LIC Launches Bima Kavach, a New Pure Protection Life Cover Plan

The Life Insurance Corporation of India (LIC) has introduced Bima Kavach (Plan 887), a new protection oriented life insurance plan designed to offer straightforward and reliable financial security.

Unlike savings-linked products, Bima Kavach focuses purely on risk coverage, ensuring that the insured’s family receives a guaranteed benefit in case of an untimely death during the policy term.

What Is LIC’s Bima Kavach?

Bima Kavach is a non-linked, non-participating, individual life insurance plan that offers simple but robust life protection. The plan is meant for individuals who want uncompromised coverage with guaranteed payouts, unaffected by market movements or fund performance.

It provides two death benefit structures a Level Sum Assured and an Increasing Sum Assured giving policyholders the option to choose between stable coverage or protection that grows with time.

Key Features of Bima Kavach

1. Eligibility and Entry Age

Entry Age

• Minimum entry age: 18 years
• Maximum entry age: 65 years

Applicants aged 60 and above may be assessed individually as per underwriting and reinsurance guidelines.

Age at maturity

• Minimum: 28 years
• Maximum: 100 years

This wide range makes the plan suitable for both young earners and older individuals seeking long-term protection.

2. High Minimum Sum Assured

• Minimum Basic Sum Assured: ₹2 crore
• No upper limit on maximum cover

This makes Bima Kavach particularly attractive for high-income earners, business owners, or anyone requiring substantial life cover.

3. Flexible Premium Payment Options

Policyholders can choose from three modes:

• Single premium
• Limited premium payment: 5, 10, or 15 years
• Regular premium payment

This flexibility allows customers to align their premium structure with their financial planning needs.

4. Death Benefit Options

The plan offers two benefit designs:

Option I — Level Sum Assured

The cover amount remains unchanged throughout the policy term.

Option II — Increasing Sum Assured

The life cover grows over time, offering extra protection against inflation.

This dual-choice structure helps policyholders tailor the plan based on long-term obligations or rising financial responsibilities.

5. Policy Term Options

The available terms depend on the premium payment mode:

• Single premium: Minimum 10 years
• Limited premium: 5, 10, or 15 years
• Regular premium: Minimum 10 years
• Maximum term: 82 years, subject to maturity age of 100 years

This ensures long-duration protection suited to future family and financial planning.

Read More: LIC Has Invested Nearly ₹50,000 Crore in Adani Group Companies, Says Govt in Winter Session 2025.

Conclusion

LIC’s Bima Kavach brings a clear focus back to pure life protection. With substantial minimum cover, flexible premium structures, and the option to choose between level or increasing benefits, it aims to offer long term financial assurance for policyholders and their families.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.