India’s leading state-run insurer, Life Insurance Corporation of India (LIC), has unveiled two new insurance offerings—Protection Plus and Bima Kavach—aimed at providing policyholders with a combination of insurance coverage, long-term financial security, and investment opportunities. These plans reflect LIC’s commitment to simplifying insurance solutions while catering to the evolving financial needs of its customers.
Combined Objectives
LIC emphasises that both Protection Plus and Bima Kavach are designed with transparency and ease of understanding in mind, enabling individuals to safeguard their families’ financial future while availing of tailored benefits. The insurer has positioned the two plans to address distinct financial goals: one focusing on wealth accumulation and market-linked growth, and the other prioritising robust risk coverage.
Feature Comparison
| Aspect | Protection Plus | Bima Kavach |
|---|---|---|
| Coverage type | Insurance + investment | Pure risk coverage |
| Eligible age | 18–65 years | 18–65 years |
| Policy term | 10–25 years | Up to 100 years |
| Premium payment mode | 5–15 years | Single, limited, or regular premiums |
| Minimum cover | 5–7× annual premium | Rs 2 crore |
Protection Plus
Protection Plus is designed for individuals seeking a blend of insurance protection and market-linked investment returns. Policyholders can select from a variety of fund options, enabling them to participate in potential market gains. Partial withdrawals are permitted after five years, providing flexibility in times of financial need. In the unfortunate event of the policyholder’s death, the nominee receives both the sum assured and the accumulated fund value, ensuring comprehensive financial protection.
Bima Kavach
Bima Kavach is a straightforward, pure-risk insurance policy that does not include a savings or investment component. Customers can choose between a level sum assured or an increasing sum assured option, according to their risk protection requirements. With a minimum coverage threshold of Rs 2 crore, this plan is geared towards individuals prioritising high-value life protection and securing their dependents’ financial stability.
Conclusion
With the launch of these two products, LIC has once again demonstrated its ability to offer diverse solutions tailored to the varied financial aspirations of Indian households. While Protection Plus appeals to those looking for growth-linked wealth creation alongside life cover, Bima Kavach is ideal for individuals seeking maximum protection without investment exposure.