LIC New Endowment Plan (Plan No. 914)


LIC’s New Endowment Plan comes with an attractive combination. The policy comes with a maturity benefit as well as a death benefit and therefore is one of the most convenient plans of LIC. It is a non-linked, participating plan which provides protection to the policyholders and their families.

In case of the demise of the policyholder, the family has the death benefit to fall back on. Should the policyholder survive the term of the policy, he or she would enjoy a good lump sum amount at the time of maturity. In addition to that, this plan takes care of the liquidity needs.

Key Features of the New Endowment Plan

This plan comes with a lot of attractive features for the benefit of the policyholders. Some of the features are mentioned below:

  • The policyholder requires a regular premium payment
  • Surrender value and loan facility is available
  • The death benefit is provided to the nominee in case of demise of the policyholder, till the end of the policy tenure.
  • Liquidity requirements are fulfilled in terms of loan facility
  • The policyholder will be required to pay the premium until the end of the policy term
  • Additional riders can be added over the basic plan
  • The minimum sum assured of the policy is Rs. 1, 00,000 and it has no apex to the maximum.
  • It is a participating plan
  • Eligible for tax deduction under Section 80 (C) and 10 (D) of the Income Tax Act 1961

Benefits of the New Endowment Plan

Listed are some of the benefits that come along with this plan.

  • Participating plan- The New Endowment plan is a participating plan which means that the profit of the company will assemble Simple Reversionary Bonus and Final Additional Bonus.
  • Bonuses– Simple Reversionary Bonus will be added to the death benefit of maturity benefit when the policyholder completes a certain number of years in the policy term successfully. Final Additional Bonus will be added according to the company experience.
  • Sum Assured– the Sum Assured on death is higher than the Basic Sum Assured which was chosen at the beginning of the policy and 10 times the annual premium. It is also liable to 105% of the total premiums paid till the date of death.
  • Maturity Benefit– Should the policyholder survive the policy tenure, maturity of the basic sum assured along with bonuses will be rewarded to the insured. After this, the policy will be void.
  • Death Benefit- Should the policyholder passes away, a death benefit will be provided to the nominee. This will include a lump sum the basic sum assured and the bonuses that are accumulated and then the policy will become void.

Parameters of the New Endowment Plan

To invest in the new endowment plan, individuals need to be eligible in certain parameters. They are mentioned below

Minimum entry age 8 years
Maximum entry age 55 years
Maturity age 75 years
Policy term 12 years to 35 years
Premium paying term 12 years to 35 years
Premium paying mode Annually, semi-annually, quarterly and monthly
MinimumSum assured Rs. 1,00,000
Maximum sum assured No limit


More information about the Premium

Provided is a short representation of the basic premium. (Exclusive of Tax)

Age RS. 1 lac sum assured RS.2 lac sum assured RS.5 lac sum assured
30 5062 9723 23809
40 5248 10096 24740
50 5753 11105 27263


Additional Benefits provided with the plan

Along with the existing benefits, we have listed for you some additional benefits that make the policy much easier to invest in

  • Grace Period- There is a grace period allowed if the policyholder misses out on one premium. It is of 30 days from the date of the first unpaid premium.
  • Revival Period- If the policyholder fails to pay his or her premium within the grace period allowed, the policy becomes void, however, the individual gets two years to revive the lapsed policy.
  • Surrender Value – If the policyholder wants to surrender his or her policy within the tenure, then the company pays 80% of the premiums as they surrender value without taxes.
  • Freelook period- there is a free look period of 15 days from the date of issuance of the policy. If the individual is unhappy with the terms and conditions of the policy or company or is unsatisfied with the service then he or she can terminate the policy within 15 days provided that he or she has no claim
  • Accidental Benefit Rider- This is an add-on benefit in addition to the basic plan. This is viable in case the assured suffers a demise due to an accident during the tenure. An additional sum is assured to the beneficiary along with the basic coverage.

Documents required for availing of this policy?

The following listed below are the documents are required from an individual

  • Application form
  • Medical records
  • Address proof like Aadhar card, Voter id card, Pan Card, or Passport.


  1. Are there any exclusions as per this plan?

If the assured or the policyholder commits or attempts suicide within the first 12 months of the date of issuance, then the company is not liable to pay any heed to the claim.

  1. What are the premium payment modes?

You can pay a premium based on yearly, half-yearly, quarterly, and monthly

  1. How do I terminate my policy?

If you want to surrender your policy, it can only be possible if you have paid your premiums persistently for 3 years. You will be payable a surrender value on doings.

  1. Can I void my LIC plan before maturity?

Yes, you can close your LIC policy before its maturity.

  1. Will LIC pay for death by suicide?

In case of the assured commits suicide, LIC will pay a death benefit to the nominee. However, this is not valid if the suicide is committed within 12 months from the start of risk.

  1. What if the assured and the nominee, both die?

Should the assured and the beneficiary suffer a demise, the lump sum amount with the sum assured and bonuses will be awarded to the heir r a legal successor.

  1. Is there a deadline for claiming death benefits?

No, you can file a claim at any convenient time.

  1. Are death benefits taxable?

LIC adhered to taxes under Section 80 C and 10 D of the income tax act 1961

  1. What will happen if I don’t pay my premium?

You will be offered a grace period of 30 days from the date of the firdt unpaid premium, if you don’t pay then, your policy may lapse.

  1. Can I revive my lapsed policy?

Yes, there is a revival time of 2 years. You can revive your policy by paying all premiums and taxes.

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