lic policy

life insurance of india

LIC NewMoneyBack Plan – 20 Years

LIC New Money Back Plan – 20 Years is a Money Back Plan non-linked life insurance policy Guaranteed returns SB.. and bonus. Premium paid in this plan needs to be paid

15 years while the policy continues for 20 years. Policy can be taken by anyone between 13 to 40 years of age for a fixed tenure of 20 years.

Every 5 years 20% of the Sum Assured is paid to the Life Insured on SB(Survival Benifite) 5th Years 20%, 10th Years-20% 15th Years-20% and the remaining 40% of the Sum Assured is paid to the Life insured along with Vested Simple Reversionary Bonus + Final Addition Bonus


General Conditions of the policy

Minimum Age entry 13 Years (complited)
Maximum Age entry 50 Years (near birth day)
Maximum Maturity Age 70 Years
Policy Term 20 Years
Premium paying Term 15 Years
Min.Basic Sum Assured 1,00,000
Max.Basic Sum Assured No limit
Mode Yearly, half year, quartyl  ,monthly, Ecs
Accident Benefit Rs.1.20
Policy Loan Yes
Assignment Yes
Revival Yes
Surrender Yes
Nomination Yes
High Sum Assured Rebats
1Lac to 1,95,000 NILL
2 Lac to 4,95,000 Rs.2
5 Lac to above Rs.3




 Features of LIC New Money Back Plan – 20 Years

Money Back Plan for a tenure of 20 years

20% of Sum Assured is paid at the end of 5th, 10th and 15th Year as Survival Benefit. Simple Reversionary Bonus and Final Addition Bonus is also paid out

Simple Reversionary Bonus is payable on maturity or earlier death

LIC’s Accidental Death and Disability Benefit Rider is available as an option



Death Benefit – In case of death of the Life Insured within the Policy Tenure

The Nominee would be paid the “Sum Assured on Death” along with vested Bonuses as Death Benefit and the policy would be terminated.

The Sum Assured on Death is defined as higher of the following:

125% of Basic Sum Assured


10 times the Annualized Premium

The Sum Assured on Death will always be a minimum of 105% of all Premiums paid.


Survival Benefit

Survival Benefit in the money back plan


20% of Sum Assured at the end of every 5th year

20% of Sum Assured at the end of every 10th year

20% of Sum Assured at the end of every 15th year


Loan Benefits

Loan shall be granted after policy acquires paid-up value. The maximum loan granted as a percentage of Survival Benefits is for inforce /fully paid up policies –upto 90% & for paid –up policies -80%.


Maturity Benefit

Maturity Benefit  survival till the end of the Policy Tenure of 20 years, the policyholder will get the following payouts:


Remaining 40% of the Sum Assured + accrued Reversionary Bonus + Final Addition Bonus (if any).


Tax Benefit

Income Tax The Maturity Benefit is also tax free under section 10(10)D subject to fulfilment of all terms and conditions.


Lic new money back 20 year plan explain


Mr.Anand Age 30 years  takes a policy under Table-821 for Basic Sum Assured 5 Lac


Age 30 Years
Term 20 Years
Premium Paying Term 15 Years
Basic Sum Assured 5,00,000


This policy Premium Calculator


1st Year Premium with Tax 4.5%


Mode Premium Tax Total
Yearly 37859 1704 39563
Half Yearly 19128 861 19989
Quarterly 9663 435 10098
Monthly (ECS) 3221 108 3366


After 1st Year Premium with Tax 2.25%


Mode Premium Tax Total
Yearly 37859 852 38711
Half Yearly 19128 430 19558
Quarterly 9663 217 9880
Monthly (ECS) 3221 72 3293


He received Money Back


5th Year 100000
10th Year 100000
15th Year 100000
Approximate Return at Maturity

Time 20th Year

40% + SA + Bonus + F.A.B


But Mr Anand dies due to accident in the 18th policy year, his nominee wil get additional Rs. 5 Lac as + Bonus and The S.B.already paid during the 5th ,10th ,15th year will not be deducted.


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