LIC Bonus Rates 2025-26 Complete List

Plan-wise Simple Reversionary Bonus & Final Additional Bonus (FAB) rates for all popular LIC plans. Updated July 2026.

✍️ By Team Lic Calculator 🔍 Reviewed by Haresh Hirapara (20+ yrs in Insurance) 📅 Updated: July 2026 ✅ Expert Verified
📌 Quick Summary

LIC declares Simple Reversionary Bonus annually on all participating plans. Current approximate rates range from ₹45 to ₹52 per ₹1,000 Sum Assured per year depending on the plan. A Final Additional Bonus (FAB) is also paid at maturity for policies with terms of 15 years or more. The bonus, once declared, is guaranteed and added to the policy permanently.

📋 Table of Contents
  1. What is LIC Bonus?
  2. LIC Bonus Rates 2025-26 — All Plans
  3. Final Additional Bonus (FAB) Rates
  4. How is LIC Bonus Calculated?
  5. Bonus Calculation Example — ₹10 Lakh SA
  6. Bonus vs FAB — Key Differences
  7. Frequently Asked Questions

What is LIC Bonus?

LIC Bonus (officially called Simple Reversionary Bonus) is an annual share of profits that LIC distributes to all its participating policyholders. Every year, after the annual valuation, LIC declares bonus rates for each plan. These bonuses are:

  • Guaranteed: Once declared and added to your policy, LIC cannot take it back — even if future rates decrease
  • Cumulative: Bonuses accumulate every year and are paid out together at maturity or on death claim
  • Simple (not compound): Bonus is calculated on the basic Sum Assured only, not on previously declared bonuses
  • Expressed as: ₹X per ₹1,000 Sum Assured per year

⚠️ Important: LIC bonus is NOT the same as interest. It is a share of profits and the rate can vary each year. The rates mentioned in this article are approximate and based on recent declarations. For exact rates, please visit licindia.in.

LIC Bonus Rates 2025-26 — All Plans

Below is the complete list of approximate Simple Reversionary Bonus rates for all popular LIC plans:

Plan Plan No. Type Bonus Rate (₹/1000 SA)
New Money Back - 20 Years 720 Money Back ₹52
New Jeevan Anand 715 Endowment ₹50
New Money Back - 25 Years 721 Money Back ₹50
New Endowment Plan 714 Endowment ₹48
Jeevan Lakshya 733 Protection ₹46
Jeevan Labh 736 Endowment ₹45
Jeevan Umang 745 Whole Life ₹45
Aadhaar Stambh 843 Micro ₹45
Aadhaar Shila 844 Micro ₹45

*Rates are approximate and based on recent LIC declarations. Single premium plans (Jeevan Utsav, Dhan Vriddhi, Bima Jyoti) use guaranteed additions instead of Simple Reversionary Bonus. Source: licindia.in

Final Additional Bonus (FAB) Rates

FAB is a one-time bonus paid at maturity or on death claim, in addition to the regular Simple Reversionary Bonus. The FAB amount depends on the policy term — longer terms get higher FAB. Here are the approximate FAB rates:

Plan 15 Yr 20 Yr 25 Yr 30 Yr 35 Yr
New Endowment (714) ₹0 ₹210 ₹265 ₹325 ₹385
Jeevan Anand (715) ₹175 ₹220 ₹285 ₹350 ₹400
Money Back 20 (720) — ₹230 — — —
Jeevan Labh (736) — — ₹285 — —
Jeevan Umang (745) ₹160 ₹215 ₹270 ₹335 —

*FAB rates are expressed as ₹ per ₹1,000 Sum Assured. "—" indicates the plan is not available for that term. FAB is only applicable for qualifying policies with a term of 15 years or more.

How is LIC Bonus Calculated?

The bonus calculation is straightforward:

Total Bonus = Bonus Rate × (Sum Assured ÷ 1,000) × Policy Term

For the Final Additional Bonus (FAB):

FAB Amount = FAB Rate × (Sum Assured ÷ 1,000)

And the total maturity amount for an endowment plan:

Maturity = Sum Assured + Total Bonus + FAB

Bonus Calculation Example — ₹10 Lakh SA

Let's calculate the estimated bonus for a New Jeevan Anand (Plan 715) policy with ₹10,00,000 SA and 20-year term:

ComponentCalculationAmount
Sum Assured—₹10,00,000
Simple Reversionary Bonus₹50 × 1,000 × 20 years₹10,00,000
Final Additional Bonus (FAB)₹220 × 1,000₹2,20,000
Estimated Total Maturity₹22,20,000

Key insight: Out of the ₹22.2 Lakh maturity, ₹12.2 Lakh (55%) comes from bonus alone! This shows why bonus rates are such an important factor in choosing an LIC plan.

🧮 Calculate Your Maturity Amount →

Bonus vs FAB — Key Differences

FeatureSimple Reversionary BonusFinal Additional Bonus (FAB)
FrequencyDeclared every yearOne-time at maturity/death
AccumulationAdds up each yearSingle lump sum
GuaranteeGuaranteed once declaredNot guaranteed in advance
Min Term RequiredFrom 1st policy yearGenerally 15+ years
Depends OnSum Assured × Rate × YearsSum Assured × FAB Rate

Frequently Asked Questions

What is LIC bonus rate?+
LIC bonus rate is the Simple Reversionary Bonus declared by LIC every year on participating policies. It is expressed as a rate per ₹1,000 Sum Assured. For example, a bonus rate of ₹50 per ₹1,000 SA means a ₹10 Lakh SA policy earns ₹50,000 bonus per year. Bonuses are added to the policy every year and paid at maturity along with the Sum Assured.
Which LIC plan has the highest bonus rate?+
Among popular LIC plans, New Money Back 20 Years (Plan 720) has one of the highest bonus rates at approximately ₹52 per ₹1,000 SA. New Jeevan Anand (Plan 715) follows at ₹50/1000. However, the best plan depends on your overall needs — not just the bonus rate. Plans with lower bonus may offer other benefits like limited premium paying or loyalty additions.
How is LIC bonus calculated on maturity?+
LIC bonus on maturity = (Bonus Rate ÷ 1000) × Sum Assured × Number of Years. For example, ₹10 Lakh SA with ₹50/1000 bonus for 20 years: (50/1000) × 10,00,000 × 20 = ₹10,00,000. This is added to SA along with FAB at maturity.
Does LIC declare bonus every year?+
Yes, LIC declares Simple Reversionary Bonus rates every year for all participating plans after the annual valuation. The rates may vary from year to year depending on LIC's investment performance. However, bonus once declared and added to a policy is guaranteed and cannot be reduced or taken back.
Do single premium plans get bonus?+
Single premium plans like Jeevan Utsav (883), Dhan Vriddhi (869), and Bima Jyoti (860) use Guaranteed Additions instead of Simple Reversionary Bonus. These are fixed additions declared at the start of the policy, not dependent on annual valuation. This makes their returns more predictable.
Is LIC bonus taxable?+
No, LIC bonus received as part of the maturity amount is generally tax-free under Section 10(10D) of the Income Tax Act, provided the annual premium does not exceed 10% of the Sum Assured (for policies issued after April 1, 2012). Please consult a tax advisor for your specific situation.
⚠️ Disclaimer

This article is published by LIC-Calculator.com for educational and informational purposes only. LIC-Calculator.com is not affiliated with, endorsed by, or connected to the Life Insurance Corporation of India (LIC) in any way.

The bonus rates mentioned in this article are approximate and based on publicly available information from recent LIC declarations. Actual rates may vary. For official and exact bonus rates, please visit licindia.in or contact your nearest LIC branch.

This is not financial advice. Please consult a certified financial advisor (SEBI-registered or IRDAI-licensed) before making any insurance or investment decisions. Past bonus rates do not guarantee future rates.

📚 Related Resources