Understanding Maturity Value of Jeevanshree Policy Table 112-25

The Jeevanshree policy Table 112-25 is a traditional endowment plan offered by the LIC (Life Insurance Corporation of India). This policy ensures a financial safety net for policyholders, ensuring that the maturity value is paid to the beneficiary upon the policyholder's retirement or death. The part of the policy that forms the maturity value is a crucial component that policyholders need to understand in detail.

Key Components for Maturity Value Calculation

The calculation of the maturity value in the Jeevanshree policy Table 112-25 is based on several important factors, including the sum assured, policy term, and any bonuses declared by LIC during the policy term.

1. Sum Assured

The sum assured is a guaranteed amount that is paid to the beneficiary upon maturity. This amount is fixed at the time of policy inception.

2. Policy Term

The policy term is the duration for which the policy is valid. For Jeevanshree Table 112-25, this can vary, typically ranging from 10 to 20 years.

3. Bonuses

LIC may declare annual bonuses which are added to the sum assured. These bonuses can significantly impact the final maturity value. Bonuses are based on the performance of the insurance company and are not guaranteed.

4. Paid Premiums

The total premiums paid over the policy term also influence the maturity value.

Maturity Value Calculation Formula

The formula for calculating the maturity value can be expressed as follows:

Maturity Value Sum Assured Bonuses

Example

If the sum assured is 500,000 and the bonuses accumulated over the policy term are 200,000, the formula becomes:

Maturity Value 500,000 200,000 700,000

Factors Affecting the Maturity Value

The exact maturity value can vary due to the bonuses declared each year, which are not fixed and can change based on the performance of LIC. Therefore, it is important to consult specific policy documents or contact LIC for the latest details regarding bonuses and other factors.

Conclusion

For precise calculations, it is best to consult the specific policy documents or contact LIC directly. With the appropriate information, you can calculate the maturity value of a Jeevanshree policy more accurately.

For more detailed calculations and to understand how to tailor your calculations to specific policy terms, consult the policy documents or contact an insurance professional.