Kathmandu: Nepal Life Insurance Company has introduced a new child plan ‘Nepal Life Novelty Child Life Insurance Plan'(Nepal Life Naulo Ketaleti Jiwan Bima Yojana).
The scheme has been brought as per the new provision made by the Insurance Board for children’s insurance scheme. Following the success of the Child Education and Marriage Endowment Life Insurance Scheme, the company has introduced this scheme.
In this plan, the risk coverage of child of 1-7 years age begins only after the policy anniversary on completion of the age of 7 years or two years from the date of commencement (whichever comes later). If the insured is 8-9 years of age, the risk coverage will begin after the completion of 10 years of age.And incase of the child of 11 years, the death risk of the insured under the policy will start only from the date of their insurance anniversary.
In case of death of the insured after commencement of insurance risk, 25 per cent of the sum assured will be paid to the proposer immediately and the remaining 75 per cent and vested bonus will be paid to the proposer after the maturity only.
This plan will participate in bonus. and children of 1to 17 years of age can be insured.Depending on the age, this plan can be purchased for a period of minimum 5 years to maximum 30 years.
As the maximum term is 30 years the age at maturity will not be above 47 years. The premium can be paid annually, half-yearly, quarterly or monthly.
Surrender value can be obtained on the completion of three years and payment of three annual installments.Similarly, policy loans up to 90 percent of the surrender value.
Under the new plan, premium waiver benefits, monthly income benefits can be availed with additional premium. These benefits will only be available till the age of 18 years. These benefits will be effective in case of death of the proposer before the completion of child age to 18 years or maturity period ( whichever comes first).