Final Additional Bonus (FAB) for LIC’s Policies for year 2015-16

Final Additional Bonus-IBImage Source: fundweb.co.uk

Final Additional Bonus (FAB) is an additional bonus which is paid in participating policies, other than the simple reversionary bonus. Final Additional Bonus is paid only once in the policies resulting into claim by maturity or discounted claim (Surrender of policies with one year preceding the date of maturity) or death claim, during the period 01/01/2016 and ending 9 months from the date of next valuation (ie 31/12/2016)  at the rate declared by LIC, provided the policy is in force for full sum assured till the date of maturity or discounted claim or date of death. Final additional bonus depends upon the sum assured in policy and term of the policy.

LIC of India’s plans are divided into groups as per the type of plans for declaring bonus as per their conditions (Please refer the column 1¬†of¬†Bonus Chart given in previous article “LIC of India‚Äôs Bonus rate declared for 2015-16 to know all the groups), , All the plans of LIC in which Final additional Bonus (FAB) is payable are divided into 5 major group according to their eligibility for FAB.

Final Additional Bonus in Plans of Groups 1, 2, 8, 9 and 10

Plans in group 1 are Whole Life type (Plans 2, 5, 6, 8, 10, 28 (Before Conversion), 35, 36, 37, 38, 49,77,78, 85 & 86), in group 2 are Endowment type (Plans 14, 17, 27 (After Conversion), 28 (After Conversion), 34, 39 40, 41, 42, 50, 54, 79, 80, 81, 84, 87, 90, 91, 92, 95, 101, 102, 103, 109, 110 & 121), in group 8 are Jeevan Mitra (Double Cover plan), Jeevan Saathi (Plans 88 & 89), in group 9 is Jeevan Mitra (Triple Cover Plan: Plan 133 ) and in group 10 is Limited Payment Endowment (Plan 48)

FAB

Final Additional Bonus in Plans of Groups 1, 2, 8, 9 and 10

(#) In the case of death claims under Single Premium / Fully Paid-up Limited Premium Payment policies the number of years in the first column indicates the number of policy years elapsed inclusive of the policy year in which the death takes place.

Final Additional Bonus in Plans of Group 5

Plans in group 5 are Money Back Assurances (Plans 75& 93)

FAB

Final Additional Bonus in Plans of Group 5

** Duration = Policy anniversary following date of claim minus Date of commencement

Final Additional Bonus in Plans of Group 7

Plans in group 7 are Jeevan Surabhi (Plans 106, 107 & 108)

FAB

Final Additional Bonus in Plans of Group 7

** Duration = Policy anniversary following date of claim minus Date of commencement

Final Additional Bonus in Plans of Group 14

Plans in group 14 is Jeevan Anand (Plan 149)

FAB

Final Additional Bonus in Plans of Group 14

Final Additional Bonus in Plans of Group 24

Plans in group 7 is Jeevan Bharti (Plan 160)

FAB

Final Additional Bonus in Plans of Group 24

Not all the policies are eligible for Final Additional Bonus (FAB), only policies which are participating in profit are eligible for FAB. Final Additional bonus totally depend upon the experience of LIC ie surplus made by LIC of India. Mostly the policies having more than 15 years of policy term are eligible for FAB. Quantum of Final additional bonus also depend upon the sum assured in policy, higher the sum assured more the FAB.

Other Important conditions related to Final Additional Bonus (FAB) 

  1. In the case of policies with mode of payment of premiums other than yearly, unpaid premiums if any, falling due before the policy anniversary are deducted from the claim amount and hence they should be treated to have been received for this purpose.
  2. In case of multi-purpose policies in respect of death claims, the Final (Additional) Bonus will be paid only at the end of the original term along with the Reversionary Bonus, subject to other qualifying conditions mentioned above.
  3. Where a non-participating policy has been altered to a participating policy, the period of Final (Additional) Bonus both as regards death claims and maturity claims will be reckoned from the date of such alteration.
  4. In case of Convertible Whole Life Policy converted to With Profit Endowment Policy after 5 years, the period for Final (Additional) Bonus will be reckoned from the scheduled date of conversion. In respect of Convertible Whole life With Profit Policy (Plan 28) the period will be reckoned from the date of commencement of the policy.
  5. In case of Marriage Endowment and Jeevan Chhaya policies, in respect of death claim, the final additional bonus will be paid at the end of the original term along with reversionary bonuses subject to other qualifying conditions mentioned above.
  6. Where a policyholder discounts the policy within one year preceding the date of maturity, the policy will be eligible for Final (Additional) Bonus provided other qualifying conditions are satisfied.

20 Comments on "Final Additional Bonus (FAB) for LIC’s Policies for year 2015-16"

  1. I like this because it helps me to calculate Maturity for lic plans

  2. WHAT IS BONUS RATE FOR MONY BACK POLICU FOR SUM ASSURED RS. 2,00,000/-
    AGE = 30 YEARS ,
    MO – 9224392242

    • Bonus rates for New Money Back Plans 820 and 821 are 39 and 44 per thousand sum assured respectively for policies inforce on 31/03/2014. Bonus rates for old money back policies 75 and 93 are also 39 and 44 per thousand sum assured respectively for policies inforce on 31/03/2014. FAB in 75 and 93 table are for sum assured 200000 is for 20 years term Rs. 40 per thousand sum assured and for 25 years term Rs. 225 per thousand sum assured.

  3. sum assured-10lac
    age-23
    term-17
    new endowment plan 814
    what will be the maturity amount with FAB

    • In 814 maturity benefit is SA+Bonus+FAB (if any) if your case it will be approximately Rs. 1000000+ Bonus (for policies 16-20 years term bonus rate is Rs. 42 per thousand sum assured, if it remains same through out the term the bonus can be calculated as 42*17*(SA/1000)) + FAB (FAB in 814 not yet declared)

  4. What kind of Simple Reversionary Bonuses and Final Additional Bonus i can expect on Jeevan Anand after maturity… SA is 15 Lakhs, Term 16..

  5. hi,

    I have two Jeevan Anand Policy and I want to know the amount I will be getting on maturity.

    Policy 1 – Sum insured – 2.0 lac, Started in 2010, yearly premium 14453/- (15 years), Age at the start of policy 28 Year
    Policy 2 – Sum insured – 5.0 Lac, Started in 2015, yearly premium 37500/- (15 years) Age at the start of policy 26 years(wife)

    Please help me in getting the maturity amount calculated.

    • krishna.almighty@gmail.com' Srikrishnan Sankarasubramanian | March 27, 2016 at 9:05 pm |

      Policy 1- Maturity Benefit = Rs. 3,30,000 (Approx.)
      Policy 2- Maturity Benefit = Rs. 8,20,000 (Approx.)

  6. ssudip75@gmail.com' SUDIP ROY CHOWDHURY | April 20, 2016 at 2:21 pm |

    I haveEndowment policy table-14 Sum insured ‚Äď 5.75 Lac, Started in may 2011, monthly rs 4238/- premium 12 yers I want to know the amount I will be getting on maturity.

    Endowment policy table-14

    • You will get Basic Sum Assured (BSA) with all the vested simple reversionary bonus, you can check the vested bonus till date by visiting any nearest branch.

  7. yadavrakesh1977@gmail.com' Rakesh kumar Yadav | May 24, 2016 at 9:57 am |

    i have taken jeevan ananad policy Rs.250000/- term 17 year please send me total maturity amount
    and 2 policy taken money back 75-20 please send me maturity amount

  8. yadavrakesh1977@gmail.com' Rakesh kumar Yadav | May 24, 2016 at 10:00 am |

    I have money back policy taken in lic plan-75-20, S.A. 250000/- PLEASE SEND ME MATURITY amount

  9. venkataraman1958@gmail.com' S Venkataraman | June 11, 2016 at 9:56 am |

    I have taken a policy for my daughter in April 2015 of Jeevan Anand for a SA Rs 200000 for a term of 15 years Pl let me know the simiple reversionary bonus and FAB, Loyalty additions.

  10. savy.kumar10@gmail.com' Saurabh yadav | June 18, 2016 at 8:28 am |

    I have policy jeevan anand SA 10 lacs ,term 21 years.i had paid the premium of 51600/ for 4 years. Now I want to surrender this policy . What amount will be approximately received.or should I continue for 1 more year then surrender? Plz advise

    • Instead of surrendering a policy, you can also take the loan over it. You will get 90% of surrender value as loan. It will keep your risk cover, interest is 10% (simple interest if paid regularly on remaining principle). since there is no EMI you can close it whenever you want, if part payment is made interest will be charged on remaining amount. And if you really want to surrender then Please forward your queries to nearest LIC Customer Zone, they will provide you exact surrender value as on date.

  11. Hello Pawan Kumar,

    I have Jeevan Surabhi Policy 106-15, for SA of 1.5 Lakh, started in 21-Apr-2009.
    I now completed 8 years. I already got 45k on completion of 4th Year and waiting for next 45K. The remaining 60K I know I will get on completion of 12 Year, but I want to know How much amount I will get after this, i.e. on maturity in 2020.
    Please tell me the calculation as per todays rate. And also as per approximate rate on year 2020…

    Thanks for your help..

  12. Hi , I have LIC jeevan anand – 815 policy,Premium amt 43260 (42464+796(Tax)) Age 30 and Term 30. Can you please calculate Maturity amount(SA+Bonus+FAB).

  13. i have taken a limited payment endowment plan-48-20.premium paying term is 15 years and SA-1500000 taken in the year 2006 at age 45
    premium-96445 yearly.what will be my maturity value including FAB.

  14. janakbhutani@gmail.com' Janak Bhutani | July 16, 2016 at 1:47 pm |

    Name: Janak Bhutani
    Address: Ganaur, Sonepat, Haryana
    My Age: 33 Years
    Daughter Age: 0 Years
    Policy: LIC Money Back (25 Years)
    Policy Taken: 10 June 2016
    First 6 Months Premium Paid: 6792
    What will be my maturity amount including all things?

  15. janakbhutani@gmail.com' Janak Bhutani | July 16, 2016 at 1:52 pm |

    Name: Janak Bhutani
    Address: Ganaur, Sonepat, Haryana
    My Age: 33 Years
    Daughter Age: 0 Years
    Policy: LIC Money Back (25 Years)
    Sum Assured:300000
    Policy Taken: 10 June 2016
    First 6 Months Premium Paid: 6792

    As LIC Agent Said I have to pay money for 25 years.

    What will be my maturity amount including all things?

Comments are closed.