What is the primary difference between an LIC Premium Calculator and a Maturity Calculator?

An LIC Premium Calculator determines the exact recurring installment (yearly, half-yearly, quarterly, or monthly) required to keep your insurance policy active. An LIC Maturity Calculator projects the total cash payout (Basic Sum Assured + accumulated Simple Reversionary Bonus + Final Additional Bonus) you will receive at the end of the policy term.

What is the premium for an LIC policy with ₹1 Lakh Sum Assured?

For a ₹1,00,000 Sum Assured policy (e.g. Jeevan Anand Plan 915/715 for a 30-year-old over a 25-year term), the base annual premium is approximately ₹3,750 per year plus applicable GST. Use our tool above to calculate exact age-specific premiums for ₹1 Lakh coverage.

What is the difference between LIC Jeevan Labh Plan 936 and legacy Plan 736?

Plan 736 was the legacy version of Jeevan Labh. In recent years, LIC updated policy numbers to comply with IRDAI guidelines (Plan 736 became Plan 936). The core policy benefits (16, 21, and 25-year terms with limited premium payment terms of 10, 15, and 16 years) remain fundamentally identical.

How does LIC Jeevan Lakshya (Plan 933 / 733) protect a child's future?

Jeevan Lakshya Plan 933/733 is a dedicated child plan. If the parent passes away during the policy term, all future premiums are waived, 10% of the Sum Assured is paid annually to the family as child education income, and the full Sum Assured plus bonuses is paid at maturity.

What is the new GST tax rate on LIC policy premiums in 2026?

Under the landmark 2026 GST 2.0 Reform, individual term insurance premiums (e.g. LIC Tech Term) attract a 0% GST tax rate . For traditional endowment and whole life plans, GST is 4.5% in the first year and 2.25% in renewal years.

What is the grace period for LIC premium payments?

LIC provides a grace period of 30 days for yearly, half-yearly, and quarterly payment modes, and 15 days for monthly payment modes. If a claim arises during the grace period, the policy remains valid and death benefits are payable.

How does payment mode (yearly vs monthly) affect my LIC premium?

LIC offers a 2% modal rebate on the base premium if you pay annually, and a 1% rebate for half-yearly payments. No rebates are offered for quarterly or monthly NACH payments.

Are LIC maturity payouts 100% tax-free?

Yes. Maturity benefits from LIC policies issued before April 1, 2023, are completely tax-free under Section 10(10D) of the Income Tax Act. For policies issued after April 1, 2023, maturity returns remain tax-free as long as total annual premiums across non-ULIP policies do not exceed ₹5,00,000.

Can I take a loan against my active LIC policy?

Yes. Once your policy acquires a surrender value (typically after paying 2 full years of premiums), LIC allows you to borrow up to 90% of the surrender value for active policies, and up to 80% for paid-up policies. Estimate your loan limit using our LIC Loan Calculator .

LIC Premium Calculator 2026 – Calculate LIC Premium, Maturity & Returns Online

By Mahesh Chaube, CFP|Last updated: August 2026

Reviewed by Laveena Vijayi — BharatSaver Editorial Team

Calculate your LIC policy premiums & maturity payouts instantly. Compare Jeevan Labh (936/736), Jeevan Anand (915/715), Jeevan Umang (945/745), Jeevan Lakshya (933/733) & Jeevan Utsav (871/883). Includes 2026 0% GST reform rules.

Universal LIC Premium & Maturity Calculator Engine

Calculate instant premiums, modal rebates, 0% GST (2026 rules) & bonus maturity payouts.

2026 GST 2.0 Compliant

Dedicated LIC Policy Plan Calculators

Select a specific LIC policy plan below for plan-specific actuarial rules, term tables, and custom payouts.

Limited Pay

Jeevan Labh (936 / 736)

16/21/25 yr term with short 10/15/16 pay terms

Dual Benefit

Jeevan Anand (915 / 715)

Maturity payout + lifelong natural death cover

8% Guaranteed

Jeevan Umang (945 / 745)

8% annual survival benefit post PPT until 100

10% Flexi Income

Jeevan Utsav (871 / 883)

Guaranteed 10% annual income after PPT

Child Plan

Jeevan Lakshya (933 / 733)

10% annual income + waived premiums on death

Bonus Engine

LIC Maturity Calculator

Project total SRB + FAB maturity values

2026 IRDAI

Surrender Value Tool

Calculate GSV & SSV after 1 full year

Yield Analysis

LIC vs SIP Calculator

Compare 5.5% LIC IRR vs Mutual Fund SIPs

Why Understanding Your LIC Premium and Maturity Returns Matters

Buying a life insurance policy from the Life Insurance Corporation of India (LIC) is one of the most trusted financial commitments in Indian households. However, deciphering actuarial sales brochures, modal loading charges, High Sum Assured (HSA) rebates, and variable bonus declarations across popular plans like Jeevan Labh (Plan 936/736), New Jeevan Anand (Plan 915/715), Jeevan Umang (Plan 945/745), Jeevan Utsav (Plan 871/883), and LIC Tech Term (Plan 954/854) can quickly become overwhelming.

How much recurring premium must you actually pay for ₹1 Lakh, ₹5 Lakh, ₹10 Lakh, or ₹25 Lakh coverage? What discounts apply if you pay annually instead of monthly? How does the historic 2026 GST 2.0 Reform (0% tax on term insurance) lower your premium outlay? And most importantly, what exact maturity benefit will you receive when combining your Basic Sum Assured with accumulated Simple Reversionary Bonuses (SRB) and Final Additional Bonuses (FAB)?

To give you complete transparency, we developed this Universal LIC Premium Calculator Engine. Designed by Certified Financial Planners (CFPs) using official LIC actuarial rate tables and the latest IRDAI regulatory guidelines, this tool gives you instant, precision quotes across all active and legacy LIC policy plans.

LIC Policy Plan Eligibility & Feature Comparison Matrix (Plans 936, 915, 945, 933, 871)

Before using our calculator, review the official eligibility criteria, policy terms, and key payout features across LIC's top-performing endowment and whole-life policies:

LIC Plan Name & Table No.	Entry Age	Policy Term (Yrs)	Pay Term / PPT (Yrs)	Min Sum Assured	Key Benefit Highlight
Jeevan Labh (Plan 936 / 736)	8 to 59 Years	16, 21, or 25 Yrs	10, 15, or 16 Yrs	₹2,00,000	High bonus rate with short limited premium payment terms.
New Jeevan Anand (Plan 915 / 715)	18 to 50 Years	15 to 35 Yrs	Same as Term	₹1,00,000	Dual benefit: Maturity payout + lifelong natural death cover.
Jeevan Umang (Plan 945 / 745)	90 Days to 55 Yrs	100 - Age Yrs	15, 20, 25, 30 Yrs	₹2,00,000	Guaranteed 8% annual survival income after PPT until age 100.
Jeevan Lakshya (Plan 933 / 733)	18 to 50 Years	13 to 25 Yrs	Policy Term - 3 Yrs	₹1,00,000	Child plan: Premiums waived on death + 10% annual income benefit.
Jeevan Utsav (Plan 871 / 883)	90 Days to 65 Yrs	100 - Age Yrs	5 to 16 Yrs	₹5,00,000	Flexi income plan: Guaranteed 10% annual income after PPT.

The Actuarial Math: How LIC Premiums are Calculated

An online lic calculator converts underwriting risk models into clear numeric figures. Insurers establish tabular base rates per ₹1,000 of Sum Assured (SA) based on several critical risk pricing variables:

Age of Policyholder: Mortality risk scales with age. A 25-year-old pays significantly lower base premiums than a 45-year-old because a smaller portion of the premium goes toward mortality charges.
Basic Sum Assured: The guaranteed minimum coverage amount paid to nominees upon death or at maturity (calculators evaluate ₹1 Lakh, ₹5 Lakh, ₹10 Lakh, ₹25 Lakh, or custom amounts).
Policy Term vs. Premium Paying Term (PPT): The Policy Term dictates how long the cover runs, while the PPT defines how many years you pay premiums (e.g. under Jeevan Labh Plan 936/736, a 25-year policy term requires only 16 years of premium payments).
Payment Frequency (Modal Loading & Rebates): Paying annually reduces processing overhead for LIC, which is passed on to policyholders as a direct discount.

Official LIC Premium Payment Mode Rebates:

Payment Frequency / Mode	Modal Discount / Rebate Rate
Yearly Mode	2% rebate on tabular base premium
Half-Yearly Mode	1% rebate on tabular base premium
Quarterly Mode	Nil (0% discount)
Monthly (NACH / ECS) Mode	Nil (0% discount)

High Sum Assured (HSA) Rebate Table:

LIC rewards higher policy coverage amounts by discounting the premium rate per ₹1,000 Sum Assured:

Sum Assured Bracket	HSA Discount (per ₹1,000 SA)
₹1,00,000 to ₹4,95,000	Nil (Base Rate)
₹5,00,000 to ₹9,95,000	₹1.25 to ₹2.50 discount
₹10,00,000 to ₹24,75,000	₹1.50 to ₹3.50 discount
₹25,00,000 and above	Up to ₹4.00 discount

Tax Benefits and 2026 Regulatory Reforms (0% GST & IRDAI Rules)

The taxation landscape for life insurance in India underwent a monumental shift that directly benefits policyholders:

1. The Historic GST 2.0 Reform (0% Tax on Term Insurance):

Under the new GST 2.0 Reform, the Ministry of Finance completely exempted individual life and health insurance policies from Goods and Services Tax, reducing the tax bracket to 0% for pure term insurance plans (such as LIC Tech Term Plan 954/854). For traditional endowment and whole life plans, GST is 4.5% in Year 1 and 2.25% in renewal years. This 0% tax reform saves term policyholders up to 18% in annual out-of-pocket costs.

2. IRDAI Master Circular Reforms (Early Exit Refunds):

1-Year Surrender Value Eligibility: Under updated IRDAI regulations, policyholders who surrender after paying just 1 full year's premium are entitled to a Special Surrender Value (SSV) refund. Under legacy rules, exiting within 2 years resulted in 100% loss of paid premiums.
Present Value Price Cap: SSVs are calculated based on the present value of the paid-up sum assured plus accrued bonuses, capped at prevailing 10-year G-Sec yields plus 50 bps. Check your cashout numbers with our LIC Surrender Value Calculator.
Mandatory Benefit Illustrations: Agents must provide signed illustrations clearly depicting Guaranteed Surrender Value (GSV) vs Special Surrender Value (SSV) before issuing a policy.

Step-by-Step Step-by-Step Real World Calculation Examples (₹1 Lakh, ₹5 Lakh, ₹10 Lakh, ₹25 Lakh)

Let us walk through exact mathematical examples showing how base premiums, mode rebates, HSA discounts, and final bonus payouts interact across different Sum Assured coverage levels.

The Mathematical Formula for Net Premium:
Net Annual Premium = [(Tabular Rate × Sum Assured / 1,000) - HSA Rebate] × (1 - Modal Rebate) + GST

Example 1: LIC New Jeevan Anand (Plan 915 / 715) — ₹10 Lakh Sum Assured

Profile: Male, 30 years old | Sum Assured: ₹10,00,000 | Term / PPT: 25 Years
- Base Tabular Rate: ₹38.80 per ₹1,000 SA
- High SA Rebate: ₹2.00 per ₹1,000 SA
- Net Tabular Rate = 38.80 - 2.00 = ₹36.80 per ₹1,000 SA
- Raw Annual Premium = 36.80 × 1,000 = ₹36,800
- Mode Rebate (2% Yearly): ₹736
- Payable Base Premium = ₹36,064
- First Year GST (4.5%): ₹1,623
- Total Year 1 Premium = ₹37,687

Maturity Payout Projection (at 25 Yrs):
- Basic Sum Assured = ₹10,00,000
- Simple Reversionary Bonus (SRB @ ₹45/1000 SA/yr) = 45 × 1,000 × 25 = ₹11,25,000
- Final Additional Bonus (FAB @ ₹100/1000 SA) = ₹1,00,000
- Total Maturity Payout = ₹22,25,000 (Tax-Free under 10(10D))
Plus: Lifelong ₹10,00,000 death cover remains active after maturity with zero future premiums!

Example 2: LIC Jeevan Labh (Plan 936 / 736) — ₹10 Lakh & ₹25 Lakh Sum Assured

Profile: Male, 30 years old | Sum Assured: ₹10,00,000 | Policy Term: 25 Yrs (Pay for 16 Yrs)
- Annual Premium (approx): ₹46,500/year for 16 years
- Total Premium Paid over 16 years: ~₹7,44,000
- Estimated Maturity Payout at Year 25: ₹26,25,000

For ₹25 Lakh Sum Assured:
- Annual Premium (approx): ₹1,14,500/year for 16 years (includes ₹3.50 High SA discount!)
- Total Estimated Maturity Payout at Year 25: ₹65,62,500

Example 3: LIC Jeevan Lakshya (Plan 933 / 733) — ₹5 Lakh Sum Assured

Profile: Male, 32 years old | Sum Assured: ₹5,00,000 | Policy Term: 21 Yrs (Pay for 18 Yrs)
- Annual Premium (approx): ₹23,200/year
- Special Child Protection Feature: If the parent passes away during the term, all remaining premium payments are waived immediately, a ₹50,000 annual income (10% of SA) is paid to the child every year until maturity, and the full ₹5,00,000 + accumulated bonuses are paid at maturity!

Maturity Calculations: Understanding SRB and FAB

Unlike pure term insurance, participating LIC plans participate in LIC's annual financial profits by declaring two types of bonuses:

1. Simple Reversionary Bonus (SRB):

Declared annually per ₹1,000 Sum Assured based on LIC's actuarial valuation. It accrues every year and gets paid out upon maturity or death. Calculate bonus rates using our LIC Maturity Calculator.

2. Final Additional Bonus (FAB):

A terminal loyalty bonus paid to policies with a term of 15 years or longer. FAB significantly boosts the final cash payout at maturity.

LIC vs Equity Mutual Fund SIP: Sovereign Guarantee vs Market Yield

A common dilemma for investors is choosing between traditional LIC endowment plans and Equity Mutual Fund Systematic Investment Plans (SIPs):

Sovereign Guarantee (Section 37 of LIC Act 1956): All LIC sum assured amounts and declared bonuses are 100% backed by the Central Government of India. Mutual funds carry market risks.
Internal Rate of Return (IRR): LIC endowment plans typically deliver net tax-free returns of 5.2% to 5.8% IRR. Equity SIPs historically return 12% to 14% CAGR, but with market volatility.
Tax Exemptions: Premiums qualify for Section 80C deductions up to ₹1,50,000, while maturity payouts are completely tax-free under Section 10(10D).

Conclusion: Make Informed Insurance & Investment Decisions

Calculating your premiums and projected maturity returns before signing an insurance contract ensures you choose a policy that aligns perfectly with your financial goals. Using our Universal LIC Premium Calculator Engine, you can compare modal rebates, 0% GST savings, and bonus projections across all major LIC plans in seconds.

Calculate your quotes, compare with mutual fund SIP yields, and secure your family's future with complete confidence on BharatSaver.

Frequently Asked Questions (FAQs)

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