LIC of IndiaBonus Rates

LIC Bonus Rates 2019 – 2020 | All details with illustrations

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LIC Bonus Rates 2019 – 2020 (as per 2019 March valuation) – All details with charts and illustrations. LIC of India has declared the latest bonus rates for the valuation period from 1st April 2018 to 31st March 2019. You may be knowing that LIC shares its valuation surplus or profit to the policyholders in the form of Bonus and Loyalty Additions.

LIC has declared the latest bonus rates for the financial year 2020- 21 (as per March 2020 Valuation. Please read all details about LIC’s declared bonus rates for 2020 -21.

The declared bonus amount gets added to the policy account in with-profits policies and will become payable at the time of exit from the policy by way of death or maturity. On the other hand, loyalty additions are one-time payment which becomes payable at the time of exit by way of death or maturity.

Different types of bonuses declared by LIC?

LIC declares different types of bonuses for policies depending on the benefit pattern of the plans and they bear different names. The most common types of bonuses are explained below

Simple Reversionary Bonus

This is the type of bonus that is declared every year and shall be added to the ‘policy account’ and shall be available (in full) to the policyholder only when he exits from the policy in the form of maturity or death. If he decides to exit from the policy in between (by surrendering the policy) he may get only a portion of the total accrued bonus, depending on the surrender value available at that time.

This type of bonus does not compound every year and hence it is called a simple reversionary bonus.

Final Additional Bonus (FAB)

Final Additional Bonus (FAB) is a one-time additional bonus, which is paid along with the maturity amount of participating (with profit) policies. FAB is paid in addition to the simple reversionary bonus declared and added to the policy account. Please note that Final Additional Bonus (FAB) is paid only once in the policies, resulting in a claim, by maturity or discounted claim (Surrender of policies with one year preceding the date of maturity) or death claim.

Loyalty Additions (LA)

Loyalty additions are paid as a one time benefit in some policies in lieu of simple reversionary bonus (SRB). The main difference is that, unlike the simple reversionary bonus, which becomes a part of the policy benefits as and when it is declared, loyalty additions shall be available to the policyholder only at the time of exit from the policy. In other words, declared loyalty additions become applicable only to the policies getting exit, by way of death, surrender or maturity, in the declared year (subject to the conditions of the plan).

LIC Bonuses – How to calculate?

Bonus rates are declared as Simple Reversionary Bonuses in LIC. This means the bonus rates will not be compounded. Bonus rates thus declared shall be applicable for Rs. 1000 Sum Assured of the respective plan for that particular year.

For example, The bonus rate of New Endowment (Plan – 814) for the 21-year term is Rs. 48 per 1000 Sum Assured. Let us assume that the policy is for a Sum Assured of Rs. 10,00,000.

Bonus for the particular year will be 10,00,000 X 48/1000 —> Rs. 48,000

The bonuses thus declared for all the years till the maturity of the policy will be added together at the time of maturity to find the simple reversionary bonus portion of the maturity returns.

LIC Bonus Rates 2019-20 – New plans (as per March 2019 Valuation)

The latest bonus rates declared for all the in force, with profit plans, which are open for sale are given here.  Bonus rates of the previous two years also have been given to enable comparison.

LIC Bonus Rates Chart 2019 - New plans
Click here to download the chart

From the above chart we can see that the bonus rates of all the policies as per 2019 valuation remain more or less the same compared to the previous valuation period. The only difference to note is the increase in the bonus rates of Jeevan Pragati from 40 to 41 for 16 to 20 years term.

Read more: Long term insurance policies – Are they profitable?

LIC Bonus Rates 2019-20 – withdrawn plans

The bonus rate chart for withdrawn plans or the plans which are no more available for sale is given below. You may recall that all the insurance plans were withdrawn on 31/12/2013 as per IRDA directive. Plans were restructured and relaunched later from 1/1/2014.

LIC Bonus rates Chart - withdrawn plans 2019
Click here to download the chart

We can see that the bonus rates of Jeevan Nidhi plan which was increased in 2018 valuation have been maintained at the increased level in the new valuation.

Final Addition Bonus (FAB) Rates – 2019-20

As we have seen earlier, Final Addition Bonus (FAB) is a one-time additional bonus paid along with the final payment of the policy. Final Additional Bonus rates are dependant on certain factors that are often ignored at the time of purchasing an insurance policy. The minimum term required for the eligibility of Final Additional Bonus is 15 years.

LIC Final Addition Bonus Rate Chart 2019
Click here to download the chart

From the above chart, we can see that the final addition bonus rates for 2019 valuation remain the same as the previous valuation. This Final (Additional) Bonuses are applicable In the case of Plans of Groups 1, 2, 8, 9 and 10 mentioned below.

  • (Group 1) Whole Life type (Plans 2, 5, 6, 8, 10, 28 (Before Conversion), 35, 36, 37, 38, 49,77,78, 85 & 86)
  • (Group 2) Endowment type (Plans 14, 17, 27 (After Conversion), 28 (After Conversion), 34, 39 40, 41, 42, 50, 54, 79, 80, 81, 84, 87, 90, 91, 92, 95, 101, 102, 103, 109, 110 & 121)
  • (Group 8) Jeevan Mitra (Double Cover plan), Jeevan Saathi (Plans 88 & 89)
  • (Group 9) Jeevan Mitra (Triple Cover Plan: Plan 133 )
  • (Group 10) Limited Payment Endowment (Plan 48)

The final addition bonus rates of other popular plans for the 2019 valuation is given below.

Final addition bonus rates popular plans of LIC
Click here to download the chart.

Loyalty Addition Rates – 2019 valuation

Certain plans like Jeevan Shree (151) and Jeevan Saral (165) have a specialized bonus structure. For such plans, no simple reversionary bonuses are declared. Instead, a one-time bonus with the name Loyalty Addition (LA) becomes payable for the policy at the time of maturity as per the valuation of the plan.

LIC Jeevan Saral (Plan 165) – loyalty addition rates

LIC Jeevan Saral plan 165 Loyalty Addition Rates 2019
Click here to download the chart

You can see that the loyalty additions for the Jeevan Saral plan have been increased considerably in the current valuation. As the Loyalty Additions are provided as a one time benefit, this difference shall reflect considerably in policies maturing in the current year.

Loyalty Addition rates of Jeevan Shree (112)

Jeevan Shree was one of the flagship products from LIC of India which was specifically designed to cater to the needs of high net worth individuals. With high guaranteed addition rates of Rs 75 per 1000 sum assured, the plan provides excellent returns. The loyalty additions declared for Jeevan Shree are amazing and it adds to the attractivity of the plan. Loyalty additions rates of a 25-year term are Rs 1300 per 1000 sum assured. This means 130% of the sum assured is paid as loyalty additions for plans maturing this year in addition to the sum assured and guaranteed additions.

Loyalty Addition Rates - LIC popular plans

Loyalty additions declared for popular money back plans, Children’s money-back, Jeevan Sanchay, and Jeevan Sneha are also provided in the above chart.

Download complete bonus circular 2019 valuation

Read More:

LIC IPO – detailed analysis – a boon or bane to the policyholders?

Death Claim Settlement Ratio 2018-19 – Life Insurance Companies of India – Complete Analysis.

If you have any doubts or require any clarifications, please feel free to use the comment section provided below.

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.

83 thoughts on “LIC Bonus Rates 2019 – 2020 | All details with illustrations

  • Thanks a lot for the updating

  • Hello Anish….Does Komal Jeevan entitle for FAB?? (It says in the policy benefits). However, we are not seeing any FAC declared for this policy (yet). Do you know what it would be….

    Thank you.

    • Komal Jeevan does not have FAB. Instead loyalty additions are provided at the time of maturity. Latest loyalty addition rates are provided here.

      Loyalty addition rates of komal Jeevan Plan (2019 valuation)
      Policy year on death or maturity from commencement of riskLoyalty addition

  • Hello Anish….
    FAB for Komal Jeevan (Plan No: 159) is not listed. If not declared, probably you could give me approx. rate

    Thank you.

    • See the answer to your other query.

  • Hi, Is the LA for New Jeevan Shree (151) is the same as Jeevan Shree (112)??

    • Loyalty addition rates of New Jeevan Shree should follow the trends of original Jeevan Sree.
      But I am not in a position to guarantee the same loyalty addition rates.. well I shall publish an article on new Jeevan Sree to clarify these doubts.. please subscribe for updates to get notified when it is published..

  • Could you advise about bonuses & FAB for policies that mature in Apr-2020? Are above bonuses & FAB applicable or not?

    • LIC will declare bonus rates for 2020.. but no significant change is likely from the current rates.. you can calculate returns based on current rates to get approximate returns..

  • Jeevan amrut policy is eligible for final addtional vinod or not

    • Jeevan Amrit policy is eligible for the final addition bonus if the term of the plan is higher than 15 years.

  • As per my calculations , F.A.B for Jeevan Anand policy is 135 but your calculation showing 425, If I am wrong , pls correct it.

    • Final addition bonus rates change with term of the plan. Which term you are mentioning about?

  • For Jeevan Sneha (20years plan), GA is 70 per year, if Survival Benefit of 20% is left with LIC: will we get 8% pa return, and what is the factor for Loyality Addition to be considered.

    • LIC offers a maximum of 6% only for advance premium. The loyalty addition rates as per the latest valuation for Jeevan Sneha plan is Rs 100 Per 1000 Sum Assured (10%).

  • For Endowment policy (Plan 830), that was purchased in the beginning of December 2017, so far (till first week of Jan 2020) has received only 1 time bonus . My concern is – this Policy has completed 2 complete year ( Dec 2017 to Dec 2018 and Dec 2018 to Dec 2019).. but why in case of Bonus accumulation only 1 time Bonus is showing in LIC website.

    • The bonus for second year will get added to the policy after 2020 march only as it is added after the completion of the financial year.

  • i have a single premium 15 yr term Bima Bachat what is the LA % may i know can any one help me with that.

    • LIC has not declared the loyalty addition rates of bima Bachat plan with term 15 years so far. (As it has not completed 15 years after the introduction of the plan.

  • Dear sir, Loyalty addition for Aadhar stambh is not declared yet. And how much loyalty addition can we get for 20 years term and sum assured 3 lakhs

  • Can lic give bonus in jivan saral or only loyalty additional

    • Jeevan Saral plan does not have a bonus. instead, loyalty addition is provided.

  • Sir i have Jeevan Chayya 103 plan. Is Loyalty & FAB is applicable, if so how much per thousand. thanks

    • Jeevan Chaya plan does not have loyalty additions. It will have only a bonus and final additional bonus. Bonus is declared every year and will get added to the policy account as and when it is declared. The final additional bonus is payable only at the time of maturity. So far final additional rates for Jeevan Chaya plan has not been declared as 16 years has not completed after the inception of the plan. (Normally there is no FAB for policies below 16 years). Bonus rates and FAB rates are expected to follow the trend of endowment assurance plans of LIC.

  • Thank you for sharing useful info on one page. Greatly appreciated.
    Though the info on Jeevan Shree policies is a bit confusing due to different series numbers (112, 151 etc) being used. Not sure if what is stated for 112 applies to 151 etc.
    It would be great help for readers if the info on all bonuses (reversionary, GA, LA etc) is provided as a separate table for each Policy Type/Series (such as Jeevan Shree 112, Jeevan Shree 151, Jeevan Saral 162 etc etc), with separate columns for bonus applicable for policies held to maturity, surrendered before maturity or claimed on death.

    • Jeevan Shree policies of different series are entirely different and the benefit pattern is also different. Please check the following articles for more information.
      Jeevan Shree 112 – all details with calculators.
      Jeevan Shree – plan 162 all details with calculators.
      Bonus/Guaranteed additions do not change in various conditions such as in force policies or lapsed policies or surrendered before maturity etc. Only thing is that if you surrender it earlier, surrender value based on the surrender value factor only will be available.

  • Hello Anish, can the assumed loyalty amount in Jeevan Saral go down in the coming years? Or is it expected to only increase from the current numers that you have shown. I have a policy of 48000 premium pa, and I have completed 13 years in the term. I am wondering if I should continue with the policy.

    • If you go through the bonus and loyalty rates declared by LIC of India in recent years you can see that same loyalty addition rates are declared year after year. If we follow the trends it is not likely to go down in the near future. Jeevan Saral plan is providing good insurance coverage (which includes 250 times of monthly premium + premium paid + Loyalty addition). So far the returns are also good if your age at entry to the scheme was not high. Think and decide.

  • Sir, what will be the loyality adition for Aadhr Stambh? Is it similar to that of Jeevan Shree policy?

    • LIC has not declared the loyalty addition rates of the Aadhar Stambh plan. It cannot be similar to the Jeevan Shree plan as Jeevan Shree is an entirely different type of plan. We will have to wait till LIC declares the rates to get an accurate estimation of returns of the plan.

  • Dear Sir, As per your analysis, Aadhar stambh plan can have more loyalty addition than previous policies that LIC declared loyalty addition. Thank you sir.

    • In Aadhar Stambh the loyalty addition is provided instead of the bonus. So naturally, it has to be higher compared to other plans which have Guaranteed additions along with loyalty additions.

  • Hello sir
    Is F.A.B. applicable in case of New Endowment Plan 914 of Li? How is F.A.B calculated?
    S.A. 30 lac, term 30 yr , premium payment for regular= maturity amount ?
    Salma Ansary

    • Yes, Final Addition Bonus is available for the 914 plan. You can check this article for the endowment assurance 814 plan. Plan 814 and 914 have very few differences such as loans and surrender from the second year. You can use the calculators provided in the site to get the maturity value and final addition bonus rates.

  • Hello sir,
    My Jeevan Saral policy (half-yearly premium ₹3032) has been in force since 23-03-2010. I was 30 years old at the time of enrollment and the policy term is 25 years. The maturity sum assured as I can find in LIC Customer app is ₹177460. Would you be so kind as to tell me what amount I will receive on maturity ?

    • Please use the calculator provided here to get the expected maturity amount of Jeevan Saral policy. If you have any difficulty in using the calculator please let me know.

  • Hello,
    I hold LIC Jeevan Anand 149 policy. Has LIC declared the bonus rates for the current year? It is not reflected in the LIC portal under my policy

    • LIC will be declaring bonus after the completion of the financial year only. So this year bonus will get added in the next financial year only..

  • Hello Team
    Very useful info u r providing in a very simple manner all your efforts are very highly aappreciated. User friendly and easy to understand layout
    Keep it up 🙂

    • Thank you and happy to understand that the article helped you.


    • As surrendering a policy can bring in monetary loss and lose the valuable insurance coverage, here at InsuranceFunda I don’t recommend surrendering. You can get the surrender value from nearest branch office.

  • Hi Anish,

    I have Bima good policy of 500000 for 20 yrs….how much loyalty addition can I expect

    • As loyalty additions for a 20-year term are not yet declared by LIC, I am not in a position to give the rates.

  • I have a Jeevan Vriddhi plan maturing 2022. Any idea on what can be the Loyalty addition pl?

    • Loyalty additions for Jeevan Vridhi plan have not been declared so far as 10 years are not elapsed since inception of the plan. we will have to wait till ten years are over since inception of the plan.

  • I have taken Bima Bachat policy of 9 years term. what is the Royalty addition declared for 2019-20 by LIC pl.

    • As nine years are not over from the start of commencement of the policy, LIC has not declared the rates so far.

  • Hallo Sir,

    I have taken new Jeevan Anand policy 16 yrs term. It shows in the bond sum assured =7,50,000.
    But if calculate based on my monthly premium of Rs4859 amount is coming to Rs 9,32,00 which nearly 2 lakhs extra I am paying. Why sum assured here is less ?

    2. based maturity calculator my benefits total= Rs 13 lakhs something. Which very less.
    Even if put same amount RS 4859 in RD I will get approximately 15 to 16 lakhs.
    My question why the benefits with this LIC is less? Do I have stop this policy and better invest somewhere else.

    • In a Jeevan Anand policy, two benefits are available. One is the maturity benefit paid after the completion of the premium paying term of the policy. Which you have mentioned as 13 lakh +. The second benefit is the life long coverage equal to the sum assured of Rs. 7.5 lakhs which is guaranteed to be paid to the nominee at the time of the death of the policyholder. So the guaranteed benefits come to around 21 lakhs.
      You should also consider the insurance value of the policy when comparing it with RD or any other type of investment.
      In case of RD amount is obtained only if you pay the entire amount but in an insurance policy the amount is paid even is something unfortunate happen in between.

  • Hi,My monthly premium in jeevan saral(165) is Rs 2081/month for 20yrs term..what would be the loyalty payable(approx) at the time of maturity..Sum assured is 500000..

    • Loyalty addition rates of Jeevan Saral policy has not been declared for 20 year term. But you can get a fairly accurate estimation of the policy from the online calculator provided in this post. Please use this link to calculate the expected returns and if you have any difficulty please let me know.

  • “The loyalty additions declared for Jeevan Shree are amazing and it adds to the attractivity of the plan. Loyalty additions rates of a 25-year term are Rs 1300 per 1000 sum assured. This means 130% of the sum assured is paid as loyalty additions for plans maturing this year in addition to the sum assured and guaranteed additions.”…

    under a case what would b loyalty addion at end sep 26,2026 ( my maturity for plan)?? will it be more than 1300/130% for 25th year??
    or can it b less also..plz clarify ..i hold cover under jeevan shree plan 112..

    • The loyalty addition rates mentioned by you are declared for policies maturing in the current financial year. LIC may or may not declare same rate for next year. We cannot predict the rates right now. But there is a good chance for LIC

    • The loyalty rates mentioned by you are declared for policies maturing in the current financial year. LIC may or may not declare the same rate in the future. We cannot predict the rates for future now. But there is a fair chance that LIC may declare same rates for coming years also..

  • Sir money back policy 820 gets FAB or not 20 years plan

    • Money back policy have both bonus and final additional bonus which is paid at maturity.

  • What are the Bonus Rates and FAB Rates for Jeevan Umang 845 & 945? Are these bonus rates guaranteed sir?

    • There is no difference in the bonus rates of 945 and 845 plans. Bonus rates are not guaranteed. It can change if LIC declares a different rate later. Already declared bonus will be added to the policy and will not change.

  • Hello,
    Does “loyalty addition” amount changes yearly for every policy or not?
    i.e I have jeevan shree policy and it will mature in 2021 , so loyalty addition would be same as current given rate (130%)?

    Which plans are as best as jeeven shree to buy in 2020?

    • Loyalty addition rates declared in a particular year will be applicable for the policies maturing in that particular year only. It can change for the next year but usually LIC maintains the declared loyalty addition rates year after year after year.

  • When bonus valuation would be declared for 2020 year

    • Usually it is declared on the month of September.

  • Sir, in the maturity calculator, for FAB of Jeevan Anand 149 Policy of 28 yrs the calculator is taking the loyalty addition rate as 650.(Sum assuredly 145000, 28yrs FAB is calculated as 650×145=94250) But in the table for Jeevan anand 149, the loyalty rate is shown as 110 (110×145=15950). Can you please let me know which ones is correct?

    • 650 is the rate of fab as per the latest bonus rates declared by LIC. May be the rate you mentioned is based on 8 percent scenario. You can follow the declared rates which is more accurate.

  • When can we expect the bonus rate from lic for valuation on 31.3.20.

    • We can expect it any time now. Usually it is declared in the month of September.

  • Sir when lic announce bonus rate 2019 April to 2020 march 31st.

    • We can expect it any time now. I shall give all details once it is published

  • LIC 165 plan me paralytic patient ko claim ya koi statement hota hain?? Or plz share official circular issued by lic. Thank you

    • In the Jeevan Saral(165) plan disability claim shall be available only for accidental disability cases. It is available under accident and disability rider. Normal paralysis will not be covered.

  • I have LIC Jeevan Saral (Plan 165). Is it advisable to surrender Policy before Loyalty Addition declaration for the that year.

    • The loyalty addition rates have not changed in the latest valuation and hence it will not affect the amount available.

  • Dear sir,

    I have Jeevan Anand policy (149) 19 years term. joined on 27/02/2004 and paid premium for 16.5 years. Is it advisable to stop paying further premium and prefer for paid up sum assured. I dont mind life cover after maturity. Please advise

    • Jeevan Anand is a good policy and if you do not have a genuine reason it is advisable to continue the plan. Think twice before discontinuing.

  • Thanks for your reply
    I lost 1 lakh because bonus is decreased from 130% to 110%

    • which is the date of maturity. You can consider the discounting of your policy if it is not 28th December.


    • Jeevan Umang has two types of bonus rates. One is the simple reversionary bonus during the premium paying term and the second is the bonus after the premium paying term and is called a differential bonus. Both are different and going through the benefit illustration provided by LIC shows that the approximate differential bonus one can expect is around half the normal bonus rates declared by LIC from time to time.

  • I have Jeevan sneha 118 policy sum assured Rs 200000/- for 20 years. The policy got matured on 28.03.2018. I have received Rs 280000/- (guaranteed Bonus) +Rs 80000/-(last S.B)= Total Rs 360000/-.No other benefit like Loyalty addition was given. As per the policy Loyalty is to be paid.My question is why loyalty is not given

    • The loyalty additions will be paid if it is available in a policy(Check the clause loyalty additions (if any) in the policy bond). Jeevan Sneha provided high guaranteed additions and the interest rates came down drastically from the date of inception of the policy. So no additional profit-sharing in the form of loyalty additions are paid in this policy.

  • Dear sir
    I have a lic policy ..jeevan shree.. (112).which is going to mature in Feb.2022. This is a 25 yrs. POLICY WITH AN ASSURED AMOUNT OF RS.5L
    ON maturity, please calculate and inform me. the actual amount I will receive.

    Because no one knows exactly how much the corps will be.

    Everyone calculate amount in their own way and say their total. There fore please calculate for me the total amount including all beneficials like guaranteed additions, Lotalty additiobs, final additional bonus etc apart from sum assured of Rs.5L.
    Thanking you
    Mohamed Ansari

    • Please use the calculator provided in the post itself. or else you can directly call the branch office for the exact value. By this time you may have received the discharge form with exact figures if the maturity date is on february.

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