LIC Jeevan Labh Review: Your Two-in-One Protection and Savings Plan

LIC Jeevan Labh is like a trusty piggy bank with a built-in safety net. It not only protects your family financially if something happens to you but also helps you save for future goals.

Let’s take a closer look:

What It Offers:

  • Death Benefit: A lump sum payout to your nominee if you pass away during the policy term.
  • Maturity Benefit: A lump sum payment (sum assured + bonuses) if you survive the policy term.
  • Limited Premium Payment: You pay premiums for a shorter period than the policy term (10, 15, or 16 years).
  • Bonuses: Potential to earn simple reversionary bonuses and a final additional bonus, enhancing your returns.
  • Loan Facility: You can avail of loans against the policy after a few years.
  • Riders: Add riders for additional protection like Accidental Death and Disability Benefit.

Who It’s For:

  • Individuals Seeking Savings and Protection: If you want a plan that combines life insurance with the potential to accumulate savings for your future goals.
  • Those Looking for Limited Premium Payment: If you prefer to pay off your premiums in a shorter timeframe and enjoy coverage for a longer duration.

Potential Drawbacks:

  • Lower Sum Assured: The death benefit might be lower compared to pure term plans with similar premiums.
  • Non-Guaranteed Returns: The bonuses are not guaranteed and depend on LIC’s performance.
  • Longer Policy Term: The policy terms are relatively longer, ranging from 16 to 25 years.

The Verdict:

LIC Jeevan Labh is a good choice for individuals who prioritize both protection and savings. It offers a balanced approach, providing financial security for your loved ones while also helping you build a corpus for future needs.

However, keep in mind that the returns are not market-linked and might not beat inflation over the long term.

Additional Tips:

  • Evaluate your needs: Determine if a plan with both protection and savings aligns with your financial goals.
  • Understand the bonus structure: LIC’s bonus rates can vary, so research and understand the potential returns before you buy.
  • Consider the policy term: Choose a term that aligns with your long-term financial planning.
You might find these articles interesting
Mani Karthik

About the Author

Mani Karthik

Entrepreneur, Mentor & Blogger.
I help business grow & scale. Have helped 15+ companies scale in US, Middle East and India.
I share everything I learned on this blog, so that you benefit. Here’s more about me.

Learn how to make a side income
from online business.