Settlement option is a special facility available in LIC policies, to receive the lump-sum claim amount in instalments. Settlement option can be availed on both maturity and death claims. Availing settlement option can be beneficial at certain circumstances as LIC pays some interest also while deciding settlement amount payable for a claim.
Settlement option calculator is intended to provide you a clear idea on settlement option and help you in calculating the settlement amount available for a claim. Two types of settlement options available are settlement ‘in advance’ and ‘settlement as arrears’. For maturity claims only settlement ‘in advance’ option shall be available. Settlement option is available in ‘Yearly’ as well as ‘half yearly’ mode.