strategy Record will be the Commitments gotten from
the Expert Policyholder. Derivation from a Gathering Strategy Record will be the Advantage paid out to the Ace Policyholder according to the Plan Rules. Furthermore, on the off chance that the Expert Policyholder doesn’t dispatch the
Risk Premium in something like 30 days from ARD, then the regularly scheduled payment risk premium in regard of each
part alongside interest, if any and pertinent duties, if any, as determined in Para 5 above will likewise be auto charged from Gathering Strategy Record to finish the reestablishment cycle.
Risk Premium paid independently or deducted from the Gathering Strategy Record (alongside interest for defer in installment and appropriate duties, if any) won’t be considered for loan cost estimation and assurance of Gathering Strategy Record Worth.
7. Mass Ways out:
In the event that the sum to be paid on all out exits during the approach year surpasses 25% of the Gathering Strategy Record
Esteem as toward the start of that strategy year subject to least of Rs. 10 lacs, such exchanges will
be treated as mass ways out, where ways out will be according to the Plan Rules and Exit will mean exit of the
Individuals from the gathering. Market Worth Change (MVA) will be appropriate on such Mass Ways out. The
withdrawal sum which is beneath Rs. 10 lacs will not be treated as Mass Exit. completed. The resources will be reserved independently for this item. The MVA sum alongside
pertinent Expenses, if any, will be deducted from the Gathering Strategy Record Worth.