'Bonus' is defined as an additional benefit in excess of the basic benefit, paid to a 'with profit life insurance policy'. It is the amount added to the basic sum assured. A 'with profit plan' enables the policyholder to participate in the profits earned by the insurance company, which are then added to the sum assured of the policy, which is either paid out when the policy matures or in the event of death of the insured.

The Life Insurance Corporation of India (LIC) announces bonus on its 'with profit plans' annually. This section will carry the bonus announced by the Corporation from time to time. Your search ends here if you have any queries pertaining to LIC bonus.

Golden Jubilee Bonus

To coincide with its fiftieth anniversary, the insurance mammoth, Life Insurance Corporation of India (LIC) announced a special bonus for its policyholders on September 2005. Apart from the special bonus, the corporation announced a final additional bonus for its policyholders. The proceeds will be rendered at the time of the maturity of the policy.

On account of it’s golden jubilee celebrations, the Corporation announced a generous bonus of Rs 16.82 crore. As per the bonus announcement, policyholders till March 31, 1981 would receive additional Rs 50 per 1,000 insured while policyholders between April 1981 to March 2001 would receive between Rs 45 to Rs 6 per 1,000 insured as per their year of investment. Policyholders from April 2001 to date will get Rs 5 per 1,000 insured. LIC would spend an additional Rs 2,100 crore in payment of the golden jubilee bonus to its customers.

LIC, which was formed in 1956 is one of the largest public sector undertakings in the world with an assured sum of Rs 13,21,010 crore to date. LIC has contributed significantly towards the development of infrastructure like drinking water, electricity, housing, etc.

At present, LIC has grown into a $100 billion corporation with the assets value of Rs 4,40,043 crore and the Total Life Fund being Rs 3,85,000 crore as on March 31, 2005.