The LIC Health Protection Plus Plan 902 is a health insurance plan offered by the Life Insurance Corporation (LIC) of India. It combines health insurance coverage with investment benefits through a unit-linked insurance product.

Introduction to LIC Health Protection Plus Plan 902

Launched by LIC on April 29, 2009, the Health Protection Plus Plan (Plan No. 902) is a long-term unit-linked health insurance plan. It offers comprehensive health protection benefits with investment options, covering the principal insured, spouse, and children under 18 years of age.

The plan provides key benefits like Hospital Cash Benefit, Major Surgical Benefit, and Domiciliary Treatment Benefit backed by an investment fund that grows with premiums paid and market performance.

The policy was officially withdrawn from new sales on October 11, 2013, but it continues to serve existing policyholders as per LIC records. Despite being withdrawn, many still hold active policies and use the LIC Health Protection Plus Plan 902 Calculator to manage their benefits effectively.

Key Features of LIC Health Protection Plus Plan 902

• Unit Linked Health Insurance: Premiums are allocated to a fund to provide insurance coverage and investment growth.
• Multiple Coverage: Covers the principal insured, spouse, and children below the age of 18.
• Hospital Cash Benefit (HCB): Provides a fixed daily cash amount during hospitalization if the stay exceeds 48 hours.
• Major Surgical Benefit (MSB): Lump sum payment to cover major surgery expenses, calculated as 200 times the daily hospital cash benefit chosen.
• Domiciliary Treatment Benefit (DTB): Covers treatment at home under specified conditions.
• Long-Term Policy: The premium paying term extends up to 30 years.
• Single Premium Payment Mode: Yearly premium payment mode.
• Age Eligibility: Cover available for principal insured between 18 and 55 years of age at the time of policy inception.
• Fund Value: Investment of premiums linked with market performance of the LIC Health Protection Plus Fund.

Benefits Explained Simply

The plan offers two primary benefits to the insured family:

Hospital Cash Benefit (HCB)

• This benefit provides you daily cash if you or your family members are hospitalized for more than 48 hours.
• The amount of daily benefit can be selected by you when buying the plan (e.g., Rs. 2,000 per day).
• The benefit helps to cover incidental expenses during hospitalization, like transportation, diet, or attendant charges.

Major Surgical Benefit (MSB)

• In case of a major surgery, a fixed lump sum is paid based on the daily hospital cash benefit.
• The lump sum equals 200 times the daily hospital cash benefit amount.
• This amount can significantly ease the financial burden of surgical expenses.

Domiciliary Treatment Benefit (DTB)

• If you receive treatment at home for certain illnesses due to the inability to be hospitalized, you are covered under this benefit.
• The treatment must follow specific conditions outlined in the policy.

Investment and Fund Management

Since Health Protection Plus Plan is a unit-linked insurance plan (ULIP), a part of your premium goes towards investment in funds managed by LIC. The value of the fund depends on market conditions and the performance of LIC’s Health Protection Plus Fund. The units purchased with your premium accumulate and grow, and these unit values determine the surrender value or maturity value of your policy.

This dual combination of health protection and investment is what makes Plan 902 different from traditional health insurance products.

Eligibility Criteria and Policy Term

• Entry Age: From 18 years to 55 years for the principal insured.
• Cover for Dependents: Spouses and children below 18 years can be covered.
• Policy Term: Up to 30 years.
• Premium Paying Term: Annually for the selected term.
• Minimum and Maximum Premium: As per the selected Hospital Cash Benefit and age.

Launch and Withdrawal Dates

• Plan Launch Date: April 29, 2009
• Plan Withdrawal Date: October 11, 2013

After withdrawal, the plan is no longer available for new policyholders, but existing policyholders can continue and manage their policies, including premiums and claims.

How to Use the LIC Health Protection Plus Plan 902 Calculator

The LIC Health Protection Plus Plan 902 calculator is a useful tool to help prospective and existing policyholders estimate their yearly premium, benefits, and fund values under different scenarios.

What It Calculates

• Yearly Premium: Based on age, number of lives covered, and chosen Hospital Cash Benefit.
• Hospitalization Benefit: Daily cash amount during hospital stay.
• Major Surgical Benefit: Lump sum benefit during major surgery.
• Fund Value Projection: Estimation of investment fund growth over the policy term.
• Policy Launch and Withdrawal Dates: Helps keep track of important dates for reference.

How to Use the Calculator Step-by-Step

1. Enter Your Age: Provide the current age of the principal insured.
2. Select Number of Lives Covered: Indicate whether you are covering only yourself or spouse and children also.
3. Choose Daily Hospital Cash Benefit: Select the amount of daily benefit (e.g., Rs. 2,000).
4. Enter Policy Term: Select the number of years you wish to continue the policy.
5. Calculate Premiums and Benefits: The calculator will display the yearly premium payable, hospital cash benefit, and major surgical benefit amounts.
6. View Fund Projections: For existing policyholders, it may show the projected value of the fund based on historical NAVs.

These calculations help in making an informed decision regarding purchasing or continuing with the plan.

Why Use This Calculator?

• Simplifies the understanding of premium cost and benefits.
• Illustrates how hospital cash and surgical benefits add up.
• Helps in financial planning for health emergencies.
• Displays fund growth potential for investment-focused policyholders.
• Assists in timing payments and remaining aware of important plan dates.

Important Terms to Know

• Hospital Cash Benefit (HCB): Daily cash paid during hospitalization exceeding 48 hours.
• Major Surgical Benefit (MSB): Lump sum paid on undergoing major surgery.
• Domiciliary Treatment: Medical treatments taken at home under specific illness cases.
• Unit Linked Insurance Plan (ULIP): Insurance with an investment component.
• NAV (Net Asset Value): Represents the value per unit of the fund linked with the policy.

Current Status of the Plan and Alternatives

Since LIC Health Protection Plus Plan 902 has been withdrawn from new sales since 2013, it is no longer available for purchase by new customers. However, existing policyholders can continue enjoying the benefits and manage their policies using the LIC calculator and policy documents.

New health insurance and ULIP plans have been introduced by LIC and other insurers with enhanced features, wider coverage, and more modern investment options. Customers interested in ULIP health plans should explore LIC’s latest offerings or private insurers’ products.

Claim Process and Policy Management

• Claims for Hospital Cash or Major Surgical Benefit require submission of hospitalization and medical documents.
• Domiciliary treatment claims require proof of eligibility as per policy rules.
• Premium payments are typically annual, and policies can be revived within the allotted time if lapsed.
• Policyholders should keep track of premium due dates and claim procedures to ensure uninterrupted coverage.

Frequently Asked Questions

Conclusion

LIC’s Health Protection Plus Plan 902 was a pioneering unit-linked health insurance plan designed to provide both health protection benefits and investment growth. Although withdrawn from new sales in 2013, the plan remains relevant to existing policyholders who can benefit from tools like the LIC Health Protection Plus Plan 902 calculator to manage their premiums, hospital benefits, and fund values effectively.