Bonus Calculation – How it works?
The returns provided LIC International on most of its plans are based on the Bonus declared each year.
In layman terms, the Bonus paid can be defined as the extra payment added to the policy each year; over and above the Sum Assured of the policy.
Like how companies pay a dividend to its shareholders when they make a profit, Life Insurance companies declare a bonus each year based on the profit or surplus generated during that year.
This surplus is the excess of revenue over the expenses and claims of the insurance company during the year.
This surplus is distributed amongst the policy owners each year as Bonus.
LIC International Bonus History
The following tables provide a the annual bonus for each year from 1990 till 2016 on different plans. Click the title of each plan to open the tab and view the bonus history.