LIC Jeevan Lakshya Plan

LIC Jeevan Lakshya Plan (Table No:833)

LIC’s Jeevan Lakshya policy is a combination of risk cover and saving plan which is most suitable for the purpose of providing financial security of children and family. This policy provides life cover during the policy term and Sum Assured + Bonuses on survival as maturity. In case of death of policy holder during the policy term, this policy provides 10% of sum assured every year till maturity and on maturity it again provides 110% of Sum Assured + Bonuses as maturity.

Key Features

  • Annual Income in case of death
  • Sum assured + Simple Reversionary Bonus + Final Addition Bonus as maturity.
  • Annual Income feature can be used as child education in case of death
  • Paid premiums are exempted from income tax under 80C
  • Maturity amount is tax free under 10 (10D)

Plan Parameters

Age of Entry18 to 50 years
Premium Paying ModeYearly, Half Yearly, Quarterly, Monthly (ECS Only)
Policy Term13 to 25 years
Premium Paying Term(Policy Term – 3) years
Sum Assured100000 and above (in multiples of 10000)
Premium Payment Mode rebate2% on yearly, 1% on Half Yearly, Nil on Quarterly & Monthly
High Sum assured Rebate0% of SA on 0 to 2,00,000
2% of SA on 2,00,000 to 4,90,000
3% of SA on 5,00,000 and above
LoanAfter 3 Years
SurrenderAfter 3 Years
RevivalWithin 2 Years of Lapse

Death benefits

  • In case of death of policy holder during policy term, 10% of Sum Assured will be provided to nominee every year till one year prior to maturity, and
  • On maturity, 110% of Sum Assured + Simple Reversionary Bonus + Final Addition Bonus will be payable as maturity amount.

Maturity benefit

  • Sum Assured + Simple Reversionary Bonus + Final Addition Bonus will be payable as maturity amount. .

Illustrations with Example

To understand Jeevan Lakshya Plan, Lets take an example of a person who is purchasing Jeevan lakshya Plan with following details.

Sum Assured:Rs. 10,00,000
Policy Term:21 Years
Premium Paying Term:18 Years
Policy Purchase Year:2015
Age:28 Years
Yearly Premium:Rs. 52455

Since Premium paying term is 3 year lesser than policy term, so premium will be payable for 18(21-3) years in this case.

Maturity benefit illustration

At maturity, Jeevan Lakshya providesSum Assured + Simple Reversionary Bonus + Final Additionas maturity amount on survival of policy holder. Following table indicates the maturity details.

YearSum Assured (Guaranteed)Bonues (Variable)Maturity Amount (Approx)
203610,00,00011,08,00021,08,000

Death benefit illustration

In case of unfortunate death of policy holder during policy term, this plan proivides 10% of sum assured every year till maturity and again at competion of policy term maturity amount is also payable. To understand this benefit, let’s suppose death happens 10 year after taking this policy, age of the policy holder and year at time of death will 38 and 2024 repectively. 10% of sum assured will be payable from year of death till maturity and on completion of the policy term maturity benefit will be also provide. Following table provides year-wise details.

End of YearYearPremium PaidReturn in case of deathRemarks
12015524550 
22016524550 
32017524550 
42018524550 
52019524550 
62020524550 
72021524550 
82022524550 
92023524550 
1020240100000Unfortunate death happens
1120250100000 
1220260100000 
1320270100000 
1420280100000 
1520290100000 
1620300100000 
1720310100000 
1820320100000 
1920330100000 
2020340100000 
21203502108000Maturity Amount
Total5245503208000Maturity + Yearly Income