Dear friends,
Do you want to take LIC policy but do not have funds? No problem. You can still take the policy. You can get the premium (including the first premium in case of new policy) paid out of your PF balance directly as provided in Para 62 of Employees' PF Scheme 1952 (extracts attached).
The only cost in this case is the interest that you could have earned on this amount in PF account. However, the benefits are: firstly, risk is covered and secondly, deduction u/s 80C of Income Tax Act can be claimed even without investing additional amount from the pocket.
Regards,
Do you want to take LIC policy but do not have funds? No problem. You can still take the policy. You can get the premium (including the first premium in case of new policy) paid out of your PF balance directly as provided in Para 62 of Employees' PF Scheme 1952 (extracts attached).
The only cost in this case is the interest that you could have earned on this amount in PF account. However, the benefits are: firstly, risk is covered and secondly, deduction u/s 80C of Income Tax Act can be claimed even without investing additional amount from the pocket.
Regards,
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