LIC’s Jeevan Utsav Plan – Complete Detailed Guide

LIC’s Jeevan Utsav is a whole-life, non-linked, non-participating savings and protection plan launched on November 29, 2023. It is designed to provide lifelong income, lifelong insurance coverage, and guaranteed additions during the premium-paying term. This plan addresses India’s rising demand for flexible premiums, lifetime benefits, and strong financial stability from the nation’s most trusted insurer.

Overview of LIC's Jeevan Utsav

This plan is ideal for anyone seeking a combination of long-term security, guaranteed income, and whole-life protection. It provides flexibility, customized cash flow options, and additional riders for enhanced risk coverage. Jeevan Utsav is especially beneficial for individuals looking for:

• Lifelong financial support in the form of regular or flexible income
• Guaranteed income without market risks
• Whole life insurance coverage
• Limited and flexible premium payment options
• Strong protection for dependents with multiple rider choices

Eligibility & Basic Conditions

• Entry Age: 90 days to 65 years
• Premium Paying Term (PPT): Minimum 5 years – Maximum 16 years
• Policy Type: Whole life plan (coverage continues for lifetime)
• Plan Type: Non-linked & non-participating
• Guaranteed Additions: ₹40 per ₹1,000 Basic Sum Assured every year during PPT

Guaranteed Additions

Throughout the premium-paying term, LIC adds guaranteed benefits to the policy:

• At the end of each policy year with paid premium
• Guaranteed addition of ₹40 per thousand Basic Sum Assured
• Accumulates continuously until all premiums are paid

These additions create a long-term wealth component for the policyholder while simultaneously boosting the death benefit.

Lifetime Income Options After PPT

Once the premium-paying term ends and the policyholder survives the deferment period, they may choose from two income options:

Option I: Regular Income Benefit

• 10% of Basic Sum Assured paid every year
• Payout starts after 3 to 6 years from the end of PPT
• Lifelong continuous income payout
• Best for retirees or families needing steady cash flow

Option II: Flexi Income Benefit

• 10% of Basic Sum Assured may be taken later instead of receiving annually
• Deferred payouts earn 5.5% interest compounded yearly
• Withdraw anytime (as per policy terms)
• Best for individuals aiming for compounding benefits

This flexibility allows policyholders to design their income pattern based on changing financial needs.

Death Benefit – Whole Life Protection

LIC offers substantial protection to the family through a robust death benefit:

• Applies after risk commencement
• Death Benefit = Sum Assured on Death + accumulated guaranteed additions
• Minimum payout = 105% of total premiums paid
• Sum Assured on Death = Higher of:
  • Basic Sum Assured, OR
  • 7 × Annualized Premium

This ensures strong, predictable financial protection for the policyholder’s family regardless of market fluctuations.

No Maturity Benefit – Only Lifetime Income

Since Jeevan Utsav provides income benefits for the entire life, it does not offer a maturity benefit. The policy continues lifelong, and the income keeps flowing based on the selected option.

Loan Facility & Liquidity

The policy offers strong liquidity support:

• Loan available after completing the required period
• Helps during financial emergencies
• Loan amount depends on surrender value

High Sum Assured Rebates

LIC provides special rebates for large sum assured cases, reducing the premium burden and making the plan cost-effective for high-income earners.

Optional Riders for Extra Protection

Jeevan Utsav supports 5 rider options:

• LIC Accidental Death and Disability Rider
• LIC Accident Benefit Rider
• LIC New Term Assurance Rider
• LIC New Critical Illness Rider
• LIC Premium Waiver Benefit Rider

These riders enhance the protection element of the policy and safeguard the insured against various life uncertainties.

Why LIC’s Jeevan Utsav Is Unique

• Lifetime guaranteed income
• Lifetime insurance coverage
• Guaranteed additions boost benefits
• Flexibility to choose income mode
• No market risk
• Short premium payment for lifelong benefits
• Loan facility for financial emergencies
• Multiple rider options
• Ideal for retirement planning, estate creation, and legacy planning

Conclusion

LIC’s Jeevan Utsav is a powerful blend of guaranteed lifetime income, flexibility, and security. With lifelong protection, limited premium payment, strong guaranteed additions, and customizable payouts, it is one of India’s most attractive long-term financial planning solutions. Whether for retirement planning, family security, or wealth creation, this plan fits perfectly into the financial needs of modern families seeking stability and predictability.