LIC SIIP (Systematic Investment Insurance Plan) is LIC’s regular‑premium ULIP that combines market‑linked investments with life cover and refund of mortality charges at maturity.

Plan type and structure

• Non‑par, linked: Unit‑linked, non‑participating, individual life insurance savings plan (UIN 512L334V02 in latest brochure).
• Regular‑premium ULIP: You pay premiums for the full policy term; they are invested in chosen ULIP funds and policy value = unit fund value.

Key features

• Insurance + investment: Life cover during the term plus market‑linked fund value on maturity.
• Fund choice: Four funds (Bond, Secured, Balanced, Growth); each has a different equity‑debt mix and you can switch as per rules.
• Sum Assured:
  • Entry age <55: 10× annualised premium.
  • Entry age ≥55: 7× annualised premium.
• Refund of mortality charges: On survival to maturity with all premiums paid, the total mortality charges deducted for life cover are refunded along with fund value.
• Lock‑in 5 years: Standard ULIP lock‑in; exits before 5 years go into discontinued fund and pay out after lock‑in.

Eligibility and basic parameters

From current grids (always cross‑check latest LIC SIIP brochure/CIS for compliance).

• Plan No.: 852.​
• Entry age:
  • Minimum: 90 days (completed).​
  • Maximum: 65 years.​
• Maturity age: 18 to 85 years.​
• Policy term: 10 to 25 years.
• Premium payment term: Same as policy term (regular pay).
• Minimum premium:
  • Yearly: ₹40,000
  • Half‑yearly: ₹20,000
  • Quarterly: ₹12,000
  • Monthly: ₹4,000 (NACH/ECS)​
• Maximum premium: No upper limit, subject to underwriting.​

Benefits

Maturity benefit

If the life assured survives the term and the policy is in force:

• Maturity benefit = Unit Fund Value on maturity, plus
• Refund of total mortality charges deducted towards life cover (excluding extras/taxes), as per LIC wording.

Death benefit

• Before risk commencement (for minor lives): Fund value is paid.​
• After risk commencement: Death benefit = higher of:
  • Basic Sum Assured (after adjusting recent partial withdrawals as per rules), or
  • Unit Fund Value,

subject to a minimum of 105% of total premiums paid (excluding taxes, extra premiums and rider premiums) up to date of death.

Partial withdrawal and surrender

• Partial withdrawals allowed after completion of 5 policy years, maintaining a minimum remaining fund value and subject to minimum withdrawal amount.
• Surrender:
  • Before 5 years: Fund moves to Discontinued Policy Fund; proceeds paid after 5 years with applicable deductions.
  • After 5 years: Surrender value equals current fund value.

Charges

Standard ULIP charges apply:

• Premium allocation charge (higher in early years, lower/0 later).
• Fund management charge up to ULIP caps.
• Policy administration and mortality charges via unit cancellation.
• Discontinuance and switching charges as per charge table.

Who should consider LIC SIIP?

• Clients wanting a regular‑investment ULIP with LIC brand, equity/debt fund choice, and added comfort of mortality‑charge refund at maturity.
• Long‑term investors (10–25 years) comfortable with NAV volatility, using SIIP for goals like child education or retirement.

Example: A 34‑year‑old pays ₹1,00,000 p.a. for 21 years into Growth/Balanced funds; at maturity he receives the fund value based on market performance plus back the life‑cover mortality charges deducted over 21 years, while during the term his family is covered for at least 10× annual premium or fund value, whichever is higher.