Group Gratuity Schemes
Gratuity is a statutory liability of the employers. This is an incremental liability which accrues to an employee for every year of service put in by him. In the Group Gratuity Scheme granted by LIC, in the event of premature death of the member, the dependent can get an amount which will be equal to the gratuity payable on the normal retirement of the member, had he survived up to the date of superannuation. Apart from the above the advantage of LIC’s group gratuity schemes are free valuation of the liability, guidance in drafting Trust Deed and Rules of the scheme, secutiry for the fund, attractive return, lower premium for the insurance, optional ciritical illness rider benefit against major diseases, periodical information about the status of fund, simple administrative and claim settlement procedures, tax concessions, etc.,
Group Superannuation scheme is designed to provide pension to the employees/beneficiaries on the exit of the member from the service. A decreasing group insurance cover in conjunction with the superannuation benefit can also be provided to supplement the lower accumulation in the event of premature death of the member. The scheme is of two types: a) Money purchase scheme and b) Benefit purchase scheme. Pension which is linked to the dearness allowance will also be granted. The LIC’s group superannuation scheme out are easy to install and provides best service, free valuation of the liability, attractive returns, safety of funds, simple administrative procedures, periodical statement on the fund position, tax, concession, etc. LIC offers a wide range of benefit options to cater to the needs of the different beneficiaries.