Two money-back plans, one key question: should you go with the 20-year Plan 920 or the 25-year Plan 921? Here's a thorough comparison.
Plan 920 vs 921 at a Glance
| Feature | Plan 920 | Plan 921 |
|---|---|---|
| Policy term | 20 years | 25 years |
| Premium paying term | 15 years | 20 years |
| Survival benefits | 20% of SA × 3 times (year 5, 10, 15) | 15% of SA × 4 times (year 5, 10, 15, 20) |
| Total money-back | 60% of SA | 60% of SA (same total) |
| Maturity | 40% of SA + bonus + FAB | 40% of SA + bonus + FAB (bigger bonus pool) |
| Bonus rate | ~₹39/1000/yr | ~₹41/1000/yr |
Real Numbers — Age 30, ₹10 Lakh Sum Assured
| Parameter | Plan 920 | Plan 921 |
|---|---|---|
| Total premiums (15/20 yrs) | ~₹11,30,000 | ~₹11,10,000 |
| Total money-back received | ₹6,00,000 | ₹6,00,000 |
| Maturity value | ~₹12,00,000 | ~₹15,00,000 |
| Total return | ~₹18,00,000 | ~₹21,00,000 |
| Effective return (approx.) | 5.3% tax-free | 5.5% tax-free |
For the same Sum Assured, plan 921 gives a higher maturity and total return, but plan 920 frees you 5 years earlier and has 5 fewer premium instalments.
Pick Plan 920 If
- You want to be done with premiums 5 years earlier
- You prefer a 5-year premium-free period at the end
- Your goal aligns with a 20-year horizon (e.g., child currently 5, needs the corpus at age 25)
Pick Plan 921 If
- You want a slightly higher total return
- You don't mind paying premiums for 20 years
- Your goal is at least 25 years away
Bonus: Don't Forget Term Insurance
Both plans give a 125% of SA death cover for the entire 20/25 years — but if you have a young family, add a separate term plan for ₹1 Cr+ cover at very low cost. The money-back plan's cover is for your family, but term cover protects your family's lifestyle.