Quick Overview
An LIC term insurance plan ₹50 lakh is a pure protection policy. If the policyholder dies during the policy term, LIC pays ₹50 lakh to the nominee. There is no maturity benefit if the policyholder survives the term.
LIC does not sell a standalone “₹50 lakh plan.” Instead, ₹50 lakh is the sum assured you choose under multiple LIC term plans such as Digi Term, New Tech-Term, or Jeevan Amar.
Who Should Choose a ₹50 Lakh Term Plan?
A ₹50 lakh term cover may make sense if:
- You are early in your career with limited financial responsibilities
- You want basic life insurance at a low cost
- You already have employer-provided life cover and want supplemental protection
- You live in a Tier 2 or Tier 3 city with lower household expenses
For individuals with home loans, dependents, or long-term financial goals, ₹50 lakh may fall short. In such cases, it should be treated as a starting point rather than a complete solution.
LIC Term Insurance Plans Offering ₹50 Lakhs Cover
As per LIC’s current product lineup, a ₹50 lakh sum assured is available under the following term insurance plans:
LIC Digi Term (Plan No. 876)
LIC Digi Term is an online-only term insurance plan aimed at buyers who prefer a direct purchase without agent involvement.
Key points:
- Available for purchase online only
- Entry age between 18 and 45 years
- Policy term of up to 40 years or till age 75, whichever is earlier
- The sum assured ranges from ₹50 lakh to ₹5 crore
- Premium payment options include single pay, regular pay, and limited pay (10 or 15 years)
- Two coverage variants are available: level cover and increasing cover
- No riders are offered under this plan
- Does not include life-stage benefits or terminal illness cover
LIC Yuva Term (Plan No. 875)
LIC Yuva Term is the offline version of Digi Term and offers identical benefits and limitations.
Key points:
- Available through LIC agents, brokers, and intermediaries
- Entry age, policy term, and sum assured limits are the same as Digi Term
- Premium payment options and coverage variants remain unchanged
- No riders, life-stage benefits, or terminal illness cover
LIC New Tech-Term (Plan No. 954)
LIC New Tech-Term is an online plan designed for a wider age group and longer coverage duration.
Key points:
- Available online only
- Entry age between 18 and 65 years
- Policy term of up to 40 years or till age 80, whichever is earlier
- Minimum sum assured starts at ₹50 lakh
- Available in level cover and increasing cover variants
- The Accident Benefit Rider can be added optionally
- Does not offer critical illness, waiver of premium, or disability riders
LIC New Jeevan Amar (Plan No. 955)
LIC New Jeevan Amar is the offline counterpart of New Tech-Term with the same structure and benefits.
Key points:
- Available through offline channels such as agents and brokers
- Minimum sum assured starts at ₹25 lakh
- Policy features and exclusions are the same as New Tech-Term
- Accident Benefit Rider is available as an option
LIC Digi Credit Life (Plan No. 878)
LIC Digi Credit Life is a decreasing term insurance plan specifically designed to cover outstanding loan liabilities.
Key points:
- Available for online purchase only
- Entry age between 18 and 45 years
- Policy term of up to 30 years or till age 75, whichever is earlier
- Minimum sum assured is ₹50 lakh
- The death benefit reduces over time in line with the loan balance
- No riders or life-stage options are available
LIC Yuva Credit Life (Plan No. 877)
LIC Yuva Credit Life is the offline version of Digi Credit Life and is meant for borrowers who prefer an assisted purchase.
Key points:
- Available through licensed agents and intermediaries
- Standard minimum cover is ₹50 lakh
- For borrowers aged 21 to 45 years with approved loans, cover may start from ₹20 lakh
- Special premium rates apply for lower cover slabs
- No riders or life-stage benefits
Plans such as LIC Bima Kavach are not included above, as they start with a minimum sum assured of ₹2 crore and therefore do not meet the ₹50 lakh coverage requirement.
Features of the LIC Term Insurance of ₹50 Lakhs Plan
Key benefits across LIC term plans include:
- Fixed and guaranteed death benefit
- Option to choose the level or increasing sum assured
- Option for an instalment payout instead of a lump sum
- Long policy tenure options
- Strong claim settlement record
However, LIC plans are limited when it comes to modern features. Most plans do not offer terminal illness benefits, life-stage upgrades, wellness services, instant payout on claim intimation, premium break option or a wide choice of riders.
Factors Affecting ₹50 Lakh Term Insurance Premium
Age at Entry
Younger buyers pay significantly lower premiums than those purchasing later in life.
Policy Term
Longer coverage durations usually result in higher premiums.
Smoking Status
Smokers are charged higher premiums due to increased health risk.
Type of Cover Chosen
Increasing cover variants costs more than level cover options.
Premium Payment Term
Limited pay or single pay options typically have higher annualized costs than regular pay.
Medical Underwriting
Any adverse medical findings can increase premiums or lead to loading charges.
Performance Metrics of LIC vs Other Players (Average of 2022–25)
LIC maintains a strong and consistent CSR, reflecting its long-standing claim-paying record. A CSR in the 97–99% range is generally considered healthy for term insurers, and LIC comfortably falls within this bracket. However, several private insurers now match or even exceed LIC’s CSR, often with lower complaint levels and more digital-first processes.
Note: LIC continues to lead on scale, solvency, and overall financial stability, while private insurers increasingly outperform it on complaint ratios, service speed, and digital efficiency.
Premium Payment Frequency and Modes
LIC offers flexibility in how premiums can be paid, subject to the chosen plan.
- Payment frequency: Yearly and half-yearly options are available across most LIC term plans.
- Premium payment modes:
- Regular pay, where premiums are paid throughout the policy term
- Limited pay, where premiums are paid for a fixed number of years, such as 5, 10, or 15 years
- Single premium, available only under select plans
LIC ₹50 Lakh Term Plan vs Other Insurers
Note: Premiums shown are for level sum assured with regular premium payment, for a non-smoker profile, till age 65. Actual premiums may vary based on underwriting and individual risk profile.
Why Choose Ditto for Term Insurance?
At Ditto, we’ve assisted over 8,00,000 customers with choosing the right insurance policy. Why customers like Venkatesh below love us:
- No Spam & No Salesmen
- Rated 4.9/5 on Google Reviews by 15,000+ happy customers
- Backed by Zerodha
- 100% Free Consultation
You can book a FREE consultation. Slots are running out, so make sure you book a call now or chat on WhatsApp with our expert IRDAI-certified advisors.
Ditto’s Take on LIC’s ₹50 Lakh Term Insurance
LIC’s ₹50 lakh term insurance plans make sense only if you value institutional trust and a simple, no-frills policy above everything else. They are well-suited for buyers who are comfortable with basic coverage, do not need riders or life-stage benefits, and prefer a government-backed insurer.
However, if you want feature-rich protection, flexibility to increase cover over time, premium breaks during financial stress, or add-ons like critical illness and waiver of premium, private insurers are the better choice. Since all insurers are regulated by IRDAI, LIC should be chosen for its legacy and stability, not for features or value optimisation.
Note: LIC is not a partner insurer of Ditto. The information outlined in this article is sourced directly from the insurer’s website and other publicly available sources.
Frequently Asked Questions
Last updated on:
