LIC New Endowment Plan 814 Calculator
UIN: 512N277V01 | Official LIC Calculation
Plan Eligibility:
- Minimum Sum Assured: ₹1,00,000 (in multiples of ₹5,000)
- Entry Age: 8-55 years (nearest birthday)
- Maturity Age: Maximum 75 years (nearest birthday)
- Policy Term: 12-35 years
Calculation Results
The LIC New Endowment Plan 814 is one of the most popular life insurance policies in India, combining savings, insurance protection, and financial planning for policyholders of all ages. Understanding its premium, maturity, and benefit calculations is crucial for buyers and agents alike. T
Introduction
The LIC New Endowment Plan 814 is a traditional, non-linked life insurance policy offered by Life Insurance Corporation of India (LIC). It merges the twin benefits of insurance and savings to deliver financial security and long-term returns. However, understanding the premium calculations, maturity benefits, and policy details can be daunting.
What Is LIC New Endowment Plan 814?
The LIC New Endowment Plan 814 is a participating, non-linked policy that pays lump-sum benefits at the end of the term or on death during the policy term. It is designed for individuals who want a blend of financial savings and risk cover under a single scheme. The plan is suitable for a wide variety of people: professionals, salaried employees, self-employed individuals, and even homemakers, making it an inclusive offering from LIC.
Key Features:
- Combines insurance protection and investment
- Pays out Sum Assured plus bonuses upon death or maturity
- Offers tax benefits under prevailing tax laws
- Flexible term options and premium payment modes
Why Use a LIC New Endowment Plan 814 Calculator?
The LIC calculator for this plan helps users estimate their premiums, expected maturity value, and risk coverage in just a few clicks. Instead of manually calculating using lengthy formulas, the calculator uses official LIC rules to simulate the returns accurately, saving time and reducing errors.
Benefits of Using the Calculator:
- Instant and error-free premium calculation
- Estimate maturity benefit at policy end
- View bonus additions and total payout
- Easily compare plans and payment options
How Does the LIC New Endowment Plan 814 Calculator Work?
The calculator uses specific inputs prescribed by LIC to compute the premium and maturity values. These include:
- Age of proposer: Minimum 8 years, maximum 55 years at entry
- Sum Assured: Minimum Rs. 1,00,000, no maximum limit
- Policy Term: Minimum 12 years, maximum 35 years
- Premium mode: Yearly, Half-yearly, Quarterly, or Monthly
Using these variables, the calculator applies LIC’s premium tables, bonus rates, and surrender value rules to generate outputs instantly.
Input Parameters Explained
Understanding the required inputs will help users fill the form correctly:
| Parameter | Details |
|---|---|
| Age | The policyholder’s age at the time of buying the policy |
| Sum Assured | The basic amount guaranteed to be paid at maturity or death |
| Policy Term | Duration of the policy in years |
| Premium Payment Mode | Frequency of premium: Yearly, Half-yearly, Quarterly, Monthly |
All values must be entered as per official LIC specifications to get accurate results.
Step-by-Step Guide to Using the Calculator
- Visit Official LIC Calculator Tool
- Use trusted sources like licindia.in or a reputable calculator portal.
- Input Your Details
- Enter age, sum assured, term, and payment mode.
- View Instant Results
- The calculator displays annual premiums, total payable premiums, expected maturity, bonus amounts, and death benefit.
- Print or Save Results
- Most calculators allow users to download or print a summary.
Always double-check your entries to avoid mistakes and obtain accurate calculations.
Sample LIC New Endowment Plan 814 Calculation
Let’s look at a practical example to illustrate:
Scenario:
- Age at entry: 30 years
- Sum assured: Rs. 5,00,000
- Policy term: 25 years
- Premium mode: Yearly
Step 1: Enter details on the calculator.
Step 2: The calculator will output:
- Approximate annual premium: Rs. 20,000 (example for illustration)
- Total premiums paid: Rs. 5,00,000
- Estimated maturity benefit: Rs. 8,00,000 (with bonuses)
- Death benefit: Sum assured + bonuses till policy date
The exact premium varies depending on age, sum assured, and payment mode. These values change with official LIC updates; always refer to the latest content on LIC’s official page for confirmation.
Maturity and Death Benefits Explained
Maturity Benefit
At the end of the policy term, the policyholder receives:
- Basic Sum Assured
- Simple Reversionary Bonus
- Final Additional Bonus (if any)
Maturity = Sum Assured + Accrued Bonuses
Death Benefit
If the insured person dies during the policy term, the nominee receives:
- Sum Assured on Death (higher of 10x annual premium or 105% premium paid till death)
- Accrued Bonuses
This ensures financial protection for loved ones.
Bonus Calculation in LIC New Endowment Plan 814
LIC declares annual bonuses for participating plans like the New Endowment Plan. These include:
- Simple Reversionary Bonus: Added every year depending on LIC surplus and declared rates. The rate varies but commonly ranges between Rs. 35-45 per Rs. 1000 Sum Assured.
- Final Additional Bonus (FAB): Paid at maturity or death, if declared, for policies in force for defined periods.
Bonuses depend on LIC’s financial performance and regulatory approvals.
Riders and Add-Ons
LIC New Endowment Plan 814 offers the option to include riders for extra protection:
- Accidental Death and Disability Benefit Rider: Pays extra benefit upon accidental death or disability.
- Premium Waiver Benefit Rider: Waives future premiums in case of disability.
Riders can be included for an extra charge and must be selected at policy initiation.
Tax Advantages
Investing in LIC New Endowment Plan 814 provides tax benefits under Section 80C (premium payment) and Section 10(10D) (maturity proceeds) of the Income Tax Act, subject to changes in tax law.
Always consult a qualified tax advisor for current rules and limits.
Advantages and Limitations
Advantages
- Combines insurance and savings
- Guaranteed returns with bonus additions
- Flexible premium payment options
- Tax benefits on premium and maturity proceeds
- Option to add useful riders
Limitations
- Returns may be lower than certain market-linked products
- Surrendering policy early may result in reduced returns
- Bonus rates are not guaranteed and depend on LIC’s performance
Benefit from consulting a certified LIC agent or checking the official LIC site for the latest updates.
Tips for Maximizing Benefits
- Start early: Younger age reduces premium cost.
- Choose a policy term that matches life goals (education, marriage, retirement).
- Opt for riders based on risk profile.
- Use calculators to compare total returns and premium outlays.
- Always keep nominee details updated to avoid legal complications.
How LIC New Endowment Plan 814 Calculator Helps in Financial Planning
Utilizing the calculator empowers users to plan effectively:
- Set realistic savings goals by viewing maturity projections.
- Plan risk coverage for dependents by estimating death benefits.
- Analyze different premium modes for budgeting.
- Make informed decisions about policy term and sum assured for family needs.
Unique Benefits of LIC New Endowment Plan 814 Over Other Plans
Comparison Table
| Feature | Endowment Plan 814 | Money Back Plan |
|---|---|---|
| Type | Pure endowment | Money back at intervals |
| Maturity Benefit | Lump sum + bonuses | Partial payouts + bonuses |
| Premium Cost | Lower for same sum assured | Slightly higher |
| Death Benefit | Full sum assured + bonus | Full sum assured + bonus |
| Flexibility | High | Moderate |
Endowment plans generally offer higher maturity payouts and lower premiums.
Common Mistakes to Avoid
- Not reviewing policy details carefully before purchase
- Choosing maximum policy term without considering financial goals
- Forgetting to select appropriate riders
- Failing to update nominee information
- Neglecting premium payment schedule and grace period
A little attention to detail can prevent major problems in long-term financial planning.
Frequently Asked Questions (FAQs)
What is the age limit for buying LIC New Endowment Plan 814?
The minimum entry age is 8 years, and the maximum entry age is 55 years.
What is the minimum and maximum sum assured under this plan?
The minimum sum assured is ₹1,00,000, and there is no maximum limit.
What is the policy term offered for LIC New Endowment Plan 814?
The policy term can range from 12 years to 35 years, depending on the policyholder’s choice.
What are the maturity benefits of this plan?
On surviving till the end of the policy term, the maturity benefit includes the basic sum assured + vested bonuses + final additional bonus (if any).
What is the death benefit in LIC New Endowment Plan 814?
On death during the policy term, the nominee receives the sum assured on death (higher of basic sum assured or 10 times the annualized premium, but not less than 105% of total premiums paid) plus accrued bonuses.
Are there any rider benefits available?
Yes, optional riders like the Accidental Death and Disability Benefit Rider and the Critical Illness Benefit Rider can be added for enhanced protection.
Final Thoughts
The LIC New Endowment Plan 814 Calculator is a powerful and easy-to-use tool for individuals seeking a mix of savings and risk protection. By inputting basic information—age, sum assured, term, and premium mode—users can instantly discover:
- Annual premium costs
- Total maturity value
- Death and disability benefits
- Tax impacts and available riders
This helps in making informed, confident decisions to secure family and future financial goals.