LIC Maturity Amount Calculator

By CalculatorBolt Team • Published: • Updated: • Reviewed by: Finance & Investing Editor

Estimate LIC policy maturity amount and returns. Enter sum assured, annual premium, policy term, and expected bonus rate. Get maturity amount, total premiums paid, and total returns. This is an estimate—actual bonuses are declared annually by LIC. Explore more tools on free calculators on CalculatorBolt.

LIC Maturity Amount Calculator

Choose your LIC policy type or custom for manual entry.
₹
The guaranteed amount payable on maturity or death.
₹
The amount you pay annually for the policy.
The duration of the policy in years.
Expected annual bonus rate (historical average 6-8%).

How It Works

The LIC maturity amount calculator estimates your policy's maturity value using the formula:

Maturity Amount = Sum Assured + (Sum Assured × Annual Bonus Rate × Policy Term)

Total Premiums Paid = Annual Premium × Policy Term

Total Returns = Maturity Amount - Total Premiums Paid

This calculator provides an estimate based on expected bonus rates. Actual maturity amounts depend on bonuses declared annually by LIC and specific policy terms.

Inputs Explained

Policy Type
Choose from Endowment, Money Back, Whole Life, or Custom plans. Each type has different bonus structures and payout patterns.
Sum Assured
The guaranteed amount payable on maturity or death. This is the base amount on which bonuses are calculated.
Annual Premium
The amount you pay each year to keep the policy active. Used to calculate total premiums paid over the policy term.
Policy Term
The duration of the policy in years. Bonuses accumulate over this period until maturity.
Expected Annual Bonus Rate
The expected rate at which bonuses will be added to the sum assured annually. Historical rates for LIC endowment plans range from 6-8%.

Example Calculation

Endowment Plan Example

  • Policy Type: Endowment Plan
  • Sum Assured: ₹500,000
  • Annual Premium: ₹25,000
  • Policy Term: 20 years
  • Expected Bonus Rate: 6% per annum

Calculation:

Maturity Amount = ₹500,000 + (₹500,000 × 0.06 × 20)
= ₹500,000 + ₹600,000
= ₹1,100,000

Total Premiums Paid = ₹25,000 × 20 = ₹500,000

Total Returns = ₹1,100,000 - ₹500,000 = ₹600,000

Tips & Notes

  • Bonus Rates Vary: LIC declares bonus rates annually based on its investment performance. Historical rates should be used as estimates only.
  • Money Back Plans: These policies return a percentage of the sum assured at regular intervals during the policy term, with the balance plus bonuses paid at maturity.
  • Whole Life Plans: These provide coverage for the entire life of the insured and include a maturity component if the insured survives to the maturity age (typically 100 years).
  • Terminal Bonuses: In addition to simple reversionary bonuses, LIC may declare terminal bonuses at maturity, which can significantly increase the final payout.
  • Premium Payment Mode: This calculator assumes annual premium payment. If you pay monthly, quarterly, or half-yearly, adjust the annual premium accordingly.
  • Tax Benefits: Premiums paid and maturity proceeds may be eligible for tax benefits under sections 80C and 10(10D) of the Income Tax Act. Consult a tax advisor.
  • Policy Loans: If you've taken a loan against your policy, the maturity amount will be reduced by the outstanding loan amount plus interest.
  • Inflation Consideration: Remember that inflation reduces the purchasing power of money over time. A ₹1,100,000 payout in 20 years will have less purchasing power than today.

Frequently Asked Questions

LIC maturity amount is calculated as Sum Assured plus Simple Reversionary Bonuses, which equals Sum Assured + (Sum Assured × Annual Bonus Rate × Policy Term). This formula gives an estimate based on expected bonus rates. Actual bonuses are declared annually by LIC and can vary.

A good bonus rate varies by plan and year. Historically, LIC has declared bonus rates between 6-8% per annum for traditional endowment plans. Actual rates depend on LIC's financial performance and policy type. Check LIC's official website for current bonus rates.

This calculator provides an estimate based on expected bonus rates you input. Actual maturity amounts depend on bonuses declared annually by LIC, terminal bonuses, and specific policy terms. For official maturity projections, consult an LIC agent or check your policy document.

Endowment plans pay the maturity amount (sum assured plus bonuses) at the end of the policy term. Money Back plans return a percentage of the sum assured at regular intervals during the policy term (e.g., 20% every 5 years), with the balance plus bonuses paid at maturity. Money Back plans provide periodic liquidity but may have lower overall returns.

No. All calculations run entirely in your browser. No data is sent to any server or stored online. Your policy information remains completely private. Use the Export or Share Link features to save your configuration locally for future reference.

LIC declares Simple Reversionary Bonuses annually based on its investment performance. These bonuses are added to the sum assured and paid at maturity or death. Bonus rates can vary year to year and differ by policy type. Additionally, LIC may declare Terminal Bonuses at maturity, which can significantly boost the final payout.

No. This calculator is designed for endowment, money back, and whole life policies that have a maturity component. Pure term insurance policies do not have a maturity value—they only provide death benefit coverage. If the insured survives the term, no amount is payable.

Key factors include sum assured, annual premium, policy term, bonus rates declared by LIC each year, policy type (endowment/money back/whole life), terminal bonuses, any policy loans taken (which reduce the maturity amount), and whether all premiums were paid on time. Premium payment interruptions can affect bonus accumulation.

Disclaimer

Related Calculators

SCHD Dividend Calculator

Calculate annual dividend income from Singapore Government Securities.

Dividend Yield Calculator

Calculate dividend yield percentage for stocks and investments.

Compound Interest Calculator

Calculate compound interest growth over time.

ROI Calculator

Calculate return on investment percentage.