New Children Money Back Plan 732
New Children Money Back Plan 732: LIC of India new plan launched on 31st. December 2024 which name is LIC New Children’s Money Back Plan 732 (Table no 732) is a traditional plan. LIC New Children’s Money Back Plan 732 is a regular premium payment money back policy. LIC ‘New Children Money Back policy 732′ is specially designed for various financial needs of children through money back at age 18, 20, and 22 of child. You can buy now online LIC new children money back plan 732 through credit card/debit card, net banking, upi and wallets on our LIC’s New Business Platform.
Every Indian parent’s dream is to provide the best future for their children—be it education, higher studies, marriage, or financial independence. However, with inflation and rising costs, financial planning becomes critical.
LIC, India’s most trusted insurance company, offers a dedicated plan for children’s needs: LIC New Children’s Money Back Plan 732 (LIC Child Plan).
This policy is designed to ensure that parents can secure their child’s educational milestones, career planning, and marriage expenses, while also providing life cover for the child.
👉 In this blog, we’ll cover everything about LIC’s New Children’s Money Back Plan – features, benefits, examples, premium charts, investor scenarios, expert insights, comparisons, FAQs, and more.
What is LIC New Children’s Money Back Plan 732?
LIC New Children’s Money Back Plan 732 is a participating, non-linked, money back plan specifically designed to meet children’s future financial needs through periodic survival benefits and a maturity corpus.
This plan provides:
- Guaranteed payouts at key ages (education & marriage milestones).
- Life cover on the child’s life.
- Bonuses from LIC’s profits.
- Maturity benefits at age 25 of the child.
👉 It’s not just an insurance plan but also a child education & career planning solution.
Key Features of LIC New Children’s Money Back Plan 732
| Feature | Details |
|---|---|
| Plan Name | LIC New Children’s Money Back Plan 732 |
| Plan Type | Non-linked, Participating, Money Back Plan |
| Entry Age (Child) | 0 years (birth) – 12 years |
| Maturity Age (Child) | 25 years |
| Policy Term | (25 – Child’s Age at entry) years |
| Minimum Basic Sum Assured (SA) | ₹1,00,000 |
| Maximum Basic Sum Assured (SA) | No Limit (in multiples of ₹10,000) |
| Premium Payment Term (PPT) | Policy Term minus 5 years |
| Survival Benefits | 20% of SA at ages 18, 20, 22 |
| Maturity Benefit | 40% of SA + Bonuses at age 25 |
| Death Benefit | Sum Assured on Death + Bonuses |
| Loan Facility | Available |
| Optional Rider | Premium Waiver Benefit Rider (if parent dies, premiums waived) |
Benefits of LIC Children’s Money Back Plan
1. Survival Benefits
- 20% of Basic Sum Assured is paid at child’s ages 18, 20, and 22 years.
- Perfectly aligned with higher education expenses.
2. Maturity Benefit
- At age 25, child receives 40% of Sum Assured + Simple Reversionary Bonus + Final Additional Bonus (FAB).
- This can be used for marriage, home setup, or career ventures.
3. Death Benefit
- If child (Life Assured) dies before policy maturity:
- Sum Assured on Death + Bonuses is paid to nominee.
- Already paid survival benefits are not deducted from death claim.
4. Premium Waiver Benefit Rider (Highly Recommended)
- If parent/legal guardian dies during the policy term, future premiums are waived, but policy continues with full benefits.
5. Bonuses Participation
- Plan is participating, so it earns LIC’s annual bonuses, enhancing maturity value.
6. Tax Benefits
- Premiums eligible for deduction under Section 80C.
- Payouts generally tax-free under Section 10(10D).
Example – Premium & Benefit Illustration
Case Study – Mr. Ramesh invests in LIC New Children’s Money Back Plan for his son (age 5).
- Basic Sum Assured: ₹10,00,000
- Policy Term: 20 years (25 – 5 = 20)
- PPT: 15 years
- Annual Premium: ~₹45,000
Expected Payouts
| Child’s Age | Event | Benefit |
|---|---|---|
| 18 years | Survival Benefit | ₹2,00,000 (20% of SA) |
| 20 years | Survival Benefit | ₹2,00,000 |
| 22 years | Survival Benefit | ₹2,00,000 |
| 25 years | Maturity | ₹4,00,000 + Bonus + FAB (~₹6–8 lakh extra) |
| Total (approx.) | – | ₹16–18 lakh |
👉 This ensures funds at the right time for college admissions, higher studies, and marriage.
Investor Scenarios
Scenario 1 – Education Planning
Parents start this plan when child is age 3. By ages 18, 20, 22, the policy provides systematic payouts matching school leaving, graduation, and post-graduation expenses.
Scenario 2 – Marriage Planning
For a daughter age 7, the policy ensures lump sums at 18, 20, and 22, while a big maturity corpus at 25 years aligns with marriage or career setup.
Scenario 3 – Dual Protection (with Rider)
If father buys the plan for his 5-year-old and unfortunately passes away at age 40, LIC waives premiums, and still gives all money back + maturity benefits when the child grows up.
Analyst Opinions & Expert Reviews
- Insurance Advisors: “The biggest advantage of this plan is that the payouts are linked to specific child milestones—higher education and marriage. The Premium Waiver Rider makes it highly recommended.”
- Financial Planners: “While IRR is moderate (~5.5–6.5%), it balances safety, insurance, and milestone funding. For risk-averse parents, it’s a reliable choice.”
- Market Analysts: “Compared to mutual funds or child ULIPs, LIC Child Money Back offers lower returns but far higher safety + certainty. Ideal for conservative families.”
Comparison – LIC Child Plan vs Other LIC Plans
| Plan | Target | Key Benefit | Best For |
|---|---|---|---|
| Children’s Money Back 932 | Child-specific | 20% SA at 18, 20, 22 + maturity at 25 | Education & Marriage Planning |
| Jeevan Tarun 934 | Child (25 years maturity) | Flexible payouts during 20–24 years | Higher studies focus |
| Jeevan Umang 945 | Whole Life | 8% income annually after PPT | Retirement Income |
| New Endowment 914 | All Ages | Lump sum maturity | Wealth Accumulation |
Real-Life Investor Examples
Example 1 – Child Education Goal
Mrs. Sharma buys this plan for her daughter at age 2, SA ₹15 lakh.
- At age 18 → ₹3 lakh payout (college admission).
- At age 20 → ₹3 lakh (graduation fees).
- At age 22 → ₹3 lakh (PG studies).
- At 25 → ₹6 lakh + Bonuses (~₹10 lakh).
- Total ~₹19–20 lakh corpus for higher education & marriage.
Example 2 – Father with Premium Waiver Rider
Mr. Verma buys this plan for his 8-year-old son, SA ₹10 lakh, with Premium Waiver. Unfortunately, Mr. Verma dies at age 42. LIC waives premiums, and his son still receives:
- ₹2 lakh each at 18, 20, 22.
- ~₹10 lakh at 25.
- Policy ensures dreams fulfilled despite tragedy.
Strengths & Limitations
Strengths ✅
- Milestone-based payouts at ages 18, 20, 22.
- Final maturity benefit at 25 years.
- Insurance + investment + bonuses.
- Premium Waiver Rider ensures continuity.
- Tax benefits + loan facility.
Limitations ❌
- Moderate returns (not high-growth like equities).
- Long commitment till age 25 of child.
- No guaranteed annual income (only milestone payouts).
FAQs – LIC Children’s Money Back Plan 732
Q1. What is the maturity age of this plan?
👉 The child’s maturity age is 25 years.
Q2. What survival benefits are paid?
👉 20% of SA at ages 18, 20, 22 years.
Q3. What happens if the parent dies?
👉 With Premium Waiver Rider, LIC waives future premiums, but policy continues till maturity.
Q4. What is the IRR (return rate)?
👉 Around 5.5–6.5%, depending on bonuses.
Q5. Which is better – Children’s Money Back or Jeevan Tarun?
👉 Children’s Money Back provides fixed payouts at ages 18, 20, 22, while Jeevan Tarun allows flexible payouts between 20–24 years.
Final Thoughts
The LIC New Children’s Money Back Plan 732 is tailor-made for Indian parents who want:
- Guaranteed payouts at crucial child milestones (18, 20, 22 years).
- Maturity benefit at 25 years for marriage/career.
- Life cover on the child.
- Premium waiver rider for safety.
It may not deliver stock market-level returns, but it offers peace of mind, guaranteed security, and milestone planning—something every parent values.
👉 If your goal is education, marriage, and financial independence for your child without risk, LIC Children’s Money Back Plan is one of the best policies in 2025.
