Jeevan Amar Vs Tech Term – Which is the best LIC Term Plan?

Jeevan Amar Vs Tech Term – Which is the best LIC Term PlanJeevan Amar Vs Tech Term – Which is the best LIC Term Plan?


Last month LIC launched its new term plan Jeevan Amar. In this month, it has launched another plan which is LIC Tech Term Insurance Plan. Many of us would have confused as to why LIC has launched 2 plans in just 1 month time frame. What is LIC Jeevan Amar Term Plan all about? What is a LIC Tech Term Plan? How does the features and benefits compared between Jeevan Amar LIC and LIC Tech Term Plan? Among Jeevan Amar and Tech Term, which is the best LIC Term Plan in India?

Also Read: 1 Crore Term Insurance Plans with low premiums

Overview about LIC Jeevan Amar Term Plan


LIC Jeevan Amar is non linked, non participating life insurance plan that was launched in August, 2019. This is pure offline term life insurance plan, i.e. nominee would get sum assured only if there is a death of the life insured.

Overview about LIC Tech Term Plan


LIC Tech Term is non linked, non participating life insurance plan that was launched from 1st September, 2019. This LIC term plan online is pure protection plan, i.e. nominee would get sum assured only if there is a death of the life insured.

LIC Jeevan Amar Vs LIC Tech Term – Comparison of features


#1 – Flexibility of Purchasing the Term plan


LIC Jeevan Amar is an offline term insurance plan. Means you need to approach LIC branch or LIC agent to take this term insurance plan. However, renewal premiums can be paid like any other LIC policy online.  This is Jeevan Amar LIC Term Plan 854.

LIC Tech Term is an online term insurance plan. Means you can just buy this policy online on LICIndia portal directly. This is LIC Term Plan 854 has unique ID 512N333V01.

#2 – Eligibility of taking these LIC Term Plans


Both these LIC Term plans are offered for the minimum age of entry at 18 years and maximum age of entry at 65 years.

#3 – Minimum and Max Sum Assured


The minimum sum assured under LIC Jeevan Amar is Rs 25 Lakhs and no maximum limit on the sum assured. Means you cannot buy this LIC term plan if you want to take sum assured of below Rs 25 Lakhs.

The maximum sum assured under the LIC Tech Term Plan is Rs 50 Lakhs and no maximum limit on the sum assured. Means you cannot buy this online LIC term insurance plan if you want to take sum assured of below Rs 50 Lakhs.

#4 – Benefits in LIC Term plans


In both these term insurance plans sum assured is paid only in case of death. There are no surrender benefits or maturity benefits.

#5 – Flexibility in Premium Payments


The LIC Jeevan Amar Plan provides flexible premium options like regular premiums (monthly, quarterly, half-yearly and yearly), single premium and limited period premium options.

The LIC Tech Term plan also provides flexible premium options like regular premiums (monthly, quarterly, half-yearly and yearly), single premium and limited period premium options..

#6 – Tenure of the Policy


Both provide 10 to 40 years tenure options for their term plans.

#7 – Sum Assured Flexibility


Gone are the days where the sum assured was fixed. Both these term insurance plans offer level sum assured (fixed sum assured) and increasing sum assured i.e. sum assured is increasing year on year from 6th year to the 15th year and from there these are constant beyond that period.

#8 – Flexibility in Death Benefit payments


Policy holders are looking for flexible death benefit payments instead of lump sum payments. Both these terms plans offer installment payment of sum assured beyond lump sum option.

#9 – Premiums for non smokers and women


Jeevan Amar from LIC offers lower premiums for non smoking individuals and women individuals.

Tech Term from LIC offers a lower premium only for non smoking individuals.

#10 – Risk Coverage beyond 65 years


The majority of the term insurance plans offer risk coverage of 65 years or 70 years. However, both these LIC term plan policy offer risk coverage up to 80 years of age.

#11 – Premium Rates


LIC Jeevan Amar is an offline term insurance plan which are issued through LIC Branch and LIC Agent and premiums are high.

LIC Tech Term is an online term insurance plan and there are no mediators and hence and premiums are low compared to offline term plans.

#12 – Existing Term Plans in this bucket


LIC Jeevan Amar is an offline term plan. Currently there are Amulya Jeevan II, Anmol Jeevan II, LIC Bhagya Lakshmi and LIC New Jeevan Mangal term plans that are offline term insurance plans from LIC.

The LIC Tech Term Plan is an online term plan. Currently there is already one online term plan, i.e. e-Term Plan.

#13 – Riders in these Term Plans from LIC


Both these plans offer the accidental death benefit rider, which is optional and comes with additional premium.

#14 – High Sum Assured Rebated on premiums


LIC Jeevan Amar offer 4% to 20% discount on premiums for a high sum assured.

For LIC Tech Term, this info is currently not yet available.

#15 – LIC Term Plan Claim Ratio


The claim settlement ratio is published by IRDA every year for a life insurance company. For LIC, the claim settlement ratio published in 2019 is above 98% for the year 217-18. One should note that this claim ratio is at the company level and not for individual plans.

Jeevan Amar Vs Tech Term – Which is the best LIC Term Plan?


LIC has a High claim settlement ratio. It is a trusted brand, However its term insurance plans come with higher premiums. There are several other best term insurance plans in India that comes with low premiums. If you have decided that to just go with LIC, then you have options between Jeevan Amar and Tech Term Plan. These two new plans offer several unique features which other LIC term plans do not offer. If you decided to take sum assured of less than Rs 50 Lakhs, you don’t have a choice except to go with LIC Jeevan Amar. If you have a choice to take Rs 50 Lakhs Sum assured and above, I would advise you to go with LIC Tech Term Plan. This is an LIC Term Plan online and comes with lower premium that has most of the features which are there in Jeevan Amar too. Why pay more premium then?

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Suresh KP

Jeevan Amar Vs Tech Term – Which is the best LIC Term Plan

14 comments

  • ANISH MEHTA

    i would like to go for tech term as you have given breif of both policy,
    what will be the preimum for sum assure of 1cr?
    is there any claims if accidentally i be paralyzed ?
    in case of death how could my family get sum assure amount ?
    should they call customer care or if they move to lic branch will they get any help?

    • Hello Anisha, I prefer Tech term too. You can vist LIC online site and based on your age and amount and riders, the premium would depend. In case of death of insured, their family members need to approach LIC along with death certificate and policy details and LIC would paid sum assured to nominee indicated in the policy document. Yes they need to call customer care or visit nearest LIC branch

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