LIC Flexi Plus Plan 811

When planning your financial future, choosing the right insurance plan is important. The LIC Flexi Plus Plan 811 is a unique Unit Linked Insurance Plan (ULIP) that provides both protection and investment opportunities. To help you understand this plan better and calculate your premiums and benefits, the LIC Flexi Plus Plan 811 calculator is a useful tool.

What is LIC Flexi Plus Plan 811?

LIC Flexi Plus Plan 811 is a unit-linked assurance plan launched by the Life Insurance Corporation of India (LIC) on 2nd January 2013. This plan offers a combination of life insurance protection and investment options, enabling policyholders to protect their families and build wealth through market-linked returns.

This plan allows policyholders to choose their policy term, premium payment mode, and investment funds according to their financial goals and risk appetite. As a ULIP, the returns depend on the market performance of the chosen investment funds.

Important Dates

• Launch Date: 2nd January 2013
• Date of Withdrawal: 16th November 2013

Although this plan has been withdrawn, understanding its structure and how to calculate benefits remains useful for existing policyholders and as a reference for similar ULIP plans.​

Key Features of LIC Flexi Plus Plan 811

LIC Flexi Plus Plan 811 offers several flexible features that make it attractive:

• Flexibility to choose the policy term: You can select a policy term between 10 to 20 years based on your financial plans.
• Multiple premium payment modes: Pay premiums monthly through ECS (Electronic Clearing Service), quarterly, half-yearly, or yearly to suit your convenience.
• Choice of funds: Invest in either a Debt Fund or a Mixed Fund, or switch between the two up to four times a year without charges.
• Partial withdrawals allowed: After completing 5 policy years, you can make partial withdrawals to meet emergency financial needs.
• Sum Assured: The sum assured is the higher of 10 times the annual premium or 105% of all premiums paid.
• Life cover protection: In case of the death of the policyholder during the policy term, the nominee receives a lump sum equal to the sum assured plus the fund value.
• Maturity benefit: On survival till maturity, the policyholder receives the fund value as a maturity benefit.
• No loans available: This plan does not provide loan facilities against the policy.
• Grace period for premium payment: A grace period of 30 days for yearly, half-yearly, and quarterly premiums and 15 days for monthly premiums is allowed.​

Eligibility Criteria

• Minimum Entry Age: 18 years (last birthday)
• Maximum Entry Age: 50 years (nearest birthday)
• Maximum Maturity Age: 60 years (nearest birthday)
• Policy Term: 10 to 20 years
• Minimum Sum Assured: Based on premium criteria mentioned above

Benefits of LIC Flexi Plus Plan 811

Death Benefit

If the policyholder dies during the policy term, the nominee receives:

• A lump sum payment equal to the sum assured, which is the higher of 10 times the annual premium or 105% of the premiums paid.
• The fund value, that is, the total investment amount accumulated in the policyholder’s fund at the time of death.
• Additionally, the amount equal to all future premiums payable after the date of death is credited to the policyholder’s fund (units are allocated as per the fund prices on the date of death).

Maturity Benefit

If the policyholder survives till the maturity date:

• The maturity benefit is the fund value available in the policyholder’s fund at that time.
• This fund value depends on the NAV (Net Asset Value) of units in the chosen investment fund.

Liquidity Benefit

• Partial withdrawals are allowed after 5 years from the commencement of the policy.
• This provides liquidity to meet emergency financial needs without surrendering the policy.

How Does LIC Flexi Plus Work?

LIC Flexi Plus Plan 811 works both as insurance protection and an investment plan. A portion of the premium paid is invested in market-linked funds, and the rest is used for providing life insurance coverage.

• You decide the duration of your policy and the amount you want to invest.
• You select the fund type: Debt Fund (low risk) or Mixed Fund (moderate to high risk).
• You pay premiums according to your preferred mode and frequency.
• Your premiums buy units in the chosen fund.
• The value of your units fluctuates with market performance.
• In case of death, your nominee receives the higher sum assured plus the fund value.
• On maturity, you get the fund value as maturity benefits.

Understanding the Fund Options

You can choose between two fund types in this plan:

• Debt Fund: Invests in fixed-income securities like government bonds and corporate bonds, providing relatively stable but lower returns.
• Mixed Fund: Invests in a mix of equity and debt, offering a balance of safety and growth with potentially higher returns.

You can switch between these funds up to four times in a policy year without any charges to optimize your investment strategy depending on market conditions.​

What is the LIC Flexi Plus Plan 811 Calculator?

The LIC Flexi Plus Plan 811 calculator is a digital tool that helps you estimate the premiums, fund value, and maturity benefits of your policy. It takes inputs like your age, policy term, premium amount, premium payment mode, and fund choice, then calculates estimated returns and benefits.

Why Use LIC Flexi Plus Plan 811 Calculator?

• Quick premium calculation: Know how much premium you need to pay for your chosen sum assured and policy term.
• Estimate maturity benefits: Get an approximate idea of the fund value you can expect at maturity based on historical NAVs.
• Plan your finances: Understand how your investment will grow over time and plan accordingly for your financial goals.
• Compare payment modes: Calculate premiums for monthly, quarterly, half-yearly, or yearly modes.
• Make informed decisions: Visualize different scenarios by changing inputs like policy term or premium amount to choose the best options for you.​

How to Use LIC Flexi Plus Plan 811 Calculator?

Using the LIC Flexi Plus Plan 811 calculator is easy. Here is a step-by-step guide:

1. Select Your Age: Enter your age at the time of purchase.
2. Choose Policy Term: Pick a term between 10 to 20 years.
3. Enter Sum Assured: Input the desired sum assured amount.
4. Select Premium Payment Mode: Choose monthly, quarterly, half-yearly, or yearly payment mode.
5. Fund Choice: Pick either Debt Fund or Mixed Fund.
6. Calculate Premium: The calculator will show the premium amount payable.
7. View Maturity Benefits: Based on assumed NAVs, see the estimated fund value at maturity.
8. Adjust Inputs: Change any input to explore different premium and benefit scenarios.

This calculator provides an estimate, as actual returns depend on market performance, fund NAV, and other factors.

Advantages of LIC Flexi Plus Plan 811

• Combination of insurance with investment: Provides life insurance cover with the opportunity to grow your money through ULIP funds.
• Flexibility in premium payments and policy term: Choose how much, when, and for how long you want to pay.
• Choice of funds: Adjust your investment strategy between debt and equity-based funds.
• Partial withdrawals: Gives liquidity after 5 years without compromising life cover.
• Death benefit security: Provides financial protection to your family.
• Potential for higher returns: Market-linked returns might exceed traditional insurance returns.

Who Should Consider LIC Flexi Plus Plan 811?

• Individuals looking for insurance plus investment combined in one product.
• Those who want flexibility in terms of policy duration and premium payment.
• Investors comfortable with market-linked risks seeking potential growth.
• People wanting to secure their family’s financial future with life insurance protection.
• Policyholders preferring the option to withdraw funds partially after 5 years for emergencies.

Limitations to Consider

• ULIPs like Flexi Plus carry investment risks, and returns depend on market performance.
• There is no loan facility against this policy.
• The policy was withdrawn on 16th November 2013, so it’s no longer available for new applicants.
• Premiums need to be paid regularly to keep the policy in force.
• GST and other taxes applicable on premiums.

Frequently Asked Questions

Conclusion

The LIC Flexi Plus Plan 811 was a flexible ULIP plan launched in 2013 to provide combined life insurance protection and market-linked investment returns. With options to choose policy terms, premium modes, and investment funds, it catered to a wide range of policyholder needs.

Though withdrawn in 2013, the knowledge about this plan and its calculator remains valuable for understanding how ULIPs work and how to plan your finances efficiently.