In the Year 2025, LIC launched highly secure investment schemes, or so-called guaranteed monthly income with no risk. Some are looking for guaranteed income every month, safe and reliable, while having their capital secure.
This guide is for such individuals. We shall focus on the three top LIC plans that have changed the investment landscape this year:
- LIC Fixed Deposit Plan
- LIC Monthly Income Plan
- Systematic Withdrawal Plan (SWP)
Each of these plans comes with unique benefits, and the best choice depends on your financial goals and risk appetite.
LIC Fixed Deposit Plan 2025 – 100% Risk-Free Returns
For investors who prioritize capital safety along with fixed returns, the LIC FD Plan is an excellent choice.
Key Features:
- Minimum Investment: ₹10,000
- Interest Rate (2025): 6.25% – 7.75% (Senior citizens get an extra 0.25%)
- Tenure Options: 1 to 5 years
- Early Withdrawal: Allowed after 3 months (with a small penalty)
- Loan Facility: Up to 75% of the FD amount
This plan is perfect for risk-averse investors who want stable returns without market-linked fluctuations.
LIC Monthly Income Plan – Guaranteed Cash Flow Every Month
If you need a fixed monthly payout after retirement or for other financial needs, the LIC Monthly Income Plan is a smart choice.
Key Benefits:
- Affordable Premium: Starts at just ₹1,000 per month
- Policy Term: 5 to 20 years
- Life Cover: Nominee protection in case of the policyholder’s demise
- Bonus Benefits: Annual and terminal bonuses for higher returns
- Tax Savings: Section 80C deduction available
With this plan, you not only receive a steady income but also ensure financial security for your loved ones.
Systematic Withdrawal Plan (SWP) – Smart Way to Generate Regular Income from Mutual Funds
For those who want market-linked returns with flexible withdrawals, the SWP is ideal. It is particularly useful for retirement planning or generating a long-term passive income.
Why Choose SWP?
- Low Starting Investment: ₹50,000 (varies by fund)
- Withdrawal Flexibility: Monthly, quarterly, half-yearly, or yearly
- Tax Efficiency: Long-term capital gains tax benefits
- Adjustable Payouts: Change withdrawal amount or frequency anytime
- Market Resilience: Ensures stable cash flow even during volatility
SWP is best suited for investors who want higher returns than FDs while maintaining liquidity and control over their income.
LIC FD vs. Monthly Income Plan vs. SWP – Quick Comparison
| Feature | LIC FD Plan | Monthly Income Plan | SWP Plan |
|---|---|---|---|
| Risk Level | Very Low | Medium | Medium-High |
| Returns | Fixed Interest | Bonus + Fixed | Market-Linked |
| Monthly Income | No | Yes | Yes |
| Tax Benefits | Yes | Yes | Partial |
| Liquidity | Low | Medium | High |