Formula
P = (T − R) × S / 1000
I = P × c
T = A / (ä × (1 − λ))
where
- P
- annual premium
- T
- tabular premium per ₹1,000 of sum assured, for your age, term and premium paying term
- R
- high sum assured rebate, ₹ per ₹1,000, from this plan's table (nil on smaller policies)
- S
- Basic Sum Assured
- I
- each instalment
- c
- instalment as a share of the annual premium: 1 yearly, 0.51 half-yearly or 0.0858 monthly
- A
- present value, per ₹1,000 of sum assured, of everything the policy pays
- ä
- present value of ₹1 a year, paid at the start of each year of the premium paying term while you are alive
- λ
- expense loading, 65%
In short (tl;dr)
Saral Jeevan Bima is the standardised term product mandated by the IRDAI. Every insurer sells the same design, so the only variable is price and service.
Worked example: at 35, ₹5,00,000 of cover over 25 years costs ₹3,105 a year for 25 years.
What is LIC Saral Jeevan Bima?
Saral Jeevan Bima (Plan 859) exists because the IRDAI required every life insurer to offer one simple, identically-worded term plan. The sum assured range is ₹5 lakh to ₹25 lakh, the term is 5 to 40 years, and there are no options, riders or variants to compare.
The standardisation is the feature. Because the wording is identical across insurers, you can compare LIC's premium against any competitor's with confidence that you are comparing the same contract, something that is genuinely hard with ordinary term plans.
There is a waiting period of 45 days from the risk commencement date, during which only accidental death is covered. That applies to every insurer's version of the product.
Key features
- Standardised wording mandated by the IRDAI, directly comparable across insurers
- Sum assured ₹5 lakh to ₹25 lakh
- Policy term 5 to 40 years, entry age 18 to 65
- Regular premium over the full term on this calculator; LIC also sells 5 or 10-year limited premium and single premium versions, see the FAQ below
- No medical or occupational exclusions beyond suicide in the first year
Saral Jeevan Bima at a glance
- Plan number
- 859
- Category
- Term Insurance
- Entry age
- 18 to 65 years
- Policy term
- 5 to 40 years
- Premium paying term
- Same as policy term on this calculator; LIC also sells 5 or 10 years, or a single premium
- Sum assured
- ₹5 Lakh to ₹25 Lakh
- Maximum maturity age
- 70 years
- UIN
- 512N341V01
We checked the plan number and UIN above against LIC's own page for this plan on 2026-09-08. Check it on licindia.in
What are the benefits of LIC Saral Jeevan Bima?
What does LIC Saral Jeevan Bima pay on death?
For regular and limited premium policies, the higher of 10 times the annualised premium and the absolute amount assured, never less than 105% of premiums paid. Single premium policies use a different formula: the higher of 125% of the single premium and the absolute amount assured. A 45-day waiting period applies from the risk commencement date, during which only accidental death is covered.
What do you get at maturity?
None. Pure protection.
Who is LIC Saral Jeevan Bima for?
A first term policy, a small top-up on existing cover, or anyone who wants to price-shop a genuinely identical contract across insurers.
What should you watch out for?
The ₹25 lakh ceiling is low for a primary breadwinner. For meaningful family cover, New Tech-Term will usually be both larger and cheaper per ₹1000.
What does LIC Saral Jeevan Bima cost?
Worked out on a 25-year term with premiums paid for 25 years, for a non-smoking man. Change any of these in the calculator above for your own figures.
By sum assured, at age 35
| Sum assured | Premium a year | Total paid in |
|---|---|---|
| ₹5,00,000 | ₹3,105 | ₹77,625 |
| ₹10,00,000 | ₹6,110 | ₹1,52,750 |
| ₹25,00,000 | ₹14,900 | ₹3,72,500 |
Premiums are modelled on this plan's own tabular rates. This is a pure protection plan, so there is no maturity value.
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.
| Age at entry | Premium a year | Total paid in |
|---|---|---|
| 25 years | ₹1,614 | ₹40,346 |
| 30 years | ₹2,115 | ₹52,877 |
| 40 years | ₹4,883 | ₹1,22,073 |
Age moves this premium a long way: ₹1,614 at 25 becomes ₹4,883 at 40, 3.0 times as much. Most of it pays for the risk of dying during the term, and that risk climbs with age.
LIC's own sample premium, from the brochure
From the sourceNot modelled: this is the table LIC prints in its own brochure (Sales brochure, section 5 Sample Illustrative Premium, regular premium, offline sale), at ₹10,00,000 of cover, the sum assured LIC chose to illustrate. Everywhere else on this page the premium is worked out for the sum assured you enter; here it is fixed at that figure, because that is what LIC published.
These figures are taken from the document linked below. Check them there.
| Age at entry | 25 years |
|---|---|
| 25 | ₹3,850 |
| 30 | ₹4,670 |
| 35 | ₹6,110 |
| 40 | ₹8,340 |
| 45 | ₹11,660 |
Priced on ₹10,00,000 of cover, exclusive of taxes, standard lives. Our own model is anchored on the age 35, 25-year term cell in this table; the other cells are the real test of the model, and the editorial and methodology policy publishes how far off they run.editorial and methodology policy publishes how far off they run.
Who can take LIC Saral Jeevan Bima?
Age to start
- Minimum
- 18 years
- Maximum
- 65 years
Policy term
- Minimum
- 5 years
- Maximum
- 40 years
Age when the policy matures
- Maximum
- 70 years
Your age at entry plus the policy term cannot come to more than 70.
Years you pay for
- Premium paying term
- Same as the policy term
Sum assured
- Minimum
- ₹5,00,000
- Maximum
- ₹25,00,000
The calculator applies every limit above. LIC sets them out under "Eligibility Conditions and Other Restrictions" on page 4 of the Saral Jeevan Bima sales brochure, linked in the form above.
Tax on LIC Saral Jeevan Bima
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.
Section 80C, now Section 123, on what you pay in
Premiums count towards the ₹1.5 lakh limit, in the year they are paid, if you are on the old regime. The deduction is restricted where the annual premium is more than 10% of the sum assured.
Section 10(10D), now Schedule II, on what comes back
Maturity proceeds are exempt where the premium in every year stays inside 10% of the sum assured, and, for a policy issued on or after 1 April 2023, where the premiums on all such policies together stay inside ₹5 lakh a year. Death proceeds are exempt either way.
Where this policy sits
The ₹5,00,000 policy priced above costs ₹3,105 a year, which is 0.6% of the sum assured. That is inside the 10% test, on both provisions. A larger sum assured moves the ratio down.
GST
Nil. Individual life insurance premiums have been exempt since 22 September 2025, so the instalment the calculator shows is the amount that leaves your account.
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 this calculator works
Saral Jeevan Bima is priced here on its own parameters, not a generic formula. We build the plan's full cash-flow schedule, meaning the death benefit in each policy year, every survival payout and the maturity value, then 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
- ₹6.21 per ₹1,000 at age 35, 25-year term, 25-year premium term
- Discount basis
- 2.76% a year, on LIC (2012-14) Ultimate mortality
- 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:Saral Jeevan Bima on licindia.inLIC valuation and bonus declarationsIRDAI regulations
What this premium does not include
Saral Jeevan Bima carries no optional riders, so the premium above is the whole premium. Some LIC plans let you bolt on accident, term or premium-waiver cover for an extra premium; this one does not.
Source: Saral Jeevan Bima sales brochure (PDF), read in full.
How LIC Saral Jeevan Bima compares
The plans people weigh this one against, and what separates each from it.
| Plan | Policy term | You pay for | Cover from | What is different |
|---|---|---|---|---|
| Saral Jeevan BimaNo. 859 · this page | 5 to 40 years | The full term | ₹5 Lakh | The standard term plan every insurer must offer, with identical terms across the market. |
| New Tech-TermNo. 954 | 10 to 40 years | The full term | ₹50 Lakh | LIC's online term plan: level cover from ₹50 lakh, bought direct with no agent. |
| New Jeevan AmarNo. 955 | 10 to 40 years | The full term | ₹25 Lakh | Tech-Term's agent-sold twin: the same pure cover, sold through agents until LIC withdrew it. |
| Jeevan KiranNo. 870 | 10 to 40 years | The full term | ₹15 Lakh | Term cover that returns every rupee of premium if you survive the policy. |
| Jeevan AzadNo. 768 | 15 to 20 years | Term minus 8 years | ₹2 Lakh | Short premium term, guaranteed maturity equal to the sum assured. |
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.
LIC Saral Jeevan Bima: frequently asked questions
What is Saral Jeevan Bima?
A standard individual term life insurance plan that the IRDAI requires every life insurer in India to offer, with identical terms and conditions. LIC's version is Plan 859. Because the design is fixed by regulation, premiums are directly comparable between companies.
What is the maximum sum assured under Saral Jeevan Bima?
₹25,00,000. The minimum is ₹5,00,000. If you need more cover than that, LIC's New Tech-Term or New Jeevan Amar are the alternatives.
Is there a waiting period in Saral Jeevan Bima?
Yes, 45 days from the date of commencement of risk. During that window only accidental death is covered. The waiting period does not apply to a policy that is being revived.
Is Saral Jeevan Bima cheaper than other LIC term plans?
Usually not, per ₹1000 of cover. Its small sum assured band means it misses the volume discounts New Tech-Term applies at ₹1 crore and above. Its value is standardisation and accessibility, not price.
Can I pay Saral Jeevan Bima premiums over 5 or 10 years, or as a single premium?
LIC allows both, on top of the regular premium this calculator prices. Limited premium runs for 5 or 10 years regardless of the policy term you choose, and costs more per year since the same cover is funded faster. Single premium is one payment covering the whole term, and uses its own death benefit formula, 125% of the single premium rather than 10 times the annualised premium. Neither is priced on this page; use the sample figures in LIC's own brochure or ask an agent for those two options.
Is it cheaper to pay Saral Jeevan Bima yearly, half-yearly or monthly?
Yearly, and by more than on most LIC plans. Most plans give a small discount for paying yearly; this one is the other way round, yearly is the base rate with no discount, and half-yearly and monthly each carry their own loading on top of it. Paying anything other than yearly costs more here than the usual small step most LIC plans charge.
Spot something wrong?
If a figure on this page disagrees with an LIC premium notice, bonus statement or benefit illustration, tell us and we will check it against the brochure. Anything else you think this page gets wrong is just as welcome.
Related calculators
Plans people usually weigh up against Saral Jeevan Bima before deciding.
New Tech-Term
No. 954LIC's online term plan: level cover from ₹50 lakh, bought direct with no agent.
Open calculatorNew Jeevan Amar
No. 955Tech-Term's agent-sold twin: the same pure cover, sold through agents until LIC withdrew it.
Open calculatorJeevan Kiran
No. 870Term cover that returns every rupee of premium if you survive the policy.
Open calculatorJeevan Azad
No. 768Short premium term, guaranteed maturity equal to the sum assured.
Open calculator