LIC Nivesh Plus Calculator: Plan 849 Single Premium ULIP Guide
Achieving long-term wealth creation requires participating in financial markets while safeguarding your capital with guaranteed milestone additions and life insurance security. LIC Nivesh Plus (Plan No. 849) is a flagship single premium, unit-linked, non-participating life insurance plan (ULIP) offered by the Life Insurance Corporation of India (LIC). It enables investors to make a one-time lump sum investment, choose among 4 market-linked funds, and earn contractual Guaranteed Additions added directly into their fund.
Our free online LIC Nivesh Plus Calculator allows investors, financial advisors, and wealth managers to project estimated fund values at maturity, compare Option 1 (1.25x SA) vs Option 2 (10x SA), analyze fund growth across Bond, Secured, Balanced, and Growth funds, and track total Guaranteed Additions.
What is LIC Nivesh Plus (Plan 849)?
LIC Nivesh Plus is a single premium ULIP designed to combine capital appreciation with life insurance cover:
- One-Time Investment: Invest a lump sum single premium (minimum ₹1,00,000 with no upper ceiling).
- Choice of 4 Market Funds: Allocate your money between equity, debt, or balanced funds according to your risk tolerance.
- Guaranteed Additions (GA): LIC credits guaranteed percentage additions directly to your unit fund at the end of the 6th, 10th, 15th, 20th, and 25th policy years.
- Dual Cover Options: Choose between Option 1 (1.25x SA for maximum return) and Option 2 (10x SA for higher life cover protection).
Eligibility Matrix & Option Limits
| Parameter | Option 1 (1.25x Sum Assured) | Option 2 (10.0x Sum Assured) |
|---|---|---|
| Basic Sum Assured | 1.25 × Single Premium | 10.0 × Single Premium |
| Min Entry Age | 90 Days Completed | 90 Days Completed |
| Max Entry Age | 70 Years (Near Birthday) | 35 Years (Near Birthday) |
| Max Maturity Age | 85 Years | 50 Years |
| Policy Term Range | 10 to 25 Years | 10 to 25 Years |
| Primary Advantage | Lower mortality deduction, higher net fund wealth | Higher life cover protection for young families |
4 Investment Fund Options Breakdown
Policyholders can switch between 4 funds to match changing market conditions:
| Fund Option | Equity % | Government & Debt Securities % | Short-term Money Market % | Risk & Expected Growth Profile |
|---|---|---|---|---|
| Bond Fund | 0% | 60% to 100% | 0% to 40% | Low Risk (~8% Projected CAGR) |
| Secured Fund | 15% to 55% | 40% to 85% | 0% to 40% | Low-to-Medium Risk (~10% Projected CAGR) |
| Balanced Fund | 30% to 70% | 30% to 70% | 0% to 40% | Medium Risk (~12% Projected CAGR) |
| Growth Fund | 40% to 80% | 20% to 60% | 0% to 40% | High Risk (~14% Projected CAGR) |
Guaranteed Additions Milestone Schedule
LIC adds guaranteed extra units to your policy fund at key milestones throughout the policy term:
| Policy Milestone Anniversary | Guaranteed Addition % (of Single Premium) | Example for ₹10 Lakh Single Premium |
|---|---|---|
| End of 6th Policy Year | 3.0% of Single Premium | ₹30,000 added as units |
| End of 10th Policy Year | 4.0% of Single Premium | ₹40,000 added as units |
| End of 15th Policy Year | 5.0% of Single Premium | ₹50,000 added as units |
| End of 20th Policy Year | 6.0% of Single Premium | ₹60,000 added as units |
| End of 25th Policy Year | 7.0% of Single Premium | ₹70,000 added as units |
How the LIC Nivesh Plus Calculator Works
The LIC Nivesh Plus Calculator computes fund values using standard actuarial deduction rules:
-
Premium Allocation Deduction: Subtracts 3.30% allocation charge for offline purchase (1.50% online). Net Invested Amount =
Single Premium × 96.7%. - Fund Growth Calculation: Compounds net invested capital at chosen fund CAGR minus 1.35% p.a. Fund Management Charge (FMC).
- Guaranteed Additions Crediting: Adds GA units directly into the fund at Years 6, 10, 15, 20, and 25.
- Maturity Benefit: Renders total projected Closing Fund Value.
Worked Financial Example & Growth Projections
Consider a 30-year-old individual investing a **single premium of ₹10,00,000 (10 Lakhs)** for a **15-Year Policy Term** under Option 1 (1.25x SA) in the Growth Fund:
| Investment Milestone / Component | Financial Details & Growth Projections |
|---|---|
| Single Premium Paid (Outflow) | ₹10,00,000 (One-Time) |
| Allocation Charge (3.30%) | ₹33,000 |
| Net Initial Amount Invested in Units | ₹9,67,000 |
| Guaranteed Additions Added (Yrs 6, 10, 15) | ₹1,20,000 total (3% + 4% + 5% = 12% of SA) |
| Life Cover Protection (Option 1) | ₹12,50,000 (1.25x SA) |
| Projected Fund Value at Maturity (Growth Fund @ 14%) | ₹53,40,000 (Over 5.3x your initial single investment!) |
Strategic Comparison: LIC Nivesh Plus (849) vs LIC SIIP (852)
| Comparison Parameter | LIC Nivesh Plus (Plan 849) | LIC SIIP (Plan 852) |
|---|---|---|
| Payment Structure | Single Premium (One-Time Lump Sum) | Regular Premium (Yearly, Monthly SIP) |
| Minimum Investment | ₹1,00,000 (1 Lakh) | ₹40,000/yr or ₹4,000/month |
| Sum Assured Options | 1.25x SA or 10.0x SA | 10.0x Annual Premium |
| Allocation Charge | 3.30% (One-time only) | 7.5% (Yr 1), 5% (Yrs 2-5), 2.5% thereafter |
Tax Implications under Section 10(10D) & Capital Gains
- Death Claim Tax Exemption: Death benefit payouts are 100% tax-free under Section 10(10D).
- ULIP Tax Rules (Post-Feb 2021): For policies issued after Feb 1, 2021 where aggregate single premium exceeds ₹2,50,000, maturity gains are taxed under capital gains tax rules.
How to Use the LIC Nivesh Plus Calculator
- Select Sum Assured Option: Pick Option 1 (1.25x SA) or Option 2 (10x SA).
- Choose Investment Fund: Pick Bond, Secured, Balanced, or Growth Fund.
- Select Policy Term: Pick a term between 10 and 25 years.
- Set Proposer Entry Age: Input age (0 to 70 years).
- Enter Single Premium: Specify your investment (min ₹1,00,000).
Frequently Asked Questions (FAQs)
What is LIC Nivesh Plus Plan 849?
LIC Nivesh Plus (Plan 849) is a single premium, unit-linked, non-participating life insurance policy (ULIP). It combines market-linked investment growth across 4 fund options with life insurance protection and contractual Guaranteed Additions added as units to your fund.
What is the difference between Option 1 (1.25x SA) and Option 2 (10x SA)?
Option 1 provides a Basic Sum Assured equal to 1.25 times your Single Premium, maximizing your net invested capital and long-term fund returns. Option 2 provides a higher life cover equal to 10 times your Single Premium, prioritizing financial protection for your family.
What investment fund options are available in Nivesh Plus?
Policyholders can choose among 4 investment funds: Bond Fund (Low risk, fixed income), Secured Fund (Low to Medium risk, up to 40% equity), Balanced Fund (Medium risk, 30%–70% equity), and Growth Fund (High risk/high return, 40%–80% equity).
How do Guaranteed Additions work in Plan 849?
Guaranteed Additions accrue as a percentage of your Single Premium at specific policy anniversaries (Year 6: 3%, Year 10: 4%, Year 15: 5%, Year 20: 6%, Year 25: 7%) and are added directly as additional units into your chosen investment fund.
What entry ages and policy terms are allowed?
Entry age ranges from 90 days to 70 years for Option 1 (1.25x SA) and 90 days to 35 years for Option 2 (10x SA). Policy terms range from 10 to 25 years.
What are the tax implications on maturity proceeds?
Death claim proceeds are 100% tax-free under Section 10(10D). For policies issued post-Feb 1, 2021 where single premium exceeds ₹2.5 Lakhs, maturity proceeds are taxed under capital gains rules.