LIC New Money Back Plan 721 Calculator
LIC New Money Back Plan 721 Calculator
LIC’s New Money Back Plan-25 Years — A Par, Non-Linked, Life, Individual Savings Plan
| Year | Cumul. Premium (with GST) | Survival Benefit | Death Benefit | Maturity Benefit |
|---|
If you are planning to buy LIC New Money Back Plan-25 Years (Plan 721), one of the first questions you will ask is : how much premium will you pay, and what benefits will you receive in return?
A LIC New Money Back Plan 721 Calculator helps answer those questions quickly. Instead of manually estimating premiums, maturity benefits, money-back payouts, bonuses, and policy value, the calculator provides an easy-to-understand projection based on your age and chosen sum assured.
Many people focus only on maturity value. In reality, this plan offers much more than that. It combines life insurance protection, periodic money-back benefits, bonus participation, and long-term savings. A calculator helps you see the complete picture before making a long-term financial commitment.
LIC New Money Back Plan 721 Premium & Maturity Calculator
The calculator is mainly used to estimate two important figures: premium payable and maturity value.
Your premium depends on factors such as age, sum assured, premium payment mode, and rider selection. Since the policy term is 25 years and the premium paying term is 20 years, you stop paying premiums five years before maturity.
The maturity calculator estimates the amount payable at the end of the policy term. The maturity benefit consists of 40% of the Basic Sum Assured along with vested Simple Reversionary Bonus and Final Additional Bonus, if declared.
Because bonus rates are not guaranteed, maturity values shown by the calculator should always be treated as projections.
What is the LIC New Money Back Plan 721 Calculator?
A LIC New Money Back Plan 721 Calculator is an online planning tool that estimates the benefits available under LIC’s New Money Back Plan-25 Years.
It helps calculate premium, survival benefits, maturity value, death benefit, surrender value, bonus projections, and loan eligibility.
Instead of relying on assumptions, you can compare different sum assured options and understand how the policy may perform over time.
LIC New Money Back Plan 721 vs Other LIC Plans
Looking for a shorter-term money-back option? Try our LIC Money Back Plan 720 Calculator to calculate premiums, maturity value, bonus projections, and survival benefits under LIC’s 20-Year Money Back Plan.
LIC New Money Back Plan 721 Overview
LIC New Money Back Plan 721 is a participating, non-linked life insurance savings plan. It provides life insurance protection throughout the policy term while also paying periodic money-back benefits during the policy period.
Key Features of LIC Plan 721
- Policy Term: 25 Years
- Premium Paying Term: 20 Years
- Minimum Entry Age: 13 Years
- Maximum Entry Age: 45 Years
- Minimum Sum Assured: ₹2,00,000
- Maximum Maturity Age: 70 Years
- Participation in LIC Profits
- Loan Facility Available
- Optional Riders Available
Who Should Buy LIC Plan 721?
This plan may be suitable for people who want regular payouts while maintaining life insurance protection.
It is often preferred by conservative investors, salaried individuals, parents planning future expenses, and those looking for a combination of savings and insurance in a single policy.
How LIC New Money Back Plan 721 Calculator Works
The calculator uses policy details entered by the user and applies the official plan rules to estimate future benefits.
You typically need to enter:
- Age of the life assured
- Basic Sum Assured
- Premium payment mode
Based on these details, the calculator estimates premium payable, money-back benefits, maturity value, and other policy benefits.
LIC New Money Back Plan 721 Money Back Schedule
One of the biggest attractions of Plan 721 is its regular money-back structure.
The policy pays 15% of the Basic Sum Assured at the end of the 5th, 10th, 15th, and 20th policy years.
This means policyholders receive 60% of the Basic Sum Assured during the policy term itself.
| Policy Year | Survival Benefit |
| End of 5th Year | 15% of Basic Sum Assured |
| End of 10th Year | 15% of Basic Sum Assured |
| End of 15th Year | 15% of Basic Sum Assured |
| End of 20th Year | 15% of Basic Sum Assured |
| Total During Policy Term | 60% of Basic Sum Assured |
At maturity, the remaining 40% of the Basic Sum Assured is paid along with eligible bonuses.
LIC New Money Back Plan 721 Benefits
Survival Benefit
The plan provides regular payouts throughout the policy term. These benefits can help meet important financial goals without requiring policy surrender.
Maturity Benefit
If the life assured survives the full policy term, the maturity benefit includes:
- 40% of Basic Sum Assured
- Vested Simple Reversionary Bonus
- Final Additional Bonus, if declared
Death Benefit
If the life assured dies during the policy term, the death benefit is the higher of:
- 125% of Basic Sum Assured, or
- 7 times the Annualized Premium
The benefit also includes vested bonuses and Final Additional Bonus, if applicable.
The death benefit will not be less than 105% of total premiums paid up to the date of death.
Bonus Benefits
Since this is a participating policy, it is eligible for Simple Reversionary Bonus and Final Additional Bonus.
A common mistake is assuming bonus rates are fixed. They are not. Future bonus declarations depend on LIC’s experience and performance.
Loan Facility
Loan facility is available after completion of one policy year and payment of one full year’s premium, subject to policy conditions.
This feature can be useful during temporary financial emergencies when immediate funds are needed.
Tax Benefits
Eligible tax benefits may be available under applicable income tax laws, subject to prevailing rules and conditions.
LIC New Money Back Plan 721 Benefit Illustration
Consider a policy with a Basic Sum Assured of ₹10 lakh.
The policyholder receives ₹1.5 lakh each at the end of the 5th, 10th, 15th, and 20th policy years.
This totals ₹6 lakh in survival benefits during the policy term.
At maturity, the policyholder receives ₹4 lakh plus eligible bonuses.
For a ₹20 lakh Sum Assured, the total survival benefits become ₹12 lakh and the maturity benefit becomes ₹8 lakh plus bonuses.
These examples help explain how the policy distributes benefits over 25 years.
LIC New Money Back Plan 721 Surrender Value & Loan Calculator
Not every policy continues until maturity. Financial situations can change.
The surrender value calculator estimates the amount payable if the policy is surrendered before maturity.
Guaranteed Surrender Value becomes available after payment of at least two full years’ premiums. Special Surrender Value may be available after completion of one policy year, subject to policy conditions.
Before surrendering a policy, compare the surrender value with the benefits of continuing the plan.
In many cases, continuing the policy may provide greater long-term value.
Advantages and Disadvantages of LIC New Money Back Plan 721
Every LIC plan has some advantages and disadvantages. Before choose any plan its very good idea to check overall policy detials. In the below i will discuss about LIC New Money Back Plan 721 Advantages & Disadvantages:-
Key Advantages
Regular money-back benefits provide liquidity during the policy term. The plan also offers life insurance protection, bonus participation, loan facility, and a premium paying term shorter than the policy term.
Key Disadvantages
The policy requires a long-term commitment. Bonus rates are not guaranteed, and returns may be lower than market-linked investments. Inflation can also reduce the future purchasing power of long-term payouts.
LIC New Money Back Plan 721 vs Other LIC Plans
Compared with Jeevan Anand, Plan 721 focuses more on periodic payouts.
Compared with Jeevan Labh, it offers regular money-back benefits over a longer duration.
Compared with LIC Money Back 20 Years Plan, Plan 721 has a longer policy term and provides four survival benefit payouts of 15% each.
Important Points to Remember Before Buying LIC Plan 721
Before purchasing the policy, check whether the premium comfortably fits your budget.
Do not evaluate the plan based only on maturity value. Consider survival benefits, life insurance protection, bonus participation, and loan facility together.
Also remember that bonus projections are estimates and should not be treated as guaranteed returns.
While calculators help estimate premiums and benefits, always verify the latest policy features, bonus rates, and eligibility conditions from the official LIC website before making a financial decision. LIC may revise product details, underwriting rules, or policy provisions over time.
FAQs:-
What is LIC New Money Back Plan 721?
It is a participating life insurance savings plan that combines life insurance protection, periodic survival benefits, bonus participation, and maturity benefits.
How does LIC New Money Back Plan 721 Calculator work?
The calculator estimates premiums, maturity value, survival benefits, death benefits, and bonus projections using policy details entered by the user.
What are the survival benefits under LIC Plan 721?
The policy pays 15% of the Basic Sum Assured at the end of the 5th, 10th, 15th, and 20th policy years.
What is the maturity benefit of LIC Plan 721?
The maturity benefit consists of 40% of the Basic Sum Assured along with vested bonuses and Final Additional Bonus, if declared.
Can I take a loan against LIC Plan 721?
Yes. Loans may be available after completion of one policy year and payment of one full year’s premium, subject to policy conditions.
What is the surrender value of LIC Plan 721?
It is the amount payable if the policy is surrendered before maturity after satisfying the required policy conditions.
What tax benefits are available?
Eligible tax benefits may be available under applicable income tax laws, subject to prevailing regulations.
Final Verdict & My Point of View
The LIC New Money Back Plan 721 Calculator is a practical tool for understanding premiums, maturity value, survival benefits, bonus projections, loan eligibility, and overall policy benefits before purchasing the plan.
LIC New Money Back Plan-25 Years is designed for people who value financial security, regular money-back payouts, and life insurance protection. It is not intended to provide the highest investment returns. Instead, it offers a balanced combination of savings and protection over the long term.
Before making a decision, use the calculator to compare different sum assured options, review projected benefits, and ensure the premium fits comfortably within your budget.
Try the LIC New Money Back Plan 721 Calculator today and see how the policy may support your family’s future financial goals.
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Mohibul Islam is an LIC agent with 7+ years of experience. He also works in web development and blogging. He creates simple tools on LIC Plan Calculator to help people understand LIC plans, calculate benefits, and make better financial decisions easily.