Coffee Powder? Here You Go.
Now, How About Some Jeevan Anand “To-Go” With It?

by Vinaya HS on August 31, 2012

in Finance

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I simply love coffee. You can hook me up permanently to a Coffee-IV and that would be a debt which I can never hope to repay.

Jokes apart, there’s this coffee bean grinding place near D’s place that dishes out some exceptionally aromatic coffee powder. I’m hooked to that coffee powder but unfortunately the owner of that place also happens to sell LIC policies on the side. You can almost predict what would happen in such a volatile situation!


After a few visits and chit-chat that confirmed my status as a “prospect”, I was pitched a “Jeevan Anand” life insurance policy — the once-in-your-lifetime saving-plus-investment-plus-insurance opportunity.


I’m beginning to think that “Jeevan Anand” is almost as good as God (not Gold). It’s invisible, omnipresent, and will have you begging for mercy each morning.

What do you think?

I’ll tell you another day about this email I just received where both the husband and wife have individual Jeevan Anand policies (for a total annual premium of about Rs 1.35 lacs) and they don’t know why they took the policies (“the agent sold it to us” is what I read).

So, coming back to my story, here’s how I escaped with just my coffee powder –

“I already have a Jeevan Anand policy for Rs 5 lacs for which I am paying a premium of Rs 25,000-odd each year. I’m already finding it difficult to pay that annual premium given all of my other EMIs (car loan, personal loan, etc.).

So, unfortunately, I will not be able to buy another policy at this time even though I know that my insurance cover is abysmally low. But once my EMIs are over in a few years’ time, I will definitely buy another Jeevan Anand policy from you.”

That did the trick.

And since I’m in a jokey-mood, here’s another one.

A business model for Starbucks in India — A Jeevan Anand “To-Go” with Your Espresso.


Thanks for reading this article. I'd love to hear your opinion. Please use the comments section below to share your thoughts. I frequently write new articles that also cover several other aspects of personal finance including credit cards, financial goals, health insurance, income tax, life insurance, mutual funds, retirement planning, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

{ 13 comments… read them below or add one }

Rakesh August 31, 2012 at 8:29 PM


Good one… LIC has got a great reach now…… Few years back this was unheard off.
Very soon we will find the local newspaper, milk, Grocery vendor selling such policies too and would give discount too for buying the policy.
God save the people……..

raghu September 1, 2012 at 11:43 PM

I hope agent would have gone silently without asking anymore questions isn’t?

Srinivas September 3, 2012 at 12:49 PM

One added benefit of financial literacy is that one can say NO appropriately without hurting other’s sentiments.

Ashwin September 5, 2012 at 7:55 PM

I am stuck with my JA policy :( I can’t even cancel bcos my dad doesn’t let me do that!! What is the premium, you ask? Its insanely high! I can’t reveal it in public, just to save meself from ridicule!!

Rakesh September 5, 2012 at 10:57 PM


You are not alone, there are many like you who have this policy. You need courage to sell it at a loss. Act now, you won’t repent later.

Roberto el Sandriano September 6, 2012 at 9:26 AM

I am a coffee freak too. Do come to my place whenever you are in Hyderabad. My wife makes great coffee. I bet you would like it.


Vinaya H S September 6, 2012 at 1:24 PM

@Rakesh –

That would indeed be one scary situation. One that even God cannot hope to save us from. :-)

Vinaya H S September 6, 2012 at 1:27 PM

@raghu –

Yep! My detailed statement did the trick.

@Srinivas –

What I’ve often seen is that just saying that you have a few EMIs that you’re finding really difficult to pay off each month seems to solve most such problems. The other trick that I use is to say that “my office is delaying salary payment due to recession.”

Vinaya H S September 6, 2012 at 1:29 PM

@Ashwin –

Just wait for this Friday’s post. You’ll be able to benchmark yourself…

Vinaya H S September 6, 2012 at 1:30 PM

@Roberto el Sandriano –

Thanks. :-) I’ve never been to Hyderabad before — great excuse for a trip.

Jasbir singh khalsa September 8, 2012 at 12:11 AM

Respected sir,

As you said that your main priority is to remove your EMI’s, so I would recommend you to assign your jeevan anand policy to any financial institution and take a loan on sum assured of policy and pay all your loan. You can get upto 4,00,000

By this way you can lower your EMI’ s amount and new loan amount which you have taken by assigning a policy will be less as loan by mortgaging assets have lower interest rate. By this way your policy will continue without surrendering and you can lower down your EMI’s by paying money to them you got by assigning loan

Thank you

Vinaya H S September 8, 2012 at 7:56 AM

@Jasbir –

Thanks for the tip. But I only concocted that EMI story in order to escape from having to purchase a Jeevan Anand policy.

Praveen February 4, 2013 at 8:59 PM

Hi Vinay,

I learned a lot from your blog. I never took one LIC. I feel lucky.

My friend hold a New Bhima Gold for which he pays a premium of Rs 35000 per annum. He completed 2 year payment.

After my advice he need to quit this.Like any one it was mis-selled by his relative.

I told surrender as well as paid up option. But one of his friend told that it is better to collect first money back installment and stop paying there after.

What would you suggest.


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