LIC’s Bonus rates for 2013-14 and Comparison

LIC declared it’s bonus rate on 6th September 2013. So let us see some big movers and changers this year. Surprising factor this year is the Jeevan Saral. I updated the comparision from my old post to till this declaration. I also highlighted with red colour wherever I found some changes in rates.

Note-LIC declared bonus rates for 2014-15. You can view the details in my recent post “LIC’s Bonus rates for 2014-15 and Comparison“.

LIC Bonus rate for 2013-14

You notice from above table that bonus rates are kept as it is for most plans. But major changes are for plan Jeevan Anand, Jeevan Tarang, Jeevan Shree 1 and Jeevan Pramukh. Hope policy holder will rejoice ๐Ÿ™‚

Below is the LA table for Bima Nivesh and Komal Jeevan.

LIC LA Rate for 2013-14

Now the surprising part about LA declaration will be about Jeevan Saral. Last year LA was declared based on the term of the policy. But this year LIC classified LA rate based on term and premium payment slab also. Below is the table showing the same change.

Jeevan Saral LA Rate for 2013-14

Hope I furnished the full details about the same.


408 thoughts on “LIC’s Bonus rates for 2013-14 and Comparison”

  1. abhijit chakraborty

    i am having a jeevan saral with yearly premium of 72000. policy term 12 years.
    what will be maturity amount approx?

  2. sir myself having a jeevan saral plan for 15,years my yearly premium is 12254/- at the age of 26 in the year 2013
    my question is to u that can u give me an idea that how much I will get after maturity period

  3. Hi,
    I am having a JEEVAN SARAL policy from LIC. I invested Rs 42035/- per year and 20 years plan.
    Can you please confirm that how much amount i will get after mature.

    As per current market i can get max if i was invested 20 years back.


  4. I have Lapsed Policy (Lapsed since 11/2011) from LIC (Jeevan Saral) 165-25-25 with assured sum of rs 5,00,000/-.
    LIC has recently sent a revival plan (Of course with a certain Late Fee).
    Is it advisable to revive the Policy?
    Do You Need any other information to answer this query?

  5. arun kumar sengupta

    1. 551480396- endowment 25000 28 oct-2001 yly 28.03.2016
    2.556840352 samridih plus 25000 20.4.11 yly 20.4.15
    3.556841254 -do- 25000 10.5.11 10.5.15

    though the policy no 2&3, maturity date is 20.4.21 & 10.5.21, The RANCHI AGENT TOLD ME THAT IT CAN BE TAKEN THE MONEY AFTER 5 YEARS PAYING.





  6. Hi Basavaraj,

    I need your help regarding my investment of close to Rs 49000 /yr for 20 yrs sum assured 10lacs back in 2008 in ING product, now known as “Exide Life Creating Life Child” . Frankly, I was quite novice while opting for it as I thought of saving some money for future of our kids. Is it still a good policy and advisable to continue as I am still not sure due to ambiguity and continuously changing the policy name and market conditions.

    Thanks in advance for your help and time.


  7. I have ULIPs Yungstar Champion, Progrowth Super 2 and Wealth Multiplier by HDFC and Exide Prime Life. I have appx 5 years pending till maturity. Should i continue these?

      1. Thnx for ur kind reply. If i compare with FD returns @ 10%, then i am at loss for last 5 years or u can say since commencement. I am not getting desired returns, and if i surrender, then they will deduct Surrender Chares as well. So, i want an advise on this. Thnx

      2. I did get call for Plan 814 The callers Mahi Sharma and Mayank Jaiswal say they are from LIC connugt place . Numbers called from 919711654717. They are aslo saying a person from LIC office Pune Shivajai nagar branch MR Prakash witll come for the document collection. And we can verify the ID .The Juicy offer is the Agent commision amount is being credited to policy holders account. 20% in the Ist year, 10% for the remaining years. Can LIC confirm this is true and correct, It sounds correct but I have my own doughts. How do you verify the Valid ID card.

  8. Hi,
    I have jeevan shree policy since 2000 and have been paid all yearly premiums. Can i withdraw money after surrendering teme in 2016 or will i have to keep is as a floater till next 9 yrs.

    1. Yes, precisely. I was told that one can withdraw money post 16 yrs (after paying premiums) and surrender this scheme or else can keep it as a floater for next 9 years and take some extra amount after 25 years. So my query is
      1) can i withdraw the money and surrender this policy. Leading to a closure
      2) If yes, what money will be there lump sum (16 yrs)
      3) If no, than what would be the total amount payable after 25 years
      Premium being paid by me was 24423.

  9. Bhupinder Gupta

    I have Jeevan Shree (T No 112) taken in 2001 for Rs. 500,000. Term 25 (premium paying 16)

    Can you please share the approx amount that I will get after 25 years?

  10. sir, in 2008 i have taken jeevan anand(958/- monthly) and jeevan mithra(814/- monthly) policies for 250000/- each at the age of 29years. now i am planning to surrender the above policies and the same amount invest in mutual funds.i had 35,00000/- term policy, 50,00000/- accidental policy and 300000/- family health policy. so i need only please advice how much amount i will get whether surrender above endowment policies. suggest will i continue or surrender.
    thank you

  11. I have a Jeevn Shree (T. No. 162). Sum assured is 5,00,000. Policy Term is 20 and payment term is 12. My premium is 36490. The policy started on 2007 and as of today I have paid 8 years premium. But my vested bonus is showing just 47000 in lic portal. I think it is wrong. Can you please help.

      1. Thanks Basavaraj for response. We dont have an option to see it that way. My understanding till day was it should display the vested bonus accumulated till day. Since I have paid already for 7 years, I guess it should be more than just 47 K.

        1. Also adding to above. The benefit of the policy says there will be bonus based on the rate (for every thousand of sum assured). Also for this policy there is some bonus based on LIC performance. Not sure whether these things had any impact in less vested bonus.

          Also I paid my second installment for this FY just today. Not sure how exactly their site works. May be they will do the calculation only after full payment for current FY

  12. Hi Baswaraj,

    I have two (one for myself and the other for my wife) LIC Jeevan shree-1 TA162 policies, started in the year 2009 with 25,000 premium each (sum assured is 5 lakhs). We have paid 5 yearly premiums so far. I decided to invest in mutual funds rather than LIC policies to face the inflation and take term plan for insurance purpose. one LIC premium replaced with term plan and other premium with mutual funds.

    I am planning for paid up of these two policies. Is it a good idea ?? (OR)
    take a loan on these policies and invest the same in mutual funds ??
    I know that surrendering policies will give only 30% of amount back.

    Please let me know your suggestion.

    1. Srinivas-You said that started these in 2009. First check out both surrender or paid up. Then think which is feasible to you based on your financial situation. Otherwise share the two values here again to discuss further.

  13. Hi Basavaraj,

    Hope you are doing well.

    I am taking New Endowment policy (814) of LIC. Plan details is
    Yearly premium 61150 yearly (including S.T.)
    Terms: 30 years
    My Age: 26 years

    As per the LIC executives and one financial adviser the return which I will get is more than 70lakh. Is this really I am going to get OR this amount is just to make me impress?

    Your advice will be well appreciated.


      1. Hi Basavaraj,

        Thanks for replying.

        Sum assured is : 2000000
        Rev Bonus rate is 48/1000
        FAB taken is 1150

        Kindly let me know will I really get this amount. If I get can 60+ lakh on maturity than also I am happy with this plan.. But will I get ?

        Please advice.


        1. Ankur-Great to know that you are very much satisfied with even Rs.60,00,000 too. Do you know the return? It is around 6% to 7%. So with kind of inflation of around 7%, do you feel you can sustain financially in long run? I feel the FAB is exaggerated a bit. But even if we consider that correct, the return on investment is not at all worth to invest for so long and expect 7% return. It is your money and you decide ๐Ÿ™‚

          1. Hi Basavaraj,

            I agree with you. I am actually not aware of the inflation rate which is going to come. I wanted to take a policy in which i can secure my life after retirement.I know it is a very long planning but I am looking for some policy/investment in whch i can get good return plus guranteed return (atleast 80% guranteed).
            If you could suggest me any policy or investmentย which can fulfill my requurements that would be a great help from you.

            Also i wanted to ask is it good to invest in PF account which is linked with my salary. If I increase my part of share in PF, will it be a good idea as there the interest rate is 8.75% plus it is secured n guranteed too.

            Kindly guide.
            Thanks for continuos reply.

          2. Hi Basavaraj,

            Can you please tell me any other plan which can give be better returns and guranteed returns( atleast 80% guranteed). I can invest for 20+ years tenure.

            Also is it good to invest in EPF account. As it provide 8.75% of interest.


            1. Ankur-When you are investing for long term then you must understand the meaning of inflation to your investment. So EPF or PPF are good. But parking all your money into such debt products is not wise. Instead, if your time horizon is 20 years then select 1-2 mutual funds (equity oriented) and start investing. Then see the magic of equity and compounding at 20 years.

              1. Alrighty Sir… As you suggested, I am not taking any of the LIC policies for investment purpose (taking term plan for risk cover purpose only).
                As per your suggestion along with EPF/PPF I will also invest in mutual funds (equity oriented).

                For that case my last query is.. Can you please help me in providing any of the good policies for investing in Mutual funds which can give good returns and a bit guaranteed too. ๐Ÿ˜›

                Thanks a lot ,
                Ankur Mathur

                1. e good policies, I mean to say nane of few of the good policies so that i can i can put my efforts in r&d ofย only nice policies provided by you.

                  Thanks Sir…Byprovidingfewoft

  14. Name : BIDHAN DAS
    Hi Basvaraj,

    I have bought Jeevan Saral and here are the details:
    Age : 34
    Policy : Jivan Saral (165)
    Commencement Date: Jan 2012
    Terms : 35 Years
    Mode : Yearly 60000/-

    If I wish to continue upto 3 years, how much i will get (all total)?
    If I wish to continue upto 10 years, how much i will get (all total)?
    If I wish to continue upto 25 years, how much i will get (all total)?
    Also, is it beneficial to stick to the plan?

    Your help will be grateful


  15. I took a LIC Endowment policy (with profit) in 2013 at the age of 25 with half yearly prem. of Rs.31820 for 15 years, maturity will be after 20 years of which no prem has to be paid for last five years. I was told it would fetch me about 25 lakh on maturity. Could you please confirm it?

  16. K Rama Koteswara Rao

    Sir, I own an old Jeevan anand plan in 2010 at the age of 32 ( 22550 / year for SA 4 lac in 20yrs ) .

    1. Is editing possible in my plan, can i reduce the term period to 16 years by changing premium amount. ?

    2. Is this is an good idea?

    Dr. KRK Rao


  18. sir, i have taken new jeevan anand for 17 years of s.a 400000 on yearly premium rs.30366.plz reply how much i get on maturity

  19. Hello Basavaraj Tonagatti,

    I request you to please help me regarding a couple of policies and their maturity:

    1) BIMA GOLD
    (PREMIUM: 81,870/-, TENURE: 20 YEARS, SUM ASSURED: 25,00,000/-, DATE OF COMMENCEMENT: 28/03/2006)
    I am told that there is LOYALTY ADDITION at the end of the tenure. How do I calculate the Loyalty Addition?

    FINAL MATURITY IS ON 28/02/2031.
    I am told there is a FINAL ADDITIONAL BONUS at the end of the tenure. How do I calculate the Final Additional Bonus?

    Different people give me different views and opinions. Kindly help me to know an estimated figure and if possible please direct me to a link for absolute certain clarification.

    1. Varun-FAB is one time payment. They pay you either at claim time or maturity time. It is usually per Rs.1,000 Sum Assured. Suppose you have Rs.1,00,000 Sum Assured policy and LIC declared FAB of Rs.200 then you will receive Rs.20,000 as FAB (one time).

  20. i purachased a jeevan anand…sum assured 13,0000 for 15 years…annual premium is close to 1,00000.
    already paid 2 premiums.How much money will i get after 15 years ??

  21. Hello,
    I have read this blog as well as the comments on this blog.
    I have a question regarding Jeevan Anand just like all others.
    I have a LIC Jeevan Anand for the sum assured 10L, for which I have been paying premium of Rs. 4ok every year, and 4 premiums paid.
    I have gone through your blog as well a few others like JaagoInvestor and understood that its not good to mix investment and insurance, and that is very clear to me now. And I have almost decided to come out of it. I have a question –
    Lets consider this scenario,where think of this Jeevan Anand just as investment (since I had already paid some premiums).
    As per the agent and a few sites on the internet, after 25 years (20 yrs from now), I will get around 24 L as maturity amount, and cover of 10L still continues.
    Now, lets say I come out of it, I had already paid 1.6L and I will only get 80k.
    Now, lets say I put this 80k in the PPF as starting balance, and keep putting the same 40k per year also to the PPF, considering the 8.7% interest rate, it will become approx 25L after 20 years.

    So, don’t you see not-much difference between the two?
    Or 24L claim by agent etc is not at all true?
    I know the maturity values depends on bonus and FAB, but still is it far away from actual maturity value?

    Please resolve my final concern.


    1. Deepak-Currently Jeevan Anand bonus rate is Rs.48 and if we consider the same then bonus accumulation from this policy will be Rs.12,00,000. So in all probability you will receive around 23,00,000 (SA+Bonus+LA if any). So it is close to what your agent claimed. Now coming to your point. Difference you forgot is, in the beginning itself you are less investing to PPF than Jeevan Anand. This loss of Rs.80,000 will be compensated for you with the cost of actual return. Even though you feel neck to neck compare, but I still feel that it is not worth to get around 8.7% also for long term investment like 21 years. Even if you opt a balanced fund, your return will be anywhere between 10% to 12%. Why to stick to debt when your investment horizon is so long??

      1. Hi,
        Thanks for the reply.
        Let me make my query a little more clear.
        I have this policy bought 4 year back, 4 premium paid, and at this point of time, I am thinking whether I should continue or come out of it ??
        Secondly, PPF comparison was done to check whether the same money can make more or less?
        So, starting from 4 years back —>
        If continue with policy – around 23L (investment is 10L) – profit is 13L
        Discontinue policy – PPF gives me 25L (considering the same amount to be invested every year, and 80 k (1.6L paid – 80k return now) as initial investment) – profit is 15L

        So, this is only thinking about investing the same money somewhere else or continue the policy?
        For the non-debt investment I am going to plan separately.
        Still good idea to discontinue the policy?


    Tenure: 11 years
    SA:24 lacs
    Consider policy was in force till its last premium and I
    opted for ” Enhanced Cash “” option on maturity.
    Pl. tell me how much i will get after maturity.

      1. Dear Mr. Bsavaraj Tonagatti,
        I understand your comment.But request to little elaborate by calculation as i opted for enhanced cash option at the end of maturity.Already Revisionary bonus is declared at3% guranteed till 2021.I await your valuable reply.

        1. Asim-My answer is already predicted by the declared guaranteed revisionary bonus. Hard part for you that you already committed a mistake. If you need elaborate calculation from my end then can you share me the historical bonus values of this plan? Doing research before buying is wise than after buying it.

  23. I purchased two policies in 2011 and both are Jeevan Saral (165). 1st policy with annual premium of 25000 and second one with annual premium of 36000.
    I wanted to know whether i can club these two polocies. If yes, what should i do? The reason why i’m asking this question is , the bonus rates and loyalty additions are calculated based on this premium amounts.

    I observed in the bonus declaration chart , if the premium ammount is greater than 50000 then the loyalty addition per 1000 MSA is more.

    Could anyone comment on this?

  24. Any idea on the loyalty addition declared for Jeevan Saral policy? Mine is a 16 year policy started in 13/05/2004 (at age of 26) and paid quarterly. I have completed 10 years. Premium paid 24500 per year
    I want to know the total amount i can get if I cancel this policy now.

  25. Hello,

    Could you please guide about Jeevan Pramukh policy? I was enrolled in that policy in 2010 for 175000 annual payment for 5 years. Policy matures after 25 years. I have paid all 5 installments now. After reading the post it seems that I will get less money than if I have made a fixed deposit. If I want to withdraw from a plan, what amount I will get back? Could you please elaborate more about the plan? Is the plan is for business personnel and not suitable for ordinary people like me?

    I would like to thank you in advance.

  26. I have a 20 year money-back policy with profits and acc. benefits started in 1999 and my wife has a Jeevan Surabhi (25 years) with profit. I received phone calls supposedly from IRDA executives on 9th and 10th October saying we are eligible for loyalty additions on these two policies and that it is due on 21 Dec 2014. But they say we have to keep a security deposit of Rs. 30,000/- and this has to be in the form of a policy from Reliance Insurance Co. How can I find out if this is a spurious call or not? These people knew our land phone and also the details of our policy. They say our money was invested in Reliance and as we are not registered with Reliance we have to go through this procedure. Can you please throw some light on this? And are all policies eligible for loyalty additions?

    1. Raghuveer-At first instant it is pure spam call. Because no one from IRDA will call you or insist you to buy. So just neglect it and if person insists you again and again then simply complain with police by providing the received number.

      1. Dear Sir,

        Thank you very much for your prompt reply confirming my doubts. But just one question – does LIC give loyalty additions on only certain policies or on all plans?

        Best regards,

  27. Dear Sir,

    I purchased policy Jeevan Anand (T. No. 149) sum assured 15 lacs tenure 25 years @ age of 22.

    Currently i am paying anual premium of INR 58358.

    Please advise at the maturity what amount shall i get including all bonus or benefit (if any).

    Further please advise whether to carry with this plan or can i surrender it and shall take term plan. (VESTED BONUS on this policy is 142500 for 3 years whether i will get anything in case i surrender the policy, if yes what will be the amount i.e. surrender value???). Have paid premium for 3 years (58358*3) INR 175074…

    Appreciate if you can alsoo give reply on my personal mail ID [email protected]

  28. Hello i am 34 yrs old planning to get endowment policy LIC 814. My premium is 144,000 per year for 16years. What will be the return on the policy? how much will i get approximately after 16 years. Is this a good plan? My agent is offering me 15% discount on first year premium. Is this a good discount? In the past I’ve received as high as 35% discount.
    Please advice.

    Many thanks

    1. Gaurav-First ask yourself why your agent luring you by offering 35% or 15% of commission payback? Also what he is doing is illegal. So if knowing this he is doing means he is trying to push a dummy product. Rest is left with you.

  29. Mr Basavaraj Tonagatti, I seen all the above comments given by you, All the comments given by you are negative. How can you compare a Banana with an Apple, There is no comparison. LIC Gives insurance but in PPF there is no insurance.
    If a person bought LIC’s traditional plan, He pays only Approx Rs 5000 for 1 Lac Sum Assured. If Any thing Goes wrong, the LIC Would Pay him Rs 1Lac in Natural Death and 2 Lacs in Accidental Death. Then Return would be 2000% in Natural Death Case and 4000 % in Accidental Death case.
    In second year Returns would be 1000% in Natural Death Case and 2000 % in Accidental Death case.
    In Third Yr year Returns would be 666% in Natural Death Case and 1333 % in Accidental Death case.
    In Fourth year Returns would be 500% in Natural Death Case and 1000 % in Accidental Death case.
    If nothing goes wrong. then 7% on maturity.
    If a person is taking LIC for 20 yrs, Then LIC is Better then any other Investment for 19 yrs 11 months and 29 Days.

    But in PPF returns are 8% in First yr and also 8% in Last year.

    1. Pankaj-How about PPF with 8.7% and Term Insurance where you will get the same % of benefits in case of deaths?? Please exaggerate the things to benefit for yourself. What do you mean by 2000%, 1000%, 666% or 500%? First understand the basics of insurance and try not to mix the benefits. At end you are claiming returns will be 7%…do you know the effect of real return??

  30. Hi Basavaraj

    Do you know about the ATM plan (table 165) and whether its worth the return?

    It was recommended by an agent for younger adults as it provides insurance as well as a good return. Can you provide some representative returns on a 4000/month plan over 10/20 years?


  31. Sir,
    I will like to take Lic New Jeevan Anand plan for 26 years term.Sum Assured=10,00,000. Now my age is 27years,
    What will be maturity amount after 26 years.
    Please let me know.


  32. Dear Sir
    i m kuldeep singh lic agent from Delhi ,which lic plan do u suggest ,if anyone invest in lic
    i don,t want to make people foolish,please suggest which plan gives us good return
    please please

  33. Sir,

    I am interested in Jeevan sugam policy which is newly introduced plan by LIC. Please suggest is it good decision to invest in this plan.

  34. Dear Sir,

    I hold Jeevan Saral policy from last 4 years.

    Age while enrolling policy:26
    Premium : 36030 per annum
    MSA: ~ 13,28,000.
    Term: 30 years.

    I am interested to know the matured amount when the policy term is completed (i.e. 30 years). As per my knowledge I am expecting the below amount assuming I pay all the premiums, correct me if I am wrong??

    Maturity amount has 4 components :
    2. LA
    3. Final Additional Bonus (FAB)
    4.Bonus (if any)

    Maturity Amount = MSA + LA + Final Additional Bonus (FAB)+Bonus (if any).

    Component 1: MSA ==>13,28,000

    Component 2:LA ==> 1328 * 35 * 30 = 13,94,400 (where did I get the number 35 and why I am multiplying it with 30 ?? For 10 years jeevan saral policy LA is 350 for my premium amount i.e for year I am assuming it as 35 and multiplying it with my term period.)

    Component 3: Final Additional Bonus ==> As per the chart given in this link under FAB section.
    750 per 1000 of MSA.
    so FAB = 750 * 1328 = 9,96,000

    Component 4: Bonus (if any ) = 0 (ZERO).

    so Maturity Amount = 13,28,000 + 13,94,400 + 9,96,000 + 0 = 37,18,400

    This maturity amount 37,18,400 is approximately 7% return on my investment. Right??

    Is this policy applicable for FAB??Please correct me If I am wrong in my calculations??

    Best Regards,

    1. Badri-LA changes as term of policy changes. So it is wrong to consider 10 year LA for 30 years policy. Also each plan is unique and there is no guarantee that it must contain LA, Bonus and FAB. So first understand the basics of Jeevan Saral.

      1. Thanks a lot for your quick response.
        Q1)Does Jeevan Saral policy provides Final Additional Bonus or not??I am under the assumption it provides FAB.
        Q2)Regarding LA , can’t I expect its value to be at-least 1000 for term of 30 years??

        Q3)In case FAB is also zero.What is the expected maturity amount?

        Maturity Amount = MSA + LA = 13,28,000 + 1328*1000 = 2656000 which is 5.5% return.

        Best Regards,

        1. Badri-For your information this plan does not offer any FAB. Also FAB is not a great game changer. Even if you expect Rs.1,000 LA then do you feel it is worth to continue? Now your calculation seems to be correct. If you satisfied with 5.5% of return then continue.

  35. I have a Jeevan Shree Policy taken in the year 2001. It was a 20 year term with 12 year premium payment. I have paid all due premium for the 12 years. My question is how much I will get back, taking into account the guaranteed payment, loyalty addition. How much likely would be the loyalty addition (based on the previous year’s declaration by LIC). Whether FAB – final additional bonus is payable for this policy, if so how much is payable to me.

    1. Hi Sir,

      What are the risks that are covered for term insurance of LIC being high premium comparatively of other private insurers. Please send elobrately to my mail id if possible?


  36. Hi,

    I am 33 years.

    I had taken a Money back Endowment plan in December 2010 forthe premium is 45,000 per annum.

    Start Date Sum Ass Yly Prem Maturity Pol Yrs Ttl Prem
    Dec-10 1,15,000 4,464 Dec-35 25 1,11,600
    Dec-10 5,15,000 19,992 Dec-35 25 4,99,800
    Dec-10 6,70,000 21,687 Dec-40 30 6,50,610

    The above is without Annual Bonus and Final Bonus.

    Question 1
    Should I continue with the above.

    I also started Jeevan Anand in September 2010- actually I had asked my agent to give me a Pension Plan broken into 2-3 policies with premium payable for 25 years on all the 3 policiesbut he gave me 18 policies with first maturity on 2037 and 1 policy maturing every year thereafter.

    The premium annually on Jeevan is Rs.1,50,000. I was told that I would have to pay premium upto 25 years and from then on for another 18 years till age of 75 years, the premium would be serviced from my Pension Receivable. As it turns out now, there is no pension and its actually like 18 Endowment policies. The Date of Last Payemnt of Premium on the policies maturing after September 2038 is September 2039 through September 2054.

    Start Date Sum Ass Yly Prem Maturity Pol Yrs Total Prem If Prem Ends at 25 Yrs
    Sep-13 3,10,000 13,182 Sep-38 25 3,29,550 3,29,550
    Sep-13 3,00,000 12,146 Sep-39 26 3,15,796 3,03,650
    Sep-13 2,95,000 11,695 Sep-40 27 3,15,765 2,92,375
    Sep-13 2,85,000 10,801 Sep-41 28 3,02,428 2,70,025
    Sep-13 2,80,000 10,163 Sep-42 29 2,94,727 2,54,075
    Sep-13 2,75,000 9,581 Sep-43 30 2,87,430 2,39,525
    Sep-13 2,65,000 8,873 Sep-44 31 2,75,063 2,21,825
    Sep-13 2,55,000 8,204 Sep-45 32 2,62,528 2,05,100
    Sep-13 2,45,000 7,599 Sep-46 33 2,50,767 1,89,975
    Sep-13 2,45,000 7,324 Sep-47 34 2,49,016 1,83,100
    Sep-13 2,45,000 7,075 Sep-48 35 2,47,625 1,76,875
    Sep-13 2,40,000 6,697 Sep-49 36 2,41,092 1,67,425
    Sep-13 2,35,000 6,341 Sep-50 37 2,34,617 1,58,525
    Sep-13 2,35,000 6,148 Sep-51 38 2,33,624 1,53,700
    Sep-13 2,30,000 5,838 Sep-52 39 2,27,682 1,45,950
    Sep-13 2,30,000 5,697 Sep-53 40 2,27,880 1,42,425
    Sep-13 2,40,000 6,006 Sep-54 41 2,46,246 1,50,150
    Sep-13 2,45,000 5,989 Sep-55 42 2,51,538 1,49,725

    Total 46,55,000 1,49,359 47,93,374 37,33,975

    Question 2
    In the above actual scenario now wher I have been given Jeevan Anand policies istead of a Pension Policy, will I have to actually have to pay the premium til September 2054? If that is the case, my total premium(second last column) is actually higher than the Sum Assured (without considering the yearly Bonus and Final Bonus)?

    I feel that I have been cheated by agent and thinking of not paying the premiums.

    Question 3:
    Can I convert this to a single Endowment policy and continue the premiums so that I dont lose my first year’s premium

    Question 4:
    Should I forgo the first year’s premium on The Jeevan Anand policy?


  37. sir, I have a jeevan shree policy started sept 1996 with HLY premium Rs. 12941/- paid for 16 yrs. now policy is running with out paying premium for next 9 yrs. pls suggest , what will by my total benefits at maturity.
    jk Dhaka

  38. Sir

    I have following policies from LIC as on date

    JEEVAN MITRA ( Triple Cover) Table no 133. Policy Term 25 years..Premium Paying terms 25 years.Maturity Value 5,00,000

    My Question… Assuming Present Bonus of Rs 50/-.. to be continued, will I get on Maturity, on this policy a total bonus of ( 5000 X 50 X 25) = Rs 6,25,000/- Kindly Confirm

    JEEVAN SHREE ( OLD) Table no 112. Policy Value Rs 6,00,000/- Premium Term 25 years, Premium Payment Terms 16 years. I was told that this POLICY earns a minimum Bonus of Rs 50/- per thousand per year. So on Maturity should I get a minimum bonus of Rs ( 600 X 50 X 25) = Rs 7,50,000/- ?

    Please clarify me, I will be grateful

      1. Thanks for yr prompt reply. Yes I do Value yr point.. Return is in adequate. In fact one cant expect a decent return from Insurance Policies.
        Could you kindly make a plan for me under which I can earn Rs 50,000 /- per month, with +/- 10% variance per month.

        Please note am 55 years , want to take early retirement, no I wont get any VRS benefit

  39. Suraj Nambiar

    Hi Sir
    Hope you are fine

    I have taken Jeevan Anand Policy in 2012 April for 15,00,000 (149) for 20 years.

    I want to know
    1/ What was the Annual Bonus declared in 2013 & 2014
    2/ What was the FAB declared last year
    3/ I have heard that after maturity , and after withdrawing my money (Sum insured + Bonus) my life cover will still be continue. And if i want I can discontinue the life cover and encash the money at discounted price. Is it true. If yes what is the rate of discount.

    Thanks for your help in advance..

    Suraj K

    1. Suraj- Please go through above information regarding bonus values for 2013-14. FAB is one time payment which will be payable at end. Also it will not be in big sum which you can expect ๐Ÿ™‚ Regarding point 3-Yes it is true, but sadly NONE from LIC know like how much one can get after maturity. If you want to cross check then you can do it with your concerned LIC agents or officials.

  40. Hello Sir,
    I contacted the LIC and they are telling it would be around 3 to 3.1 lakhs. I have already invested 4.5 lakhs till now.
    I read some where if you pay upto 12 premiums you would get back all the premiums paid till now.
    is it true? I have already paid 10 premiums so far. Do you want me to continue or take the money and invest it somewhere. That way I will atleast save 4.5 laks minimum(the next 10 premiums+ premiums for another 10 yrs as each policy matures one after another after 10 yrs ). Please let me know u r thoughts.


    1. Satya-I don’t from where you got the information that if you pay 12 premiums then you get all paid. Please share the same with me. In my view it is better to discontinue. But the decision is left with you.

  41. Dear Sir,
    I have 10 1 lakh Jeevan Anand(table 149) policy maturing for about 10 years(1 policy each year) starting from 2024.
    I had bought them in 2004. The agent at that point of time had advised me to do this way. My annual premium is around 45000. I was thinking of either surrending or reducing the tenure to 16 yrs or 21 yrs(so that I will get the money at once).
    When I contacted the agent to check whether I can reduce the tenure, he says I have to pay the extra amount not only from now but also for all the 10 years plus some fine. I’m totally confused. I have already spent around 4.5 lakh
    and if I reduce the tenure to 16 ( I have to pay double the premium + 2 lakh for the last 10 yrs)
    and if I reduce the tenure to 21(the premium is not double but increased + 1 lakh for the last 10 yrs).
    He says at the end of 16 yrs, I will be getting around 18 lakhs and 25 lakhs if it is 21 years. The reason I have chosen 16 or 21 is because he told me I would get FAB only after 15 yrs. when I checked online I see a vested bonus of 47100 for each policy. Can you please advise what should I be doing? and how much would I get if I surrender now?

      1. Sir i have a request to you that kindly take into account the lost accured bonus before giving any advice as a advice without through investogation can cause someone huge losses.

    1. My personel advice is to continue with the policy as the policy is good . Also you will lose about 500000 + charges as accured bonuses . So my advice is continue these policies as it will be lose making to fiscontinue at this point of time. But never ever get trapped in such a way and buy a pure term plan instead.

  42. DEAR SIR,

      1. DEAR SIR,

          1. DEAR SIR,
            THANKS A TON…

            1. Sonalika-There are various types of product in insurance. But basically are divided as traditional endowment plans (Insurance+Investment)-These are low yielding products due to nature of expenses and investment style of companies, ULIPs-Insurance+Investment, these are typically invested in equity market and term plans. If your agent is quoting Rs.22 lakh then let him do his calculation and do share the same with me for further discussion.

  43. Hi ,
    Sir, i have a rs 330000 money back policy. I am paying yearly rs 20722. How much bonus I will get after maturity? Policy term is 20 years. Is it better than provident fund investment?

  44. Sir, I’ve taken an endowment policy in LIC for 10 years on august 2004. The sum assured is Rs.75000 and I’ve availed loan for Rs.48000 on march 2012 and did not pay interest. If I surrender now as 2 months before of maturity date how much amount I can get sir. Kindly reply sir.

      1. Sir, excuse me, Please reply this one time alone. If I did not avail any loan and no surrender what would be the matured amount.

  45. Hi Basu,

    May I know how to get loyalty addition information of Jeevan Saral? And is maturity = Guaranteed + LA ?

    For Example:
    For Anual Premium of 4704, Guaranteed Amount for 10 Years = 43360.
    As per LA give on this page for 10 years, Maturity = 43360+250*98 = 67860 (98=((4704/12)*250)/1000).

    Is my understanding is correct as above example?


  46. Dear Sir,
    I would like to know about that the Jeveen Sarel Plan is better than to Other L.I.C Plan for Endorsement Purpose of Long Term Period product. Could this Plan has been covered the Accident Benefits, if my age is currently 27 years old and I have buy this plan previous year of Rs. 10,00,000/- and yearly premium paid of Rs. 48040/- Then this plan has been covered the Accident Benefits, if yes so please tell me about.
    Thank and regards,

    1. Rohit-This plan is same like any other typical traditional plan. So return will be around 6%. Hence in my view for long term investment, it is not a good choice. Why you are so bothering about accidental benefit? Do you know accidental insurance of Rs.10,00,000 in market available at as cheap as at Rs.700-Rs.800 per year?

      1. DEAR SIR,





            THANK AND REGARDS,


            1. Rohit-Never ever combine your investments with insurance. So in my view no policy is good for providing your maximum benefits. When you are eager to buy term plans then why you are going for a traditional or ULIP plans??





  47. I have a small querry As per jeevan saral plan the LA is to be declared after 10 years. Now as the plan is launched in 2004 it is due in sept 14/oct.14. How they have declared LA for 10 years, 11years,12 years as no ane has completed 10 years

      1. Thanks dear Basavaraj for quick reply.

        But it means for jeen saral which is completing 10 years in Sept/oct 14 they have declared LA in advance and similarly for 11th and 12th year in advance?

  48. sir
    lic has declared L.A. for jeevan saral i.e. rs 350 for 10 yrs, rs 375 for 11 yrs and rs 400 for 12 yrs ( for yrly prem of 20000 to 50000). now is that means that each years L.A (after 10th yr) separately added on or only the last year’s L.A will be calculated for a 12 or 15 yrs policy?

    1. Soumya-LA is one time payment. So suppose you have plan of 15 years term then during maturity they will check the LA for 15 yrs policy. They multiply with SA (in case Jeevan Saral it is with MSA) and will pay you the same. So it is not like bonus, which will go on add every year.

  49. Sir,

    Recently I have taken a total of 8 New Jeevan Anand Policies for a SA of 2 lacs each (Total SA = 16 lacs) with the policy term from 15 yrs to 22 yrs. I paid a premium of around 108000/- p.a for these policies. I have a son, who is 3 yrs old now and basically I took these policies for my child’s education, since the 1st policy matures at 15 yrs when my son would be 18 yrs old. The agent told me that I have to pay only for 15 yrs but in the bonds the premium payment term is 22 yrs (After 15 yrs, with reduced premium each year). As per the agent the total maturity returns from these policies is around 40 lacs + 20 lacs life time risk cover, but as per my calculation it is around 3020800 (48/- for every 1000/- SA) + 20 lacs lifetime risk cover. I recieved my policy bond last week so I have 1 more week to decide before the free-look period is over. I have couple of queries for you

    1) Does New Jeevan Anand policy has good returns and better suited for my child’s education? what exactly would be my returns after maturity (from 15 yrs to 22 yrs)?

    2) Does this policy has any terminal/Persistency bonus? If yes what is the interest calculated?

    3) There is a new product from Exide life insurance (Previously ING life Insurance) called New Creating Life Plus. How is this product compared to New Jeevan Anand? and whether I should cancel LIC Policy and take this new Creating Life Plus plan for better returns??

    Eagerly waiting for your reply

    1. Sameena- 1) Jeevan Anand is a typical traditional plan. You can expect around 6% to 7% of return. So considering the education inflation (which is around 8% to 10%), how you be able to provide enough cash to your kid’s future education??
      2) There is no interest. But they declare interest yearly (it is simple but not compounding).
      3) In my view the best option is to buy term insurance and rest even if you invest in simple and secure product called PP, then you earn more than these typical traditional plans.
      Now the choice is your’s.

  50. bhuvnesh Sharma

    I have 2 policies on my name , jeevan anand and a money back policy, and one on my sons name on which I am am paying the premium. (sum assured 100000 each)
    The thing is that received call from Mumbai LIC office saying that I have I have got LIC loyalty additional benefit on all the policies (on my name + sons name + wife ) and they have provided me with some figures that I will receive.
    They also say that the agent has informed them to cancel the bonus and that the 40% will be given to agent if I agree to cancel the Royalty addition bonus .
    and that the LIC has tied up with HDFC and that I should be holding policies in both this companies if I want to get the royalty benefit. and that I should take a HDFC policy of 26,000. to avail this benefit.
    Now my question is id this true that the lic pays Royalty additional benefit any time .or this call is fake just to get the HDFC policy. no written communication in this regards only telephonic conversation do help me as the other guy is rushing and says that he cannot hold my file for long .
    can you please give me your mob. no. to have a conversation. URGENT

    1. Bhuvnesh-A typical spam call to sell you HDFC product. Never ever take any action. If you once again receive the same call then just inform that guy that you are going to complain with local police as well as with IRDA.

      1. Hi,

        I also received a similar call from Mumbai office and they were not selling any product to me. They just told me the same story of Agent trying to claim 40% of the loyalty benefit. They told me a date and that I would receive the cheque for those amount. I don’t know whether its a spam call or not..

        Does ever LIC declare loyalty benefits to its consumers?


  51. Hello,

    I have Jeevan Saral policy termed for 30 years and I started this policy in 2009 (Paid Premium) with yearly premium of 60050. I am looking forward to surrender this policy. Could you please tell me how much I will get back. I am not in India so I could check at LIC office. This policy is still active with all premium paid.

    Sushil Diwan

  52. Sir,

    I have Jeevan Saral Policy with Policy Details-
    Start Date – 05/03/2012
    Term- 35 Years
    Monthly Premium – Rs 8,167/-
    As of now, I am not investing anything in ANY other instruments (besides an RD). I have HDFC term plan and TATA AIG Health Insurance.
    Considering this background, is Jeevan Saral a proper plan for future needs of child education & marriage ?


    1. Mukul-This is worst investment, I can say as you are investing because of your child education and marriage. Return from this plan will be around 7%. So if you are comfortable with kind of return then go ahead. If no, then better to come out after 5 years.

      1. Hi,

        I was mulling the option to reduce the premium amount from Rs 8,167/- to somewhere close to Rs 4,000/-.
        I would remain invested for at least 10 years and invest remaining amount in SIP/RD. Does this make sense now to reduce the premium amount?


              1. Hi, Yes that’s absolutely correct point and I have drawn the same conclusion that it will be better to get out of this policy. I think I should separate Insurance and Long term investments. I would do following-
                1) Exit from Jeevan Saral
                2) Invest half amount of existing premium -in equity SIP
                3) Invest remaining amount in PPF for long term
                4) I already have Term Insurance of sizable amount from SBI e-shield.

                I think it makes sense… what say?


  53. Hi,

    I bought a single premium Jeevan Tarang policy in 2008 (15 years), about Rs 3,17,000. Now, I would like to surrender the policy. What amount will I get back on surrendering the policy now? Will I receive the bonus amounts when I surrender now?


  54. Natarajamani.A

    My Jeevan shree plan (D.o.c:28.11.2001, Table-112, Sum Assured =5Lacs, Term.25yrs/16yrs) All the dues were paid without any default.
    Qn;Whether this policy is eligible to get Final Additional Bonus at the time of maturity or not?
    pl.advise me.

      1. Natarajamani.A

        you are not sure about FAB in this policy(old jeevan shree- Table-112, year-2001-Term.25yrs)?You may know details from the recent maturity claim policy holders. please sir,…

    1. Yogesh-It is based on the income they generate from the collected fund of insured. That is the reason it changes every year. Usually they declare like Rs.50 per Rs.1,000 Sum Assured per year. So if you have policy of Rs.10,00,000 then for that year bonus will be Rs.50,000. But do remember that this bonus you will get either at maturity or death of insured. They will not add any further interest on this earning. It will be simply kept in your account.

  55. chandan chaudhary

    Hi Basu…..

    Thanks for this great information that you have shared with us…

    I have invested in LIC’s 20 year money back policy with SA of Rs. 5,00,000 and paying a premium of Rs. 31,195 yearly. I have alreday paid my 5th premium in May 14 and my first money back will be due next year i.e 20% of SA.

    Currently my vested bonus is showing as Rs. 58,500. Can you please help me in knowing what amounts I will be getting on maturity of my plan and whether there is any thing else that will be received other than bonus….


      1. chandan chaudhary

        Thanks for the info. Should i go for surrender of this policy after the money back next year and invest in mutual funds or should i continue with the same policy… whether the bonus received will be tax free at maturity/surrender ????

  56. Hi Basu

    Can you please help me in clarifying my doubt below.

    I am 39 years old and have a LIC Endowment policy (Table 14) taken in 2009. Policy details are as below

    Yearly premium = Rs 1,15,873
    Tenure = 27 years
    Sum Assured = Rs 30,00,000

    So far, I have made five premium payments (Rs 5,79,365). Am yet to pay this years premium. After reading through the blog, I see that I would be at loss if I go ahead with this scheme.

    I had a discussion with My LIC agent and he was assuring me the following returns on maturity.

    Bonus : (27 * 3,000 * 75) = 60,75,000
    Sum assured : 30,00,000
    Guaranteed addition : 750 * 3,000 = 22,50,000

    In Total, am supposed to get Rs 1,13,25,000 on maturity.

    I don’t believe these returns. Can you please clarify whether this can be correct.
    Am planning to close the policy and put the money that am going to get back to other investment opportunities that is going to get me better returns.


    1. Binu-How and who gave your agent the bonus amount of Rs.75? None I am saying it once again…None of LIC plans will be currently giving any such high bonus rate. So first ask him on what guarantee that he is claiming Rs.75 a bonus rate. Again Table No.14 not involves any of Guaranteed Addition. That again a false statement by your agent. In reality the return will be around 6%. Please cross check with your agent or if possible contact the nearest LIC office (without your agent).

      1. Thanks for your inputs Basu.

        I Went to LIC Office and checked. They are also NOT in agreement with 75 as bonus rate.
        Am planning to close the account.

  57. Hi,

    Thanks for all the info. I have a Jeevan Shree Policy (Table 112).

    I pay ~25K every year. PPT is 16 years & maturity on 25th year. My SA is INR 5 Lacs.

    I am confused with a lot of conflicting data.

    Can you mail me with exactky what is it that I will get after 25 years.


      1. How do I know if mine is the old Jeevan Shree or new……I seem to have not have the plicy document. The premium slip only say 112…..thanks

                1. Ankit-Sorry for my earlier updation. This plan involve Rs.50 of guaranteed addition for the first 5 years only. After that bonus will be as per LIC declaration. There is no LA attached with this plan. So what I predicted is correct and return will be around 6%.

  58. Gaurav Sharma

    Sir there is a policy of lic Endowment Assurence Policy(T.No 14) from 13-4-11 at age of 46yr.
    The Sum Assured id 2,00,000 and no of premiums is 6 with yearly premium 35283.
    Sir want to know what is the sum i got at maturity . and Please tell me how to find this.? Thanks

          1. Sir i want to know what is the total amount i got on maturity of policy.
            and please tell me how to find out this?

  59. Pankaj Bhasin

    Hello Sir,

    I have Jeevan Saral Policy. I would like you to help me to know current IRR attached to this policy, my amount total maturity amount and relevant details attached to it like MSA, LA etc based on below information. Please help.
    Age : 27
    Policy : Jivan Saral (165)
    Terms : 35 Years
    Mode : Semi Annual 36,390
    Session Start : 2012 Sep

    1. Pankaj Bhasin

      Also, what does LIC Jeevan Saral Chart shows INR 2, 20,26,510 (assuming 10% IRR)? And how this amount is calculated?

      1. Pankaj-It shows indicative return. To make familiar about product they set minimum return and maximum return. But agents only showing you only maximum indicative return to fool you that return from the policy is 10%. It is not the case. Return from the typical traditional plans like your’s Jeevan Saral will not be more than 6%.

      1. I have Jeevan Saral (T. No. 165) for 30 years with annual premium of 60050 and my agent promised me of total sum at the end would be One crore 12 lakhs some some amount. Is that true? thanks…!!

  60. Dear Sir,

    In Jeevan anand policy, i need a clarification on bonus.

    Whether LIC pays interest to the bonus that is getting accumulated every year?

    Thanks & Regards,

      1. Syamalarao-It is simple not compounding. Suppose if they declare the bonus of Rs.50 per Rs.1,000 Sum Assured per year then this year bonus will remain same till your maturity. That is the reason these products are low yielding in nature.

  61. Hi Basavaraj,

    Its great to see how your explaining to all the query’s which we are posting, I am also the person who is confused about the LIC policies, After reading most of the replies , I have a small question: Which one is the best money back policy for short period.


      1. Thanks Raj,

        So can you please guide me in which Policy i have to invest( this is for my kids future).

        Please suggest me in which i have to invest.


        1. Dinesh-Don’t run behind products. First buy a term plan, accidental insurance, health insurance for family, create emergency fund of around 6 months household expenses then start investing on your goals. For long term goals better to go for equity mutual funds rather than such low yielding products.

  62. Hi Basu,

    My agye is 25 yr, in 2013 i hav taken a 20yr money back plan with a SA 7.5 lakh and paying anual premium 47,786,
    in which i w will get 20% on completion of 5, 10 ,15 yrs,
    My question is how much i will get after competiom of my maturity of 20yrs. Plz teel me in exact figures, exclude the amount what i will get after 5, 10, 15 yrs.

      1. he Basu,
        But my agent told me that i will be getting 15 lack on the maturity after 20yr. If u r correct then its better to surrender the policy after 3 yr, what is your opinion..? How much i will get if i surrender aftet 3yr.

        1. Harish-Let him illustrate about the return expectation what he arrived at. To be frank you may receive less than 6%. So better to surrender. Regarding surrender values, you need to visit nearest or servicing LIC branch. They will guide you in a better way.

  63. I take jeevan aanad policy with profits and accident benifits.for 20 year sum assured 100000.
    exactly how much amount I got when I dead in accedent.
    How much I got after maturity.
    pls Inform friends I am worried.

  64. Ajinkya Sawant

    I Have Jeevan Surbhi 15yrs the sum assured is 240000 and Quarterly payment is 6182. I have take this policy in the month of may i have paid app 24100. when will be bonus added to my policy and how much. is it fare to continue the policy as per the policy voucher it say you will be getting sum Assured of 240000 with in 12 years and all the bonus collected will be given at the 15th year. Is this policy is really value worth to continue in feature…….

    1. Ajinkya-This is typical traditional moneyback plan with only difference is your life risk will increase to 0.5 times of SA for every 5 years of completion. Bonus will be added after first year completion and they will intimate the same to you. This being typical traditional plan and return you can expect is around 6%. Now decide yourself whether you will be satisfied with the kind of insurance coverage and return or not then take your own call.

      1. Ajinkya Sawant

        This being typical traditional plan and return you can expect is around 6%. Means 6% on the SA every year or after completion of policy.For example i would be getting approx 14,400 per year or after 15 year i will get only 14,400

        1. Ajinkya-Return on investment always be calculated on how much you invested rather than how much sum assure they are offering you. So my calculation is on your investment but not on sum assured.

          1. Ajinkya Sawant

            Can you Illustration the 6% return by taking
            Sum Assured : Rs. 2,40,000
            Premium Paying Term : 12 Years
            Policy Term : 15 Years
            Annual Premium : Rs. 24728

  65. I am holder of Rs. 1 Lacs endowment polict for last 25 years. The policy matures in 2014. Can you please let me know thw approximate maturity value I should be expecting.


      1. Dear Basavaraj,

        I accidentally stumbled upon this Blog and am using the opportunity to clarify on a policy maturity benefit, for which I have never got a clear answer

        I have a Jeevan Shree (T no. 112), bought in 2001, with policy maturity of 15 years and policy payment term of 10 years. I paid Roughly 51000/- per annum as the policy premium. There is seemingly no bonus on the policy and I am not clear as to what should I expect as the maturity amount.

        Would u be able to clarify

        1. Ajay-Your’s is a old Jeevan Shree which instead of offering bonus will provide you guaranteed bonus of Rs.75 per Rs.1,000 SA per year. Now you can calculate yourself by multiplying with sum assured you opted along with number of years.

  66. Hi,

    I am jeevan anand policy for 5lacs since 2005 for 21years. I paid almost 9 premiums around 25464/- per annum.
    I am also holding Jeevan Kishore for my daughter 102 for 9lacs with single premium paid for 4.05lac in 2010 for a period of 25years.
    I am also holding Child future plan for my daughter t.no185 for 8lacs first premium paid in2010 for 79662 paid upto 4 premiums and 2 more to go.

    Please kindly suggest are these policies are good to continue or not, if not how much amount will get in return so that I can for some kind FD or some thing else.



    1. Anil-All the existing plans are typical traditional plans. So you can expect around 6-7% returns. So now it is your turn to decide whether these plans are relevant with the kind of education inflation around 10% these days.

  67. amit kumar singh

    Dear Sir,
    My self amit kumar Singh. i have jeevan saral policy which premium is 24260 per yrs of sum insured Rs 5 lac. my agent told me that i got 16 lac after 20 yrs. and i have already paid 3 premium. so plz tell me realy i will got this amt or not. if not how much gaurented amt will i get after 20 yrs.
    in return chart shown that u will got 10% bonus of ur sum assured. plus loylty bonus after 10 yrs.
    plz suggest me this policy is good or not for long peroid.

    Thanks & regards,
    Amit Kr Singh

    1. Amit-First thing is, in this plan apart from MSA (printed on your bond paper) nothing is guaranteed (LA). But from the current trends of LA rate we can presume that you will receive around 6% return. Agent showed indicative return of 10% which is actually meant for showing the plan feature but it does not mean that this plan will generate 10% return. In my view this is bad policy. Hence once it completes 5 years then come out of this plan.

  68. jatinder Singh

    my query is for benefit calculation of Komal jeevan
    Sum Insured 300000
    Age of child at entry 0 yrs
    Policy start date 22/04/2007
    annual premium 22114
    premium paid 8 terms

    how does LIC calculate Bonus and Loyality additions.what will be maturity benefit for above Sum Insured

    Jatinder Singh

    1. Jatinder-Komal Jeevan offers Guaranteed Bonus of Rs.75 per Rs.1,000 SA per year. So you no need to worry about how LIC calculate it. I totally neglect LA part as it amounts to few thousands at end.

  69. Mankaran Singh

    Hi Basavaraj,

    I bought LIC Jeevan Anand policy in Oct 2012 with a term of 21 years & min. sum assured of Rs. 25,00000. Annual premium amount is Rs 128448 (Rs 32112 quarterly).If i consider a conservative figure of 45 per 1000, the total shall come out to be 25,00000 + 2362500 = 4862500. Right?

    Secondly, will there be any additional final bonus added to it after maturity? If yes, How much could that be? I know its totally dependent on LIC’s annual performance, but as per previous trends taking a conservative figure, will there be any additional amount on top of the above mentioned amount?

    Please guide.

    And by the way thanks a lot, you are doing a great job & I am sure each one of us here on the blog have already started appreciating your work. ๐Ÿ™‚

    1. Mankaran Singh

      And i was told by my adviser that if i don’t intend to go for medical coverage after completion of policy tenure of 21 years, I can get 60% of the sum assured as cash (60/100*25,00000 = 15,00000) & close my medical coverage. Is that possible too??

      1. Mankaran-There is no medical coverage in this plan. So no question of any discount or anything. This is completely a false statement by your agent. Check once again with your agent and let me know exactly what he is claiming to be.

        1. Mankaran Singh

          That was actually the life cover that he was talking about. The life cover after maturity can be broken & i can get 60% of sum assured in return. That is what he said.

          I don’t know if this is called as surrender value after maturity…

          Please confirm if this is right?

    2. Mankaran-Thanks for your kind words. Yes, your calculation is correct. With normal bonus you may also get Final Additional Bonus, which is one time payment at end. I don’t think this will make any big changes in your return part. Hence better to neglect this (even if you think you will get it at end).

      1. milind hoshing

        i agree with you mr.basavraj. But it surely makes adiffrence if your premium term is more than 30 years and above as FAB rates are very attractive for longer terms.

  70. Hi Babu,

    I took a policy New Bima Kiran on 2002. The SA is 500000, Premuim is 5500 PA and policy term is 20 years. Can you tell me how much i will get approximatey at maturity. Shall i continue the policy or surrender? . Kindly advice.


  71. Hi,
    I am a novice here trying to understand the policy matters. I have a policy in my name (Pardon as I don’t know which plan it is but the policy letter says endowment assurance T No. 14) for 5 years with monthly premium of 10810 and sum assured of 6 lacs. Considering the vested bonus that I suppose is 34/1000. My approximate final in hand amount would be around 6+20*5=7lacs.

    Is it all or would LIC give any other bonus too?

    1. Amit-First of all buying the product without even knowing the name product name is disaster. Because it is your money and you must take care of in a well manner. Anyhow you already bought it. To guide you in better way. Suppose bonus for your policy is Rs.48 per Rs.1,000 Sum Assured per year for 20 years policy (I assume you bought a plan of 20 years as you have not mentioned about term) then your bonus for whole period is [(Rs.48*Rs.6,00,000)/Rs.1,000]*20 Years=Rs.5,76,000+SA Rs.6,00,000=Rs.11,76,000 (You may also get Final Additional Bonus which I don’t think will create much difference).

      1. I mentioned the term as 5 years. Then is my calculation OK. As i can see bonus rate is 34/1000 since last many years so presuming it to be 34/1000 for next 5 years too. I guess the bonus is =34/1000*600000*5=102000
        so in hand=6lacs+1.02=7 lacs

        P.S.= I am getting smarter now ๐Ÿ˜›

  72. Dear Mr. Tonagatti,
    First, thank you for the wonderful work you are doing! I bought a 18 year Jeevan Saral Policy in 2004 (when i was 42) with an annual premium of 1,20,000 and Sum Assured 25,00,000. What will be the bonus for this? I tried to calculate from the table you have given but it does not cover 18 year term.
    Thanks in advance for your help!
    – Anu

    1. Anubhav-Currently LIC declared LA for 10th, 11th and 12th year policies. So based on this (differentiating each year from above table), you can easily calculate the LA rate for 18 years policy. But in all probability return from this policy will be around 6%-7%. One more thing in Jeevan Saral LA will not be calculated on SA instead it is on Maturity Sum Assured and LA is one time payment (not like bonus which will be added on yearly base).

      1. That was amazingly prompt! Thank you!

        Can one extrapolate the table?
        For example: (Term, LA) = (10, 375), (11, 400), (12, 425), . . . (18, 575).
        Giving LA = 575 * MSA /1000

        Thanks again,
        – Anu

  73. Prabhakar Ranjan

    Hi Basavaraj,

    I have a Jeevan Saral policy of premium Rs. 49000 per annum and sum assured Rs. 1000000 for 35 years.

    Can you tell me how much total amount I will get after policy maturity?


  74. Hello I am Abhishek Gupta
    I am 29 years of age and have a LIC Jeevan Saral Policy.
    Premium Amount Paid Annualy-Rs 1,15,296.
    I paid my 1st premium in March 2011 and will be paying my 4th premium in couple of days.
    Date of Last premium payment is 15/03/2026 and Date of maturity is 15/03/2027.
    In policy bond document Maturity sum assured is Rs 20,25,600.
    I have a doubt.
    After paying 15 annual premiums of Rs (15*1,15,296)=17,29,440, will I get only Rs 20,25,600 at the end of 15 years?
    What should be Maturity amount if i withdraw after paying 10 premiums?

      1. Abhishek Gupta

        After reading your article and all your replies now I have planned to surrender my LIC Jeevan Saral after completing 5 premiums.One more premium in March 2015 and then in March 2016 surrender this policy. Continuing this policy for 10 years would not give me expected returns.

        Would I get any LA after surrendering my 5 premiums?

      2. I have taken jeevan tarang policy for 500000 in 2006 with policy term 20 years..I am paying 6128 Rs quarterly. Could you please explain the amount I will get after the policy term? Will I get the loyalty bonus along with vested bonus? If I surrender the policy after 20 years , will I get the sum assured plus vested bonus plus loyalty bonus?

        1. Vinu-On maturity you will receive SA Rs.5,00,000+ Bonus Rs.4,90,000 (@ Rs.49 per year per Rs.1,000 SA). After one year completion of the maturity you will receive yearly 5.5% of Rs.5,00,000 i.e Rs.27,500 will be payable till your death.

          1. A bit confused here… Will I get the sum assured at the end of 20 year policy term.. This is the first time I am checking the policy details..I feel the policy is really not worth investing more..really feel trapped… Checking for surrender values..

  75. Hi,

    I have Jeevan Anand (table 149) Policy (With Profit With Accident benefit). Details Below:
    Commencement: 28 July 2006
    1st Prem: 28 Jul 2006 Half Yearly
    Last Prem: 28 Jan 2027
    SA: 800000

    So far completed 8 years (paid 16 premiums). Annual Premium works out to be 19853*2 = 39706 per year. Still 13 Years to go. Do you think its wise to surrender this policy and invest somewhere like PPF/Bank FD. How much amount will I get if I surrender now. Is it 30% of Premium-1st yr Premium + Vested Bonus ??. Kindly advice Is it wise to surrender after 8 years. I understand that I could have surrendered much early, but now thats gone ๐Ÿ™‚ will I benefit if I surrender now and invest in some safe deposits? Thanks in advance


    1. Valli-If you are satisfied with return of around 7% in future from this policy then you can go ahead. Otherwise better to surrender it and start investing in PPF or RD based on your financial goals. Surrender value will be calculated based on the accumulated bonus, term and SA, which you can get it by visiting your nearest LIC branch. In my view it is best to close this policy as soon as possible and continue based on your goals.

  76. Sir

    I’ve got a Jeevan anand 149 plan. Request your inputs on the below clarification

    1. Will interim reversionary bonus declared every year be accumulated to my policy? So, if the policy term is for 30 years, will i be right in telling that there is no guarantee that LIC will have to necessarily declare bonus (or atleast same amount).

    2. Will the final additional bonus be accumulated every year or it just depends on the FAB declared during the year of maturity?

    1. Suresh-There is no compulsion the LIC need to declare bonus every year. But it declares every year since long. So it changes based on the profitability of LIC. Final Additional Bonus is one time payment at the end of policy term. So no question of accumulation.

  77. Hi my husband is 45 years of age and we have taken jeevan aanand policy on his name for 15 years of term. Sum assured is 5 lacs. We are paying 40000 rupees p.a so following are my questions
    1. What will be the amount we will receive after 15 years
    2. We are finding it little difficult to pay the premium but still we wish to continue the plan. The problem is we still have no term plan on his name and if we want to take the plan for a crore of rupees the premium is about the same what we are paying for a 5 lac rupees policy of lic. So should we discontinue this policy and use the same money to take a life term plan? We have a housing loan of 16 lacs. I am a home maker and we have a son of two year old.. So the trick is do we pay for jeevan aanand and also put another 40000 k for a term plan or discard the lic policy and transfer that premium amount to some another company s pure term plan? Please guide. Thanks

    1. Renuka-Return from this plan will be around 7%. You are right that for your husband’s age term plan cost more. But at the same time check the difference between Jeevan Anand and Term plan life cover offer. Even if you opt for Rs.50,00,000 term cover then you will be at safer side than being under insured. If you already completed more than 3 years then my suggestion will be to let it surrender and buy the term plan of your comfort. Rest of the amount, even if you invest in simple product like PPF will fetch you more return than this plan. You are claiming that you are housewife and you have kid. Hence your husband must have term insurance immediately. Continuing Jeevan Anand will actually a dangerous planning. You can buy term plans from private insurers too, where they are offering you online and are much cheaper to LIC’s offline term plans.

  78. Sir,

    I took Jeevan anand policy in 2008 and I am paying annual premium of INR 16000/- for 15 Years.

    I never receive bonus on my policy.My agent never told me schemes related to LIC

    Can you help me.


  79. Hello Basavaraj,

    I took LIC Jeevan Anand Policy in 2008 for 16 years & SA is 5,00,000/-, Each year paying Rs: 35164/-I would like to know how much i will get once complete my policy tenure. What are the benefits i will get after then.


  80. Ravindra yadav

    Hi sir,
    Name – Ravindra yadav
    Policy – Jeevan anand
    premium – 24900
    term – 21 yrs
    sir i want to know at the time of maturity how much i will get
    including sum assured+bonus & after that my policy will be continuing
    wit out paying any premimum till 99 yrs of age & in between if i dead how
    much amount my nominee will get once again.

    i m in doubt beacause in policy document SA is written only 5 lakhs but my agent told me that i will get near about 10 lakhs at maturity.

    kindly support me reply soon.

    thank you.

      1. Ravindra yadav

        sir what i will receive after receiving SA+bonus till 99 yrs my policy will be continued by what amount my family will get if i die after policy term of 21 yrs.

          1. Ravindra yadav

            sir for eg:-i received my sum assured+bonus after 20 yrs after that i expired at the age of 80, once again what my nominee will get from LIC

            1. Ravindra-That is what I said. If your death occurs at the age of 80 yrs then your nominee will receive equal to SA once again. Also if your death occurs due to accident within 70 years of age then double of SA.

              1. Ravindra yadav

                thanku so much sir u have cleared all my doubts i really salute this website really helpfull for common peoples.

                thanks a lot sir.

  81. Dear Sir,
    I’m paying Rs. 1021/per month for jeevan saral lic plan since 4 years. If I will quite from this plan. what amt. come after compliting 10 years in my hand (including loyalti)?

    I request you to mention the amount (approx.) not return of %.


  82. Sir, I have taken LIC Jeeven Saral in June 2012, Rs 3063 Quarterly, for 20 years…sum assured is Rs 250000. But there is no vested bonus points till date. What could be the reason….please advise.

  83. Hi Sir,
    I have taken jeevan anand on sep 2013
    1.annual premium 25000
    2. Sum assured (500000)
    3. term 20 years
    my question is that at the time of maturity approximately how much amount i will receive including Sum assured plus bonus
    reply soon sir thank you.

  84. Sir,
    I have purchased an endowment policy Jeevan shri-I (table 162) in year 2003. It’s yearly premium id Rs. 50401 & sum assured is Rs, 10lacs. Policy is still continued. I am in doubt of it’s return. Please elaborate it’s benefits. Shall i discontinue the policy.

    best regards,

    1. Narendra-You already completed around 10 years and return from this policy will be around 7% approximately. So it is your wish to continue or stay away from this plan. I am unable to suggest you as you not provided term of plan.

  85. Sir, I took Jeevan Komal in my son’s name with ten years tenure and paid out all the premiums till he completed 18. Now the returns are due this year. Now i would prefer to receive the returns in lumpsum like in Jeevan Kishore which looks alike.Can I edit my policy to Jeevan Kishore with the aim of getting the maturity amount at one go.

  86. Dear Basu,

    I have taken LIC Jevan Saral Plan 165 in 2009, in age 25, for 25 yrs and yearly Rs 42035 is my premium. I have paid 5 premium. Now i want to discontinue with this plan. What will be approximate surrender valve. As there will not be any LA. I want , how to calculate MSA and SSV.
    Sum Assured : 875000 INR
    Suggest me for better option or either I should continue this plan for 10 and more years. I have Jeevan anand policy also taken in 2013.

      1. Will you suggest me for pre settlement is good or not? As per LIC SSV will be around 1.75 lakh. And i have paid 2.1 lakhs.

        Thanks in advance.

          1. Thank for nice reply basuji.

            So in your view what will be my options for future planning or say investments?
            Please suggest me.

            Thanks in advance

              1. Dear Basuji,
                My financial goal is to have 5 lakhs from this amount in 5 years. For buying a car. So what will be my options. As if i have invested this money in PPF/FD, this would become by the time.
                So whether i go with PPF/FD option or some other like MF/ULIP/SIP.

                Thanks in advance

                1. Dear Basu ji,

                  As per LIC person, Loyalty addition after 10 year is calculated based on Death Sum Assured. But as per data given above is based on Maturity sum assured. So kindly clarify me this. As LA is calculated based on DBS or MSA of paid premium of policy continues for 10, 11, 12 years and so on.

                  Thanks in advance.

                  1. Amit-LA for Jeevan Saral (I think you are discussing about Jeevan Saral Plan) is based on MSA but not on DBS or SA. You can cross check your bond document or contact nearest LIC branch office for the same.

                    1. Thank you Basuji…

                      Finally I have paid the 6th year premium for Jeevan Saral as early settlement (5yr) loss went too high(~21% on paid premium), that even can’t make up after doing FD/PPF investment of that amount. So I have plan to continues this for 10 years and hope for better return with better LA.

                      So thank you for your wise advises and will update myself from your financial blogs.


                    2. Amit-If you wait after 5 more years also, you will come out with same opinion, but with return on investment will be around 4% at that time. Take my word and comment after 5 years ๐Ÿ™‚

                    3. Sure I will reply u after 5 years with good returns.
                      Keep your this blog live till that.



                    4. Amit-Don’t worry this thread will also be live and my blog too (even if I am not physically here ๐Ÿ™‚ Because I am training my daughter who is currently 8 years old, like how to take up this blog in my absent. So don’t worry).

  87. In online LIC portal my vested bonus is not updated. I have taken jeevan anand policy for 15 years on jan 2011. In my vested bonus it shows amount equivalent to (SA*3.9%)+(SA*3.9%). So I thought i have calculated bonus for 2011 and 2012. So where is the bonus for 2013 (SA*4%). I thought it’ll be updated after jan2014. But not updated yet. Whether i’m checking correct or not?

  88. Sir,
    I have a taken a jeevan tarang policy for a sum assurance of 10 lakhs on dec 2013 for 10yrs tenure. I am 27 years old. Then what will be the total amount that I will get in my hand after 10 yrs as bonus or something else if any. Except from the return of 55000 yearly. Please tell me all calculations if possible.

    1. Roshan-At the end of the term you are entitled for the bonus Rs.4,70,000 (I considered current bonus rate of Rs.47 per Rs.1,000 SA per year). After that you are entitled for a yearly payment of Rs.55,000.

      1. Sir,
        thank you. but I want to clarify one more thing.
        Whether the bonus rate is changing every year?
        Is it so the bonus is calculated depending upon the bonus rate of that individual year?
        I mean,
        for 2013 bonus is 47 so 47000
        if 2014 bonus is 50 so 50000
        so for that two year I get 97000
        is it right sir?

  89. Hi Basu,

    I have two LIC policies – Bima Gold and New Bima Gold. I couldn’t find out anywhere if LIC has ever declared loyalty addition rate for these policies? Can you please help me out?


  90. Hi Basu, I have taken Jeevan Saral and New Bima gold plan in March,2013. So I should upgrade it with new plan ? PLease help.

      1. Basu, I need your help. I have a jeevan saral policy. I pay annual premium of Rs. 60, 050. the term is for 35 years. Its been 3 years with this policy. I have to pay forth year premium on Feb 15, 2014,

        I need your advise on whether I should continue with this policy. I have been lot of negative articles about this policy and therefore I am bit confused.

        The illustration chart that was shown to me for this policy was with 10% growth rate. With these loyalty bonuses do you think LIC would be able to pay what they have shown in their charts.

        Please help. Look forward to your reply.

        1. Rahul-Better to come out of this plan after 5 years. Reasons are two-One is low life risk coverage and second is low return after waiting for such long period. Illustration chart is to show you the plan feature but it does not guarantee you that you will receive 10% return.

  91. Dear Basu

    First of all, i would like to thank you for helping people by educating them on the LIC plans, I have a LIC policy (Jeevan Shree- Table 112, PP term 16 yrs, Maturity Period 25 yrs). Because of some financial difficulties, i could not pay premiums on time, but now i am out of the financial crunch and paid all the dues along with very hefty late payments. It was expected from the beginning that this policy will give me a compounded return of more than 11%. Could you please help me to understand, how much will be the returns after 25 years, I will be getting. Policy started in 2002.

    1. Sunil-It is typical traditional plan where you will be entitled to guaranteed bonus every year. So better to continue treating this as a debt investment. Also I think this is the old Jeevan Shree and about to maturity. Hence better to continue.

  92. Basavaraj: I was going through your comments and suggestion and like the way you share the information with you skills and knowledge. Just one thing….reading all above I am confused with one point — SHOULD one buys LIC policy or not. Bacause no where I see a comment from your end stating something good about plans.

    1. Gourav-I will treat LIC plans as debt products (returns of around 7%). So you can invest your debt portion into these plans but full investable surplus. That too it must match your financial goals but not agents ๐Ÿ™‚

  93. Sir i have taken jivan saral policy for term of 35 year, my primium is 12000 per year, and s.a is 250000. My age is 26 what is my return?? And yes i also taken jivan Anand s.a 500000, yearly primium. And term is 21 year. What is return?

      1. Dear Basu,
        I am having a Jeevan Shree policy(old one with GA of 75 per 1000 SA),PLEASE tell me about the loyalty addition on JeevanShree,for various terms as declared on September 2013

  94. Hi i am 31 years old. I want to purchase policy for my 9 months daughter. please suggest which policy is good in terms of higher return. Either komal jeevan or Marriage Endowment or Educational Annuity plan (plan No-90).

    1. Shirsh-None of them are suitable for your daughter’s education and marriage need. Because the return from above said plans are around 6% and these plans will not fully cover your life risk too. So my advice is to stay away from these plans. Buy online term plan to the tune of 15 times of your yearly income and start investing in a well diversified equity mutual fund+PPF.

  95. Hai my father taken jeevan tarang plan the Sum assured is Rs 10 Lakh and the duration in 10 years.Plz answer this
    1)What will be the Bonus at the end of 10yrs ?
    2)Will we get Rs.55000 per year till my father get 100yrs old?
    3)Will we get Rs.55000 per year if we withdraw Rs.10 Lakh From LIC?

    1. Mani-My answers are as below.
      1) We can’t say how much will be the bonus rate after 10 years or 20 years. But going by current trend we may presume how much return we may expect from these plans. For current bonus on Jeevan Tarang, you may refer the above table.
      2) If this policy is on your father’s name then irrespective of his age, LIC will pay you this amount till his last breath.
      3) How and when you want to withdraw this Rs.10,00,000? Can you clarify me?

        1. Mania-Once you get the maturity amount after the end of policy term, then from next year you are eligible for receiving Rs.55,000 YEARLY but not MONTHLY. So don’t be an assumption that you are going to receive this amount on monthly.

  96. Sir,
    Following are my Jeevan Saral policies details.
    Sr No. Premium Start date Table no. Sum assured Financial year
    1 6005 2/6/2009 165-33 1.25 lacs 2009-10
    2 6005 2/6/2009 165-33 1.25 lacs 2009-10
    3 6005 11/6/2009 165-33 1.25 lacs 2009-10
    4 24020 11/6/2009 165-33 5 lacs 2009-10
    5 6005 11/6/2009 165-33 1.25 lacs 2009-10
    TOTAL Five 48040 165-33 10 lacs 2009-10
    Please let me know about the LA slabe applied to me.

    1. Manish-I deleted the policy numbers from your comment as it is not right to show your personal information on this public platform. Now coming back to LA calculation, please let me know the age when you took this policy. Based on this first we need to calculate MSA then LA.

      1. My DOB is 06/09/1972. I was 37 year old when I took these policies.
        Please let me know when should I surrender these policies? Or should I continue?
        I think I may go for online term plan of 50lacs each any company like aviva or aegon.
        my annual income is 14lacs. please guide me.

        1. Manish-I already said above. Once each policy completes three years then you can go ahead of surrendering. The best option will be to discontinue and start a fresh based on your financial goals. While buying online term plan don’t only consider cheaper premium rates but also consider a death claim ratio of a company and the reputation of the company. Then decide for buying.

          1. thanks for reply.
            Please tell me how much I will get if I surrender all jeevan saral policies? what will be MSA then LA?
            Please reply.

  97. I have taken jeevan anand policy in the year jan’2011 for sum insured Rs.8,10,000(Yearly premium 59800 INR) for premium paying term of 15 years. Is it good to continue? Also in case future, i have situation of unable to pay premium and want to continue policy how to do that? Also if i pay premium correctly, what will be the approximate amount i’ll get at maturity?(sum assured + bonus) Please help.

    1. Manimekalai-Jeevan Anand good or not? Yes it is good if you are satisfied with the return of around 6% to 7% for your 15 years of investment, otherwise it is totally a bad product. So the decision is your’s. If you discontinue the plan then you loose the life risk offered by this plan. Approximate return from this plan will be around 6%.

      1. life risk means insurance if death happens due to accident or amount will be paid by the organization after by death. Also what will be return if stop paying premium after more than 3 years but i don’t want to surrender the policy. Want to continue policy for mentioned years. how much the amount will reduced to in case of sum assured?

        1. Manimekalai-Life risk means if death occurs then the equal to SA will be payable to your nominee. If you opted for accidental death benefit then the double of SA. Return after 3 years will be calculated on surrender value calculation which depends on and changes from individual policies. Hence I am unable to quote how much you receive.

          1. I have paid 4 years of premium on jeevan anand policy. Shall i take loan against this? is this good move? I planned to buy car for that I want money.

            1. Manimekalai-It is a good move if you want to continue investing in the same policy for the future. Also without knowing all your financial details it is premature to guide you whether this is a good decision or not.

  98. sir, I have jeevan saral policy . I have paid premium for three full years . But the returns r very less. I want stop the premium now. 1) Can I stop premium paying after 3 years or 5 years. 2) If I want to surrender the policy after 10 years what benefits I will get ? 3) If I surrender it on maturity what benefits I will get? Considering premiums are paid for 3 years only.

    1. Anant-My answers are as below.
      1) Better to surrender it after 5 years.
      2) Going by the current LA trend your return from this policy for 10 years will be around 4% to 5%.
      3) I am unable to tell you the exact figure without knowing the policy details.

  99. Hi Basu,
    i have taken my jeevan anand lic policy in the january 2009 for 10 Lakhs summ assured .so far i have paid 5 premiums(INR 51550) After realising the LIC terms and returns i considered to withdraw my policy and surrender.If i surrender now i am getting only INR 140000.I am not interested to pay the next premium which falls on 7 jan 2014.if i surrender my policy after jan 2014 will i get more surrender value?what is the bonus cycle period ?please suggest me the good time to surrender my policy by that i can get minimum loss.
    thank you

    1. Kumar-Better to surrender after 1st Jan 2014. Because in LIC circular they clearly mentioned that the above rates will be applicable to policies which result into claims by death, maturity or surrender on or after 1st Jan 2014.

      1. hi basu,
        if i surrender the policy by Feb2014 what will be the surrender amount?could you please helpto give more details?

        1. Kumar-Surrender value depends on number of premiums paid, number of premiums left, SA, accrued bonus and paid up value. so I am unable to mention exactly. But this will be beneficial if you surrender after Jan.

          1. Hi Basu,
            I have checked the latest accumulated bonus.It still show the previous amount.When can I check for the latest accumulated bonus by that I can start think about surrendering the policy with minila loss.Do I need wait end of Jan2014 or March 2014(calendar Year)?

          2. Hi Basu ,
            The accumulated bonus details is not yet updated and it still shows the same previous amount.Do I need to wait until the calendar year(March 31 2014) or Jan2014?
            Thank you

  100. lic’s JEEVAN SARAL IS BETTER THAN BANK’S RD ACCOUNT OR NOT?? I(27 yrs) have opted lic jeevan saral with Rs.2042/- monthly premium for 35 years but now I think returns on RD is better…..What according to you sir ?? waiting for your priceless reply…..

    1. RAM-RD for 27 years? No one will provide RD for such long term. But if you consider other products like PPF or Bank FDs, RDs (renewing after every renewal) then definitely Jeevan Saral will give less return than these options.

  101. Hi… Basu.
    I want to know the area which gives guaranteed returns. LIC will give 6 to 7% for morethen 25 years term with insurance cover and tax benefit, Is there ant tool in the market like nutual fund, stocks or RD, with insurance cover, accident cover, disability cover, PWB option and also ytax free US 80C, and 10 (10) D. kindly suggest me i want to invest sme money on that. But i want guaranteed returns.

    1. Srinivas-Guaranteed returns? For what period? You are indirectly claiming that LIC only has the above said benefits like insurance cover, accident cover, disability cover, PWB option and tax benefit US 80C and 10 (10)D. If they are providing these facilities to you then nothing is free my friend. They are charging you, in fact more than the competitive rates available in the market. So the benefits like what you are getting by buying LIC policy can be purchased in market today with much cheaper rates than what LIC offers you.
      So I don’t think LIC will be the only solution for your all features you provided. Term Insurance+Accidental Insurance+PPF can give you more than these LIC plans. Am I right? If wrong then let us discuss ๐Ÿ™‚

  102. Hi
    My Self Samir Rasiklal Patel
    My current age is 23 Years and 5 month
    I have taken Jivan Saral Policy at the age of 21 years and 9 Month on 20th March 2012.
    Till date i have paid two yearly premium.

    Yearly premium that i pay is Rs 36000.

    My sum assured is Rs 750000


    Maturity sum assured as per my calculation based on chart is Rs 1359210 (45307*3000/100).

    I wanted to know my probable pay out at the end of term of 30 years.

  103. Hello,
    first I want to Wish u a Happy Deepawali & seasonal Greetings to u & family.
    I would like to invest in MF for the first time and the current market as it peak (bullish)level, & as per expert says at this time we think of sell the stock to make good profit, anyhow it is tedency that when the at market downwards one should grab the stock & sell it at peak times.
    it is ok for stocks.
    my querry is
    is it same funda works on Mutual funds means if a new invester wants to enter into MF is it right time for him because if he invest at this time then he hav to wait & watch for time when call more better than this to exit if not he may get nothing. and if this is right then shall go by SIP method is it same impact ?
    pls give clarity of what is right time to enter for new entrant Or he has to wait for how much period if not he can go SIP method to step into mf.
    give me clarity

    awaiting to hear from you.

  104. Hi Basu,

    I own an year old Jeevan anand plan( 25k / year and 5 lac in 21yrs ) and do not want to continue it for a long.

    Although i have already got some info from you, further i would like to know 2 things :

    1. Is editing possible in my plan, can i reduce the term period keeping premium amount constant or vice versa ?

    2. After Minimum How many years i can surrender my plan and what loss i would need to bear in that case ?


    1. Chandan-If you are latest starter then my suggestion will be to discontinue this plan considering the return it will generate. So instead of re-zigging the term or premium, my suggestion will be to surrender it after 3 years.

  105. Sorry but could not under stand the LIC Jeevan Saral Table. how to calculate loyalty Additions. can you help. Lets assume I pay annual premium of 36000 and policy term is 25 years. I am an early invester AGe: 26 yrs,

    1. Krishoza-Understanding that you took the policy at the age of 26 years, the annual premium will be Rs.36, 000 and tenure of the plan 5 years then we can assume the details as below. See in above table LIC declared the LA only for 10,11, and 12 year policies. So MSA in your case will be Rs.10,87,830. This MSA will be based on the age of the policy holder during policy buying, term and the premium he will pay. This will not change and you will receive it as the guaranteed amount from LIC. Changing part in this plan is LA which LIC declares on yearly. Now from above table we can presume for 25 years policy and premium with Rs.36,000 as LA of around Rs.800 per Rs.1,000 MSA. So total LA will be around Rs.8,70,264. So total you may receive Rs.19,58,094. Hope you understood the way it is calcualting.

      1. but that is very less like half amount what the agent showed to me. Also if I compare the same premium and tenure for Jeevan anand what will be my total amount considering this yr bonus rate. Or there is some other component in Jeevan Saral. Kindly help

      1. I have taken JEEVAN SARAL Plan on 15-OCT-2012, with Monthly Premium of Rs.2000/-. TERM = 35 yrs. The MSA Printed on my policy document is Rs.10,03,160/- Can you please calculate the FINAL PAYOUT ?

  106. your blog clarified me hell lot of doubts i had on LIC policies.first of all i am thankful to you sir for your priceless job on clarifying so many doubts to so many policy holders.and now surprising in which sense sir?positive or negative(in policy holder’s point of view).as i am holding jeevan saral policy,i am happy with the declared LA.just i wanted to listen your detailed view on this sir.

    1. Johnkrishna-Thanks for your appreciation. I am surprised because, Jeevan Saral LA declared by LIC not only depend on MSA but on the premium amount one pays in a yearly base. So this is a positive move. Although you may not expect some high return, but slight increase in return will be there.

      1. why they are announcing LA for term years 10,11, and 12 separately?regarding that i have one doubt.if somebody wants to close their policy by the end of 12th year.will they calculate LA as per the year of closing time or 400points for the 12th year as they have declared for this year.

        1. Johnkrishna-They are declaring it because in Jeevan Saral any policy which completes 5 years or more will be eligible and treated as the policy of till that period. Suppose you opted for 25 years policy in the beginning. But due to some issues if you want to close the plan after 5th completion year then the policy will be treated as if the term of the policy surrendering. Hence they are declaring the LA on yearly base. Also in Jeevan Saral minimum term will start from 10 years. So this policy is completing those years of 10,11 and 12 years. Hence they are declaring based on this too.

          1. Thank you sirji for your quick and concise that means if one wants to surrender his policy by 12th year,for him LA is already declared,and it doesn’t have any effect from the further year’s it so?(for eg:if the policy is of 4years old by 2013 started in 2010,if he wants to surrender his policy in 2021 completing 12 years,for him LA is already declared,no need to wait for the further years declarations)is it something like this?please clarify me.

            1. Johnkrishna-Yes for each year they start to increase the LA declaration like previous year they only declared for 10 and 11 years policies. Not this year they included for 13 years policies also and so on. But do remember that each year this LA will change. So you need to track that also.

              1. for the policies surrendered at 12th year the LA now is 400(above 20000 and below 50000).any how next year they will declare for 13th year and next to next year they will declare for 14th year,that point is clear for my doubt is for 12th year that LA 400 will be constant or will it vary everytime they declare for the subsequent year.i hope you got my point.

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