Calculators LIC plans Riders & Add-ons
Accidental death benefit add-on for ULIP / unit-linked plans.
LIC's Linked Accidental Death Benefit Rider (UIN 512A211V02) provides accidental death cover attached exclusively to unit-linked (ULIP) base policies. It pays an additional lump sum equal to the rider sum assured if the life assured dies due to an accident. It is structurally identical in trigger and exclusions to the ADDB rider but is engineered for ULIP fund-accounting: the rider SA does not deplete the unit fund. Like all riders, it is a pure-protection add-on — the underlying fund value accumulates completely independently of whether a rider claim is ever made.
The life assured (holding a LIC ULIP) dies as a direct result of an accident within 180 days of the incident. LIC pays the rider SA as a lump sum to the nominee, in addition to the ULIP fund value (or the base sum assured, whichever is higher, per the ULIP's death benefit structure). The ULIP's own death benefit and fund value are calculated independently of the LADB claim.
Same exclusions as ADDB: self-inflicted injury, war, criminal acts, non-commercial aviation, intoxicants, adventure sports. Death from illness or natural causes is outside scope. Death occurring more than 180 days after the accident. The rider terminates at age 70 or at end of the ULIP term, whichever is earlier. It also terminates if the ULIP is surrendered, lapsed, or if the fund value falls below the minimum required balance.
In a ULIP, the rider mortality charge is deducted monthly from the fund, which compounds into a meaningful drag over a 20-year ULIP term. At ₹500/year (₹42/month) for ₹1L of rider SA, the 20-year opportunity cost at 10% fund return is roughly ₹30,000 per lakh — which is still far less than the rider SA itself. The protection is worth the cost. But ULIP holders should be aware that every deduction from the fund is a small reduction in compounding.
LADB is relevant exclusively to LIC ULIP policyholders. If you hold a LIC unit-linked plan and want accident death cover, LADB is the correct product — the traditional ADDB and AB riders cannot be attached to ULIPs. The same risk-profile logic as ADDB applies: physically exposed earners, daily commuters, solo vehicle operators, and sole breadwinners with dependants benefit most. Like ADDB, LADB covers only accidental death (not disability), so ULIP holders who want both accident death and disability cover should supplement with a standalone personal accident policy from a general insurer. Not relevant for holders of traditional (non-ULIP) LIC policies — use ADDB or AB instead.
Rider charges in a ULIP are deducted from the fund and are not separately deductible — the §80C deduction applies to the overall premium paid into the ULIP, inclusive of all charges. Accidental death proceeds paid to the nominee are tax-free under §10(10D).
Asymmetrica isn't an insurance advisor. The analysis above is editorial, sourced from published LIC brochures. Verify eligibility, current rates, and plan-specific conditions with LIC or a licensed advisor before purchasing.
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