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LIC’s New Jeevan Anand Vs Endowment Assurance Review

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LIC’s New Jeevan Anand (Table 815) is by far, one of the most popular and widely accepted insurance plans from LIC of India. New Jeevan Anand is an Endowment Type of insurance plan where maturity benefit is paid at the end of the term. The most sought after feature, which underlines the popularity of  New Jeevan Anand is its additional life long Insurance Coverage.

Let us have a technical analysis on how much additional premium one should pay for availing the life long insurance coverage of LIC’s New Jeevan Anand. The best method to evaluate the cost of life long insurance coverage of New Jeevan Anand is to compare it with the premium of LIC’s New Endowment Plan (Table 814). New Endowment Plan is more or less similar to New Jeevan Anand if the life long coverage is excluded.

LIC’s New Jeevan Anand Vs LIC’s New Endowment

The chart given below shows the premium difference of New Jeevan Anand and New Endowment plan with an increase of age. Sum Assured considered is Rs. 5,00,000 and term considered is 21 years. Just hover the mouse over the graph to see the exact premium.

Total Additional Premium Paid Vs Life Long Coverage

Now let us have a look at the total additional premium paid during the payment period of the policy and the additional benefit obtained thereof. Just place the mouse over the graph to get more details.

So we can easily understand that at lower ages Additional Life long coverage feature becomes very much attractive. But after 40 additional premium comes to more than 20% of the life long risk coverage.

Maturity value calculator of New Endowment and New Jeevan Anand

You can calculate the approximate maturity value of New Jeevan Anand and New Endowment Plan using the software provided here. The maturity value of Jeevan Anand is quite reasonable when risk coverage is also considered.


Salient Features of New Jeevan Anand Plan (Table 815)

New Jeevan Anand benefits explained
  1. Endowment type plan where the maturity payment is paid a single lump sum amount.
  2. With profit plan where the investment profit is shared to policyholders as a bonus and Final Additional Bonus.
  3. Normal Insurance Coverage equal to 1.25 times of Sum Assured and bonus accrued till date will be available during the term of the policy.
  4. Double Accident Benefit and Extended Permanent Disability benefit available throughout premium paying term.
  5. Life long Insurance Coverage equal to Sum Assured available even after the maturity of the plan.
  6. A special option to encash the death coverage by surrendering it or take a loan from it in case of an emergency (After the Maturity).
  7. Income tax rebate available under section 80C for premium paid. Calculate your Income Tax using Income Tax Calculator.
  8. Maturity amount and Life long coverage also not taxable u/s 10D of the Income Tax Act.

Read More:

LIC’s Jeevan Anand – All details with premium and benefit calculators

Calculate Insurance Coverage required for you using Human Life Value Calculator.

Anish L J

Anish L J is a 'Financial Planner' and member of Chartered Insurance Institute(CII), London and Insurance Institute of India. He is also a finance, insurance and software consultant. He thoroughly follows the developments in finance, insurance, and other related sectors.

6 thoughts on “LIC’s New Jeevan Anand Vs Endowment Assurance Review

  • Anish jee . thank you very much for your efforts . You are the person i was really looking for.
    Can you provide a presentation/calculator which can prove that insurance plan is good mix with saving and risk cover . for example you can take plane endowment plan. is there any way that we can differentiat risk cover and saving part in each plan . if it is then it would be easy to show higher return from lic in turn which is a fact . I know technically it is very difficult to compare ppf and lic plane endowment but i am sure you can come up with any good idea . Hope you are getting what i am trying to say .

  • thank you very much

  • Maturity value calculator for New Jeevan Anand is also considering FAB … Is FAB applicable for New Jeevan anand ?

    • Yes. Final addition bonus is applicable for Jeevan Anand policy.

  • how to download smart all in one calculator in PC

    • Smart – all in one calculator does not have a pc version and it will not work on a PC.

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