In an era of uncertainty, LIC’s Jeevan Utsav (Plan No. 871, UIN: 512N363V02) delivers reliable whole life insurance with limited premium payments. This non-linked, non-participating savings plan provides lifelong cover up to age 100, guaranteed additions during premium term, and flexible income benefits post-premium period; perfect for family protection and retirement planning in 2025.
Key Features of LIC Jeevan Utsav: Whole Life Insurance with Income Benefits
LIC Jeevan Utsav combines whole life coverage with savings elements, ensuring guaranteed returns without market risks.
- Limited Premiums, Lifetime Cover – Pay for 5-16 years only; risk cover continues till age 100.
- Guaranteed Additions – ₹40 per ₹1,000 Basic Sum Assured accrues each year during premium paying term only.
- Two Income Options Post-PPT – Choose Regular (fixed 10% of SA annually) or Flexi (defer at 5.5% p.a. compounded interest, withdraw up to 75% yearly).
- High Sum Assured Rebates – Premium discounts for larger coverage.
- Riders Available – Four specific riders: LIC’s Accidental Death & Disability Benefit Rider (UIN 512B209V02), Accident Benefit Rider (512B203V03), New Term Assurance Rider (512B210V02), Premium Waiver Benefit Rider (512B204V04); max 30% of base premium.
- Loan Facility – Available after premiums paid.
- Purchase Modes – Available offline or online via licindia.in (10% premium rebate online).
- Death Benefit in Instalments – Option for 5/10/15 years (minimum ₹5,000 monthly).
Eligibility Conditions
- Premium Paying Term (PPT): 5 to 16 years.
- Entry Age: Minimum 30 days (PPT 16 years) to 8 years (PPT 5-8 years); maximum 65 years (nearer birthday).
- Maximum Premium Ceasing Age: 75 years.
- Minimum Age for First Income: 18 years completed.
- Minimum Basic Sum Assured: ₹5,00,000 (multiples ₹25,000 for ₹5-24 lakh range, ₹1 lakh above ₹24 lakh).
- Maximum Sum Assured: No limit (subject to underwriting).
Risk starts immediately for ages 8+; for minors below 8, from age 8 or 2 years post-commencement.
Death Benefit: Strong Family Protection
On death after risk commencement, nominees receive “Sum Assured on Death” plus accrued Guaranteed Additions (minimum 105% of total premiums paid up to death, excluding taxes, extras, riders).
- Sum Assured on Death: Higher of Basic Sum Assured or 7 times annualized premium.
Survival Benefits: Regular or Flexi Income Explained
Post-PPT, 10% Basic Sum Assured payable annually starting from specified year.
When Does Income Start?
| Premium Paying Term | Income Start Year |
|---|---|
| 5-8 years | 11th policy year |
| 9 years | 12th |
| 10 years | 13th |
| 11 years | 14th |
| 12 years | 15th |
| 13 years | 16th |
| 14 years | 17th |
| 15 years | 18th |
| 16 years | 19th |
Switch options up to 6 months before first payout.
Regular vs Flexi Income Comparison
| Feature | Regular Income (Option I) | Flexi Income (Option II) |
|---|---|---|
| Payout Start | Fixed yearly from designated year | Same, but deferrable |
| Annual Amount | 10% of Basic SA | 10% of Basic SA + 5.5% p.a. compounded interest |
| Withdrawal Flexibility | None | Up to 75% yearly of accumulated balance |
| Accumulated Balance on Death/Surrender | Not applicable | Payable with interest |
| Suitability | Steady predictable cash flow | Build retirement corpus with growth |
Premium Rates and Rebates
Sample yearly premiums (₹5 lakh SA, standard lives, offline):
| PPT | Age 30 | Age 50 |
|---|---|---|
| 5 years | ₹1,10,150 | ₹1,18,625 |
| 10 years | ₹72,600 | ₹72,600 |
| 12 years | ₹44,275 | ₹45,225 |
| 16 years | ₹30,025 | ₹33,475 |
For age 48 (a common profile), PPT 10 years, ₹10L SA: ~₹1.45 lakh yearly (doubled from ₹72,600 for ₹5L); PPT 12: ~₹88k (illustrative).
High Sum Assured Rebates
Rebates apply in three slabs: ₹10-24 lakh, ₹25-49 lakh, ₹50 lakh+; higher rebate for larger SA, lower for longer PPT. Example: PPT 10, ₹10-24L slab ~2-5% rebate (varies; see LIC calculator).
Modal loadings: Half-yearly 1.75%, Quarterly 2.50%, Monthly 3.25%.
Loan, Surrender, and Paid-Up Options
| Policy Status | Max Loan (% of Surrender Value) |
|---|---|
| In-force | 75% |
| Paid-up | 50% |
- Paid-Up – After 1 year premiums; reduced SA/income if <₹2L (no survival benefit).
- Surrender Value – GSV from year 2 (30% factor); higher of GSV/SSV payable.
Frequently Asked Questions
Tax Benefits? Premiums qualify under Sec 80C; maturity/death under 10(10D) – consult tax advisor.
Revival Period? 5 years from first unpaid premium + interest (~9.5% half-yearly).
Free Look? 30 days for full refund (less proportionate risk premium).
Is Jeevan Utsav Right for You?
This plan suits those wanting lifelong protection, limited payments, and post-retirement income.
Ready to explore? WhatsApp Now +91-7832933580 for free premium quote & rider analysis for instant quote.
Disclaimer: This article is for educational purposes only and does not constitute financial advice. IRDAI-regulated (UIN 512N363V02); tax benefits under Sec 80C/10(10D) per rules; consult advisor. Always consult a qualified LIC advisor or financial professional for personalized recommendations based on your specific circumstances. Product features and tax rules are subject to change; refer to the latest LIC brochures and official tax guidelines for current details.
