About the LIC Premium Calculator
The LIC Premium Calculator is a free and user-friendly tool to estimate premium amounts and expected returns for various LIC policies. This calculator allows you to explore benefits with or without additional riders like:
- Accidental Death & Disability Benefit (AD & DB) Rider
- Accidental Death Benefit (ADB) Rider
- Term Assurance Rider
- Premium Waiver Benefit (PWB) Rider
Premiums are shown across multiple modes (yearly, half-yearly, quarterly, monthly, or single payment) along with applicable GST as per current regulations.
Disclaimer: This is not an official calculator from LIC of India. If you find any discrepancies, please reach out through the comment box.
What is Basic Sum Assured (BSA)?
The Basic Sum Assured is the minimum guaranteed amount payable on maturity (in endowment-type policies), along with accrued bonuses and Final Addition Bonus (if applicable). It is a key determinant of the premium, along with Age and Policy Term.
Understanding Age for Premium Calculation
Two types of methods are used by LIC to calculate age:
- Nearest Birthday Method: Age is rounded to the nearest birthday (used in most endowment plans).
- Last Birthday Method: Age is considered as per the last birthday (used in some annuity plans).
Try the LIC Age Calculator to easily find your valid age for premium purposes.
What is the Policy Term?
The Policy Term is the total number of years a policy remains active (i.e., in-force). During this period, death benefits, survival benefits (if applicable), and final maturity payouts are provided.
What is Premium Paying Term (PPT)?
Premium Paying Term (PPT) refers to the number of years you need to pay premiums.
- Regular Premium Plans: PPT equals the policy term (e.g., Jeevan Anand, New Endowment Plan).
- Limited Premium Plans: PPT is less than the policy term (e.g., Jeevan Lakshya, Jeevan Labh).
How is the LIC Premium Calculated?
LIC uses a tabular rate system to calculate base premium, based on the age and term of the policy. Here's an example of how tabular premium works for LIC Jeevan Anand (Plan 915):
| Tabular Premium per ₹1000 of Sum Assured | ||
|---|---|---|
| Age | Term (Years) | |
| 15 | 20 | |
| 20 | 79.05 | 57.25 |
| 25 | 80.55 | 58.45 |
| 30 | 82.45 | 60.05 |
For example, a 25-year-old choosing a 20-year policy with ₹5,00,000 Basic Sum
Assured will have a tabular premium of:
500 x 58.45 = ₹29,225, subject to further rebates and GST.