LIC Jeevan Labh Calculator (Plan 736 / 936 / 836)

Comprehensive Guide to LIC Jeevan Labh (Plan 736 / Plan 936 / Plan 836)

In the landscape of Indian life insurance and guaranteed long-term wealth creation, LIC Jeevan Labh (Plan No. 736 / 936 / 836 / UIN: 512N304V02) holds an undisputed reputation as LIC’s highest-yielding non-linked, participating, limited premium paying endowment assurance product. Introduced by the Life Insurance Corporation of India, Jeevan Labh is specifically engineered for investors and breadwinners who desire to complete their premium obligations within a shorter timeframe while continuing to enjoy robust financial risk cover and escalating compound bonuses throughout an extended policy term.

Whether your goal is funding a child’s prestigious university education, accumulating a magnificent wedding corpus, or building a secure retirement nest egg with sovereign government backing, this interactive LIC Plan 736 / 936 Calculator provides an end-to-end simulation of cash flows, death benefits, and net tax-free returns under Section 10(10D) of the Income Tax Act.

1. The Limited Premium Paying Advantage Explained

The defining architectural strength of LIC Jeevan Labh is its Limited Premium Paying Term (PPT). In standard whole life or traditional endowment contracts—such as LIC Jeevan Anand (Plan 915) or LIC New Endowment (Plan 714 / 914)—the policyholder must remit premiums every single year for the entire policy duration (e.g., paying for 25 continuous years).

Under LIC Jeevan Labh (Plan 736), your payment responsibility ends 6 to 9 years prior to maturity. However, the plan continues in full force:

• Full Life Cover Remains Active: In the non-paying window (e.g., Year 17 to Year 25 in a 25-16 term), the full Basic Sum Assured along with all accumulated bonuses remains completely protected.
• Continuous Annual Bonus Compounding: LIC declares Simple Reversionary Bonuses for every single year of the policy term (all 25 years), not just during the premium paying years!
• Higher Maturity Multiple: Because you stop paying premiums early while bonuses keep compounding on the full sum assured, the overall Internal Rate of Return (IRR) and capital multiple are substantially higher than conventional continuous-pay plans.

2. The Three Fixed Term & PPT Combinations

LIC Jeevan Labh is available strictly in three standardized policy combinations designed to suit distinct life milestones:

Which Option Should You Choose?

• Option 3 (25 Years Term / Pay 16 Years): Offers the highest bonus rate (~₹48 per ₹1,000 SA/year) and the largest Final Additional Bonus (FAB) multiplier. It is the gold standard for parents planning a toddler’s higher education or professionals in their late 20s or 30s planning retirement.
• Option 2 (21 Years Term / Pay 15 Years): Perfect for child wedding planning or mid-career financial targets, yielding ~₹44 per ₹1,000 SA/year in reversionary bonuses.
• Option 1 (16 Years Term / Pay 10 Years): Best suited for individuals entering between ages 45 and 59 who want a compact 10-year saving commitment with maturity at 16 years.

3. Eligibility Criteria & Commercial Slabs

4. High Sum Assured Rebates & Mode Discounts

To incentivize disciplined long-term capital formation, LIC provides attractive premium discounts based on policy size and payment frequency:

High Sum Assured Rebate (Discount on Tabular Premium per ₹1,000 SA):

• ₹2,00,000 to ₹4,90,000: Nil
• ₹5,00,000 to ₹9,90,000: ₹1.25 per ₹1,000 Basic Sum Assured
• ₹10,00,000 to ₹14,90,000: ₹1.50 per ₹1,000 Basic Sum Assured
• ₹15,00,000 and Above: ₹1.75 per ₹1,000 Basic Sum Assured

Mode Rebates:

• Yearly Mode: 2% Discount on Tabular Premium
• Half-Yearly Mode: 1% Discount on Tabular Premium
• Quarterly / Monthly Mode: Nil

5. Death Benefit & Survival Benefit Mechanics

A. Survival / Maturity Benefit (Policyholder Survives Full Term):

On surviving the complete policy term (e.g., 25 years), provided all due premiums during the PPT were paid in full, the life assured receives:

1. 100% Basic Sum Assured
2. Accrued Simple Reversionary Bonuses for the entire term
3. Final Additional Bonus (FAB), if applicable

B. Death Benefit (Demise of Policyholder During Term):

If the policyholder passes away at any time during the policy term (whether during the premium-paying years or during the non-paying grace years), the nominee is paid the "Sum Assured on Death" plus all Vested Simple Reversionary Bonuses and Final Additional Bonus (FAB).

"Sum Assured on Death" is legally defined as the highest of:

• 7 times the Annualised Premium; or
• 105% of Total Premiums Paid up to the date of demise; or
• 100% Basic Sum Assured.

6. LIC Jeevan Labh (736) vs. Other Popular LIC Endowment Plans

Comparing Jeevan Labh with other leading LIC savings and protection products illustrates its unique positioning:

7. Taxation Analysis: Section 80C & Section 10(10D)

Investments in LIC Jeevan Labh enjoy statutory tax incentives under the Indian Income Tax Act 1961:

• Tax Deduction at Entry (Section 80C): Premiums paid by individuals for self, spouse, or children qualify for tax deduction up to ₹1,50,000 per financial year under the Old Tax Regime.
• Tax-Free Payouts at Exit (Section 10(10D)): Both death claim payouts and maturity proceeds are 100% exempt from income tax, with no TDS deducted.
• Post-April 2023 Union Budget Provision: For non-ULIP traditional policies issued on or after 1st April 2023, the tax exemption under Section 10(10D) applies provided the aggregate annual premium across all such policies does not exceed ₹5,00,000 in any financial year. Death benefits remain 100% tax-free regardless of premium size!

8. Optional Riders for Enhanced Family Security

You can augment your base Jeevan Labh contract with five high-value optional riders:

1. Accidental Death and Disability Benefit Rider (AD&DB): Pays an additional 100% Basic Sum Assured in case of accidental death, and provides monthly disability stipends with waiver of future rider premiums on permanent disability.
2. LIC’s New Term Assurance Rider: Provides extra pure life insurance cover equal to the basic sum assured at ultra-low cost.
3. Critical Illness Benefit Rider: Disburses an instant lump-sum upon diagnosis of any of 15 severe critical illnesses (including stroke, cancer, kidney failure, open chest CABG, etc.).
4. Premium Waiver Benefit (PWB) Rider: If taking a policy on the life of a minor child, this rider waives all future premiums if the proposer (parent) passes away.

9. Loan Facilities & Guaranteed Surrender Values

Liquidity is guaranteed under LIC Jeevan Labh:

• Policy Loan Facility: Available after 2 consecutive years of full premium payment. You can avail a loan of up to 90% of the Surrender Value in in-force policies (80% in paid-up policies) at competitive interest rates set by LIC (currently ~9.5% p.a. compounding half-yearly).
• Surrender Value: If surrendered after completing 2 full years, the policy acquires a Guaranteed Surrender Value (GSV) along with the surrender value of accrued bonuses.

10. How to Buy LIC Jeevan Labh Online with Zero Paperwork

Purchasing your policy directly through our authorized agency is completely digital, secure, and hassle-free:

1. Run Your Simulation: Use the calculator above to choose your preferred Sum Assured, Term (16/21/25), and payment mode.
2. Connect on WhatsApp: Click the WhatsApp CTA button to share your quotation summary directly with Authorized LIC Advisor (Agent Code: LIC10031212).
3. Digital e-KYC & Onboarding: Complete paperless Aadhaar/PAN validation and digital medical declaration online.
4. Direct LIC Payment: Pay the premium directly to LIC India’s official payment gateway.
5. Instant e-Policy Bond: Receive your digitally signed LIC Policy Bond on your registered email and DigiLocker within 24 to 48 hours.

11. Related LIC Planning Calculators & Resources

Explore our suite of specialized actuarial calculators to optimize your family’s insurance and wealth portfolio:

• LIC Jeevan Anand (Plan 915) Calculator – Dual living maturity and lifelong whole life risk cover.
• LIC Jeevan Lakshya (Plan 733 / 933) Calculator – Triple child education financial security shield.
• LIC Single Premium Endowment (Plan 717) Calculator – One-time lumpsum investment with immediate loan liquidity.
• LIC New Endowment (Plan 714 / 914) Calculator – Reliable regular savings endowment plan.
• LIC Kanyadan Policy Calculator – Dedicated daughter marriage and education fund simulator.
• LIC Bonus Rates & Historical Yield Calculator – Official Simple Reversionary & FAB valuation charts.
• Official LIC India Web Portal – Policyholder services and premium payment gateway.
• Insurance Regulatory and Development Authority of India (IRDAI) – Consumer protection guidelines.