LIC Kanyadan Yojana : Planning your daughter’s future is one of the most important responsibilities of a parent. With rising education and marriage expenses, securing her future requires smart and early investment. The LIC Kanyadan Yojana has emerged as a trusted and popular scheme among Indian families, promising substantial returns with minimal daily contributions. Could this be the smartest move for your child’s future? Let’s dive in.
What is LIC Kanyadan Yojana?
LIC Kanyadan Yojana is a customized savings and protection plan offered by the Life Insurance Corporation of India. It is designed specifically to help parents build a financial safety net for their daughter’s education and marriage. Though not officially launched as a separate scheme by LIC, this plan is often structured using the LIC Jeevan Lakshya policy with modifications to suit the unique needs of a girl child.
Why LIC Kanyadan Yojana is Ideal for Indian Families
LIC Kanyadan Yojana is tailored for middle-class Indian families who seek long-term returns without financial burden. Here’s why it stands out:
- Requires a small daily investment starting from ₹75
- Offers life coverage to the parent
- Guarantees a lump sum amount for the daughter at maturity
- Provides premium waiver in case of the father’s untimely demise
- Combines protection with disciplined savings
This makes it a dual-benefit plan – offering both insurance and investment.
Key Features of LIC Kanyadan Yojana
- Policy Term: 13 to 25 years
- Premium Payment Term: Policy term minus 3 years
- Minimum Sum Assured: ₹1 lakh
- Tax Benefits: Under Section 80C and 10(10D) of the Income Tax Act
- Maturity Benefit: Lump sum payout at policy maturity
- Risk Coverage: Financial protection in case of the policyholder’s death
LIC Kanyadan Yojana: How ₹75/Day Grows to ₹14 Lakh
Let’s break down the returns and investment structure of this plan. Here’s an illustrative example:
Example Table: ₹75 Daily Investment Breakdown
| Investment Type | Details |
|---|---|
| Daily Investment | ₹75 |
| Monthly Investment | ₹2,250 |
| Annual Investment | ₹27,000 |
| Policy Term | 25 years |
| Premium Payment Term | 22 years |
| Total Investment | ₹5,94,000 (₹27,000 x 22 years) |
| Maturity Amount | ₹14,00,000 (approx.) |
This shows how small, consistent savings can lead to a big corpus over time.
Benefits of LIC Kanyadan Yojana
LIC Kanyadan Yojana combines multiple benefits into one plan. Here’s what makes it worth considering:
- Death Benefit: Immediate lump sum plus annual income till maturity
- Waiver of Premium: No need to pay further premiums after father’s death
- Maturity Benefit: Guaranteed sum for daughter’s education/marriage
- Loan Facility: After three policy years, policyholders can avail loans
- Flexible Terms: Choose policy term and sum assured as per your goals
See more : Your Daughter’s Future With ₹14 Lakh
Benefits Overview Table
| Scenario | Benefit Received |
|---|---|
| Policyholder survives full term | Maturity amount (₹14 lakh approx.) |
| Policyholder dies in Year 5 | Premiums waived, ₹10K/year + Sum Assured |
| Policyholder dies in Year 10 | Premiums waived, ₹10K/year + Sum Assured |
| Loan Option Available After | Completion of 3 policy years |
| Tax Benefits | Under Sec 80C & 10(10D) |
| Ideal for | Daughters aged 0-12 years |
How to Apply for LIC Kanyadan Yojana
To apply for the LIC Kanyadan Yojana, you can either visit the nearest LIC branch or get in touch with an authorized LIC agent. Here’s what you’ll need:
- KYC documents of the policyholder (ID & address proof)
- Daughter’s birth certificate
- Recent photographs
- Bank account details
- Income proof (if required)
Application Steps:
- Decide the desired policy term and sum assured
- Fill out the proposal form with accurate details
- Submit the necessary documents
- Undergo medical tests if required
- Pay the first premium
- Receive the policy document and confirmation
LIC Kanyadan Yojana vs Other Child Plans
Let’s see how this plan compares to other commonly opted child insurance/saving plans:
Comparison Table
| Feature | LIC Kanyadan Yojana | PPF for Child | Sukanya Samriddhi Yojana | Child ULIPs |
|---|---|---|---|---|
| Risk Cover Included | Yes | No | No | Yes |
| Guaranteed Maturity | Yes | Yes | Yes | No |
| Returns (Approximate) | ₹14 Lakh | ₹10-12 Lakh | ₹15 Lakh (at 7.6%) | Market-based |
| Investment Flexibility | Moderate | High | Fixed | High |
| Loan Facility | Yes (after 3 years) | Yes (partial) | No | Yes |
| Death Benefit | Yes | No | No | Yes |
This comparison clearly highlights how LIC Kanyadan Yojana stands out by blending protection