LIC’s Jeevan Kiran Plan 870 is a Non-Linked, Non-Participating, Individual, Pure Term Insurance Plan launched by LIC of India on 27th July 2023. It’s specially designed for individuals who seek financial protection for their families at a low premium and also want to receive their premiums back if they survive the policy term.
This plan is ideal for working professionals with dependents, such as children and aging parents.
✅ “Term Insurance with Return of Premium” means: if the policyholder survives till maturity, all premiums paid are returned!
🧾 Key Features of LIC Jeevan Kiran Plan 870
Feature | Details |
---|---|
Plan Type | Pure Term Plan with Return of Premium |
Launch Date | 27th July 2023 |
Premium Options | Single Premium or Regular Premium |
Premium Payment Mode | Yearly / Half-Yearly / Single |
Policy Term | 10 to 40 years |
Maturity Benefit | Return of Premium (ROP) |
Death Benefit | Full Sum Assured |
Online Purchase | Available via LIC New Business Platform |
Settlement Option | Maturity or Death claim in 5-year installments available |
Premium Categories | Smoker & Non-Smoker rates |
Rider Option | Accident Benefit Rider (optional) |
Loan Facility | Not available |
Tax Benefits | Section 80C and Section 10(10D) |
🎯 Who Can Buy LIC Jeevan Kiran Plan?
Parameter | Minimum | Maximum |
---|---|---|
Age at Entry | 18 years (last birthday) | 65 years (last birthday) |
Maturity Age | 28 years | 80 years (last birthday) |
Policy Term | 10 years | 40 years |
Basic Sum Assured | ₹15 Lakhs | No Upper Limit (subject to underwriting) |
Minimum Premium | ₹3,000 (Regular) / ₹30,000 (Single) | — |
💸 Premium Payment Options
You can choose between:
- Regular Premium: Pay every year (or half-yearly) throughout the policy term
- Single Premium: Pay one-time lump sum
📈 Rebates and Loadings
✅ High Sum Assured Rebate
Applicable for higher sum assured values.
- Regular Premium: Rebate as a % of Annual Premium
- Single Premium: Rebate as a % of Single Premium
(Exact rebate chart is available in the official brochure)
⚖️ Mode Loading (for Regular Premium)
Mode | Loading (Extra Charge) |
---|---|
Yearly | NIL |
Half-Yearly | 2% of Tabular Annual Premium |
🔐 Benefits of LIC Jeevan Kiran Plan 870
1️⃣ Death Benefit
In case of death during the policy term (after the date of commencement of risk), the nominee will receive the Sum Assured on Death, provided the policy is in force.
📌 For Regular Premium:
Sum Assured on Death is the highest of:
- 7 times of Annualized Premium, OR
- 105% of Total Premiums Paid, OR
- Basic Sum Assured
📌 For Single Premium:
Sum Assured on Death is the higher of:
- 125% of Single Premium, OR
- Basic Sum Assured
2️⃣ Maturity Benefit – Return of Premium
If the policyholder survives till the end of the policy term, they get back:
- Total premiums paid (excluding taxes, rider premiums, and extra premiums, if any)
- In some cases, 105% of total premiums paid
🎉 This makes LIC Jeevan Kiran a no-loss protection plan for those who outlive the term.
🧑💼 Example of LIC Jeevan Kiran Plan 870 with Return of Premium
Let’s understand how this plan works through an example:
👤 Mr. Mohan’s Policy Details
Details | Values |
---|---|
Age | 30 years |
Sum Assured | ₹50,00,000 |
Policy Term | 20 years |
Premium Payment | Regular (Yearly) |
Yearly Premium (incl. GST) | ₹22,952 |
➕ If Mr. Mohan dies during the policy term:
- His nominee will receive ₹50,00,000 as death benefit
➕ If Mr. Mohan survives till maturity (2043):
- He will receive Return of Premium:
₹22,952 × 20 years = ₹4,59,040
🔁 Either way, financial protection is guaranteed.
🔁 Other Policy Features
🕊️ Grace Period
- 30 days grace for yearly and half-yearly premiums
- Policy continues during grace period with full life cover
🔁 Policy Revival
- If lapsed, can be revived within 5 years from the date of the First Unpaid Premium (FUP)
📆 Surrender Value
- Single Premium: Surrender anytime; Value = Higher of GSV or SSV
- Regular Premium: Surrender allowed only after 2 full years’ premiums are paid
❌ Loan Facility
- Not available under this plan
📃 Free Look Period
- 15 days from receipt of policy documents to cancel the policy if not satisfied
💼 Tax Benefits
- Premiums paid qualify for deduction under Section 80C
- Death/maturity payouts are tax-free under Section 10(10D) (as per current laws)
📲 Buy Online
You can purchase LIC Jeevan Kiran Plan 870 through LIC’s New Business Platform using:
- Credit/Debit Card
- UPI / Net Banking
- Mobile Wallets
No need to visit a branch — complete process is 100% digital!
🧾 Summary – Is Jeevan Kiran Plan Right for You?
✅ Ideal for:
- Salaried professionals and entrepreneurs
- People seeking pure term insurance + return of premium
- Those with family responsibilities (kids, spouse, elderly parents)
✅ Best Features:
- High life cover at low premium
- Return of premiums on survival
- Flexible terms from 10 to 40 years
- Settlement in lump sum or installments