Lic Money Back Policy 20 Years Plan 75 Maturity Calculator

The LIC Money Back Policy 20 Years Plan is a savings and insurance product offered by Life Insurance Corporation of India. This policy provides a guaranteed return of 75% of the sum assured at maturity, along with a money back feature that pays partial sums at specific intervals during the policy term.

How the LIC Money Back Policy 20 Years Plan Works

The 20-year plan is divided into three phases:

First 10 years: The policy provides a money back benefit of 10% of the sum assured at the end of each year.
Next 5 years: The money back benefit increases to 15% of the sum assured at the end of each year.
Final 5 years: The money back benefit increases to 20% of the sum assured at the end of each year.

At the end of 20 years, the policyholder receives a maturity benefit of 75% of the sum assured, in addition to the accumulated money back benefits.

This policy combines savings with insurance protection, making it suitable for long-term financial planning and risk coverage.

Maturity Calculation and 75% Benefit

The maturity amount is calculated using the following formula:

Maturity Amount = Sum Assured × 0.75

This 75% benefit is guaranteed by LIC and is paid at the end of the 20-year policy term. The remaining 25% of the sum assured is used to pay the money back benefits during the policy term.

The money back benefits are calculated as follows:

Phase	Years	Money Back Benefit
First Phase	1-10	10% of Sum Assured per year
Second Phase	11-15	15% of Sum Assured per year
Third Phase	16-20	20% of Sum Assured per year

Worked Example

Let's calculate the maturity amount and money back benefits for a sum assured of ₹1,00,000.

Maturity Amount: ₹1,00,000 × 0.75 = ₹75,000
Money Back Benefits:
- First 10 years: 10 × ₹10,000 = ₹1,00,000
- Next 5 years: 5 × ₹15,000 = ₹75,000
- Final 5 years: 5 × ₹20,000 = ₹1,00,000
Total Benefits: ₹75,000 (maturity) + ₹1,00,000 + ₹75,000 + ₹1,00,000 = ₹2,80,000

This example shows how the policy provides both savings and insurance benefits over the 20-year term.

Frequently Asked Questions

What is the guaranteed maturity benefit in this policy?

The policy guarantees a maturity benefit of 75% of the sum assured at the end of the 20-year term.

How are the money back benefits calculated?

The money back benefits are calculated as 10% of the sum assured for the first 10 years, 15% for the next 5 years, and 20% for the final 5 years.

Can I withdraw money from this policy before maturity?

Yes, you can partially withdraw money during the policy term, but this may affect the final maturity benefit.

Is there any surrender value in this policy?

Yes, you can surrender the policy before maturity and receive a surrender value based on the policy's surrender table.