Postal Life Insurance (PLI) Calculator

The Children Policy under Postal Life Insurance (PLI), also known as Bal Jeevan Bima, is an endowment based life insurance-cum-savings plan designed to provide financial protection for children between the ages of 5 and 25 years.

This policy must be issued by a parent (father or mother) who already holds or proposing to issue a PLI Endowment Assurance or Whole Life Assurance policy on their own life. One Children policy can be issued for one child against one policy of mother or father.

A maximum of two children per family can be insured under this scheme.

• If the insured child passes away during the term, the parent (policyholder) receives the full sum assured plus accrued bonuses as the death benefit.
• If the child survives the full term, the parent receives the maturity benefit — the full sum assured with accumulated bonuses — at the end of the policy term.
• If the parent (policyholder) passes away during the policy term, no further premiums to be paid. The policy continues, and the child receives the full maturity benefit as sum assured + bonuses upon completion of the term.

The primary aim of the Bal Jeevan Bima policy is to offer life cover for children and financial protection for the family throughout the policy term — ensuring security whether the child or parent faces unforeseen circumstances.

The Bal Jeevan Bima policy under Postal Life Insurance (PLI) offers a unique life insurance plan that provides dual financial protection — covering the life of the insured child while also safeguarding the policy in the event of the parent's death. Below are its key features:

• Insurance for the Child: Provides life cover for children between 5 and 25 years of age. If the insured child passes away during the term, the parent (policyholder) receives the full sum assured with accrued bonus as the death benefit.
• Protection in Case of Parent's Death: If the parent (policyholder) passes away during the term, all remaining premium payments are waived off. The policy remains active, and the insured child receives the maturity benefit as lump-sum of sum assured and bonus amount at the end of the term.
• Maturity Benefit: If both parent and child survive the full policy term, the parent receives the maturity payout consisting of the sum assured and all accrued bonuses.

• Parent’s Age: The policyholder (father or mother) must be under 45 years of age.
• Parent’s Policy Conditions: To issue a Children Policy, the parent must already hold or be applying for a PLI policy on their own life — either Suraksha (Whole Life Assurance) or Santosh (Endowment Assurance) policy. One Children policy can be issued against one parent's policy.
• Child’s Age at Entry: 5 to 20 years (on next birthday).
• Child’s Age at Maturity: Maximum maturity age allowed is 25 years.
• Number of Children Covered: Maximum of two children in a family can be insured under Bal Jeevan Bima.

• Sum Assured: Minimum ₹20,000/- and maximum equal to the sum assured of the parent’s policy or ₹3,00,000/- whichever is lower. Sum Assured must be in multiples of ₹10,000.
• Bonus: ₹52 per ₹1,000 sum assured per year — the same bonus rate as the Santosh (Endowment Assurance) policy.
• Premium Rebates: ₹1 per month rebate for every ₹20,000 sum assured. Additional rebates of 1% on advance premium payment of 6-month and 2% on advance premium payment of 12-month.
• Premium Frequency: Monthly only.

• Paid-Up Option: If premiums are paid continuously for at least 5 years, the policy can be made as paid-up.
• Medical Exam: No medical examination required to issue the policy.
• Surrender: Surrender is not allowed under this policy.
• Loan Facility: No loan can be availed against this policy.

You can easily use the PLI Bal Jeevan Bima (Children Policy) Calculator to calculate premium payments and maturity value. Just follow the simple steps below:

• 1. Select Policy Option: Choose Children Policy (Bal Jeevan Bima) from the list of PLI policy types.
• 2. Enter Date of Birth of child: Input your child’s date of birth in DD/MM/YYYY format. This helps determine child’s entry age.
• 3. Enter Maturity Age: Enter maturity age of the child for policy.
• 4. Enter Sum Assured (₹): Enter the sum assured amount, a guaranteed amount of insurance for the death benefit and maturity benefit (excluding bonus amount). This is the base insurance amount that will also be used to calculate premiums and maturity benefits.
• 5. Premium Frequency: Premiums for the Bal Jeevan Bima policy are payable on a monthly basis only.
• 6. Click “Calculate”: Once you’ve filled in all inputs, click the “Calculate” button to generate personalized policy report.

In calculation results, you’ll see a complete breakdown of Bal Jeevan Bima policy details:

• Entry Age: Child’s age on next birthday.
• Maturity Age: Child’s age when policy ends and maturity payout is released.
• Policy Term (in years): Policy tenure between entry age and maturity age, for which life insurance policy provides insurance coverage.
• Sum Assured: The guaranteed amount of insurance in maturity value and death benefit, excluding bonuses.
• Maturity Date: The date on which life insurance policy matures and maturity payout is released.

• Total Premium Installments: Number of monthly payments over the policy term.
• Monthly Base Premium: The base premium before deducting rebates and adding GST.

• Rebate per installment: The monthly discounted amount based on sum assured applying on each premium payment.
• Total rebate amount: Total amount of rebate applied on total premium payment.
• Premium after rebate: Premium amount of each instalment after applying rebates.

• No GST on premiums from 22 September 2025, (old rate - GST per premium installment for First Year @ 4.5% (CGST @ 2.25% + SGST @ 2.25%) and from Second year onward @ 2.25% (CGST @ 1.125% + SGST @ 1.125%))

• Premium per installment (For Year 1)
• Premium per installment (from Year 2 onward)
• Total premium payable over full term

• Bonus: ₹52 per ₹1,000 sum assured per year

• Total Maturity Amount as Sum Assured + Accrued Bonus.

• Net returns on Investment as difference between receivable Maturity Value and Total Premium Paid.

You will also see two charts for better visualization of policy report:

• Sum Assured + Bonus Chart - It shows the base sum assured and the bonus portion that contributes to the maturity value.
• Total Premium vs. Net Gain Chart - It compares total premiums paid vs. maturity amount received, highlighting the net financial gain.

• Click "Copy Summary" to copy the key results.
• Click "Download PDF" to save the full policy projection for future use or sharing.

You can change maturity age of child and sum assured to instantly check how that impact premiums, bonus amount, maturity value and total returns. This helps you make data-driven decisions to choose the best policy configuration considering affordability and long-term benefit.

Let’s understand how the PLI Children policy (Bal Jeevan Bima) works with a practical example:

1. If Ravi aged 35, purchases a Bal Jeevan Bima policy for his 10-year-old child, with a sum assured of ₹2 Lakh and selects a maturity age of 20 years (10-year term), here's how his policy will perform:

• Monthly Premium (excluding GST): ₹2,000/- approx.
• Total Premium Payment (over 10 years) — with rebates & GST: ₹2,47,000/- approx.
• Maturity Value: ₹3,04,000/- approx.
• Net Financial Gain: ₹56,000/- approx.
• Return on Investment (ROI): 23% approx.

2. If Seema aged 30, purchases a Bal Jeevan Bima policy for her 10-year-old child, with a sum assured of ₹2 Lakh and selects a maturity age of 25 years (15-year term), here's how her policy will perform:

• Monthly Premium (excluding GST): ₹1,450/- approx.
• Total Premium Payment (over 10 years) — with rebates & GST: ₹2,66,000/- approx.
• Maturity Value: ₹3,56,000/- approx.
• Net Financial Gain: ₹90,000/- approx.
• Return on Investment (ROI): 34% approx.

Bal Jeevan Bima, the Children Policy offered under Postal Life Insurance (PLI), is designed specifically for Indian parents who want to secure their child's future by investing in a life insurance plan with secure returns on investment.

The key benefits of Bal Jeevan Bima policy:

• Child life cover up to age of 25: PLI Children policy covers life of beneficiary child from 5 years up to 25 years of age.
• Waived off premiums: Financial protection by waived off premium payments, in case policyholder (parent) passes away during the term.
• Maturity benefits: By child attaining maturity age, sum assured + bonus is paid as maturity benefits.
• Bonus Accumulation Throughout the Term: Bonus continues to accumulate every year of the active policy term, increases the insurance value year on year.
• Tax Benefits: Premium payments are eligible for tax exemption under Section 80C, and maturity benefits are eligible for tax exemption under Section 10(10D) of the Income Tax Act.
• Government-Backed Assurance: Managed by the Department of Posts, Government of India, making it one of the safest life insurance products available for children. This offers the reliability of a public-sector institution with decades of trust.

These benefits make PLI Children Policy (Bal Jeevan Bima) an ideal choice for parents to secure their children's future with a life insurance coverage along with financial protection for both — child and parent — throughout the term and guaranteed maturity benefits.

The following individuals are eligible to purchase the Bal Jeevan Bima policy for their children:

• Employees of the Central Government and State Governments
• Employees of Public Sector Undertakings (PSUs)
• Staff in Railways, Telecom, Defence, and Para-Military Forces
• Personnel in local bodies and autonomous government institutions
• Employees of Nationalized Banks, State Bank of India and its subsidiaries
• Staff in government-notified financial institutions
• Employees of government-aided or recognized private educational institutions
• Teaching and non-teaching staff of schools/colleges affiliated to CBSE, ICSE, State Boards, Open Schools or Accredited institutions (NAAC, AICTE, MCI, etc.)
• Staff of autonomous bodies, research councils, and recognized universities
• Professionals such as Doctors, Engineers, Chartered Accountants, Company Secretaries, MBAs, Lawyers, Management Consultants, Bankers, Architects, etc
• Employees of companies listed on the NSE or BSE
• Contract-based employees (where contract is renewable)
• Members and employees of government-registered cooperatives
• Members and employees of registered cooperative societies funded partly or fully by Central/State Governments, RBI, NABARD, Nationalized Banks
• Employees of recognized research institutions, deemed universities, and autonomous bodies

The following documents are required to issue a PLI Bal Jeevan Bima (Children policy). These help establish the applicant’s and child's identity, eligibility and official verification.

1. Proof of Age – Any valid government-issued document showing date of birth (e.g., Aadhaar card, birth certificate, school leaving certificate)
2. Proof of Address – Valid address proof such as Aadhaar card, voter ID, utility bill, or passport
3. Identity Proof – PAN card, Aadhaar card, voter ID, driving license, or any government-recognized photo ID
4. Declaration of Medical Examiner – Medical report or fitness certificate issued by a government-authorized medical examiner (especially required for high sum assured or older age groups)
5. Certificate by Immediate Supervisor – For salaried individuals in eligible organizations, this certificate confirms employment details and designation
6. Certificate by DO/FO (PLI) or Authorized Agent – Signed verification by Departmental Officer (DO), Field Officer (FO), or registered PLI agent
7. Declaration by Proponent – A self-declaration by the applicant regarding their health, lifestyle habits, and policy understanding
8. Declaration by Spouse (if applicable) – In certain cases (like financial declarations), the spouse’s consent or declaration may be required

The PLI Bal Jeevan Bima (Children policy) calculator uses official POLI rules to compute key policy outcomes based on your input values: date of birth of child, maturity age and sum assured.

Here’s a simplified breakdown of the core calculation logic:

• Policy Term (in years) = Maturity Age – Entry Age

(Policy Term is the total number of years between entry age and the chosen maturity age.)

• Total Premium Installments = Policy Term × 12 (Installments per Year)
• Base Premium (per installment) = Premium Rate for Children policy × Sum Assured

(Calculated using premium rate slabs defined in POLI rules for Children policy, based on entry age and maturity age.)

• Rebate per premium = (Sum Assured ÷ 20,000)
• Total Rebate = (Sum Assured ÷ 20,000) × Policy Term × 12 (months)

(Rebate of ₹1/month is given for every ₹20,000 of sum assured, applied monthly across the policy duration. All rates of rebate are applied automatically in the calculator as per official Post Office Life Insurance (POLI) rules for Santosh policy.)

• Premium After Rebate (per installment) = Base Premium (per installment) - Rebate per premium
• GST on each premium payment = Premium After Rebate × GST Rate

No GST on premiums from 22 September 2025, (Old rate - First Year GST Rate = 4.5% (CGST @ 2.25% + SGST @ 2.25%) & Renewal GST Rate from second year onward = 2.25% (CGST @ 1.125% + SGST @ 1.125%))

• Total GST = GST per Premium × Total Installments

(The GST for the first year and rest of term are calculated separately. Total GST amount includes sum of GST on premiums for the first year and for the rest of the term. All GST rates are applied automatically in the calculator as per official Postal Life Insurance (POLI) rules.)

• Total Premium = (Base Premium × Total Installments) – Total Rebate + Total GST

(The total amount of premiums payable over the policy term, with deducted rebates and added GST.)

• Bonus = (Sum Assured × Bonus Rate × Policy Term) / 1000

(Bonus rate = ₹52 per ₹1,000 sum assured per year)

• Maturity Value = Sum Assured + Bonus

(This is the amount policyholder receives (if parent and child both survives for full term) OR beneficiary child (or legal heir) receives (if parent passes away during the term) at the end of the policy term.)

• Net Gain = Maturity Value – Total Premium Paid

(Net gain Indicates the return on investment in the policy over full policy term.)