LIC Jeevan Labh Calculator (Plan 736)

Which Jeevan Labh term should you pick?

The term is the choice that moves everything else, and the brochure lists the options without ever setting them beside each other. Here they are at age 30 on ₹5,00,000 of cover, so the rows differ only by the term and the premium term that goes with it.

The gap between the first two columns is how long the cover runs on after the last premium: 6, 6, 9 years, in the order above. Bonus accrues for every year of the policy term, not only for the years you fund it.

What does LIC Jeevan Labh cost?

Worked out on a 21-year term with premiums paid for 15 years. Change any of these in the calculator above for your own figures.

By sum assured, at age 30

Premiums are modelled on this plan's own tabular rates; the maturity figure assumes LIC's current bonus rates hold for the full term, which is not guaranteed.

By age, on ₹5,00,000 of cover

Sum assured moves the premium almost in a straight line, so the table above is easy to read across. Age does not, and it is the input people most often want to test before filling anything in.

The premium barely moves across the rows. Mortality is a small part of a savings premium and the savings part is the same at any age. What age changes is the last column: when the money arrives, and how old you are when it does.

Where the maturity figure comes from

Taken apart, on the ₹5,00,000 policy in the first table. Only the first line is guaranteed by the contract. Everything under it is bonus, declared a year at a time and assumed here to carry on at the rate this page uses.

Basic sum assured (guaranteed)

₹5,00,000

Vested reversionary bonus, 21 years at ₹45 per ₹1,000

₹4,72,500

Final Additional Bonus, ₹110 per ₹1,000

₹55,000

Paid at maturity

₹10,27,500

Return a year on the premiums, if the bonus rate holds

5.55%

When does LIC Jeevan Labh pay for itself?

The grey line is what you have paid in by each policy year. The yellow line is what the policy has paid back by then. They cross in year 21, which is the point the policy has returned everything it cost.

That return counts everything the policy pays back, income included, against everything you put in, after the cost of the life cover it carried for 21 years. It is not a market return. Change the bonus rate and it changes with it.

Surrender value, paid-up value and loan

A 21-year commitment is a long one, and the question that follows a premium quote is usually what happens if you stop. Under the IRDAI rules in force since 1 October 2024, Jeevan Labh can be surrendered once the first policy year is complete and one full year's premium has been paid. Stop before that and the policy lapses with nothing to show for it.

From then you are paid the higher of two figures. The special surrender value, what the reduced, paid-up policy is worth today rather than at maturity, is available from the end of the first year. The guaranteed surrender value needs two full years' premiums, and is a percentage of the total premiums paid, first year included: 30% in year 2, 35% in year 3, 50% from year 4 to year 7, then rising to 90% in the last two years. Which of the two comes out higher changes with duration, so the last column below is the one to read.

On the ₹5,00,000 policy from the tables above, at age 30. Held to maturity the same policy is projected to pay ₹10,27,500, which is the number to read every row here against. Surrender values are modelled on the IRDAI 2024 basis, using the guaranteed surrender value grid printed in the New Jeevan Anand (715) brochure; a policy sold before 1 October 2024 runs on the older rules in its own document, and your own policy schedule is what governs.

Paid-up value: the other way to stop

You do not have to take the money out. Stop paying after at least one full year's premium and the policy continues at a reduced sum assured instead, keeping the cover and the bonuses already vested. The reduction is worked on the premium paying term, not the policy term, which is the point most calculators get wrong: on this policy the denominator is 15, so 8 years paid out of 15 leaves 53% of the sum assured standing, plus the bonus already vested.

Loan against the policy

Once the policy has a surrender value it can also be borrowed against, which is worth knowing before you surrender in a hurry. LIC lends a percentage of the surrender value rather than of the sum assured, and sets a different percentage for an in-force policy and a paid-up one. Those percentages sit in the policy conditions, so ask your servicing branch for the figure that applies to yours. On New Jeevan Anand (715), for example, the brochure allows 50% of the surrender value before two full years' premiums and 75% after, or 40% and 65% on a paid-up policy.

To run these figures on your own policy, use the LIC surrender value calculator, which takes the premium and the years paid off your own policy document. If you are weighing it up rather than pricing it, we have written about whether surrendering an LIC policy is worth it.

Tax on LIC Jeevan Labh

Two provisions do the work, and both turn on the size of the premium rather than on the plan. The Income-tax Act, 2025 renumbered both from 1 April 2026 without changing the rules, so each is given here under its old number and its new one.

None of this is tax advice. Which regime you are on, what else you hold and when the policy was issued all change the answer, so confirm your own position with a tax adviser before you rely on it.

How LIC Jeevan Labh compares

The plans people weigh this one against, and what separates each from it.

To price several of these against each other on the same age and sum assured, the LIC premium calculator runs every plan on the site through the same engine and puts the answers in one table.