LIC New Endowment Plus Plan 735 Calculator
Calculation Results
Projected Wealth Creation
Important Things to Know
- This policy is a Unit Linked Insurance Plan (ULIP), which means the returns are linked to market performance and are not guaranteed.
- The plan comes with a mandatory 5-year lock-in period, during which surrender and partial withdrawal facilities are not permitted.
- Actual policy returns depend on the performance of the selected investment funds and their Net Asset Value (NAV).
- Various charges are applicable under the policy, including:
- Premium Allocation Charges ranging from 7.5% to 3%
- Fund Management Charges of 0.70% per annum
- Policy Administration Charges
- Mortality Charges
- The minimum premium payment requirements are:
- ₹20,000 yearly
- ₹13,000 half-yearly
- ₹8,000 quarterly
- ₹3,000 monthly
The Life Insurance Corporation of India (LIC) provides a wide range of insurance products aimed at ensuring long-term financial security. One such offering is the LIC New Endowment Plus Plan 735, a well-known unit-linked insurance plan that combines investment opportunities with life insurance protection. The plan is appreciated for its flexible features, wealth creation potential, and insurance coverage benefits.
To help policy buyers estimate premiums, fund values, and expected returns more effectively, the LIC New Endowment Plus Plan 735 Calculator serves as a highly useful planning tool.
Overview of LIC New Endowment Plus Plan 735
LIC New Endowment Plus Plan 735 is a unit-linked, non-participating individual life insurance policy that offers a combination of life insurance protection and investment opportunities. The plan allows policyholders to participate in market-linked growth while enjoying financial security throughout the policy term.
Main Features of the Plan
- The premiums paid under the policy are invested in different market-linked funds selected by the policyholder.
- The plan follows a regular premium payment structure, where premiums are paid throughout the chosen policy duration.
- It is designed to provide both insurance coverage and long-term wealth creation benefits.
- Policyholders can choose from multiple investment fund options based on their financial goals and risk tolerance.
One of the biggest advantages of this plan is its balanced combination of life protection and investment growth potential. It helps individuals work toward their financial objectives while ensuring financial security for their family.
Eligibility Conditions for LIC New Endowment Plus Plan 735
| Parameter | Eligibility Details |
|---|---|
| Entry Age | 30 days to 50 years (nearest birthday) |
| Minimum Maturity Age | 18 years completed |
| Maximum Maturity Age | 60 years (nearest birthday) |
| Policy Term | 10 years to 20 years |
| Premium Paying Term | Equal to the selected policy term |
| Premium Payment Modes | Yearly, half-yearly, quarterly, and monthly through NACH |
| Basic Sum Assured | 10 times the annualized premium |
The plan offers flexible entry conditions and multiple premium payment options, making it suitable for individuals seeking both life insurance protection and market-linked investment benefits.
Key Benefits of LIC New Endowment Plus Plan 735
This plan is designed to provide a combination of life insurance protection and long-term wealth creation through market-linked investments.
Death Benefit
If the life assured passes away during the policy term, the nominee receives the highest of the following amounts:
- Basic Sum Assured after adjusting eligible partial withdrawals made within two years before death
- Unit Fund Value
- 105% of the total premiums paid after deducting applicable partial withdrawals
If the death occurs before the risk commencement date, only the Unit Fund Value is payable to the nominee.
Maturity Benefit
If the policyholder survives until the end of the policy term, the maturity benefit payable will be the Unit Fund Value available on the maturity date.
This amount depends on the performance of the selected investment funds and the value of units accumulated during the policy period.
Partial Withdrawal Facility
- Partial withdrawals are permitted only after completion of the five-year lock-in period.
- This feature allows policyholders to access funds during financial needs without terminating the policy completely.
Surrender Benefit
- If the policy is surrendered before the completion of the lock-in period, the Unit Fund Value is transferred to the Discontinued Policy Fund.
- If the policy is surrendered after the lock-in period, the available Unit Fund Value is paid directly as the surrender value.
How LIC New Endowment Plus Plan 735 Functions
When premiums are paid under the LIC New Endowment Plus Plan 735, LIC first deducts applicable charges such as premium allocation charges, policy administration charges, and other related costs. The remaining amount is then invested in the selected investment fund chosen by the policyholder.
Since this is a Unit Linked Insurance Plan (ULIP), the value of your investment depends on market performance. Unlike traditional endowment plans that may offer fixed or guaranteed returns, the returns under this plan can increase or decrease based on the performance of the chosen fund. Therefore, the policy carries market-related investment risks along with the potential for higher returns.
Investment Fund Options Available
Policyholders can select from different types of investment funds according to their financial goals and risk appetite:
Growth Fund
This fund carries a higher level of risk and primarily focuses on long-term capital appreciation through equity-oriented investments.
Balanced Fund
A moderate-risk option that invests in a combination of equity and debt instruments to maintain a balance between growth and stability.
Bond Fund
This is a lower-risk fund mainly invested in fixed-income securities, aiming for relatively stable returns.
Secured Fund
A very low-risk investment option designed to focus on capital preservation and safer investment strategies.
The overall growth of your investment depends on the Net Asset Value (NAV) of the units allocated under the selected fund, which changes according to market conditions over time.
Why is the LIC New Endowment Plus Plan 735 Calculator Useful?
Estimating premiums, fund values, and expected returns manually can be difficult because of the unit-linked structure of the policy and the various charges involved.
The LIC New Endowment Plus Plan 735 Calculator is a convenient online tool that helps policy buyers understand policy details more clearly and make better financial decisions.
Key Benefits of Using the Calculator
- Helps estimate the premium amount based on the selected sum assured, or calculate the suitable sum assured according to your premium budget.
- Provides an approximate calculation of maturity benefits based on the policy term and expected investment returns.
- Gives an understanding of the death benefit payable under different scenarios.
- Allows comparison of returns across different investment funds and premium payment options.
- Assists in planning investments more effectively according to long-term financial objectives.
Using this calculator saves time, minimizes calculation errors, and offers greater clarity before purchasing the policy.
Steps to Use the LIC New Endowment Plus Plan 735 Calculator
The LIC New Endowment Plus Plan 735 Calculator requires a few basic details to estimate premiums, fund values, and policy benefits accurately.
Information Required in the Calculator
- Your age at the time of policy purchase
- Selected policy term ranging from 10 to 20 years
- Desired premium amount or required sum assured
- Preferred premium payment frequency such as yearly, half-yearly, quarterly, or monthly
- Chosen investment fund type
- Expected annual rate of return, usually illustrated at 4% and 8%
- Additional charge-related inputs in some calculators, such as policy administration or premium allocation charges
Results Displayed by the Calculator
After entering the details and clicking the calculate button, the tool generally shows:
- Total premiums payable during the entire policy term
- Estimated fund value at maturity
- Applicable death benefit amount
- Projected maturity benefits based on different return assumptions
This helps policyholders understand the potential growth of their investment along with the insurance protection available under the plan.
Sample Illustration of LIC New Endowment Plus Plan 735
Let’s understand the calculator with a simple example.
Suppose Rahul, aged 30 years, purchases the policy with the following details:
- Policy Term: 20 years
- Annual Premium: ₹30,000
- Selected Fund: Growth Fund
Assuming an expected annual return of 8%:
- Total premium paid over 20 years would be approximately ₹6,00,000
- Estimated maturity fund value may grow to around ₹12,22,058 depending on market performance
- The death benefit payable would generally be the higher of the sum assured or the available fund value
This example shows how the plan can potentially generate long-term wealth through market-linked growth while also providing life insurance protection for the policyholder’s family.
Flexible Premium Payment Options
LIC New Endowment Plus Plan 735 offers multiple premium payment modes, allowing policyholders to choose an option that best matches their financial planning and budget requirements.
Available Premium Payment Modes
- Yearly Premium Payments:
Annual payments are convenient for many policyholders and may help achieve better fund growth since charges are applied less frequently. - Quarterly and Monthly Payment Options:
These modes are suitable for individuals who prefer to distribute premium payments throughout the year for easier financial management.
Option to Change Payment Mode
Policyholders can select their preferred payment frequency at the beginning of the policy and may also change the payment mode during policy anniversaries according to changing financial needs.
Grace Period Benefit
The policy also provides a grace period for delayed premium payments, helping policyholders avoid immediate policy lapse and offering additional flexibility during temporary financial difficulties.
Charges Applicable Under LIC New Endowment Plus Plan 735
Similar to other unit-linked insurance plans, certain charges are deducted under LIC New Endowment Plus Plan 735, which can influence the overall investment returns. Understanding these charges helps policyholders make informed financial decisions.
Premium Allocation Charge
This charge is deducted from the premium amount before the remaining balance is invested in the selected fund.
Fund Management Charge
An annual fee charged for managing and maintaining the investment funds chosen under the policy.
Policy Administration Charge
Regular administrative charges are applied for maintaining and servicing the policy.
Mortality Charge
This charge covers the cost of providing life insurance protection under the plan.
Discontinuance and Surrender Charges
These charges may apply if the policy is discontinued or surrendered before the specified policy duration.
Having a clear understanding of these deductions helps set realistic expectations regarding the long-term fund value and policy returns.
Key Advantages of LIC New Endowment Plus Plan 735
Combination of Protection and Investment
The plan provides the dual advantage of life insurance coverage along with market-linked wealth creation opportunities.
Flexible Investment and Payment Options
Policyholders can choose from different fund categories and multiple premium payment modes according to their financial preferences.
Partial Withdrawal Facility
After completion of the five-year lock-in period, partial withdrawals are allowed to help meet financial requirements without terminating the policy.
Tax Benefits
Premiums paid and maturity proceeds may qualify for tax benefits under applicable income tax laws.
Transparency in Fund Performance
LIC regularly updates policyholders regarding the performance of investment funds, ensuring better transparency.
Policy Revival Option
If premiums are missed, the policy may be revived within the allowed revival period subject to applicable conditions.
Important Points to Consider Before Buying the Plan
- Since the policy is market-linked, investment returns are not guaranteed and may fluctuate depending on market performance.
- A mandatory five-year lock-in period applies, during which funds remain restricted.
- Various charges reduce the effective invested amount, which can impact overall returns.
- It is important to assess your financial goals and risk tolerance before selecting investment funds.
- Using the LIC New Endowment Plus Plan 735 Calculator can help estimate realistic premium and return projections before purchasing the policy.
Where Can You Use the LIC New Endowment Plus Plan 735 Calculator Online?
The LIC New Endowment Plus Plan 735 Calculator is available on the official LIC website as well as several trusted insurance and financial service platforms. These online tools allow users to compare different investment scenarios, estimate returns, and understand policy benefits more effectively for better financial planning.
You can explore the calculator and official plan information through:
Frequently Asked Questions About LIC New Endowment Plus Plan 735
What is LIC New Endowment Plus Plan 735?
LIC New Endowment Plus Plan 735 is a unit-linked insurance policy that combines life insurance protection with market-linked investment opportunities to help build long-term wealth.
What Policy Term Options Are Available Under the Plan?
The policy term ranges from 10 years to 20 years, depending on the age at entry and maturity eligibility conditions.
Which Investment Fund Options Are Available?
Policyholders can choose from multiple fund options including:
- Growth Fund
- Balanced Fund
- Bond Fund
- Secured Fund
These fund choices can be selected according to individual risk tolerance and investment goals.
Is Partial Withdrawal Allowed in This Policy?
Yes, partial withdrawals are permitted after completion of the mandatory five-year lock-in period.
How Does the LIC New Endowment Plus Plan 735 Calculator Help?
The calculator helps estimate premiums, maturity values, fund growth, and death benefits based on user-provided inputs, making financial planning easier and more transparent.
What Premium Payment Modes Are Available?
Premiums can be paid through yearly, half-yearly, quarterly, or monthly payment modes using NACH facilities.
Conclusion
LIC New Endowment Plus Plan 735 is a suitable option for individuals looking for a combination of life insurance protection and market-linked investment growth. With flexible premium payment choices, multiple investment fund options, and built-in life cover, the plan supports both wealth creation and financial security goals.
Using the LIC New Endowment Plus Plan 735 Calculator before investing is highly beneficial, as it helps estimate future benefits, understand premium commitments, and make informed investment decisions according to personal financial objectives.
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