Life Insurance Corporation of India (LIC) is the most trusted and oldest life insurance provider in India. It has served millions of policyholders for decades with its wide range of insurance and investment products.

Among its many benefits, bonus is one of the most attractive features that helps policyholders grow their money over time. The LIC Bonus Calculator is a simple and effective tool designed to help users estimate the total bonus amount they can receive on their LIC policy.

What Is LIC Bonus Calculator?

The LIC Bonus Calculator is an online tool that helps you estimate the total bonus you are likely to get on your LIC policy at maturity. It calculates the approximate return you will receive based on:

• The sum assured of your policy
• The policy term (number of years)
• The type of plan (endowment, money-back, or whole life policies)
• The annual bonus rate declared by LIC

It gives you a clear picture of how much maturity value or extra profit your LIC policy will generate by the end of its term.

Example

Suppose you have an endowment policy with a sum assured of ₹5,00,000 and a term of 20 years. If LIC declares a reversionary bonus of ₹45 per ₹1,000 sum assured every year, your calculation will be:

Yearly Bonus = (Sum Assured / 1,000) × Bonus Rate
= (₹5,00,000 / 1,000) × ₹45
= ₹22,500 per year

So, over 20 years, the total accumulated bonus would be ₹22,500 × 20 = ₹4,50,000 (excluding any final additional bonus).

Why LIC Bonus Is Important

The LIC bonus plays a crucial role in increasing the final maturity or death benefit of a policy. Here’s why it matters:

• Adds extra value to your policy over time.
• No extra cost — bonuses are added without additional premium.
• Guaranteed by policy type — participating policies receive bonuses based on LIC’s annual profits.
• Encourages long-term savings — the longer your policy term, the higher the bonus accumulation.

In short, bonuses make LIC policies not just an insurance cover but also a profitable long-term investment tool.

How Does LIC Bonus Calculator Work?

The LIC Bonus Calculator works on a simple formula. You need three main inputs:

1. Sum Assured (Base Policy Amount) – The guaranteed amount payable by LIC.
2. Policy Term (Years) – Duration for which the policy runs.
3. Bonus Rate (Annual Declared by LIC) – The bonus per ₹1,000 sum assured.

Formula:

$$\text{Total Bonus} = \left(\frac{\text{Sum Assured}}{1,000}\right) \times \text{Bonus Rate} \times \text{Policy Term}$$Total Bonus=(1,000Sum Assured)×Bonus Rate×Policy Term

The final Maturity Amount is:$$\text{Maturity Value} = \text{Sum Assured} + \text{Total Bonus} + \text{Final Additional Bonus (if any)}$$Maturity Value=Sum Assured+Total Bonus+Final Additional Bonus (if any)

Example Calculation

Let’s take an example for better understanding.

Policy Detail	Value
Plan Name	LIC New Endowment Plan (Table No. 814)
Sum Assured	₹10,00,000
Policy Term	25 years
Bonus Rate	₹45 per ₹1,000 sum assured
Final Additional Bonus	₹30,000 (estimated)

Calculation:

• Annual Bonus = (10,00,000 / 1,000) × 45 = ₹45,000
• Total Bonus = ₹45,000 × 25 = ₹11,25,000
• Final Additional Bonus = ₹30,000

Maturity Amount = ₹10,00,000 + ₹11,25,000 + ₹30,000 = ₹21,55,000

So, at the end of 25 years, the policyholder may receive approximately ₹21.55 lakh, including bonuses.

Types of LIC Bonuses

LIC offers different kinds of bonuses under its participating policies. Let’s go through each briefly:

1. Reversionary Bonus

This is the most common type, declared every year. Once declared, it gets attached to the policy and becomes payable at maturity or on death.

2. Interim Bonus

If a policy matures or the policyholder dies between two declaration dates, LIC pays an interim bonus as an approximate value for that short period.

3. Final Additional Bonus (FAB)

It is a one-time bonus added at the end of the policy term. It rewards long-term policyholders who stayed invested throughout the term.

4. Loyalty Additions

These are similar to bonuses but are usually given to long-standing customers or on specific plans as a form of reward.

Features of LIC Bonus Calculator

The bonus calculator is a user friendly tool available on many financial and LIC centered websites.

Key features include:

• Easy input interface (Sum Assured, Term, and Bonus Rate).
• Instant results with estimated maturity value.
• Free to use for all LIC customers.
• Works for most participating plans (like endowment, money-back, and Jeevan Anand).
• Helps compare old and new LIC plans easily.

Example: If you plan to choose between LIC New Endowment 814 and LIC Jeevan Labh 936, you can quickly check which gives better bonus accumulation over time.

How to Use the LIC Bonus Calculator

Follow these simple steps:

1. Visit any trusted LIC bonus calculator page (for example, LIC’s official site or tools like liccalculator.info).
2. Enter your sum assured, policy term, and policy plan.
3. Enter the expected bonus rate (you can check past rates from LIC’s official bonus list).
4. Click on “Calculate Bonus”.
5. The total expected bonus and maturity value will appear instantly.

Example Result Screen

It will show:

• Sum Assured: ₹10,00,000
• Annual Bonus: ₹45,000
• Total Bonus (25 Years): ₹11,25,000
• Final Maturity Value: ₹21,55,000

This gives you a clear idea of your policy’s potential return.

Benefits of Using LIC Bonus Calculator

• Helps forecast your policy’s future value.
• Saves time no manual calculations.
• Assists in comparing multiple LIC plans.
• Encourages better financial planning.
• Helps estimate tax-free maturity under Section 10(10D).

The calculator doesn’t require login information or policy details; it works purely as an estimator.

How LIC Declares Bonuses

LIC calculates bonuses annually based on its surplus profits from investments and operations. A portion of the profits is shared with policyholders in the form of bonuses.

Steps involved:

1. LIC evaluates total income and expenditures.
2. The surplus amount is calculated.
3. LIC’s Board decides the rate per ₹1,000 sum assured.
4. The bonus is declared and credited to all participating policies.

Bonus Review Cycle

LIC usually declares bonuses after evaluating the previous financial year, i.e., between July and September every year.

LIC Bonus Rates (Approximate)

Bonus rates differ every year and plan-wise. Below are sample bonus rates (for reference only):

Plan Name	Policy Term	Bonus Rate (per ₹1,000 Sum Assured)
LIC New Endowment 814	15–25 years	₹40–₹48
LIC Jeevan Anand 915	20–30 years	₹45–₹49
LIC New Jeevan Labh 936	16–25 years	₹47–₹50
LIC Jeevan Umang 945	Whole Life	₹45–₹46

Note: Actual rates may vary every financial year.

How Bonus Affects Maturity Amount

The longer the policy term, the higher the total bonus. For instance:

• A 10-year policy may earn ₹4–5 lakh bonus on ₹10 lakh sum assured.
• A 25-year policy can accumulate double or more due to compounding benefits.

This shows how patience rewards long-term investors with higher maturity benefits.

LIC Participating vs. Non-Participating Plans

Not all LIC policies offer bonuses.

• Participating Plans share profits and earn bonuses.
• Non-Participating Plans do not earn bonuses but may offer guaranteed additions.

Example

LIC Jeevan Anand 915 is a participating plan.
LIC Tech Term is a non-participating plan (no bonus).

Thus, when choosing policies, check whether it includes bonus participation this makes a big difference in long-term returns.

How Bonus Is Paid

Bonuses are not paid annually in cash. Instead, they are accumulated and paid at:

• Maturity (if the policyholder survives till term end).
• Death Claim (if policyholder dies during the term).

So, bonuses essentially grow silently within your policy and boost your payout at the end.

Things to Remember About LIC Bonus

• Bonus is not guaranteed; it depends on LIC’s annual performance.
• Rates may vary year to year.
• Early policy surrender might reduce or eliminate bonus benefits.
• Always confirm with your LIC agent or branch for the latest declared rates.

LIC Bonus Values for Selected Policies (Indicative)

Plan Name	Table No.	Term (Years)	Bonus Rate
LIC Jeevan Labh	936	20	₹47
LIC New Endowment	814	25	₹45
LIC Jeevan Anand	915	30	₹49
LIC Jeevan Lakshya	933	25	₹46

These figures help you get a rough idea while using the LIC Bonus Calculator online.

LIC Bonus Calculator for Jeevan Anand Example

Let’s take another popular plan LIC Jeevan Anand (Plan 915).

• Sum Assured: ₹10,00,000
• Policy Term: 25 Years
• Bonus Rate: ₹49 per ₹1,000
• FAB: ₹30,000

Total Bonus: (10,00,000 / 1,000) × 49 × 25 = ₹12,25,000
Total Maturity: 10,00,000 + 12,25,000 + 30,000 = ₹22,55,000

Hence, you will receive around ₹22.5 lakh after 25 years.

Advantages of LIC Bonus Policies

• Stable and trusted returns.
• Ideal for long-term goals (retirement, child education, etc.).
• Zero risk compared to market-linked investments.
• Bonus acts as a profit-sharing benefit between LIC and the policyholder.

Disadvantages or Limitations

• Bonus rates may decline in weak years.
• Not all plans offer bonuses.
• The bonus amount is declared, not fixed it depends on LIC’s financial performance.
• Surrender before the term reduces total bonus value.

Despite these, LIC’s track record of steady bonuses makes it an extremely reliable investment option.

How to Check Your LIC Bonus Online

You can verify the current year’s bonus updates as follows:

1. Visit LIC’s official website – licindia.in
2. Navigate to “Customer Services” → “Bonus Information”.
3. Choose your policy plan.
4. Download or view bonus rates for different policy years.

You can also visit your nearest LIC branch and ask for the latest circular showing bonus declarations.

LIC Bonus Withdraw Date or Crediting Time

Bonuses are not withdrawn separately by the policyholder.

• They are credited internally to the policy record every year.
• They are paid in full at the time of maturity or death claim.
  Thus, there is no specific “withdraw date” the amount is released at policy completion.

Why You Should Use Bonus Calculator Regularly

Using the LIC Bonus Calculator regularly helps you:

• Re-evaluate your financial goals.
• Check whether your current plan meets your target returns.
• Compare with newer LIC plans.
• Plan for family or retirement based on realistic projections.

Example: If your expected maturity at 25 years is ₹21 lakh, but you need ₹25 lakh, you might increase your sum assured or opt for an additional plan.

FAQ – Frequently Asked Questions

Conclusion

The LIC Bonus Calculator is one of the simplest yet most powerful financial tools for policyholders. It helps you forecast the real growth of your LIC investment by adding the bonus benefits declared by LIC every year. Using this calculator, you can plan your future maturity value, compare policies, and make smarter insurance decisions.

Since LIC is a profit-sharing organization, policyholders directly benefit from its strong investment performance. With steady bonus declarations over the years, LIC continues to stand as a symbol of security, growth, and trust.

If you haven’t tried it yet, use the LIC Bonus Calculator today to discover how much your LIC policy could be worth at maturity and let your insurance grow silently into a meaningful financial asset.