Summary: LIC’s Bima Platinum (Plan 770, UIN 512N397V01) is a non-participating, non-linked, individual limited-premium life insurance savings plan launched by Life Insurance Corporation of India on 1 September 2026 and made available from 7 September 2026. LIC states that Guaranteed Additions accrue at ₹70 per ₹1,000 of annual premium paid at the end of each policy year during the premium-paying term. The plan also provides a Booster Income Benefit equal to 70% of Basic Sum Assured on survival to the end of the (premium-paying term + 5)th policy year and Regular Income Benefit equal to 10% of Basic Sum Assured at the end of each year during the payout period. Premium-paying-term choices are 7, 10, 12, 15 and 18 years, with minimum Basic Sum Assured of ₹3 lakh. These stated benefits should not be confused with investment-return percentages: the 70% booster and 10% regular income are percentages of Basic Sum Assured, while Guaranteed Additions are linked to annual premium paid. For tax purposes, premium deduction and exemption of policy receipts depend on the Income-tax Act conditions, the taxpayer’s chosen tax regime and the premium-to-sum-assured/high-premium rules. Individual life-insurance services covered by Notification No. 16/2025-Central Tax (Rate) have been exempt from GST from 22 September 2025. Policyholders should rely on LIC’s policy schedule, benefit illustration and sales brochure for the contractual figures applicable to an issued policy.
- LIC Bima Platinum: Product Structure and Official Features
- Guaranteed Additions, Booster Income and Regular Income
- Guaranteed Additions
- Booster Income Benefit
- Regular Income Benefit
- Eligibility, Underwriting and Riders
- Income-Tax Treatment of Premium and Policy Receipts
- Premium deduction
- Exemption of maturity, survival and other policy receipts
- TDS on Taxable Life-Insurance Payments
- GST Position from 22 September 2025
- IRDAI Regulatory and Policyholder-Protection Framework
- What the Benefit Percentages Do—and Do Not—Mean
- Practical Documentation and Compliance Checks
- Frequently Asked Questions
- Key Takeaways
- Useful TaxGuru References
LIC Bima Platinum: Product Structure and Official Features
LIC introduced Bima Platinum on its 70th anniversary. The official launch release classifies it as a non-participating, non-linked individual plan combining savings and life protection. “Non-linked” means the contractual benefits are not linked to units of an investment fund. “Non-participating” means the policy does not participate in the insurer’s divisible surplus through discretionary bonuses. The benefits therefore have to be read from the policy terms rather than assumed from the bonus history of participating LIC plans.
| Feature | Official position |
|---|---|
| Plan / UIN | Plan 770 / UIN 512N397V01 |
| Product type | Non-participating, non-linked, individual savings and protection plan |
| Premium-paying term | 7, 10, 12, 15 or 18 years |
| Minimum Basic Sum Assured | ₹3,00,000 |
| Maximum Basic Sum Assured | No stated fixed upper limit; subject to LIC underwriting acceptance |
| Basic Sum Assured multiples | ₹10,000 |
| Minimum entry age | 30 days completed |
| Maximum entry age | Up to 55 years; varies with premium-paying term |
| Maturity-age range | Minimum 28 years completed; maximum 75 years near birthday |
| Availability | Offline through permitted distribution channels and online through LIC |
Guaranteed Additions, Booster Income and Regular Income
Guaranteed Additions
LIC’s launch release states that Guaranteed Additions accrue at ₹70 per ₹1,000 of annual premium paid at the end of each year during the premium-paying term. This formula is premium-linked. It should not be described as ₹70 per ₹1,000 of Basic Sum Assured, nor as a 7% annual investment return. The annual premium, policy year and in-force conditions in the issued policy documents remain relevant to the actual benefit.
Booster Income Benefit
The Booster Income Benefit is stated as 70% of Basic Sum Assured, payable on survival of the life assured to the end of the (premium-paying term + 5)th year. For example, the timing depends on the selected premium-paying term; the benefit is not necessarily payable immediately after the last premium. The 70% figure is a benefit formula based on Basic Sum Assured, not a rate of return on premiums paid.
Regular Income Benefit
Regular Income Benefit is stated as 10% of Basic Sum Assured at the end of each year during the payout period. LIC defines the payout period for this purpose by reference to policy term minus premium-paying term. Again, 10% of Basic Sum Assured is not the same as a 10% yield or internal rate of return. A return calculation would require all cash flows, dates, premium amounts, survival benefits and terminal benefits under the particular policy.
Eligibility, Underwriting and Riders
The minimum Basic Sum Assured is ₹3 lakh and thereafter moves in ₹10,000 multiples. LIC states that there is no fixed upper limit, but the amount accepted remains subject to its Board-approved underwriting policy. The minimum entry age is 30 days completed. The maximum entry age is 55 years and varies with the selected premium-paying term. Minimum and maximum maturity ages are 28 years completed and 75 years near birthday respectively. LIC also states that rebates are available for existing LIC policyholders and nominees or beneficiaries of deceased policyholders, and that permitted riders may be chosen to enhance coverage. Rider eligibility, rider premium, exclusions and claim conditions should be checked separately because a rider is not identical to the base-plan benefit.
Income-Tax Treatment of Premium and Policy Receipts
Tax treatment must be separated into two questions: deduction for premium paid and taxation or exemption of amounts received. A product being a life-insurance policy does not by itself make every premium deductible or every survival receipt exempt.
Premium deduction
Under the current income-tax framework, life-insurance premium deduction continues subject to the statutory ceiling, qualifying-person and premium-to-sum-assured conditions and the tax regime chosen by the taxpayer. TaxGuru’s detailed discussion of taxation of life-insurance policies explains the traditional Section 80C/Section 10(10D) framework and the high-premium restrictions. For FY 2026-27, taxpayers should apply the corresponding provisions of the Income-tax Act, 2025, including the applicable deduction schedule, and should not assume a deduction merely because premium has been paid. The default concessional regime generally restricts deductions that are available under the regular regime, so regime selection matters.
Exemption of maturity, survival and other policy receipts
For non-ULIP life policies issued on or after 1 April 2023, the high-premium rule introduced under the earlier Section 10(10D) framework denies exemption where premium payable for any year exceeds ₹5 lakh, subject to the statutory aggregation rules for multiple relevant policies. CBDT Circular No. 15/2023 as reproduced on TaxGuru explains the aggregation methodology. Death benefits retain separate protection under the statutory scheme. Bima Platinum was launched in September 2026, so any claim that all survival or income benefits are automatically tax-free would be unsafe without checking the actual annual premium, Basic Sum Assured, other relevant policies and the current Act’s corresponding provisions.
Where exemption is unavailable, only the taxable income component should be computed in accordance with the applicable charging and computation provisions; the precise head and computation can depend on the policy category. Taxpayers should preserve the proposal form, policy schedule, annual premium receipts and benefit statements because those records establish the issue date, premium amounts, sum assured and receipts.
TDS on Taxable Life-Insurance Payments
If a life-insurance payment is taxable and falls within the applicable withholding provision, the insurer may have a TDS obligation subject to the current statutory conditions and threshold. TaxGuru’s guide to TDS on life-insurance policy payments discusses the earlier Section 194DA framework and subsequent changes. TDS is a collection mechanism and does not by itself determine the recipient’s final tax liability.
GST Position from 22 September 2025
Notification No. 16/2025-Central Tax (Rate), dated 17 September 2025, granted GST exemption to specified individual life-insurance services with effect from 22 September 2025. TaxGuru’s coverage of the GST exemption for individual insurance premiums records the effective date and Government’s confirmation of the relief. Bima Platinum is an individual life-insurance product launched after that date, so the notified exemption is relevant to covered premium supplies. Policyholders should nevertheless check LIC’s quotation and receipt for any separately charged amount, rider treatment or levy because the transaction document establishes what has actually been billed.
The exemption is an ordinary GST exemption, not zero-rating. TaxGuru’s analysis of GST exemptions and their input-tax-credit implications explains why an exempt outward supply can have different input-tax-credit consequences for the supplier even though GST is not charged to the policyholder on the exempt supply.
IRDAI Regulatory and Policyholder-Protection Framework
Life-insurance products operate within the IRDAI (Insurance Products) Regulations, 2024 and the regulator’s product and policyholder-protection framework. The IRDAI Master Circular on Life Insurance Products emphasises simplification, transparency and equitable treatment in product design and pricing. The issued policy contract, customer information sheet where applicable, benefit illustration, proposal disclosures and insurer communications should therefore be read together rather than relying only on a marketing headline.
Material facts in the proposal must be disclosed accurately. Nomination, assignment, revival, surrender, loan, free-look cancellation, exclusions and claims are governed by the policy terms and applicable insurance law. Where a purchaser finds a mismatch between the sales representation and issued policy, the policyholder-protection and grievance framework should be used promptly within the prescribed timelines.
What the Benefit Percentages Do—and Do Not—Mean
| Stated feature | Calculation base | Do not interpret as |
| Guaranteed Additions: ₹70 per ₹1,000 | Annual premium paid during PPT | 7% investment return |
| Booster Income: 70% | Basic Sum Assured | 70% return on premiums |
| Regular Income: 10% | Basic Sum Assured | 10% annual yield/IRR |
Practical Documentation and Compliance Checks
Before relying on any benefit or tax treatment, retain the final sales brochure applicable to UIN 512N397V01, signed proposal form, policy schedule, benefit illustration, premium quotation, premium receipts and all rider schedules. Match the Basic Sum Assured and premium-paying term against the illustration. For tax records, separately track annual premium paid and policy receipts, especially where the taxpayer holds multiple non-ULIP life policies issued on or after 1 April 2023. A later surrender, survival payout or regular-income receipt should be tested against the tax law applicable to that receipt and the policy’s issue-date conditions.
Frequently Asked Questions
1. Is LIC Bima Platinum a ULIP?
No. LIC classifies Plan 770 as a non-linked, non-participating individual plan.
2. What is the minimum Basic Sum Assured?
₹3,00,000. LIC states that higher amounts are in ₹10,000 multiples and underwriting acceptance applies.
3. What premium-paying terms are available?
The official launch release lists 7, 10, 12, 15 and 18 years.
4. Does the 70% Booster Income mean a 70% return?
No. It is 70% of Basic Sum Assured, payable on the specified survival date. It is not 70% of premiums or an IRR.
5. Is the 10% Regular Income a 10% investment yield?
No. It is 10% of Basic Sum Assured under the contractual benefit formula.
6. Are all Bima Platinum receipts automatically tax-free?
No blanket conclusion should be drawn. Exemption depends on the statutory premium-to-sum-assured and high-premium conditions, aggregation rules and the nature of the receipt. Death benefits are treated separately under the law.
7. Is GST charged on an individual Bima Platinum premium?
Specified individual life-insurance services have been exempt from GST from 22 September 2025 under Notification No. 16/2025-Central Tax (Rate). The actual LIC quotation and receipt should be checked for the transaction.
8. Can riders be added?
LIC states that different rider benefits are available. Eligibility, premium, coverage and exclusions depend on the selected rider and policy terms.
Key Takeaways
- LIC Bima Platinum is Plan 770, UIN 512N397V01, available from 7 September 2026.
- It is non-linked and non-participating, with limited premium payment.
- Guaranteed Additions are ₹70 per ₹1,000 of annual premium paid during the premium-paying term.
- Booster Income is 70% of Basic Sum Assured at the specified survival point.
- Regular Income is 10% of Basic Sum Assured during the payout period.
- Minimum Basic Sum Assured is ₹3 lakh; underwriting applies to accepted cover.
- Tax exemption of non-death receipts is conditional, particularly for high-premium policies.
- Specified individual life-insurance services are GST-exempt from 22 September 2025.
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Disclaimer: This article is for general informational and educational purposes only and is based on publicly available product and regulatory material reviewed as on 7 October 2026. It is not an offer, solicitation, recommendation, ranking, investment advice, tax advice, legal advice or personalised insurance advice. Product benefits, premiums, underwriting, rebates, riders, surrender values, exclusions, tax treatment and claim outcomes depend on the issued policy, individual facts and law applicable at the relevant time. Readers should verify the latest LIC sales brochure, policy document, benefit illustration, premium quotation, IRDAI rules, GST notification and Income-tax provisions before acting. TaxGuru, its owners, management, editors, authors, employees and associated persons accept no responsibility or liability for any loss, damage, consequence, decision or action arising from reliance on or use of this article.
