LIC New Jeevan Amar – Plan 955 is a non-linked, non-participating pure term insurance plan that focuses exclusively on providing financial protection to your family in the unfortunate event of your death. Unlike savings or investment-oriented policies, this plan is designed purely for risk cover, ensuring a high Sum Assured at an affordable premium.
The primary objective of New Jeevan Amar is simple yet powerful: to replace your income and protect your dependents from financial hardship. It is one of LIC’s most cost-effective term plans, making it suitable for young professionals, salaried individuals, business owners, and anyone with financial dependents.
✔ Income Replacement: Ensures your family continues their lifestyle even in your absence.
✔ Debt Protection: Helps repay home loans, personal loans, and liabilities.
✔ Education Security: Safeguards children’s education and future goals.
✔ Affordable Protection: High cover without burdening your monthly budget.
✔ Inflation Shield: Increasing Sum Assured option protects real value of cover.
You choose the policy term, Sum Assured, and premium payment mode. Once the policy starts, life cover begins immediately.
If the policyholder survives the policy term, no maturity amount is paid, as this is a pure protection plan. However, if death occurs during the policy term, the nominee receives the Sum Assured.
Level Sum Assured: The Sum Assured remains constant throughout the policy term.
Increasing Sum Assured: The Sum Assured increases by 10% every year from the 6th year until it reaches 200% of the base Sum Assured. This helps combat inflation and rising responsibilities.
By adding the Accidental Benefit Rider, the nominee receives an additional payout if death occurs due to an accident. This is ideal for people with travel-intensive or risky professions.
Example 1: Young Salaried Professional
Approx Annual Premium: ₹9,000 – ₹11,000
In case of death, family receives ₹1 Crore tax-free.
Example 2: Increasing Cover Option
Premium depends on age, health, smoking status, and policy term.
Premiums qualify for deduction under Section 80C.
Death benefit is fully tax-free under Section 10(10D).
✔ Young earners starting their career
✔ Parents with dependent children
✔ Home loan borrowers
✔ Business owners
✔ Anyone needing high protection at low cost
Advantages: Affordable premiums, high cover, inflation protection, LIC trust.
Limitations: No maturity benefit (pure term insurance).
LIC New Jeevan Amar – Plan 955 is a powerful, affordable, and flexible term insurance solution designed to provide complete financial security to your family.
With high Sum Assured options, inflation-adjusted cover, rider benefits, and tax efficiency, this plan stands as one of LIC’s strongest protection-only offerings. If your priority is pure protection and peace of mind, New Jeevan Amar is an excellent choice.