Planning to discontinue your LIC policy before maturity? It’s important to understand how much you will receive in return. The LIC Policy Surrender Value Calculator is a helpful tool that estimates the amount you can get if you surrender your policy prematurely. This guide explains everything about the calculator, how it works, and what factors affect your surrender value.
LIC Policy Surrender Value Calculator
Estimate the potential surrender value of your LIC policy. Note that this is a basic estimation only.
Please note:
- The actual surrender value can vary depending on your specific policy’s terms — especially if it’s a Limited PPT policy.
- This estimate does not include any accrued bonuses. These bonuses, if applicable, can significantly increase the Special Surrender Value (SSV).
- Most policies become eligible for surrender value only after 2 or 3 full years of premium payments — except for Single Premium policies, which may acquire value earlier.
👉 For the most accurate information, always refer to your policy document or get in touch with LIC. Also, keep in mind that term insurance plans usually do not offer any surrender value.
LIC Surrender Value 2025
When a policyholder voluntarily ends their policy before its maturity date, LIC pays a portion of the paid premiums as surrender value. This amount varies depending on the type of plan, payment history, bonuses, and duration.
The LIC Policy Surrender Value Calculator allows users to input policy details like plan name, sum assured, policy term, premium frequency, annual premium, and years of premiums paid. Based on these inputs, it gives an approximate value you can expect upon surrender.
Types of LIC Surrender Values
Different LIC surrender values include Guaranteed Surrender Value and Special Surrender Value based on policy.
Guaranteed Surrender Value (GSV)
This is the minimum amount LIC guarantees to pay upon surrender. It is a percentage of total premiums paid, excluding the first year’s premium. The lic guaranteed surrender value is calculated using the GSV factor, which increases with policy duration.
Special Surrender Value (SSV)
SSV is generally higher than GSV and includes the sum assured, bonuses, and a surrender factor. LIC chooses the higher value between GSV and SSV at the time of surrender.
How LIC Surrender Value is Calculated
The surrender value is calculated based on:
- Total premiums paid (excluding the first year)
- Accrued bonuses (if any)
- Policy term and duration
- Surrender value factor
The formula can be represented as:
Surrender Value = (Total Premiums Paid – First Year Premium) × Surrender Value Factor + Bonus Surrender Value
To simplify this process, the lic cash surrender value calculator uses this formula automatically, giving quick results without manual effort.
How to Use the LIC Surrender Value Calculator
Using the calculator is easy and efficient. Here’s how:
Step 1: Enter Policy Information
- Select your policy name such as “LIC’s New Endowment Plan (714)” or other options like lic jeevan kishore surrender value calculator, lic komal jeevan surrender value calculator, or lic bima diamond surrender value calculator.
- Enter sum assured, policy term, and premium payment frequency.
Step 2: Fill in Premium Details
- Input the annual premium paid.
- Enter the number of full years you have paid premiums.
Step 3: Get Results
- Click on “Calculate Surrender Value” to see the estimated amount.
This is useful for checking values in policies like lic surrender value after 3 years calculator, lic surrender value after 5 years calculator, or lic surrender value after 10 years calculator.
Example of LIC Surrender Value Calculation
Here’s a practical example to understand how the calculator works:
| Policy Details | Value |
|---|---|
| Policy Term | 20 years |
| Annual Premium | ₹30,000 |
| Premiums Paid | 5 years |
| Bonuses Accrued | ₹50,000 |
| GSV Factor | 50% |
| Bonus Surrender Value Factor | 15% |
| GSV Calculation | ₹30,000 × 5 × 50% = ₹75,000 |
| Bonus Value | ₹50,000 × 15% = ₹7,500 |
| Estimated Surrender Value | ₹82,500 |
Such estimation can also be done using the lic surrender value calculator jeevan labh or lic surrender value calculator jeevan anand for respective policies.
Benefits of Using the LIC Surrender Value Calculator
- Helps in financial decision-making
- Allows lic surrender value online check instantly
- Avoids manual errors in calculations
- Useful for comparing value before and after maturity
LIC Surrender Value Year Wise Growth
Surrender value grows over time. Generally:
- After 3 years: GSV is approximately 30% of premiums paid
- After 5 years: GSV increases to 50-60%
- After 10 years: May reach up to 90%, including bonuses
This is why the lic surrender value year wise trend is important to track.
Surrender Value Before Maturity
Policyholders often surrender due to financial needs or better investment options. The lic surrender value before maturity can be lower if the policy is young. It’s advisable to check the value through a lic surrender value calculator before proceeding.
LIC Surrender Value Percentage
The percentage varies by policy type and duration. Here’s a general idea:
- 30-35% after 3 years
- 50-65% after 5 years
- 80-90% after 10+ years (with bonuses)
The lic surrender value percentage can be higher if the policy has accumulated reversionary or loyalty bonuses.
Required Documents to Surrender LIC Policy
To surrender your policy, you need:
- Original policy bond
- Surrender request form (Form 5074)
- Valid ID proof (Aadhaar, PAN)
- Canceled cheque or bank details
These are the lic surrender value documents required across all branches.
Taxation and Deductions
Many policyholders ask if lic surrender value is taxable. If surrendered before 5 years, the payout may be taxable under Section 80C withdrawal rules. Always check with your financial advisor for updated guidelines.
Also note that LIC may deduct charges like stamp duty, premium rebates, and penalties. This is called the lic surrender value deduction.
Popular LIC Policies Supported by the Calculator
- lic surrender value jeevan anand calculator
- lic surrender value jeevan umang calculator
- lic surrender value jeevan labh calculator
- lic surrender value jeevan saral calculator
- lic surrender value jeevan tarang calculator
The tool also supports policies like:
- lic surrender value calculator jeevan shree
- lic surrender value calculator jeevan tarang
- lic kanyadan policy surrender value calculator
- lic ulip policy surrender value calculator
- lic fixed deposit surrender value calculator
Each policy has a unique method of bonus calculation and surrender factor, which the LIC Surrender Value Calculator adjusts automatically.
If you’re thinking about surrendering your policy, it’s best to use a lic cash surrender value calculator for accurate estimates. By understanding the lic surrender value formula and entering the right values, you can avoid surprises and make informed financial decisions.
Let the calculator guide you in deciding whether to continue or surrender your policy. It’s a free, accurate, and convenient way to know your policy’s worth today.
FAQs:
What is the lic surrender value enquiry number?
You can call LIC customer care at 022 6827 6827 or visit your nearest LIC branch for assistance.
How to check lic surrender value through SMS?
Currently, LIC does not offer surrender value info via SMS. Use the lic surrender value calculator or LIC’s official website instead.
How to increase lic surrender value?
Pay premiums regularly, accumulate bonuses, and avoid surrendering early. More years = higher surrender value.
Is there a lic surrender value factor?
Yes, it’s a percentage based on policy type and duration. Used in both GSV and SSV formulas.