The LIC Group Term Ease calculator estimates what an employer or association would pay for pure life cover for its members. LIC introduced the plan in February 2026 for groups of at least 25 employees or 50 other members. For 50 office staff with an average age of 35 and ₹10 lakh cover each, the estimate is about ₹1,703 per member a year, or ₹1,00,477 for the group including 18% GST.
LIC Group Term Ease Premium Estimator
Your estimate
before 18% GST
- Rate per ₹1,000 cover
- ₹1.70
- Premium with GST
- ₹2,010
- Cost per member per month
- ₹168
- Group premium before GST
- ₹85,150
- GST @ 18%
- ₹15,327
- Premium per instalmentwhole group, incl. GST
- ₹1,00,477
- Total life cover for the group
- ₹5,00,00,000
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 Group Term Ease calculator do?
The LIC Group Term Ease Plan is a group life insurance product for employers, associations and similar groups. One master policy covers every enrolled member, and if a member dies while covered, LIC pays the sum assured to the nominee. It is a non-participating, non-linked pure risk plan: no bonus, no maturity and no fund value, so the premium goes entirely into protection.
LIC does not publish a public rate card for group plans. The final premium comes from underwriting the specific group. This calculator gives a realistic budget figure before you ask for a quote. It shows:
- the premium per member and for the whole group;
- the rate per ₹1,000 of cover;
- the GST on the group premium;
- the instalment if you pay half-yearly, quarterly or monthly;
- the total life cover your group gets.
We are an independent site, not LIC. Use these numbers for planning and confirm them with LIC’s group business team.
Key rules built into the calculator
| Item | Employer–employee group | Other group |
|---|---|---|
| Minimum members | 25 | 50 |
| Member entry age | 18 to 65 (estimator range) | 18 to 65 (estimator range) |
| Waiting period | None | 45 days for non-accidental death |
| Benefit | Sum assured on death | Sum assured on death |
| Maturity / surrender value | None | None |
How it works
- Base rate. A table gives the yearly premium per ₹1,000 of cover by member age and rate guarantee period. At age 35 with a 5-year period, it is about ₹1.89 before any discount. The calculator interpolates between table ages, so each year of average age makes a small difference.
- Adjustments. Female members are about 8% cheaper, smokers about 35% dearer. Field and sales staff add 15%, factory and site workers 40%.
- Group discount. 5% off from 30 members, 10% from 50, 15% from 100 and 20% from 200.
- Totals. Rate × cover ÷ 1,000 gives the premium per member; multiplying by the number of members gives the group premium. 18% GST is added, because the September 2025 GST exemption covers individual life policies, not group schemes.
- Mode. Half-yearly instalments are 51.08% of the yearly total, quarterly 25.82%, and monthly one-twelfth.
The rate guarantee period field reflects the source rate table: locking a rate for longer costs more per year. In practice, most group term policies are renewed every year, so the 5-year column is the most realistic for budgeting.
Worked example
A software firm covers 50 employees with an average age of 35, mostly male non-smokers in office roles, at ₹10 lakh each, paying yearly.
| Item | Amount |
|---|---|
| Rate per ₹1,000 of cover | ₹1.70 |
| Premium per member (before GST) | ₹1,703 |
| Per member including GST | ₹2,010 (about ₹168 a month) |
| Group premium before GST | ₹85,150 |
| GST @ 18% | ₹15,327 |
| Group premium including GST | ₹1,00,477 |
| Total life cover | ₹5 crore |
A second case: a distribution company covering 100 field staff (average age 40) for ₹5 lakh each pays about ₹1,021 per member before GST, or ₹1,20,478 for the group including GST. The rate is ₹2.04 per ₹1,000, higher because of the older average age and field-risk loading. The 15% discount for a 100-member group partly offsets that.
Tip: enrol as many members as you can. Moving from 45 to 50 members lifts the discount from 5% to 10% on every member’s premium, not only the new ones.
Premium per member for ₹10 lakh cover (50-member employer group, before GST)
| Average age | 5-year rate | 10-year rate | 20-year rate |
|---|---|---|---|
| 25 | ₹1,442 | ₹1,811 | ₹2,925 |
| 35 | ₹1,703 | ₹2,297 | ₹4,005 |
| 50 | ₹2,347 | ₹3,501 | ₹6,696 |
| 60 | ₹3,053 | ₹4,824 | ₹9,648 |
How to read the results
- Yearly premium per member is the cost of one person’s cover before GST. Use it to compare with the cost of individual term plans.
- Whole group, per year incl. GST is the cheque the employer writes. It is the budget line to present to management.
- Cost per member per month helps when you explain the benefit to staff, or if members share the cost.
- Total life cover for the group is the combined sum assured of all members, a useful figure for HR policy documents.
Tips and common mistakes
- Use the real average age. One or two older members can lift a small group’s average by several years. Calculate the average from your payroll data rather than guessing.
- Don’t under-insure. A common benchmark is 3 to 5 times annual salary. A flat ₹2 lakh cover looks cheap but does little for a family.
- Check the waiting period for non-employer groups. Members of an association are not covered for illness-related deaths in the first 45 days.
- Group cover ends when employment ends. Employees should still hold their own term insurance so they are protected after changing jobs.
- Ask LIC for the final quote. Underwriting can move the rate up or down depending on the group’s claim history and industry.
Related calculators
- LIC Group Benefits Secure Plan calculator: another LIC group scheme launched the same month.
- LIC term plan calculator: compare with individual term cover.
- LIC New Tech Term Plan 954: LIC’s online individual term plan.
Frequently asked questions
What is the LIC Group Term Ease Plan?
It is a non-participating, non-linked group pure risk plan that LIC introduced in February 2026. An employer or association buys one master policy and every member gets life cover. There is no maturity or savings benefit, which keeps the premium low.
What is the minimum group size for LIC Group Term Ease?
The minimum is 25 members for employer–employee groups and 50 members for other groups such as associations or societies. Larger groups get lower rates; in our estimator, discounts start at 30 members and reach 20% at 200 or more.
How much does ₹10 lakh group term cover cost per employee?
For a group of 50 office staff with an average age of 35, our estimate is about ₹1,703 per member a year before GST, or about ₹168 a month including GST. Older or higher-risk groups pay more.
Is GST charged on group term insurance premium?
Yes, as far as we know. The GST exemption from 22 September 2025 applies to individual life policies. Group policies bought by employers or associations still attract 18% GST, which this calculator adds. Confirm the current rule with LIC before budgeting.
Is there a waiting period in LIC Group Term Ease?
According to the plan details, employer–employee groups have no waiting period, while other groups have a 45-day waiting period for non-accidental deaths. A suicide exclusion applies in the first year except for compulsory employer–employee schemes.
Does the LIC Group Term Ease plan have a maturity benefit?
No. It is a pure term plan. The nominee receives the sum assured if the member dies while covered; nothing is paid if the cover ends without a claim.
Can a small business buy LIC group term insurance?
Yes, if it has at least 25 employees to cover under an employer–employee scheme. Businesses with fewer staff may have to look at individual term plans for key people instead.
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.