Life Insurance Corporation of India (LIC) has long been a trusted name when it comes to securing the financial future of Indian families. One of its important offerings in the term insurance category is the LIC New Tech Term Plan (Plan No. 954). This plan is tailored for those looking for pure risk coverage with flexibility and affordable premiums. To help understand how much premium you need to pay and what benefits you get, LIC provides a convenient tool called the LIC New Tech Term Plan 954 Calculator.

What is LIC’s New Tech Term Plan 954?

LIC’s New Tech Term Plan 954 is a non-linked, non-participating, and pure risk premium life insurance policy. This means:

• It solely offers financial protection in case of death during the policy term.
• There is no maturity benefit, which is common with term insurance because it only pays a death benefit.
• It is a digital, online-only product, making it easier and faster to buy directly from LIC’s official website.

Key Highlights of the Plan

• Minimum entry age: 18 years
• Maximum entry age: 65 years
• Maximum maturity age: 80 years
• Policy term: 10 to 40 years
• Minimum sum assured: ₹50 lakh (₹50,00,000)
• No upper limit on the maximum sum assured
• Available only online through LIC’s portal
• Offers two death benefit options: Level Sum Assured and Increasing Sum Assured

This plan was launched to replace the older LIC Tech Term Plan (No. 854) with some improvements in features and premium structure.

Understanding the LIC New Tech Term Plan 954 Calculator

The LIC New Tech Term Plan 954 Calculator is an online tool designed to help prospective buyers estimate their premium based on their inputs such as age, sum assured, policy term, and premium payment term. It gives a clear picture of how much annual, half-yearly, or monthly premium they need to pay.

How to Use the Calculator

Using the LIC Tech Term Plan 954 Calculator is very simple and user-friendly:

1. Enter your age (between 18 and 65 years).
2. Select the Sum Assured amount (minimum ₹50 lakh).
3. Choose the policy term (10 to 40 years).
4. Select premium payment option (Regular, Limited, or Single premium).
5. Choose the Sum Assured option:
   • Level Sum Assured: Fixed sum assured throughout the policy.
   • Increasing Sum Assured: Sum assured increases annually by 10% after 5 years, for the next 10 years.
6. Select smoker/non-smoker status (premium differs accordingly).
7. Get your premium quote showing the amount you need to pay based on your selections.

This transparent approach helps users customize their plan according to their budget and protection needs.

Key Features of LIC New Tech Term Plan 954

1. Two Death Benefit Options

• Level Sum Assured: The basic death benefit remains constant throughout the policy term.
• Increasing Sum Assured: After five years of continuous coverage, the sum assured increases by 10% annually for the next ten years, helping cover rising expenses and inflation.

2. Flexible Premium Payment Terms

This plan offers four premium payment options:

• Regular Premium: Pay premiums every year for the entire policy term.
• Limited Premium Pay (Policy Term minus 5 Years): Pay premiums for fewer years than the coverage term, reducing payment tenure.
• Limited Premium Pay (Policy Term minus 10 Years): Further reduces premium payment period.
• Single Premium: Pay once upfront and get coverage for the full term.

3. Special Premium Rates and Discounts

• Lower rates for women compared to men.
• Separate premium rates for smokers and non-smokers — non-smokers enjoy significantly lower premiums.
• Attractive rebates on higher sum assured amounts, which reduce premium costs for large coverage.

4. Option to Add Riders

A popular Accidental Death Benefit Rider is available to increase coverage in case of accidental death by paying an additional premium.

5. Tax Benefits

Premiums paid and death benefits received under this plan are eligible for tax deductions and exemptions under section 80C and section 10(10D) of the Income Tax Act, respectively.

Benefits of LIC New Tech Term Plan 954

• Affordable Protection for Family: It provides a high sum assured at an affordable premium rate, ensuring financial security for the policyholder’s family if the unexpected happens.
• Flexibility to Suit Your Needs: Whether you want to pay premiums for the whole policy term or a shorter period, LIC New Tech Term offers flexible payment options.
• Digital and Convenient: Online purchase and servicing mean less paperwork and faster approvals.
• Protects Against Inflation: The Increasing Sum Assured option helps your cover keep pace with rising living expenses.
• Peace of Mind: Being a term plan, it is straightforward and focuses exclusively on protecting your loved ones financially.

Eligibility Criteria for LIC New Tech Term Plan 954

• Minimum age at entry: 18 years
• Maximum age at entry: 65 years
• Maximum age at maturity: 80 years
• Policy term: 10 to 40 years
• Minimum sum assured: ₹50 lakh

People within these age and coverage limits can apply. The policy is ideal for earning members who want to safeguard their family’s financial future.

How Premiums Are Calculated

The premium depends on several factors:

• Age of the policyholder: Younger applicants pay lower premiums due to lower health risks.
• Sum assured amount: Higher coverage means higher premiums.
• Policy term and premium payment tenure: Longer terms or shorter premium pay periods can affect rates.
• Smoker status: Smokers pay higher premiums.
• Type of sum assured selected: Increasing sum assured option costs more than level sum assured.

Here’s a rough example of annual premiums for Rs 1 crore sum assured over a 20-year term (approximate values):

Age	Level Sum Assured	Increasing Sum Assured
20	₹7,047	₹9,345
30	₹9,135	₹13,083
40	₹17,889	₹27,846

(Values exclusive of taxes)

These premiums are indicative and calculated based on LIC’s official premium rates.

Advantages of Using LIC’s New Tech Term Plan Calculator

• Instant Calculation: Get immediate premium quotes without visiting an agent or LIC office.
• Customize Coverage: Experiment with different term lengths, sum assured, and premium terms to find what fits budget and needs.
• Comparison Made Easy: Compare premiums for Level vs Increasing Sum Assured and pick the best option.
• Plan Smarter: Save time and effort by pre-calculating premiums before final buying decisions.
• Better Understanding: Know exactly how the premium changes based on your inputs and lifestyle factors like smoking.

Tips for Buying LIC New Tech Term Plan 954

• Always choose a sum assured that covers your family’s financial needs, including debts, children’s education, and living expenses.
• Consider the Increasing Sum Assured option if you want inflation protection.
• Use the premium calculator to check affordability across different premium terms.
• Opt for the Accidental Death Benefit Rider if you want extra protection.
• Confirm all information like age, smoker status carefully to avoid any future claim issues.
• Keep policy documents safely and share nominee details clearly.
• Evaluate your insurance needs regularly and upgrade if required.

FAQ

Conclusion

The LIC New Tech Term Plan 954 is a simple, affordable, and flexible online term insurance plan that offers crucial financial protection to anyone looking to secure their family’s future. The accompanying LIC New Tech Term Plan 954 Calculator is a valuable tool to help understand your premium liability upfront. Whether you want a fixed sum assured or an increasing cover, regular or limited premium payments, this plan caters to diverse needs with easy online access.