How to use Lic Surrender Value Calculator

How to use Lic Surrender Value Calculator

Lic Surrender Value is the amount payable to the policyholder by the LIC (Life Insurance Corporation of India), if he/she decides to exit the policy before maturity period. Lic Surrender value is payable to the policyholder only after 3 full years premiums are paid to the insurance company.

If you want to surrender the LIC policy, all the benefits associated with that policy along with protection cover will cease to exist. So, surrender the policy only if the policy does not fulfil your requirements or if you are not satisfied with the terms and conditions of the policy or if the features of the policy have been changed from what was promised to you before buying the policy.

  • The policy acquires Surrender value only after three full year premiums are paid.
  • If you surrender the policy before three years, nothing will be payable to you.

Guaranteed Surrender Value

Guaranteed Surrender Value is the amount guaranteed by the insurance company to the policyholder in case of termination of the policy before maturity.

  • In case of regular premium policy, Guaranteed Surrender value of Lic policy is 30% of the basic premiums paid. Also, the company excludes the first year’s premium while calculating surrender value.
  • In case of Single premium policy, lic of India surrender value is 90% of the premium (single premium) paid. It excludes the extra premium (if any).

Guaranteed Surrender Value of Vested Bonuses

Along with Guaranteed Surrender value, the surrender value of Vested Bonuses (if any) shall also be payable. It is equal to the vested bonuses multiplied by the Lic Surrender Value. The percentage applicable to vested bonuses will be from 16% to 35% based on the policy year (the year in which you have surrendered the value).

Special Surrender Value

The Insurance Company will pay a Special Surrender Value to the policyholder, which is either equal to Guaranteed Surrender Value or more than Guaranteed Surrender Value. This Special Surrender Value will depend on the period for which the premiums have been paid by the policyholder and also the policy term at the time of surrender.

  • Either Guaranteed Surrender Value or Special Surrender Value is payable to the policyholder, whichever is higher at the time of surrender.

Lic Surrender Value Calculator

Here we are providing the Lic Surrender Value Calculator which helps you to calculate the Surrender Value of Lic policies. Using this you can calculate the Lic Surrender Value Online. Different policy surrender values can be calculated using Lic of India surrender value calculator such as Lic Jeevan Anand Surrender Value, Lic Jeevan Saral surrender value, Lic money plus surrender value, etc.

Here the values provided by Lic Surrender Value Calculator are estimated values. For detailed and accurate information please refer Lic surrender value calculator at