LIC Jeevan Labh (Plan 736)

LIC Jeevan Labh (Plan 736) - Overview

LIC Jeevan Labh (Plan 736) is a limited-premium endowment plan that lets you pay premiums for only 10, 15 or 16 years. The policy then continues for the full 16, 21 or 25 year term, providing life cover throughout and a substantial maturity benefit at the end. It is a great option if you want to front-load your premium payments and then stop paying while still enjoying full life cover and guaranteed savings.

Key Features & Benefits

Limited premium payment — pay for 10, 15 or 16 years, enjoy benefits for 16, 21 or 25 years.
Large maturity value — Sum Assured + bonus + FAB accumulation for the entire term.
Life cover throughout the term — even after PPT ends, the policy remains in force with full life cover.
Loan facility — available after 2 years of premium payment.
Tax benefits — premium eligible under Section 80C (up to ₹1,50,000/year), maturity tax-free under Section 10(10D).
Premium paying term flexibility — choose 10, 15 or 16 year PPT to match your financial planning.

PPT × Policy Term Combinations

PPT (Premium Paying Term)	Policy Term	Coverage Years Without Premium	Best For
10 years	16 years	6 years	Quick premium finish
15 years	21 years	6 years	Balanced approach
16 years	25 years	9 years	Maximum maturity & bonus

Eligibility

Minimum Age at Entry	16 years (completed)
Maximum Age at Entry	50 years (last birthday)
Maximum Age at Maturity	75 years
Policy Term	16, 21 or 25 years
Premium Paying Term (PPT)	10, 15 or 16 years
Minimum Sum Assured	₹2,00,000
Maximum Sum Assured	No upper limit (subject to underwriting)

Death Benefit

During the policy term, in case of unfortunate death of the policyholder, the nominee receives:

"Sum Assured on Death" — higher of:
- 7 times the annualised premium, OR
- 105% of total premiums paid till date of death
Plus accrued Simple Reversionary Bonus till date of death
Plus Final Addition Bonus (FAB), if applicable

Maturity Benefit

If the policyholder survives the full term, the maturity benefit is:

Sum Assured + Accrued Simple Reversionary Bonus + Final Addition Bonus (FAB)

Example Premium & Maturity Calculation

Sandeep, age 30, buys Jeevan Labh (736) with SA = ₹10,00,000, PPT = 16 years, term = 25 years.

Approximate yearly premium (before GST): ~₹48,000
Yearly premium with 18% GST: ~₹56,640
Total premiums paid (over 16 years): ~₹9,06,240
Accrued bonus (₹45 per ₹1,000 SA × 25 years): ~₹11,25,000
Estimated FAB: ~₹90,000
Total Maturity Value (year 25): ~₹22,15,000

Why Choose Jeevan Labh 736?

✅ Front-load premiums — finish paying earlier in your career.
✅ Higher maturity — limited-premium plans accumulate more bonus over the term.
✅ Lower total premium outflow — for the same SA, you pay less than a regular premium plan.
✅ Loan available early — after 2 years of premium payment.
✅ Tax benefits throughout under 80C and 10(10D).
✅ Three PPT options — flexibility to match your financial plan.

Limitations of Jeevan Labh

❌ Higher yearly premium compared to regular premium plans (because spread over fewer years).
❌ You must commit to paying the entire PPT even if your financial situation changes (revival is possible but costs extra).
❌ Plan conversion is not allowed — you'd have to surrender and buy a new plan if you want to change.

Optional Riders Available

Accidental Death & Disability Benefit (AD&DB) Rider — extra payout on accidental death.
New Term Assurance Rider — additional life cover at low cost.
Premium Waiver Benefit (PWB) Rider — future premiums waived in case of disability.

Jeevan Labh vs Other LIC Plans

Feature	Jeevan Labh 736	New Endowment 714	New Jeevan Anand 715	Jeevan Lakshya 733
PPT	10/15/16 yr	Equal to term	Equal to term	Term - 3 / Term - 5
Term	16/21/25 yr	12-35 yr	15-35 yr	15-35 yr
Family income on death	No	No	No	Yes (10% SA/yr)
Whole life cover	No	No	Yes (till age 100)	No
Best for	Higher maturity	Balanced cover + savings	Lifelong protection	Income replacement

Frequently Asked Questions

What is LIC Jeevan Labh Plan 736?

LIC Jeevan Labh (Plan 736) is a limited-premium endowment plan. You pay premiums for 10, 15 or 16 years (PPT) and enjoy life cover and bonus accumulation for the full 16, 21 or 25 year term. It offers a large maturity benefit and is one of LIC's most popular plans for those who want to finish paying premiums early.

Which PPT × Term combination is best in Jeevan Labh?

The 16-year PPT × 25-year term is best for the highest maturity and longest premium-free period (9 years). The 10-year PPT × 16-year term is best if you want to finish paying as quickly as possible (6 years premium-free). The choice depends on your financial situation and long-term goals.

Is Jeevan Labh better than New Endowment (714)?

For most people, yes. The maturity value of Jeevan Labh is higher because of the limited PPT — for the same Sum Assured and term, you pay the same total premium but get a higher maturity due to longer bonus accumulation. However, the yearly premium is higher because it's spread over fewer years.

What is the minimum age for Jeevan Labh 736?

Minimum age at entry is 16 years (completed). Maximum age at entry is 50 years. Maximum age at maturity is 75 years. The plan has a minimum Sum Assured of ₹2,00,000.

How much does a 10 lakh Jeevan Labh policy cost?

For a 30-year-old with SA = ₹10,00,000, 16-year PPT and 25-year term, approximate yearly premium is ₹48,000 (before GST) or ₹56,640 (with 18% GST). Use our calculator above for a personalized estimate based on your age and chosen term.

Can I switch from Jeevan Labh to another plan?

No, plan conversions are not allowed in Jeevan Labh. If you want to change plans, you'd have to surrender the existing policy and buy a new one. However, you can revive a lapsed Jeevan Labh policy within the revival period (typically 5 years from date of first unpaid premium).

Is Jeevan Labh maturity tax-free?

Yes, the maturity benefit from Jeevan Labh is tax-free under Section 10(10D) of the Income Tax Act, provided the annual premium is not more than 10% of the Sum Assured. If premium exceeds 10% of SA, the maturity becomes partially taxable.

Can I take a loan against Jeevan Labh 736?

Yes. After 2 years of premium payment, you become eligible for a policy loan from LIC. The loan amount is typically up to 90% of the surrender value. Use our LIC Policy Loan Calculator to estimate the loan amount and interest.

Pay less years, earn more maturity

LIC Jeevan Labh (736) Calculator