Bima Jyoti Plan. 860 from Lic Features and Benefits and Review

Lic of India launched New Plan Bima Jyoti on 22nd February 2021.

Here, In this article, I will explain its features and benefits.

Usually, Lic to attract salaried employees launch new policies in the month of March showing tax saving benefit under 80 C.

Lic Bima Jyoti Plan Eligibility…


lic bima jyoti plan eligibility
lic bima Jyoti plan eligibility

Commencement of Risk In this Plan…

If the entry age is less than 8  years, then the commencement of risk will be after completing two years in the policy or on completion of 8 years on the policy anniversary of age whichever is earlier.

When the entry age is more than 8 years, then the risk coverage will start immediately.

Other Features of this plan are from Lic…

Lic Bima Jyoti plan is a Non-Linked, Non-Particpating Individual Limited Premium Payment Plan.

In addition, this plan is offering guaranteed additions of Rs.50 per Rs.1,000 Sum Assured threw out the policy Term at the end of every policy year.

Moreover, this plan is offering the following riders…

Those riders are, Premium Wavior Benefit, Accidental Death and Disability Rider, term assurance rider, and New critical illness rider.

Premium Paying Options are – Yearly, Half Yearly, quarterly, monthly.

In addition, a Loan facility is available, if the premium is paid for at least 2 years.

Lic Bima Jyoti Plan 860 Benefits…

Maturity Benefit…

In this plan, after the end of the term, the policyholder will receive Sum assured along with the guarantee additions.

Guaranteed Additions under this plan are…

There is no bonus concept under this plan 860 from Lic of India.

In addition, this policy is offering guarantee additions of Rs.50 per Rs.1,000 sum assured at the end of each policy year.

lic bima jyoti plan 860
lic bima jyoti plan 860


You can see in the above image, I took the example of 10 lakh sum assured, age 30 years, premium paying term is 15 yrs, and policy term is 20 years.

In addition, the premium per year is Rs.82,545, and the premium contains all the rider’s premium also.

But, you can see the ROI ( return on investment) from this plan is only 3.66%.

  • The return of 3.66% is far below the present bank FD interest rate of 5.6% ( approx).
  • In addition, the return is 3.66% even after guaranteed additions given by this plan.
  • Some people may argue that this plan is good if you consider the tax-free maturity when compared with Bank Fd interest.
  • But you should think over sukanya samadhi or pdf investment which giving almost double the ROI of this plan.
  • Some People will argue that we should not forget the insurance coverage benefits in this plan.
  • Read this article why you should not mix your life insurance with savings.
  • In addition, it is always wise to take term insurance for life insurance coverage.


Once again, I am repeating that the ROI of 3.66% too low to consider this bima jyoti plan to invest your money.

This kind of plan only makes your insurance agent rich not you.  I am going to write an article that how much a life insurance agent earns and how much you will earn from a life insurance policy.

Finally, you always should consider term insurance risk coverage and mutual funds, PPF, sukanya sammridhi yojana, etc for wealth creation purposes.










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