Jeevan Kishore
Like the CMBP, Jeeven Kishore Policy ( JKP )
is also insurance on the life of the child. Here too, premium
waiver benefit is available by paying a small additional
premium. This policy can be proposed by either parent,
preferably by the father. In case of absence of both the
parents, the legal guardian can fill in.
Under the scheme, the minimum sum assured is
Rs 10,000, while the maximum is Rs. 15 lacs. The minimum term is
5 years and maximum 35 years. The premium can be paid either
half yearly or yearly.
No medical examination is necessary, if the
age of child on the date of proposer is less than 10 years.
The commencement of risk in this scheme is
like that in CMBP. Loan can be granted for the child after the
vesting of the policy, which automatically vest in the child on
the policy anniversary falling on or immediately following his/
her attaining majority.
The sum assured along with the bonus and
final additional bonus would be payable on the maturity or on
death (if earlier). But death should be on or after the date of
commencement of the risk.
In case the child dies before the risk
premiums are paid (which does not include the premiums for
premium waiver benefit), it will be refunded.
Substitution of child is not permitted in
this scheme. The main difference between Jeevan Kishore and CMBP
is the fact that while the latter allows payment of
accumulations in installments, the former makes that payment in
lumpsum.
Therefore, CMBP is more suited to those who
are saving for the college education of their children, while
Jeevan Kishore plan suits those who are saving for the marriage
or business venture for their child.
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