LIC Maturity Calculator
Estimate your policy maturity amount using sum assured, policy term, bonus, and final additional bonus. This works best for traditional LIC endowment-style plans where bonus is declared as ₹ per ₹1,000 sum assured.
Note: This is an estimate tool. Actual LIC maturity depends on the specific plan, declared bonus history, policy status, riders, and insurer rules.
What is LIC maturity value?
LIC maturity value is the amount paid to the policyholder when the policy term ends and all required premiums have been paid. In many traditional LIC plans, this amount includes the basic sum assured, accrued reversionary bonuses, and in eligible cases a final additional bonus or loyalty addition.
If you are planning for education, retirement, or long-term savings, knowing the expected maturity amount helps you decide whether your current policy will meet your future goal.
How this LIC maturity calculator works
This calculator uses a standard estimation model that is widely used for endowment-style insurance plans:
Where:
- Total Reversionary Bonus = (Sum Assured / 1000) × Bonus Rate × Policy Term
- Final Additional Bonus (FAB) = (Sum Assured / 1000) × FAB Rate
The tool also calculates your total premium paid and an approximate annualized return (IRR-style estimate) so you can compare this policy with other long-term options.
Input fields explained
1) Basic Sum Assured
This is the guaranteed base cover in your LIC policy schedule. Bonus is usually calculated on this value, not on premiums paid.
2) Policy Term
Total duration of the policy in years, from commencement to maturity.
3) Premium Paying Term
How many years you actually pay premiums. In some plans, this may be less than the policy term.
4) Annual Premium
Total yearly premium outgo. Use the premium amount before entering assumptions about return calculations.
5) Reversionary Bonus Rate
LIC typically declares this in rupees per ₹1,000 sum assured, often yearly. Use a realistic average based on your policy type and insurer declarations.
6) Final Additional Bonus / Loyalty Addition
Some plans may pay a one-time extra at maturity for long-duration policies. This is not guaranteed every year and can vary significantly.
Sample LIC maturity calculation
Suppose your policy details are:
- Sum assured: ₹10,00,000
- Policy term: 20 years
- Premium paying term: 20 years
- Annual premium: ₹45,000
- Bonus rate: ₹45 per ₹1,000 per year
- FAB rate: ₹120 per ₹1,000
Then:
- Reversionary bonus = 10,00,000/1000 × 45 × 20 = ₹9,00,000
- FAB = 10,00,000/1000 × 120 = ₹1,20,000
- Estimated maturity = ₹10,00,000 + ₹9,00,000 + ₹1,20,000 = ₹20,20,000
This gives you a practical planning number. Exact payout can still differ based on policy conditions and future bonus declaration changes.
Why people use an LIC maturity calculator
- To estimate corpus for child education or retirement planning
- To check whether policy continuation is aligned with goals
- To compare projected maturity with other savings options
- To understand the contribution of bonus vs guaranteed benefit
Important limitations
- Actual LIC bonus rates are not fixed and can change.
- Different plans have different bonus structures and eligibility rules.
- Paid-up, lapsed, loan-adjusted, or surrendered policies behave differently.
- Riders and tax treatment are not included in this simple model.
Tips to use this estimate wisely
Use conservative bonus assumptions
Instead of assuming the highest recent bonus, test with a moderate value. It gives a safer estimate for financial planning.
Run multiple scenarios
Try different bonus and FAB rates to see best-case and worst-case outcomes. Scenario analysis is better than relying on one single number.
Track policy statement regularly
Once a year, compare your estimated maturity value against official policy status and bonus updates.
Frequently asked questions
Is LIC maturity amount guaranteed?
The basic sum assured component is generally guaranteed if policy conditions are met, but bonus components are usually declared by the insurer and can vary.
Can I use this for money-back plans?
You can use it as a rough estimate, but money-back plans have survival benefits during the term, so final maturity-at-end calculations may need plan-specific adjustments.
Does this calculator include GST, loan interest, or rider benefits?
No. This tool focuses on core maturity estimation for clarity and speed.