When it comes to financial security, most of us look for an investment that not only helps us save but also guarantees returns in the long run. Life Insurance Corporation of India (LIC), being one of the most trusted names in the insurance sector, offers various plans that combine savings with protection. One of the most popular plans is the LIC Jeevan Labh Policy, which is designed to provide a perfect mix of insurance coverage and maturity benefits. Many people are curious to know how a small monthly contribution, such as ₹2,000, can turn into a huge return of around ₹13.12 lakh at maturity. Let us understand this plan in detail.
What is LIC Jeevan Labh Policy?
LIC Jeevan Labh is a limited premium, non-linked, with-profits endowment plan. In simple words, it is not linked to the share market, which means your returns are safe from market ups and downs. It provides both life cover and savings benefits. The best part of this plan is that you pay premiums only for a limited period, but you enjoy coverage for a much longer duration. This feature makes it attractive for salaried individuals, small business owners, and anyone who wants to secure their future with guaranteed returns.
How Does the ₹2,000 Monthly Investment Work?
If you invest around ₹2,000 every month in LIC Jeevan Labh, the annual premium comes to about ₹24,000. Based on the policy term and age at entry, you continue to pay this amount for a fixed number of years. For example, if you take a policy term of 25 years and pay premiums for 16 years, you will stop paying after those 16 years. However, your insurance cover continues until the end of the policy.
By the end of the maturity period, this disciplined savings of ₹2,000 every month can grow into a maturity value of approximately ₹13.12 lakh. This includes the basic sum assured along with bonuses and other guaranteed benefits declared by LIC from time to time. The returns are tax-free under Section 10(10D) of the Income Tax Act, making it even more beneficial for policyholders.
Benefits of LIC Jeevan Labh
Apart from the maturity benefit, the plan also ensures that your family is financially protected in case of your unfortunate demise during the policy term. The nominee will receive the sum assured along with bonuses, which can help them in difficult times. In addition, the policy offers loan facilities, which means if you are ever in need of funds during the policy term, you can borrow against your policy.
The maturity value of ₹13.12 lakh from just a ₹2,000 monthly contribution becomes possible because of LIC’s yearly bonuses that get added to your policy. These bonuses are declared by LIC depending on its performance, but as LIC has a strong track record, policyholders can rely on consistent benefits.
Why Choose LIC Jeevan Labh?
The beauty of this plan lies in its simplicity and reliability. Unlike market-linked plans, there is no risk of losing your money due to market fluctuations. It encourages disciplined savings, which is often difficult to achieve without such a structured plan. Also, the limited premium payment option is convenient because you don’t have to pay premiums throughout the policy term, yet you enjoy life cover and assured maturity benefits.
For someone who starts early, this plan can act as a long-term wealth creation tool along with life insurance protection. With just ₹2,000 a month, which is almost the cost of eating out twice, you can secure a corpus of more than ₹13 lakh, ensuring peace of mind for you and your family.
Conclusion
LIC Jeevan Labh is not just an insurance plan but a disciplined savings tool that guarantees long-term financial benefits. By investing just ₹2,000 every month, you can build a tax-free corpus of ₹13.12 lakh and also ensure that your loved ones are financially protected. It is a great choice for people looking for safe, guaranteed, and reliable returns without any risk of market fluctuations. If you are planning to invest for the future, this policy can be one of the smartest decisions you make today.