In short (tl;dr)
The New Endowment Plan is a participating endowment: pay for the full term, receive the sum assured plus bonuses at maturity, cover ends there.
About LIC New Endowment Plan
New Endowment Plan (Plan 714) does exactly one thing and does it cheaply. You pick a sum assured and a term between 12 and 35 years, pay premiums for the whole term, and collect the Basic Sum Assured with vested bonuses and Final Additional Bonus at the end. If you die during the term, your nominee receives the death sum assured with bonuses instead.
It is the reference point for LIC's other endowment plans. Jeevan Anand costs more because cover continues after maturity; Jeevan Labh costs more per year because you pay for fewer years; Jeevan Lakshya costs more because of the family income benefit. Plan 714 has none of those and prices accordingly.
With an entry age starting at 8 and terms up to 35 years, it is also the most flexible of the group, which makes it the usual pick when the goal is simply a lump sum on a chosen date.
Key features
- Widest term range of LIC's endowment plans: 12 to 35 years
- Entry age from 8 to 55 years
- Participating: simple reversionary bonus plus Final Additional Bonus
- Lowest premium per ₹1000 of the participating endowment family
- Riders available for accidental death, disability and term cover
New Endowment Plan at a glance
- Plan number
- 714
- Category
- Endowment
- Entry age
- 8 to 50 years
- Policy term
- 12 to 35 years
- Premium paying term
- Same as policy term
- Sum assured
- ₹2 Lakh and above
- Maximum maturity age
- 75 years
- UIN
- 512N277V03
We checked the plan number and UIN above against LIC's own page for this plan on 2026-09-02. Check it on licindia.in
Benefits under New Endowment Plan
Death benefit
Sum Assured on Death — the higher of 7 times the annualised premium and the Basic Sum Assured, subject to a minimum of 105% of premiums paid — plus vested bonuses and Final Additional Bonus.
Maturity benefit
Basic Sum Assured plus vested simple reversionary bonuses plus Final Additional Bonus at the end of the policy term.
Who it suits
A first endowment policy, or anyone who wants the mechanics of LIC savings without paying for extra features they will not use.
What to watch out for
Cover stops at maturity. If you want a death benefit that outlives the policy, that is Jeevan Anand.
How this calculator works
New Endowment Plan is priced here on its own parameters, not a generic formula. We build the plan's full cash-flow schedule — the death benefit in each policy year, every survival payout, and the maturity value — and discount it on a basis calibrated to a reference premium for this plan. That reference is checked two ways: against LIC's published tabular rate, and against the return the plan's own benefits imply for the policyholder.
- Reference premium
- ₹55.80 per ₹1,000 at age 30, 21-year term, 21-year premium term
- Discount basis
- 6.02% a year, on LIC (2012-14) Ultimate mortality
- Reversionary bonus
- ₹46 per ₹1,000 sum assured a year, from LIC's 2023-24 valuation
- Final Additional Bonus
- ₹110 per ₹1,000 at a 21-year term
- GST
- Nil. Individual life insurance premiums have been exempt from GST since 22 September 2025, so the instalments shown are what you actually pay.
Bonus rates are declared annually and are not guaranteed; only the sum assured and any contractual guaranteed additions are. Read our editorial and methodology policyfor the full basis, and confirm every figure with LIC before you buy.
Check the source:New Endowment Plan on licindia.inLIC valuation and bonus declarationsIRDAI regulations
What this premium does not include
The figure above is the premium for the base policy. LIC allows 5 optional riders on New Endowment Plan, each a separate contract with its own sum assured, term and premium. Take one and you pay more than the figure above — the base premium itself does not change.
- LIC's Accidental Death and Disability Benefit Rider (AD & DB Rider)UIN 512B209V02
- LIC's Accident Benefit Rider (AB Rider)UIN 512B203V03
- LIC's New Term Assurance Rider (Term Rider)UIN 512B210V02
- LIC's Premium Waiver Benefit Rider (PWB Rider)UIN 512B204V04
- LIC's Critical Illness Health Rider (CI Rider)UIN 512B227V01
Premiums for all the life insurance riders put together cannot exceed 30% of the premium under the base plan. That cap is the useful number to hold an agent to: whatever riders are proposed, the total should stay inside it.
Why we do not price them. A rider premium follows from the rider's own sum assured and term, so it cannot be worked out from a tick-box — and LIC does not publish rider rates in the plan brochure, which tells you to read the rider brochure or ask a branch. We would rather name the riders and their UINs, which you can check, than show a number we cannot source.
Source: New Endowment Plan sales brochure (PDF), Optional Rider Benefits clause.
LIC New Endowment Plan — frequently asked questions
What is the maturity value of LIC New Endowment Plan 714?
The Basic Sum Assured plus vested simple reversionary bonuses plus Final Additional Bonus. For a ₹5 lakh, 20-year policy the projection is around ₹9.5 lakh at the current bonus rate, of which only the ₹5 lakh sum assured is guaranteed.
What is the difference between Plan 714 and Plan 715?
Plan 715 (New Jeevan Anand) continues the life cover for the whole of your life after maturity; Plan 714 ends at maturity. For the same sum assured and term, Plan 714 is the cheaper of the two.
What is the minimum term of New Endowment Plan?
12 years, and the maximum is 35 years, subject to the maturity age not exceeding 75.
Does New Endowment Plan give a loan?
Yes, once the policy has acquired a surrender value, which happens after three full years' premiums. LIC lends up to 90% of the surrender value on an in-force policy.
Related calculators
Plans people usually weigh up against New Endowment Plan before deciding.
New Jeevan Anand
No. 715Endowment savings that keeps paying life cover after the policy matures.
Open calculatorJeevan Labh
No. 736Limited premium endowment — finish paying years before the policy matures.
Open calculatorSingle Premium Endowment Plan
No. 717Pay once, stay covered, collect the sum assured plus bonuses at the end.
Open calculatorJeevan Lakshya
No. 733Endowment built around a family income benefit if the parent dies.
Open calculator