LIC’s New Jeevan Sathi – Limited Premium (UIN: 512N394V01) is a joint-life savings and protection plan designed specifically for a married individual and their spouse. It is a Non-Participating, Non-Linked, Individual Life Insurance Savings Plan that combines life protection with guaranteed additions and maturity benefits.

Unlike participating LIC policies, this plan does not provide bonuses or a share in surplus. Instead, the benefits payable under the policy are guaranteed and fixed according to the terms and conditions of the policy.

The plan allows a married individual to cover themselves as the Primary Life Assured and their spouse as the Secondary Life Assured under one policy. The Primary Life Assured is the policyholder initially; after the death of the Primary Life Assured, the Secondary Life Assured becomes the policyholder.

What Makes LIC New Jeevan Sathi Different?

The biggest attraction of New Jeevan Sathi is that two spouses can be covered under a single joint-life policy.

The plan combines:

Life insurance protection for both spouses
Savings for a predetermined period
Guaranteed Additions
Premium waiver after the first death during the Premium Paying Term
Maturity benefit
Optional insurance riders
Loan facility
Surrender facility
Instalment payment options for death and maturity benefits

The plan also provides flexibility in choosing the Death Benefit Option, Premium Paying Term and Policy Term.

Key Features of LIC New Jeevan Sathi

Here are the major features at a glance:

Feature	Details
Plan type	Non-Par, Non-Linked, Individual Savings Plan
Life covered	Primary Life Assured + Spouse
Minimum entry age	18 years for both lives
Policy terms	10, 15, 20 or 25 years
Premium Paying Terms	5, 10 or 15 years
Minimum Basic Sum Assured	₹3 lakh
Maximum Basic Sum Assured	No fixed limit, subject to underwriting
Basic Sum Assured multiple	₹10,000
Guaranteed Addition	7% of Total Tabular Annual Premium, subject to applicable incentives
Premium frequency	Yearly, half-yearly, quarterly or monthly
Loan	Available subject to conditions
Death Benefit Options	Option I and Option II

The plan also provides incentives for higher Basic Sum Assured, eligible existing LIC policyholders and eligible online purchases.

Who Can Buy LIC New Jeevan Sathi?

The plan is designed for married individuals who want to insure themselves and their spouse under a single policy.

Minimum entry age

The minimum entry age for both lives is:

18 years completed

Maximum entry age

The maximum entry age depends on the selected Death Benefit Option, Premium Paying Term and Policy Term.

For example:

Premium Paying Term	Policy Term	Option I – Maximum Entry Age	Option II – Maximum Entry Age
5 years	10 years	45	40
5 years	15 years	45	40
5 years	20 years	45	40
5 years	25 years	45	35
10 years	15 years	50	40
10 years	20 years	50	40
10 years	25 years	50	35
15 years	20 years	50	40
15 years	25 years	50	35

The minimum maturity age is 28 years.

The maximum maturity age is 75 years for Option I and 60 years for Option II.

The policy term can be 10, 15, 20 or 25 years, while the Premium Paying Term can be 5, 10 or 15 years.

How Much Sum Assured Can You Choose?

The minimum Basic Sum Assured is ₹3 lakh.

There is no stated maximum Basic Sum Assured under the product, although the amount allowed to an individual will be subject to LIC’s Board Approved Underwriting Policy.

The Basic Sum Assured must be selected in multiples of ₹10,000.

Importantly, the risk under the policy begins immediately from the date LIC accepts the risk.

Two Death Benefit Options

One of the most important decisions when purchasing New Jeevan Sathi is choosing between Option I and Option II.

The selected option must be chosen at the proposal stage and cannot subsequently be changed.

Option I

Sum Assured on Death = Higher of:

7 × Tabular Annual Premium, or
Basic Sum Assured

Option II

Sum Assured on Death = Higher of:

10.5 × Tabular Annual Premium, or
Basic Sum Assured

The Tabular Annual Premium is based on the Basic Sum Assured, selected Death Benefit Option and ages of both lives before applicable rebates, loadings, underwriting extras, taxes and rider premiums.

Which option gives higher death cover?

In general, Option II provides the higher premium-based death cover, because it uses 10.5 times the Tabular Annual Premium instead of 7 times under Option I.

However, the premium and benefits vary according to the option selected, so buyers should compare both options before making a decision.

What Happens After the First Death?

This is one of the most important features of the plan.

If one of the two insured spouses dies during the policy term:

The applicable Sum Assured on Death is paid to the surviving Life Assured.
The policy continues for the surviving spouse.
Further base-plan premiums due after the policy anniversary following the first death are waived.
Rider premiums relating to the surviving Life Assured are not automatically waived and continue according to the rider conditions.

This means the surviving spouse can continue to enjoy the policy’s future benefits without having to pay the remaining base-plan premiums.

What Happens After the Second Death?

If the second Life Assured dies during the policy term, the policy provides:

Sum Assured on Death + Accrued Guaranteed Additions

to the beneficiary or beneficiaries.

The policy then terminates.

The brochure also states that the Death Benefit will not be less than 105% of the Total Premiums Paid up to the date of death, subject to the policy conditions.

What If Both Spouses Die Simultaneously?

If both lives assured die simultaneously during the policy term, the applicable first-death and second-death benefits are payable to the beneficiaries, after which the policy terminates.

The death benefits can be received either as a lump sum or through instalments, depending on the option exercised by the policyholder.

Maturity Benefit

If at least one of the two lives assured survives until the maturity date and the policy is in force, the policy pays:

Basic Sum Assured + Accrued Guaranteed Additions

The brochure defines the Sum Assured on Maturity as equal to the Basic Sum Assured.

This provides a predetermined maturity benefit while also allowing Guaranteed Additions to accumulate during the policy term.

Guaranteed Additions: The Core Savings Feature

For an in-force policy, Guaranteed Additions accrue annually at the rate of:

7% of Total Tabular Annual Premium Paid

The addition is calculated at the end of each policy year during the policy term.

However, eligible incentives can increase the applicable Guaranteed Addition rate.

These incentives may be available for:

Higher Basic Sum Assured
Eligible online purchases
Existing LIC policyholders
Eligible nominees/beneficiaries of deceased LIC policyholders

For a fully paid-up policy, Guaranteed Additions continue to accrue according to the applicable rules stated in the brochure.

Extra Guaranteed Addition Incentives

LIC provides additional Guaranteed Addition incentives under certain conditions.

1. Higher Basic Sum Assured Incentive

The additional rate depends on the Basic Sum Assured and Policy Term.

Basic Sum Assured	10 Years	15 Years	20 Years	25 Years
₹3 lakh to < ₹5 lakh	0%	0%	0%	0%
₹5 lakh to < ₹10 lakh	0.15%	0.15%	0.20%	0.40%
₹10 lakh to < ₹15 lakh	0.30%	0.30%	0.45%	0.80%
₹15 lakh and above	0.35%	0.35%	0.55%	1.00%

Therefore, depending on the combination selected, the Guaranteed Addition rate can be higher than the basic 7% rate.

Online Purchase Incentive

Eligible proposals completed through online sales without assistance from an agent or intermediary can receive an additional Guaranteed Addition incentive.

Premium Paying Term	Additional Rate
5 years	0.75%
10 years	0.95%
15 years	1.25%

This incentive is provided by increasing the rate of Guaranteed Additions.

Incentive for Existing LIC Policyholders

Existing LIC policyholders and certain eligible nominees or beneficiaries of deceased policyholders can also qualify for additional Guaranteed Additions.

The additional rate is:

Premium Paying Term	Additional Rate
5 years	0.05%
10 years	0.10%
15 years	0.10%

Eligibility includes specified circumstances such as an existing LIC policy that has matured within one year before registration of the proposal, certain nominees/beneficiaries of deceased policyholders, or an existing policyholder having an in-force LIC policy.

Optional Riders

The plan offers additional protection through optional riders for an extra premium.

Three riders are mentioned in the brochure:

1. LIC’s Accident Benefit Rider

UIN: 512B203V03

This rider can be opted for during the Premium Paying Term of the base plan, subject to the specified conditions.

In case of accidental death, the Accident Benefit Sum Assured is payable in addition to the death benefit under the base plan.

2. LIC’s New Term Assurance Rider

UIN: 512B210V02

This rider is available at policy inception.

If selected, the Term Rider Sum Assured is payable on the death of the Life Assured during the policy term.

3. LIC’s Critical Illness Health Rider

UIN: 512B227V01

This rider provides two choices:

Option I: 15 Major Critical Illnesses
Option II: 40 Major Critical Illnesses, including Assisted Living Benefit

Under Option II, if the Life Assured is diagnosed with one of the specified seven Critical Illnesses, an additional Assisted Living Benefit can provide monthly payouts equal to 1% of the Critical Illness Sum Assured for 36 months.

If the Life Assured dies while receiving these payments, the remaining instalments are paid to the nominee/beneficiary as a lump sum.

The brochure also specifies limits on rider premiums and rider Sum Assured.

Receive Death Benefit in Instalments

Policyholders do not necessarily have to receive the entire Death Benefit as a lump sum.

The plan provides an option to receive the Death Benefit over:

5, 10 or 15 years

The instalments can be paid:

Monthly
Quarterly
Half-yearly
Yearly

Minimum instalment amounts are:

Payment Mode	Minimum Instalment
Monthly	₹5,000
Quarterly	₹15,000
Half-yearly	₹25,000
Yearly	₹50,000

If the claim amount is insufficient to provide the required minimum instalment, the amount will be paid as a lump sum.

For instalment options commencing from 1 May 2025 to 30 April 2026, the brochure specifies an applicable calculation rate of 4.62% p.a. effective.

Maturity Benefit Can Also Be Taken in Instalments

The policy also provides a Settlement Option for the maturity benefit.

Instead of taking the entire maturity amount at once, the policyholder can choose to receive it over:

5 years
10 years
15 years

Payments can be monthly, quarterly, half-yearly or yearly, subject to the applicable minimum instalment amounts.

For the Settlement Option, the policyholder must exercise the option at least three months before the maturity date.

How Can Premiums Be Paid?

Premiums can be paid:

Yearly
Half-yearly
Quarterly
Monthly through NACH
Through salary deductions

The brochure gives the following Premium Conversion Factors:

Mode	Conversion Factor
Yearly	1.0000
Half-yearly	0.5090
Quarterly	0.2568
Monthly	0.0861

The premium for a non-yearly mode is calculated by multiplying the applicable conversion factor by the yearly premium.

Grace Period

If a premium cannot be paid on time, the policy provides a grace period.

Yearly / Half-yearly / Quarterly

30 days

Monthly

15 days

During the grace period, the policy remains in force with risk cover according to the policy terms.

If the premium is not paid before the grace period ends, the policy lapses.

What Happens If You Stop Paying Premiums?

If less than one full year’s premium has been paid and subsequent premiums are not paid, the policy benefits cease after the grace period.

However, after at least one full year’s premium has been paid, the policy can continue as a paid-up policy after the first policy year.

Under a paid-up policy, the Death Benefit and Maturity Benefit are reduced according to the proportion of the Premium Paying Term for which premiums have actually been paid.

The brochure also provides for continued Guaranteed Additions under paid-up conditions according to its specified formula.

Can a Lapsed Policy Be Revived?

Yes.

A lapsed policy can generally be revived during the lifetime of both lives assured within five consecutive years from the First Unpaid Premium, subject to the policy conditions and before the end of the policy term.

Revival requires payment of outstanding premiums along with applicable interest and satisfaction of LIC’s continued insurability requirements.

For the period 1 May 2025 to 30 April 2026, the brochure states the applicable revival interest rate as 9.5% p.a., compounded half-yearly. The basis for determining the rate may change.

Surrender Value

The policy can be surrendered after completion of the first policy year, provided at least one full year’s premium has been paid.

The policy can acquire:

Guaranteed Surrender Value
Special Surrender Value

The surrender amount payable is the higher of:

GSV plus applicable surrender value of accrued Guaranteed Additions

Special Surrender Value

The Guaranteed Surrender Value depends on the policy term and policy year.

For example, the Guaranteed Surrender Value factor on total premiums paid is 30% in policy year 2 and 35% in policy year 3 across the listed policy terms. It increases according to the applicable policy-year schedule.

The Special Surrender Value is reviewed annually in accordance with the applicable IRDAI requirements.

Important: Surrendering a long-term insurance policy can significantly change the benefits available under the original plan. The applicable surrender value should therefore be checked before surrendering.

Loan Facility

One useful liquidity feature is the policy loan.

A loan can be taken after completion of the first policy year, provided at least one full year’s premium has been paid.

The maximum loan as a percentage of surrender value is:

Policy Status	Maximum Loan
In-force	75%
Paid-up	50%

For loans sanctioned during 1 May 2025 to 30 April 2026, the brochure specifies an applicable interest rate of 9.50% p.a., compounded half-yearly.

Loan interest and outstanding loan amounts are subject to the policy conditions and can affect the amount ultimately payable at exit.

Tax Treatment

Applicable statutory taxes are payable by the policyholder according to prevailing tax laws.

The brochure specifically advises policyholders to consult a tax advisor regarding the income-tax benefits or implications associated with premiums and benefits under the plan.

Free-Look Period

If the policyholder is not satisfied with the policy terms and conditions, the policy can be returned to LIC within 30 days from receipt of the electronic or physical policy document, whichever is earlier, stating the reasons for objection.

LIC will refund the premium after deductions permitted under the policy, including applicable risk premium, medical examination expenses and stamp duty charges.

Suicide Exclusion

The brochure contains a specific suicide clause.

If either Life Assured or both lives assured die by suicide within 12 months from commencement of risk or revival, the nominee/beneficiary is entitled to the amount specified under the policy clause, subject to its conditions.

For an in-force policy, this is generally 80% of total premiums paid up to the date of death or the surrender value available on the date of death, whichever is higher, subject to exclusions and the detailed terms of the brochure.

LIC New Jeevan Sathi Premium Example

The brochure provides sample yearly premiums for a ₹3 lakh Basic Sum Assured for standard lives of the same age.

Option I – Offline Sales

Age	15-Year Term / 5-Year PPT	20-Year Term / 10-Year PPT	25-Year Term / 15-Year PPT
20	₹68,505	₹33,045	₹20,715
35	₹75,705	₹37,035	₹25,095
45	₹1,12,470	₹50,265	₹35,055

Option II – Offline Sales

Age	15-Year Term / 5-Year PPT	20-Year Term / 10-Year PPT	25-Year Term / 15-Year PPT
20	₹71,670	₹33,510	₹20,715
25	₹72,825	₹34,140	₹21,330
35	₹84,135	₹39,525	₹25,095

These sample premiums are exclusive of applicable taxes.

Example: Option I Benefit Illustration

The brochure provides an illustration based on:

Primary Life Assured: 35 years
Secondary Life Assured: 35 years
Policy Term: 25 years
Premium Paying Term: 15 years
Yearly premium: ₹83,650
Basic Sum Assured: ₹10 lakh
Option I
Offline distribution

Under this illustration, the total annualized premium paid over the 15-year Premium Paying Term is ₹12,54,750.

At the end of 25 years, the illustration shows:

Guaranteed Additions: ₹17,61,669
Maturity Benefit: ₹27,61,669
First Death Benefit: ₹10,00,000
Second Death Benefit: ₹27,61,669

The illustration is intended to demonstrate the flow of benefits and is based on standard lives and the selected option.

Example: Option II Benefit Illustration

The second illustration uses:

Primary Life Assured: 35 years
Secondary Life Assured: 35 years
Policy Term: 20 years
Premium Paying Term: 10 years
Yearly premium: ₹1,31,750
Basic Sum Assured: ₹10 lakh
Option II
Sum Assured on Death at inception: ₹13,83,375

At the end of 20 years, the illustration shows:

Total annualized premiums: ₹13,17,500
Guaranteed Additions: ₹15,21,383
Maturity Benefit: ₹25,21,383
First Death Benefit: ₹13,83,375
Second Death Benefit: ₹29,04,758

These figures are from the brochure’s illustration and should not be treated as a personalized quotation. Actual premiums and benefits depend on the applicable policy conditions, ages, underwriting and selected options.

Who May Find This Plan Useful?

LIC New Jeevan Sathi may be relevant for married couples who want:

Joint protection

Both spouses are covered under one policy.

Guaranteed benefits

The product is non-participating, so it does not depend on discretionary bonuses or surplus participation.

Long-term savings

The plan combines insurance protection with a maturity benefit and Guaranteed Additions.

Premium waiver after first death

For the base plan, future premiums are waived after the first death during the Premium Paying Term, subject to the policy conditions.

Additional protection

Optional riders can be added for accident, term insurance and critical illness protection.

Liquidity

The policy provides surrender and loan facilities subject to the applicable conditions.

Important Things to Consider Before Buying

LIC New Jeevan Sathi is a long-term insurance product, so buyers should understand the policy before committing.

1. Choose the Death Benefit Option carefully

Option I and Option II have different premium and death-benefit structures, and the selected option cannot subsequently be changed.

2. Understand the Premium Paying Term

The Premium Paying Term can be 5, 10 or 15 years, while the policy can continue for up to 25 years.

3. Don’t ignore surrender conditions

Early surrender may result in a surrender value that is considerably different from the total premiums paid.

4. Understand paid-up rules

Stopping premiums after the policy acquires paid-up status reduces the applicable Death Benefit and Maturity Benefit.

5. Check rider costs separately

Riders require additional premiums and have their own terms, limits and eligibility conditions.

6. Don’t assume tax benefits

Tax treatment depends on prevailing tax laws. LIC’s brochure advises consulting a tax advisor.

Frequently Asked Questions

What is LIC New Jeevan Sathi Limited Premium?

It is a joint-life, limited-premium, non-participating, non-linked individual savings plan designed to cover a married individual and their spouse under one policy.

Is LIC New Jeevan Sathi a participating policy?

No. It is a Non-Participating plan. Therefore, it does not provide discretionary bonuses or a share in surplus.

What is the minimum Basic Sum Assured?

The minimum Basic Sum Assured is ₹3 lakh.

What are the available policy terms?

The available Policy Terms are 10, 15, 20 and 25 years.

What are the Premium Paying Terms?

You can choose 5, 10 or 15 years.

Can both husband and wife be covered?

Yes. The product is specifically structured as a joint-life plan for a married individual and their spouse.

What happens after the first death?

The applicable Sum Assured on Death is paid to the surviving Life Assured and future base-plan premiums are waived from the policy anniversary following the first death, subject to the conditions.

What happens at maturity?

If at least one Life Assured survives to maturity and the policy is in force, the Basic Sum Assured plus accrued Guaranteed Additions are payable.

Can I take a loan against the policy?

Yes, subject to the loan conditions. The maximum is generally 75% of surrender value for an in-force policy and 50% for a paid-up policy.

Can the maturity benefit be received in instalments?

Yes. The Settlement Option allows the maturity benefit to be received over 5, 10 or 15 years, subject to the applicable conditions.

Final Verdict

LIC’s New Jeevan Sathi – Limited Premium is primarily designed for married couples looking for joint-life protection combined with long-term guaranteed savings.

Its standout features are the single joint-life policy, premium waiver after the first death, Guaranteed Additions, maturity benefit, optional riders, loan facility and instalment options.

The most important decision is selecting the appropriate Death Benefit Option, Policy Term and Premium Paying Term. Buyers should also carefully understand the paid-up, surrender, loan and rider conditions before purchasing.

Most importantly, the figures shown in LIC’s benefit illustrations are examples based on specified assumptions. They should not be interpreted as a personalized quotation or a guarantee that the same premium or benefit will apply to every applicant.

For a purchase decision, prospective policyholders should read the actual policy document and proposal terms carefully and select the option that matches their financial requirements.