New endowment plan 914 (NEP 914) is a life insurance policy that offers both death and maturity benefits. It is a participating policy, which means that the policyholders are entitled to a share of the profits earned by the insurer. The policy term is 10 years, and the minimum sum assured is Rs.1 lakh.
NEP 914 offers a guaranteed maturity benefit of 105% of the sum assured, along with a loyalty addition, if any. On the death of the policyholder, the nominee will receive the sum assured along with a terminal bonus, if any.
The main features of NEP 914 are as follows:
• Policy term: 10 years
• Minimum sum assured: Rs. 1 lakh
• Premium paying term: Same as policy term
• Premium payment frequency: Annual, half-yearly, quarterly or monthly
• Grace period: 30 days for annual and half-yearly mode, 15 days for quarterly mode and 7 days for monthly mode
• Loan facility: Available after 3 policy years
• Surrender value: Available after 3 policy years
• Tax benefits: Under section 80C and 10 (10D) of the Income Tax Act
NEP 914 is a good option for investors looking for both death and maturity benefits. The policy term is long enough to help you fulfill your financial goals, and the guaranteed maturity benefit ensures that you get back your investment, along with some returns. The policy also offers the additional benefit of a terminal bonus, which can further enhance your returns.