LIC Term Plan 954: Are You Paying ₹0 GST?
LIC's online-only Tech-Term Plan 954 offers pure life cover with zero GST on premiums, flexible payout options, and tax benefits under Section 80C and 10(10D). Here's what it means for your family's financial safety net.
Skipping term insurance costs your family more than 3 years of your salary — for less than one month's chai budget per day.
Your LIC term plan premium is fully exempt from GST — most Indians don't claim this
Key Takeaways
Compare your current term plan premium against LIC Tech-Term 954's online quote — if you're paying agent-routed premiums, you're likely overpaying by 10–20%.
Check that your Section 80C declaration includes your term insurance premium — salaried employees often miss this in their employer's investment declaration form.
Disclose ALL health conditions honestly at policy purchase — any suppression, even minor, is the single biggest reason claim rejections happen with term plans.
LIC's online-only Tech-Term Plan 954 offers pure life cover with zero GST on premiums, flexible payout options, and tax benefits under Section 80C and 10(10D). Here's what it means for your family's financial safety net.
Here's what happened: LIC's Tech-Term Plan 954 is a pure online term insurance product — no maturity or survival benefit, only a death payout to your nominee.. Premiums on this plan attract zero GST, unlike most financial products, making it one of the most cost-efficient life cover options available to Indian households.. The plan allows nominees to receive the death benefit either as a full lump sum or as a combination of lump sum plus structured monthly income payouts..
What you should do: Compare your current term plan premium against LIC Tech-Term 954's online quote — if you're paying agent-routed premiums, you're likely overpaying by 10–20%.. Check that your Section 80C declaration includes your term insurance premium — salaried employees often miss this in their employer's investment declaration form.. Disclose ALL health conditions honestly at policy purchase — any suppression, even minor, is the single biggest reason claim rejections happen with term plans..
Pro tip: choose the lump sum plus monthly income payout option if your nominee is a homemaker or has no investment experience — it prevents the entire corpus from being spent or mismanaged in one go.
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- [1]“Finance | LIC New Tech-Term Plan 954: Features, Tax Benefits, GST & Claim Rules” taxguruin · 4 Oct 2026
This article is reported by GoCredit's Editorial Team based on the source above. GoCredit synthesises, contextualises, and adds India-borrower-relevant analysis. We are not the original publisher.
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