LIC’s Jeevan Utsav (Plan No. 771) is a long-term, non-linked, non-participating guaranteed income life insurance plan designed for individuals seeking lifelong financial security, predictable income, and a strong blend of protection and stability. This policy is structured to meet the needs of those who want consistent returns throughout life, while also ensuring that their family is financially protected through a robust life cover. The plan is suitable for all age groups and is especially popular among those planning long-term goals such as retirement income, financial legacy, or a stable supplementary income source.
Jeevan Utsav provides a disciplined savings approach combined with lifelong protection. It is engineered to offer guaranteed income at fixed intervals or a lump-sum benefit, depending on the plan variant selected. This flexibility enables policyholders to customize the plan based on their financial objectives. Whether the individual prioritizes income flow, maturity benefit, or long-term protection, the plan accommodates all major financial needs under a single umbrella.
One of the major highlights of Jeevan Utsav is its guaranteed benefits. Unlike market-linked plans, the payouts under this policy are guaranteed from the beginning, protecting the policyholder from market volatility and economic fluctuations. This makes it an ideal option for risk-averse individuals who prefer stable, predictable returns. Additionally, the guaranteed lifetime income feature ensures that policyholders can enjoy financial stability even in their old age, making the plan well-suited for retirement planning.
The plan provides two primary benefit options: the Regular Income Benefit and the Flexi Income Benefit. Under the Regular Income Benefit, policyholders receive a guaranteed payout at fixed intervals after the premium payment term ends. This systematic cash flow can be used for everyday expenses, medical needs, lifestyle costs, or investment purposes. In contrast, the Flexi Income Benefit provides the flexibility of accumulating guaranteed income and withdrawing it as needed. This option offers better financial control, especially for those who may not require regular payouts consistently.
In terms of protection, Jeevan Utsav includes a strong life insurance cover that ensures the policyholder’s family is safeguarded in the event of an unfortunate demise. The death benefit is designed to offer financial stability and a reliable safety net, helping dependents manage expenses, repay debts, or fund long-term goals like education or housing. This makes the plan a comprehensive protection tool in addition to being a high-yield savings product.
Premium payment options in Jeevan Utsav are also highly flexible. Policyholders can choose from single premium, limited premium, or regular premium modes depending on their income flow and preference. This adaptability allows individuals at various financial stages to opt for a premium structure that aligns with their financial strategy. For instance, young earners might prefer smaller periodic premiums, while high-income professionals may opt for a single premium to avoid long-term commitments.
The plan includes attractive tax benefits under Section 80C on premium payments and Section 10(10D) for payouts, provided policy conditions are met. For individuals seeking tax-efficient investment avenues, Jeevan Utsav offers the dual advantage of tax savings and guaranteed returns. These tax benefits further enhance the overall value proposition of the plan.
An important component of Jeevan Utsav is its liquidity provision. Although primarily a long-term savings plan, it allows policyholders to take loans against the policy once a certain number of premiums are paid. This ensures financial flexibility during emergencies or major expenditures. The loan facility acts as a financial cushion without disturbing the long-term goal of maintaining the policy until maturity.
To ensure better protection, the plan also offers optional riders such as Accident Benefit Rider and Critical Illness Rider. By adding these riders, policyholders can enhance their coverage significantly, thereby addressing major life risks under one policy. These riders are particularly useful for families wanting additional layers of security against unpredictable life events.
A practical example of this plan’s benefits can be seen in the case of a 40-year-old individual opting for Jeevan Utsav with a 20-year premium payment term. After completing the term, the policyholder begins to receive guaranteed annual payouts until age 100 or throughout life. These payouts act as a stable income source during retirement. In case of the policyholder’s death, the family receives the death benefit, ensuring that the financial well-being of dependents is preserved.
Another example involves an individual choosing the Flexi Income Benefit option. Instead of receiving periodic payouts, the guaranteed benefits are accumulated year after year. At any point, the individual can withdraw the accumulated amount partially or fully, depending on financial needs. This provides greater flexibility for those who might need funds occasionally for large expenses such as property purchase, medical treatments, or education.
In conclusion, LIC’s Jeevan Utsav (771) is a powerful, multi-functional insurance plan that combines guaranteed returns, lifelong income, strong protection, and financial flexibility. Its structured benefits make it highly suitable for retirement planning, long-term wealth creation, and family protection. With predictable income, comprehensive protection, tax advantages, and multiple benefit options, Jeevan Utsav stands out as one of LIC’s most versatile and consumer-centric offerings. Individuals looking for a risk-free, guaranteed, and flexible plan will find Jeevan Utsav an exceptional choice for ensuring long-term financial stability.