Life Insurance Corporation of India

STC
Cuttack
LIC’s Dhan Rekha-863
 Rates of FD
Year Rate in %

2015 8

2016 7

2017 6.25

2018 6.5

2019 6.85

2020 6.1

2021 5.3
 Dhan Rekha

A Non Linked,Non Par,Individual life insurance, Guaranteed

Savings Plan
 USP’s
•All benefits 100% guaranteed
•Regular SB payments
•Maturity Benefits- 100% SA+ GA
•Death Benefit-125% of SA or7 times annualised prem + GA
•(GA increases with time)
•Insurance cover for longer period,PPT short
•Lower premium on Female lives
 Examples-Age-30 yrs ,Term-20(10),SA-10 lacs,Prem-Rs
106,230
Investment- RD of 106,230 @5% for 10 yrs =Rs 15,09,187
FD of Rs 15,09,187 @ 5% for 10 yrs =Rs 24,58,306
Net of taxes @ 20% = Rs 21,75,884
Net of Taxes @ 30% = Rs 20,39,674

Benefits-a) SB-10 th yr-100,000, 15th yr- 100,000

FD of 100,000 @ 5% for 10 yrs =Rs 162,890
FD of 100,000 @ 5% for 5 yrs =Rs 127,630
Total =Rs 290,520
b) GA-1000*15*50 =Rs 750,000
Total Maturity Benefit = Rs 290,520+ 750,000+ 10,00,000=Rs 20,40,520

Death Benefit =12,50,000+ GA

 Examples-Age-30 yrs ,Term-30(15),SA-10 lacs,Prem-Rs
76,340
Investment- RD of Rs 76,340 @5% for 15 yrs =Rs 18,06,013
FD of Rs 18,06,013 @ 5% for 15 yrs =Rs 37,54,565
Net of taxes @ 20% = Rs 32,24,672
Net of Taxes @ 30% = Rs 29,64,726

Benefits-a) SB-15 th yr-150,000, 20th yr- 150,000, 30th yr-150,000

FD of 150,000 @ 5% for 15 yrs =Rs 3,11,840
FD of 150,000 @ 5% for 10 yrs =Rs 2,44,325
FD of 150,000 @ 5% for 5 yrs =Rs 1,91,440
Total =Rs 7,47,605
b) GA-1000*15*50 =Rs 7,50,000
1000*10*55 =Rs 5,50,000
Total =Rs 13,00,000
Total Maturity Benefit = Rs 747,605+1300,000+ 10,00,000=Rs 30,47,605

Death Benefit =12,50,000+ GA

 Examples-Age-30 yrs ,Term-40(20),SA-10 lacs,Prem-Rs
60,860
Investment- RD of Rs 60,860 @5% for 20 yrs =Rs 21,73,874
FD of Rs 21,73,874 @ 5% for 20 yrs =Rs 57,67,935
Net of taxes @ 20% = Rs 48,49,788
Net of Taxes @ 30% = Rs 43,95,715

Benefits-a) SB-20 th yr-200,000, 25th yr- 200,000, 30th yr-2 lacs,35th-2 lacs
FD of 200,000 @ 5% for 20 yrs =Rs 5,30,660
FD of 200,000 @ 5% for 15 yrs =Rs 4,15,785
FD of 200,000 @ 5% for 10 yrs =Rs 3,25,775
FD of 200,000 @ 5% for 5yrs =Rs 2,55,255
Total =Rs 15,27,475

b) GA-1000*15*50 =Rs 7,50,000

1000*10*55 =Rs 5,50,000
1000*10*60 =Rs 6,00,000
Total =Rs 19,00,000
Total Maturity Benefit = Rs 15,27,475+19,00,000+ 10,00,000=Rs 44,27,475

Death Benefit =12,50,000+ GA

 Examples-Age-30 yrs ,Term-30,SA-10 lacs, SP-Rs 6,85,650
Investment- FD of Rs 6,85,650 @ 5% for 30 yrs =Rs 29,63,339
Net of taxes @ 20% =Rs 24,99,802
Net of Taxes @ 30% = Rs 22,73,033

Benefits-a) SB-15 th yr-150,000, 20th yr- 150,000, 25th yr-150,000

FD of 150,000 @ 5% for 15 yrs =Rs 311,839
FD of 150,000 @ 5% for 20yrs =Rs 244,334
FD of 150,000 @ 5% for 25 yrs =Rs 191,442
Total =Rs 939,301

b) GA-1000*15*50 =Rs 7,50,000

1000*10*55 =Rs 5,50,000
Total =Rs 13,00,000
Total Maturity Benefit = Rs 939,301+13,00,000+ 10,00,000=Rs 32,39,301

Death Benefit =12,50,000+ GA

Thank You