Bima Shree Plan 948
LIC of India has been launched LIC New Bima Shree Plan 948 from 2nd February 2020. LIC Bima Shree Plan 948 is a non-linked, with-profits, limited premium payment money back life insurance plan.
When it comes to high-net-worth individuals (HNI), traditional LIC policies often don’t match their financial appetite. To solve this, the Life Insurance Corporation of India (LIC) introduced an exclusive premium endowment plan – LIC Bima Shree Plan 948.
This plan is not just a regular insurance policy. It’s a combination of insurance, guaranteed returns, bonuses, and financial security, tailor-made for those who want large coverage with guaranteed wealth creation.
If you are an investor looking for:
- High sum assured (minimum ₹10 Lakhs)
- Guaranteed additions during policy years
- Long-term wealth creation with insurance protection
- Tax benefits under Section 80C & 10(10D)
…then LIC Bima Shree 948 is designed exactly for you.
Key Features of LIC Bima Shree Plan 948
- Type of Plan: Traditional, Non-Linked, Participating, Limited Premium Payment Money Back Plan.
- Minimum Sum Assured: ₹10,00,000 (no upper limit).
- Policy Term Options: 14, 16, 18, and 20 years.
- Premium Paying Term (PPT): Policy Term – 4 years.
- Example: If you choose a 16-year policy, you pay premiums for only 12 years.
- Guaranteed Additions: ₹50 per ₹1,000 SA during the first 5 years, and ₹55 per ₹1,000 SA thereafter (till policy term).
- Bonus Facility: Along with guaranteed additions, bonuses may be added.
- Survival Benefits: Paid as Money Back at different stages.
- Maturity Benefit: Balance Sum Assured + Guaranteed Additions + Bonus.
- Death Benefit:
- Before risk cover: Refund of premiums (without taxes).
- After risk cover: Sum Assured on Death + Guaranteed Additions + Bonuses.
- Rider Options Available:
- Accidental Death & Disability Benefit Rider
- Accident Benefit Rider
- New Term Assurance Rider
- Critical Illness Rider
Eligibility Criteria – Who Can Buy?
| Criteria | Minimum | Maximum |
|---|---|---|
| Entry Age | 8 years | 55 years (for 14 yr policy) |
| Maturity Age | – | 69 years |
| Basic Sum Assured | ₹10,00,000 | No Limit |
| Policy Term | 14, 16, 18, 20 yrs | – |
| Premium Paying Term (PPT) | Policy Term – 4 yrs | – |
| Premium Payment Mode | Yearly, Half-Yearly, Quarterly, Monthly |
Benefits of LIC Bima Shree Plan 948
1. Death Benefit
In case of unfortunate death during the policy term (after commencement of risk), the nominee gets:
- Sum Assured on Death = 7 times of annual premium OR 125% of Basic Sum Assured (whichever is higher).
- Plus Guaranteed Additions + Bonuses.
2. Survival Benefits (Money Back)
A part of Sum Assured is paid back during the policy term:
- 14-year term → 30% SA at end of 10th & 12th year.
- 16-year term → 35% SA at end of 12th & 14th year.
- 18-year term → 40% SA at end of 14th & 16th year.
- 20-year term → 45% SA at end of 16th & 18th year.
3. Maturity Benefit
Remaining Basic Sum Assured + Accumulated Guaranteed Additions + Bonuses.
4. Loan Facility
Loan can be availed after 2 years, making it liquidity-friendly.
5. Tax Benefits
- Premiums paid eligible for deduction u/s 80C.
- Maturity & death benefits exempt u/s 10(10D) (subject to rules).
Example with Tabular Illustration
Let’s assume:
- Policy Term: 20 years
- PPT: 16 years
- Basic Sum Assured: ₹20,00,000
- Entry Age: 30 years
Survival & Maturity Example
| Policy Year | Event | Payout |
|---|---|---|
| 16th Year | 45% of SA | ₹9,00,000 |
| 18th Year | 45% of SA | ₹9,00,000 |
| 20th Year | Remaining 10% SA + GA + Bonus | ₹2,00,000 + Additions |
Guaranteed Additions (GA):
- First 5 years → ₹50 × 20000 = ₹10,00,000
- Next 15 years → ₹55 × 20000 = ₹16,50,000
- Total GA = ₹26,50,000
Total Maturity Benefit = ₹2,00,000 + ₹26,50,000 + Bonuses (say ₹15,00,000)
= ₹43,50,000 (approx.) + Survival Benefits (₹18,00,000)
👉 This means the investor could receive over ₹61 Lakhs from a ₹20 Lakh SA policy.
Analyst Opinion – Is It Worth It?
Financial experts highlight the following points about LIC Bima Shree 948:
✅ Pros:
- Guaranteed Additions give predictable returns.
- Premium paying term is shorter than policy term.
- Ideal for HNIs who want large insurance + savings.
- Money Back ensures periodic liquidity.
❌ Cons:
- Premiums are quite high due to high minimum SA (₹10 Lakhs).
- Not suitable for small investors.
- Returns may not beat equity-linked instruments like ULIPs or Mutual Funds.
Conclusion:
LIC Bima Shree 948 is best for HNIs, business owners, and professionals who want a safe wealth-building option with life cover rather than chasing high-risk market returns.
Investor Scenarios & Examples
Scenario 1 – Business Owner (Age 35)
- Buys a 16-year, ₹50 Lakh policy.
- Uses survival benefits as working capital during 12th & 14th year.
- Ensures family security + business liquidity.
Scenario 2 – Salaried Professional (Age 30)
- Takes ₹20 Lakh plan for 20 years.
- Uses survival benefit payouts for children’s education.
- Maturity benefit used for retirement corpus.
Scenario 3 – NRI Investor
- Uses LIC Bima Shree 948 for safe INR-based investment.
- Enjoys life cover, guaranteed additions, and tax-free maturity under Indian laws.
Investor Insights – What Real Investors Say
- Mr. Sharma, 40 (Delhi Businessman):
“I chose Bima Shree for its guaranteed payouts. The survival benefits helped me reinvest in my business.” - Mrs. Iyer, 32 (Doctor from Chennai):
“I wanted a safe plan with tax savings and regular payouts. This policy gives both.” - Mr. Patel, 28 (NRI from USA):
“I wanted to keep money in India in a risk-free way. Bima Shree gave me that comfort with large coverage.”
FAQs – LIC Bima Shree Plan 948
Q1. What is the minimum sum assured in Bima Shree 948?
👉 Minimum sum assured is ₹10,00,000.
Q2. Can I take loan under this policy?
👉 Yes, after 2 years of premium payment.
Q3. Who should invest in LIC Bima Shree Plan?
👉 High-income individuals, NRIs, business owners who need both insurance and long-term wealth creation.
Q4. Is maturity benefit tax-free?
👉 Yes, under Section 10(10D) (as per prevailing rules).
Q5. Is this plan better than LIC Jeevan Shree?
👉 Bima Shree is a modern HNI-focused product with guaranteed additions, making it more predictable.
Final Thoughts – Should You Buy LIC Bima Shree Plan 948?
If you are looking for:
- Large life cover (₹10 Lakh+)
- Safe investment with guaranteed returns
- Periodic liquidity via survival benefits
- Tax savings
- Wealth creation with insurance
…then LIC Bima Shree Plan 948 is a strong option.
However, if you want high-risk high-return investment, you may explore ULIPs, mutual funds, or stock market instead.
