Last updated: July 1, 2026 · 7 min read
LIC Jeevan Labh 736 is one of the highest-return endowment plans from LIC. It lets you pay premiums for just 10, 15, or 16 years but get a maturity benefit after 16, 21, or 25 years. The "limited premium paying term" feature is what makes it special — and potentially better than the standard New Endowment 714 plan.
What's Different About Jeevan Labh 736?
The biggest difference: in Jeevan Labh, you pay for less time than the policy term. So if you buy Jeevan Labh with a 25-year term and 16-year premium paying term, you pay premiums for 16 years but the policy matures at 25 years (no premium needed for the last 9 years). The maturity benefit is also much larger because the bonus accumulates for the full 25 years.
Feature-by-Feature Comparison
| Feature | Jeevan Labh 736 | New Endowment 714 |
|---|
| Plan Type | Limited Premium Endowment | Standard Endowment |
| Premium Paying Term Options | 10, 15, or 16 years | 5, 10, 15 yrs or same as policy term |
| Policy Term Options | 16, 21, 25 years | 10-25 years |
| Entry Age | 8-59 years | 18-65 years |
| Maximum Maturity Age | 75 years | 75 years |
| Min Sum Assured | ₹2,00,000 | ₹1,00,000 |
| Bonus Rate (per ₹1,000 SA p.a.) | ~₹52-58 (highest among LIC plans) | ~₹45-49 |
| FAB (Final Addition Bonus) | Higher FAB than Endowment | Standard FAB |
| Effective Return (CAGR) | ~5.2-5.6% | ~4.8-5.0% |
| Loan Available | Yes (after 3 years) | Yes (after 3 years) |
| Tax Benefit (80C) | Yes | Yes |
| Tax-Free Maturity (10(10D)) | Yes | Yes |
| Death Benefit | Sum Assured + Bonus | Sum Assured + Bonus |
| Suitable For | Long-term savings, child future, retirement | Any savings + protection goal |
Real Example: 30-Year-Old Male, 25-Year Policy Term
Let's compare both plans with the same Sum Assured (₹10 lakh) and the same maturity time (25 years).
Option A: Jeevan Labh 736 (16-yr premium paying, 25-yr term)
- Annual Premium: ~₹52,000
- Total Premium Paid: ~₹8,32,000 (paid in first 16 years)
- Sum Assured: ₹10,00,000
- Accrued Bonus (25 years @ ~₹55/1,000 SA): ~₹13,75,000
- FAB (est.): ~₹1,50,000
- Maturity Benefit: ~₹25,25,000
- Effective Return (CAGR): ~5.6%
Option B: New Endowment 714 (25-yr premium paying, 25-yr term)
- Annual Premium: ~₹35,000
- Total Premium Paid: ~₹8,75,000 (paid across 25 years)
- Sum Assured: ₹10,00,000
- Accrued Bonus (25 years @ ~₹47/1,000 SA): ~₹11,75,000
- FAB (est.): ~₹1,00,000
- Maturity Benefit: ~₹22,75,000
- Effective Return (CAGR): ~4.9%
Verdict: Jeevan Labh 736 wins by a clear margin
In this example, Jeevan Labh gives you ~₹2,50,000 more maturity benefit while you pay ~₹43,000 less total premium. The effective return is also 0.7% higher. Jeevan Labh 736 is the clear winner for pure long-term savings.
When NOT to Choose Jeevan Labh 736
- If you want flexibility: With Jeevan Labh, you're locked into paying premiums for 10-16 years. If your income drops, you may struggle. Endowment 714 with limited premium options (5-10 years) is more flexible.
- If you want whole-life cover: Jeevan Labh ends at maturity. If you want life cover to continue after 25 years, choose Jeevan Anand 715 instead.
- If entry age is above 60: Jeevan Labh has a max entry age of 59. For senior citizens, only New Endowment 714 is available.
- If you want monthly income: Jeevan Labh gives a lump sum at maturity. For periodic income, consider Jeevan Umang 745.
Jeevan Labh 736 — Best Use Cases
1. Child's Higher Education (Buy When Child is 5-8 Years Old)
If you buy Jeevan Labh 736 for your 6-year-old child with a 25-year term, the policy matures when they are 31 — perfect for funding an MBA or post-graduation abroad. You pay premiums for 16 years (until child is 22), then no more commitments. The accumulated benefit can be ₹25-30 lakhs at maturity.
2. Retirement Planning (Buy at Age 30-35)
Buy Jeevan Labh 736 with 25-year term when you are 30. Pay premiums for 16 years (until age 46). The policy matures at age 55, giving you a tax-free lump sum to add to your retirement corpus.
3. House Down Payment (Buy at Age 25-30)
If you want to save for a house down payment in 16-21 years, Jeevan Labh gives you a large lump sum at the perfect time. Compared to a home loan down payment saved in a bank FD, Jeevan Labh gives a much higher effective return.
Jeevan Labh 736 — Eligibility & Conditions
- Entry age: 8 years to 59 years (no upper limit on maximum maturity age 75)
- Premium paying term: 10, 15, or 16 years
- Policy term: 16, 21, or 25 years
- Sum assured: ₹2,00,000 to no maximum
- Premium modes: Yearly, Half-yearly, Quarterly, Monthly (monthly is through NACH only)
- Medical: Required for sum assured above ₹10 lakh or age above 45
- Cooling-off period: 15 days from receipt of policy document (free-look period)
- Grace period: 30 days for yearly mode, 15 days for monthly mode
Frequently Asked Questions
Is LIC Jeevan Labh 736 better than New Endowment 714?
Yes, for long-term savings with a fixed time horizon. Jeevan Labh 736 gives 0.5-0.8% higher effective return than New Endowment 714 because of the limited premium paying term and higher bonus rates. If you want to pay premiums for a shorter time but get a larger benefit at maturity, Jeevan Labh is better.
What is the highest bonus rate in LIC plans?
LIC Jeevan Labh 736 has the highest simple reversionary bonus rate among LIC's regular-premium endowment plans, currently around ₹52-58 per ₹1,000 Sum Assured per year. Plans like Jeevan Anand 715 come second at ₹48-52, and Endowment 714 third at ₹45-49.
Can I buy Jeevan Labh 736 for my child?
Yes, the minimum entry age is 8 years. Buying for your child when they are young is a great strategy — you can fund their higher education or wedding with the maturity benefit. Many parents buy Jeevan Labh for their newborn's future (with a 25-year term and 16-year premium paying).
How much does Jeevan Labh 736 cost?
For a 30-year-old male, 25-year policy term, 16-year premium paying term, ₹10 lakh Sum Assured: approximately ₹52,000/year (yearly mode, including GST). Use our
LIC Premium Calculator for exact figures based on your age, term, and sum assured.
Can I surrender Jeevan Labh 736 before maturity?
Yes, after 3 full years' premiums are paid. The surrender value is the Guaranteed Surrender Value (GSV) plus Special Surrender Value (SSV) if higher. GSV is 30% of premiums paid (less first-year premium) for years 4-6, scaling up to 90% by year 25. SSV is typically higher for long-term plans like Jeevan Labh.
Is Jeevan Labh 736 a good plan in 2026?
Yes, Jeevan Labh 736 is one of the best LIC plans for guaranteed, tax-free returns with life cover. Its effective return of 5.2-5.6% is among the highest in LIC's portfolio, and the limited premium paying term is ideal for those who want to be free of premium commitments by age 45-50.
What is the difference between Jeevan Labh 736 and Jeevan Labh 836?
Jeevan Labh 836 was a previous version of the plan (now discontinued from new sales). Jeevan Labh 736 is the current version with updated bonus rates and terms. For new purchases, only Plan 736 is available. Existing policyholders of 836 continue to hold their policies with the original terms.
Final Recommendation
If you can commit to paying premiums for 10-16 years, LIC Jeevan Labh 736 is the best endowment plan from LIC in 2026. It gives the highest effective return, the largest maturity benefit, and the flexibility of limited premium paying.
But if you want even higher returns and don't need the life cover, consider a mix of term plan + equity mutual fund instead — that gives 10-12% CAGR over 20+ years. LIC is for those who want guaranteed returns and don't want market risk.
Use our calculators to compare: Premium Calculator · Maturity Calculator · Bonus Calculator
