LIC Child Plan Calculator: Premium, Money Back and Maturity for Plans 732 and 734

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Quick answer

The LIC child plan calculator estimates the premium and payouts of LIC's two current child plans: New Children's Money Back (732), which pays 20% of the sum assured at ages 18, 20 and 22, and Jeevan Tarun (734), which pays at ages 20–24 or entirely at 25. For a 5-year-old with ₹5 lakh cover under Plan 732, the premium is about ₹27,955 a year.

Calculator

LIC Child Plan Premium & Payout Calculator (732 / 734)

Child plan
years
₹5 lakh
Premium mode

Simple reversionary bonus per ₹1,000 sum assured per year. Not guaranteed; ₹40–45 is a fair working assumption.

Your estimate

Yearly premium₹27,955
Total returns₹9,20,000₹9.2 lakh

Money back + maturity, with estimated bonus

Premium per instalment
₹27,955
Policy termPremiums are paid for the full term
20 years
Total premium paid
₹5,59,100
Survival benefits (money back)20% of sum assured at ages 18, 20 and 22
₹3,00,000
Estimated maturity amount40% of sum assured + bonus at age 25
₹6,20,000
Total bonus (estimated)
₹4,20,000
Sum assured on deathplus bonus accrued; never below 105% of premiums paid
₹5,00,000
Full risk cover starts at age
7 years
Approx. return (IRR)
5.35%
  • Total premium paid₹5,59,10061%
  • Net gain₹3,60,90039%
Money back and maturity schedule
Child’s agePolicy yearSum assured partBonusPayout
18 years13₹1,00,000₹0₹1,00,000
20 years15₹1,00,000₹0₹1,00,000
22 years17₹1,00,000₹0₹1,00,000
25 years20₹2,00,000₹4,20,000₹6,20,000

Individual life insurance premiums are exempt from GST from 22 September 2025. Figures are estimates based on typical rates and may differ from LIC’s official quote.

What does the LIC child plan calculator do?

This calculator estimates what you will pay and what your child will receive under LIC’s two current child plans:

  • LIC’s New Children’s Money Back Plan (Plan 732): a money back plan that pays part of the sum assured at the child’s ages 18, 20 and 22, and the rest with bonuses at 25.
  • LIC’s Jeevan Tarun (Plan 734): a limited premium plan where you stop paying at the child’s age 20 and choose how the benefit is split between ages 20 and 25.

Enter the child’s age, the sum assured and the premium mode. The tool shows the yearly premium, the instalment for your chosen mode, the total you pay, each payout by age, the death benefit and an approximate return (IRR). The same inputs work for both plans, so you can compare them side by side in a few seconds.

We are an independent website, not LIC. The results are estimates based on published plan rules and LIC’s brochure sample premiums. Always confirm the final premium with an LIC agent or branch before you pay.

How the calculator works

Premium

LIC prices child plans with a tabular rate per ₹1,000 sum assured. The rate depends on the child’s age and the plan. An older child has fewer years left until 25, so each year’s premium is higher. The calculator uses the plan pages’ own engines, built on the sample premiums in LIC’s sales brochures. For example, the Plan 732 brochure shows ₹11,682 a year for a 5-year-old with ₹2 lakh cover, and the calculator matches it. It then applies:

  1. a high sum assured rebate of ₹2.50 per ₹1,000 from ₹5 lakh and ₹4 per ₹1,000 from ₹10 lakh;
  2. a mode rebate of 2% for yearly and 1% for half-yearly payment.

Individual life insurance premiums have been GST-free since 22 September 2025. Older receipts show 4.5% GST in the first year and 2.25% after that; that no longer applies, so the premium shown is what you pay.

Under Plan 732 you pay until the policy matures at 25. Under Plan 734 you pay only until the child turns 20.

Payouts

Plan Before maturity At age 25
732 Children’s Money Back 20% of sum assured at ages 18, 20 and 22 40% of sum assured + bonuses
734 Jeevan Tarun, Option 1 Nothing 100% of sum assured + bonuses
734 Jeevan Tarun, Option 2 5% every year at ages 20–24 75% + bonuses
734 Jeevan Tarun, Option 3 10% every year at ages 20–24 50% + bonuses
734 Jeevan Tarun, Option 4 15% every year at ages 20–24 25% + bonuses

Bonuses are added on the full sum assured every year, even after part of it has been paid back. The calculator multiplies your bonus rate by the sum assured and the policy term. It does not add a final additional bonus, so real maturity can be slightly higher if LIC declares one.

Death benefit

If the child dies after risk has started, the nominee receives the sum assured on death plus bonuses. Under Plan 734 it is the higher of 125% of the sum assured or 7 times the annual premium; under Plan 732 it is the higher of the sum assured or 7 times the annual premium. It is never less than 105% of premiums paid. For very young children, risk starts after a waiting period (roughly two years from the start or at age 8, whichever is earlier). Before that, only premiums are refunded.

Worked example

Plan 732, child aged 5, ₹5 lakh sum assured, yearly mode, bonus ₹42:

Item Amount
Yearly premium ₹27,955
Same premium paid monthly ₹2,379 a month
Policy term / paying term 20 years / 20 years
Total premium paid ₹5,59,100
Money back at 18, 20 and 22 ₹1,00,000 each
Maturity at 25 (₹2 lakh + ₹4.2 lakh bonus) ₹6,20,000
Total received ₹9,20,000
Approximate return (IRR) 5.35% a year

Plan 734, child aged 3, ₹10 lakh sum assured, Option 2: premium is about ₹51,370 a year for 17 years. The child receives ₹50,000 every year from 20 to 24 and about ₹16.74 lakh at 25, for a total of ₹19.24 lakh. Under Option 1 (everything at 25), the premium is slightly lower at ₹50,009, and the full ₹19.24 lakh arrives at maturity.

Tip: start early. For ₹10 lakh cover under Plan 732, the premium is about ₹41,030 a year at age 0 but ₹91,010 at age 12, because the older child has only 13 years to maturity.

How to read the results

  • Yearly premium is what you pay in a year in yearly mode. The instalment line shows the amount per debit for other modes.
  • Total you receive adds the money back instalments and the maturity amount with the assumed bonus.
  • Approx. return (IRR) is the yearly return that makes your premiums grow into those payouts. It lets you compare a child plan with a PPF account or a mutual fund SIP on equal terms.
  • Payout schedule (open the table below the results) lists the child’s age, the policy year and the amount received each time.

The donut chart shows how much of the total comes from your own premiums and how much is the gain.

Tips and common mistakes

  • Don’t treat the plan as the child’s life cover. The child is the insured life. The real risk to the family is the parent’s death, so buy a separate term plan for the earning parent and add the Premium Waiver Benefit rider here.
  • Match payouts to real goals. If college fees are due at 18, Plan 732 fits better. If the big expense is a master’s degree or a wedding around 25, Plan 734 Option 1 or 2 makes more sense.
  • Be realistic about bonus. Change the bonus field to ₹35 or ₹38 to see a cautious case. Sum assured amounts are guaranteed; bonuses are not.
  • Pay yearly if you can. The yearly mode saves 2% compared with monthly instalments.
  • Check inflation. ₹5 lakh in 20 years will buy far less than today. Many parents choose ₹10 lakh or more, or combine a child plan with market-linked savings.

Frequently asked questions

Which LIC child plan is better, 732 or 734?

Plan 732 suits parents who want cash at 18, 20 and 22 for college fees, and it keeps premiums running until the child turns 25. Plan 734 (Jeevan Tarun) ends premiums at the child's age 20 and lets you choose payouts between 20 and 24, or a single larger amount at 25.

What is the entry age for LIC child plans?

Plan 732 accepts children from age 0 and Plan 734 from 30 days old, up to 12 years (last birthday). Both policies mature when the child turns 25, so the policy term is 25 minus the entry age: a 5-year-old gets a 20-year policy.

How much premium do I pay for a ₹5 lakh LIC child plan?

Our calculator estimates about ₹27,955 a year for a 5-year-old under Plan 732 with ₹5 lakh sum assured, paid yearly. Monthly payment costs a little more: about ₹2,379 a month. Individual life policies carry no GST from 22 September 2025, so this is the full amount.

What happens if the parent dies during the policy term?

The child is the life assured, so the policy does not pay a claim on the parent's death. To keep the plan going without premiums, add the Premium Waiver Benefit rider when you buy; LIC then waives future premiums if the proposer dies.

Is the money back from LIC child plans tax-free?

Premiums qualify under Section 123 of the Income-tax Act, 2025 (earlier Section 80C) in the old tax regime. Survival benefits and maturity are generally exempt under Section 11 read with Schedule II of the Income-tax Act, 2025 (earlier Section 10(10D)) when the yearly premium stays within 10% of the sum assured and the aggregate premium limits for non-ULIP policies are met.

Are the maturity figures in this calculator guaranteed?

Only the sum assured portions are guaranteed. The bonus is declared by LIC every year and can change. The calculator assumes ₹42 per ₹1,000 sum assured per year by default; lower it to see a cautious estimate.

Can I take a loan against an LIC child policy?

Yes. Once the policy has acquired a surrender value, normally after two full years of premiums, you can take a loan against it. Survival benefits already paid reduce the surrender value and therefore the loan limit.

Disclaimer: LIC Premium Calculators is an independent website. We are not affiliated with, endorsed by or connected to Life Insurance Corporation of India. All figures are estimates for illustration; confirm exact premiums and benefits with LIC or a licensed agent before buying.