LIC Jeevan Lakshya 733

LIC Jeevan Lakshya 733- An Overview

LIC Jeevan Lakshya Plan 733 is a participating endowment plan offered by the LIC of India, which aims to provide financial stability to the family of the insured person in case of an unfortunate loss of life. Besides, the plan has an additional feature of guaranteed annual income benefit along with a life insurance coverage, thus making it a perfect choice for long-term financial goals. The current LIC Jeevan Lakshya version replaces the earlier Jeevan Lakshya 833 and Jeevan Lakshya 933 variants, while continuing the plan's core objective of combining protection with disciplined savings. You can also use the LIC Jeevan Lakshya Maturity Calculator to estimate premiums and benefits before purchasing the policy.

LIC Jeevan Lakshya Plan Variants

The LIC Jeevan Lakshya Plan has evolved through multiple versions over the years to align with changing IRDAI regulations and customer needs. While each version has updated features, all variants continue to offer the same goal of combining life insurance protection with long-term savings.

• The LIC Jeevan Lakshya plan is designed to provide a combination of savings and life protection in a single plan.

• Jeevan Lakshya 833 (Plan No. 833): Launched in March 2015, the Jeevan Lakshya 833 or 833 LIC Plan was the original version of the Jeevan Lakshya LIC plan. It remained available until February 1, 2020.

• Jeevan Lakshya 933 (Plan No. 933): Introduced as an updated version of the Jeevan Lakshya Plan, Jeevan Lakshya 933 featured revised policy provisions and remained on sale until September 30, 2024.

• Jeevan Lakshya 733 (Current Plan): Effective from October 1, 2024, Plan 733 is the latest LIC Jeevan Lakshya Plan. It includes updates such as a higher minimum sum assured and enhanced surrender benefits while continuing the core features of the Jeevan Lakshya LIC Policy. You can use the LIC Jeevan Lakshya Calculator to estimate premiums under the current plan.

Key Features of LIC Jeevan Lakshya Policy

Below are some of the key features of LIC Jeevan Lakshya plan 733:

• The LIC Jeevan Lakshya plan is designed to provide a combination of savings and life protection in a single plan.

• Policyholders can choose how they want to receive the LIC Jeevan Lakshya death benefit: a lump sum or instalments.

• Additional riders are available to enhance LIC Jeevan Lakshya protection against specific circumstances such as accidental and disability, by just paying an extra premium amount.

• The Jeevan Lakshya LIC Plan also offers attractive rebates if the sum assured is high.

• The LIC Jeevan Lakshya plan offers a loan facility available against the policy for the policyholder’s liquidity needs.

Eligibility Criteria of LIC Jeevan Lakshya Policy 733

Benefits of LIC Jeevan Lakshya Policy 733

There are several benefits of buying LIC Jeevan Lakshya policy. Some of the benefits offered by the policy are

Death Benefits

In case the policyholder dies before the completion of the policy tenure, the nominee is paid death benefit. The benefit amount is equal to the sum assured, the final additional bonus (if any) and the simple reversionary bonus.

Sum Assured on Death is defined as the sum of:

• 7 times of annualised premium, or

• Sum of 110% of Basic Sum Assured, which will be payable on date of maturity and Annual Income Benefit equal to 10% of the Basic Sum Assured, which will be payable from the policy anniversary.

Death Benefit in Installment

The LIC Jeevan Lakshya Plan 733 offers the option to receive the death benefit in installments instead of a lump sum. The Life Assured can choose to receive the benefit over a period of 5, 10, or 15 years. This option must be exercised during the Life Assured's lifetime and can apply to the full or partial amount payable on death.

Maturity Benefits

If the policyholder survives till the end of the policy tenure, the Jeevan Lakshya policy will pay the maturity benefit. The maturity benefits paid is “sum assured on maturity” plus along with vested Simple Reversionary bonuses and Final Additional bonus if any.

Settlement Option

The Settlement Option allows the Life Assured to receive the Maturity Benefit in instalments over 5, 10, or 15 years instead of a lump sum. It can be chosen for full or part of the maturity amount, in absolute value or percentage, with instalments paid in advance at chosen intervals.

Participation in Profits

Jeevan Lakshya LIC Policy is a participating plan, which means it can receive bonuses declared by LIC. These bonuses are declared based on the company’s experience and are added to the policy, enhancing the overall benefit.

In the case of the policyholder's demise, the LIC Jeevan Lakshya Plan 733 must continue to share in the profits up to the maturity date, and the entire fixed Final Additional Bonus and Simple Reversionary Bonus, if any, must be payable on the maturity due date. Therefore, the Final Additional Bonus and the Simple Reversionary Bonuses, if any, must be paid under the policy on the maturity due date regardless of the survival of the Assured Life.

Tax benefits

Under the Income Tax Act of 80C, the premium paid under the Jeevan Lakshya LIC Policy is permissible for a rebate on annual income tax, and as per section 10(10D), the maturity amount is free from tax.

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Additional Rider Benefits Under LIC Jeevan Lakshya

LIC Accidental Death and Disability Benefit Rider:

You can avail the LIC Accidental Death and Disability benefit anytime during the term of the payment of the premium. One of the most important benefits offered by this rider is that, in the case of death in an accident, an extra sum assured, equivalent to the sum assured in the accidental benefit, is payable. This benefit is provided to the co-rider at the time of the accident. Secondly, in case of disability due to an accident, an equivalent amount of the accidental benefit sum assured is paid to the insured in equal monthly instalments up to 10 years.

LIC Accident Benefit Rider:

You can add the LIC Accident Benefit Rider any time during the policy term, provided the policy is active, but only up to the maximum premium payment term set for the Base plan. The remaining term to pay the premium for the Base plan and the rider must each be at least 5 years. If this rider is added to the policy, then in the case of accidental death, the Accident Benefit Sum Assured would be paid out as a one-time amount.

Note: Policyholders can only choose any one of the LIC Accidental Death and Disability Benefit Rider and LIC Accident Benefit Rider.

LIC New Term Assurance Rider:

The LIC New Term Assurance rider is made available upon paying an additional premium at the policy's inception. The payment of the amount is made together with the primary plan of the LIC Jeevan Lakshya Plan. One of the advantages offered by this rider is that in the case of the death of the insured during the term of the policy, an additional amount equivalent to the sum assured of the term assurance rider is liable to be paid to the policyholder as long as the applicability of the coverage of the plan rider is there.

LIC Jeevan Lakshya Policy Details

Grace Period

You will be given a grace period of 15 or 30 days to make the due premium payments. The 15-day grace period applies to the monthly premium payment mode, and the 30-day grace period applies to other modes. If the policyholder fails to pay within the policy's grace period, then the policy lapses automatically.

Free Look Period

If the policyholder is not satisfied with the conditions of the Jeevan Lakshya LIC policy, then he/she can cancel the policy within 30 days from the date of receipt, only if any claim has not already been registered with LIC.

Paid-up Value

If you have made payment of the premiums for around three consecutive years and the payment of subsequent premiums has not been made, the LIC Jeevan Lakshya Plan 833 obtains the Paid-up value. In such a case, a multiple of a fraction of the total number of payable premiums and the total number of paid premiums is the Death Sum Assured and the Maturity Sum Assured. The Income Value will also be liable to be subjected to the equivalent fraction beginning from the demise of the life assured.

Surrender Value

If the policy is surrendered before the end of the premium payment term, a surrender value is payable. The surrender value is a percentage of the premiums paid, depending on the policy duration and premium payment term.

You can avail of the Guaranteed Surrender Value if you surrender the policy after making payment of premiums for at least three years. It is a percentage of the entire premiums paid until the date of maturity.

Policy Revival

If the premium is not paid during the grace period, then the policy will be discontinued. A lapsed policy may be granted the status of a "revived" policy if the revival applies within the period of 5 consecutive complete years from first unpaid premium date and before the date of maturity, as the case may be.

Policy Loan

A loan facility is available in the LIC Jeevan Lakshya plan after completion of one policy year, provided at least one full year’s premium has been paid. The maximum loan is up to 75% of the surrender value for in-force policies (after two full years' premiums) and 65% for paid-up policies. The applicable interest rate for loans sanctioned between May 1, 2024, and April 30, 2025, is 9.5% p.a., compounding half-yearly.

Exclusion under LIC Jeevan Lakshya Plan 733

Suicide is the only exclusion under the LIC Jeevan Lakshya plan. These are the conditions:

• If the Life Assured commits suicide within 12 months from the date of commencement of the risk, the insurer will not be required to make any payment under the policy. In these circumstances, the insurer will return 80% of the total premiums paid under the policy in force.

• In the event of suicide within 12 months from the date of revival, the insurer shall pay, as the case may be, 80% of the aggregate premiums paid up to the date of demise or the surrender value on the date of death, whichever is higher.

Documents Required to Buy LIC Jeevan Lakshya Plan 733

To purchase the LIC Jeevan Lakshya policy, you must submit certain documents as part of the application process. Here are the general documents typically required to buy LIC Jeevan Lakshya:

• Proposal Form: will need to fill out the application form provided by LIC. This form collects essential personal and policy-related information, including your name, contact details, age, occupation, medical history, nominee details, and desired policy features.

• Identity Proof: Aadhaar Card, PAN Card, Passport, Voter ID Card, or Driving License.

• Address Proof: Card, Passport, and Utility bills (electricity bill, telephone bill, etc.). Additionally, Bank account statements and Ration cards are also valid address proofs.

• Age Proof: Birth certificate, School leaving certificate (TC), Passport, and PAN Card.

• Income Proof: Salary slips, Income tax returns, Bank statements, and Form 16.

• Medical Reports: the sum assured be of a considerable amount and/or the policyholder be of an advanced age, the Life Insurance Corporation (LIC) has the prerogative to request a medical examination. The ensuing medical examination reports will serve as evidence of the health condition of the policyholder.

Is Jeevan Lakshya a Good Policy?

LIC Jeevan Lakshya is a good policy for parents who want to ensure their child's financial future is secured even in their absence, since it continues paying a fixed annual income to the family after the policyholder's death until maturity, and then pays the full sum assured as a lump sum at the end of the policy term. It combines life protection with a savings component, making it suitable for those planning for specific long-term goals like a child's education or marriage.

However, like most traditional endowment plans, the returns are modest compared to market-linked instruments, so it works best as a protection-first product rather than a primary wealth creation tool.

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