LIC Jeevan Labh Plan 736 Calculator
The LIC Jeevan Labh Plan 736 Calculator is a comprehensive tool designed to help you instantly estimate your premium outflow and maturity returns. Whether you choose the 16, 21, or 25-year term, this calculator provides a detailed year-by-year illustration of your investment growth, bonus accrual, and life cover benefits based on the latest 2025 bonus rates.
How to Use the LIC Jeevan Labh Calculator
We have designed this tool to simplify the complex “Limited Premium” structure of Plan 736. Follow these steps:
- Enter Entry Age: Input your current age (between 8 and 59 years).
- Select Policy Term: Choose your goal horizon. Note that the premium payment term is shorter than the policy term (e.g., for a 25-year policy, you only pay for 16 years).
- Set Sum Assured: Enter the base life cover amount you want (Minimum ₹2 Lakhs).
- Click Generate Illustration: The tool will calculate your Annual Premium, Total Investment, and the Estimated Maturity Amount including Simple Reversionary Bonuses and Final Additional Bonus (FAB).
Note: You can check the “Year-wise Policy Illustration” table below the result to see exactly how your Cash Value and Loan availability grow over time.
What is LIC Jeevan Labh (Plan 736)?
LIC Jeevan Labh (Table 736) is a non-linked, participating, limited premium paying endowment plan. It is one of LIC’s most popular policies because it offers a combination of protection and savings with a distinct advantage: You pay premiums for a limited period, but the life cover continues for the full policy term.
Key Features:
- Limited Liability: You do not have to pay premiums for the entire duration of the policy.
- Death Benefit: In case of unfortunate death during the term, the nominee receives the “Sum Assured on Death” plus vested bonuses.
- Maturity Benefit: On survival to the end of the term, you receive the Basic Sum Assured + Simple Reversionary Bonuses + Final Additional Bonus.
- Loan Facility: Liquidity is available through loans after two full years of premium payment.
Understanding the Policy Terms (Pay vs. Wait)
The most unique feature of Jeevan Labh is the specific relationship between how long you pay and how long you are covered.
| Policy Term (Years) | Premium Payment Term (Years) | Waiting Period (No Payment) |
| 16 Years | Pay for 10 Years | 6 Years |
| 21 Years | Pay for 15 Years | 6 Years |
| 25 Years | Pay for 16 Years | 9 Years |
Our calculator automatically adjusts these periods based on your selection in the “Policy Term” dropdown.
Real-Life Example: How the Returns Work
Let’s look at a practical scenario to understand the returns.
Profile: Mr. Sharma, Age 30
Plan: 25 Year Policy Term (Pay for 16 Years)
Sum Assured: ₹10,00,000 (10 Lakhs)
- Premium: Mr. Sharma pays approximately ₹45,000 per year for 16 years.
- Total Investment: ₹45,000 x 16 = ₹7,20,000 (approx).
- Waiting Period: From the 17th year to the 25th year, he pays nothing, but his policy continues to earn bonuses.
- Maturity: At the end of the 25th year, he receives the Maturity Value (Sum Assured + Bonus + FAB), which could be approximately ₹26 Lakhs to ₹27 Lakhs based on current rates.
How Maturity is Calculated
While the calculator does the heavy lifting, here is the formula used to determine your final payout.
Maturity Value = Basic Sum Assured + Vested Simple Reversionary Bonuses + Final Additional Bonus (FAB)
- Basic Sum Assured: The guaranteed amount chosen by you at the start.
- Reversionary Bonus: Declared annually by LIC (usually per ₹1,000 of Sum Assured) and added to your policy account.
- FAB: A one-time loyalty bonus paid at maturity if the policy has run for a specific duration (usually 15+ years).
Tax Benefits of Jeevan Labh
Investing in Plan 736 offers dual tax benefits under the Income Tax Act, 1961:
- Entry Benefit (Section 80C): The premiums you pay annually are eligible for tax deduction up to ₹1.5 Lakhs.
- Exit Benefit (Section 10(10D)): The maturity amount (including bonuses) is completely tax-free, provided the annual premium did not exceed 10% of the Sum Assured. Death benefits are always tax-free.
Frequently Asked Questions (FAQs)
Jeevan Labh is designed for safety and guaranteed growth, not high-risk aggressive returns like mutual funds. It offers returns generally in the range of 6-7% (IRR), which is tax-free and government-backed, making it excellent for conservative investors.
If you stop paying after 2 full years, your policy acquires a “Paid-up Value.” The Sum Assured reduces proportionately, and you will receive a reduced amount at maturity. You will not lose your money entirely, but the returns will drop significantly.
Plan 936 was the earlier version of Jeevan Labh. Plan 736 is the current, updated version with slightly revised premium rates. The core structure (16/10, 21/15, 25/16 terms) remains the same.
Yes, you can surrender the policy after paying premiums for two full years. However, the surrender value is often lower than the total premiums paid, especially in the early years. It is advised to stay invested for the full term to see real gains.
The loan available is usually up to 90% of the Surrender Value. Our calculator provides an estimated “Loan Available” column in the year-wise table so you can see your liquidity at any given year.