LIC Jeevan Utsav Plan (Plan No. 771)
LIC's Jeevan Utsav is a life insurance plan that gives both savings and protection. It is not linked to the stock market and does not give bonuses from company profits. This is a whole life plan, which means it gives benefits for a long time.
In this plan, if the insured person dies, the family gets financial support. If the person stays alive, they can get a regular income or a flexible income, based on the option they choose.
All the benefits in this plan are fixed and guaranteed, so they do not change. This plan does not give any extra bonus or profit share.
You can buy this plan online from the LIC website or offline through agents, brokers, or insurance companies. However, it is not available through POSP or Common Service Centers.
Eligibility Criteria of LIC Jeevan Utsav Plan
| Parameter | Criteria |
|---|---|
| Entry Age | Min: 30 daysMax: 65 years |
| Maximum Premium Ceasing Age | 75 Years |
| Premium Paying Term | Min: 5 yearsMax: 16 years |
| Basic Sum Assured | Min: Rs. 5 lakhsMax: No Limit |
| The age at which you can start getting a regular income or Flexi Income under the policy. | 18 years (completed) |
- Commencement of Risk:
If the person taking the policy is younger than 8 years, the insurance protection will start either 2 years after the policy starts or when they turn 8—whichever comes first.If the person is 8 years or older, the insurance protection starts immediately from the date the policy is issued.
- When the policy fully belongs to the person (vesting):
If the policy is taken for a minor, it will automatically belong to them when they turn 18, on the policy anniversary closest to their 18th birthday.From that point, the policy is treated as a regular contract between the insurance company and the person.
Features of the LIC Jeevan Utsav Plan
- This is a whole life insurance plan, but you pay a premium only for a limited number of years.
- You can choose one option at the start:Option 1: Regular Income Benefit (fixed income)Option 2: Flexi Income Benefit (flexible income)
- You get guaranteed additions while you are paying the premium.
- You can choose how long you want to pay the premium (from 5 to 16 years).
- You can get a discount if you choose a higher sum assured.
- You can add extra benefits (riders) by paying a little more.
You can also take a loan from the policy if you need money.
Benefits of LIC Jeevan Utsav Policy
Death Benefit
If the person with the policy dies after the insurance starts, the nominee will get the Death Benefit. This includes the Sum Assured on Death plus any Guaranteed Additions. The minimum amount paid will always be 105% of the premiums paid. The Sum Assured on Death is the higher of the Basic Sum Assured or 7 times the yearly premium.
For Minors
If the policy is taken for a child below 8 years and the child dies before the insurance starts, the nominee will get back all the premiums paid (without interest).
Survival Benefit
Option I - Regular Income Benefit:If the person with the policy survives, they will get 10% of the Basic Sum Assured every year at the end of each policy year.
Option II - Flexi Income Benefit:If the policyholder chooses Flexi Income, they also get 10% of the Basic Sum Assured each year. But here, the money can be kept aside and added up, growing at 5.5% per year until they decide to take it out.
Premium Paying Term Regular Income Benefit / Flexi Income Benefit Start Year 5 years 11th policy year 6 years 11th policy year 7 years 11th policy year 8 years 11th policy year 9 years 12th policy year 10 years 13th policy year 11 years 14th policy year 12 years 15th policy year 13 years 16th policy year 14 years 17th policy year 15 years 18th policy year 16 years 19th policy year 
Guaranteed Additions:
Guaranteed Additions are extra benefits added to your policy every year during the time you pay premiums. For every Rs. 1,000 of your basic sum assured, Rs. 40 is added each year. This helps your policy grow steadily. Once you stop paying premiums, no more Guaranteed Additions will be added.
Maturity Benefits:
This policy does not give any money when it ends (no maturity benefit).
Tax Benefit:
The money you pay for this policy (including any extra riders) may give you tax benefits as per current tax rules.You can get a tax deduction on the premium under Section 80C.The money received as a death benefit is tax-free under Section 10(10D).These benefits depend on tax laws, which may change in the future. Also, GST or any other taxes on the premium will be charged extra and are not part of the policy benefits.
Riders Available with LIC Jeevan Utsav Plan
This plan offers 4 optional riders. You can choose any one rider by paying an extra premium to increase your coverage.
- 01
LIC Accidental Death and Disability Rider Benefit
You can add this rider only if your policy is active and more than 5 years of premium payments are still left.
This rider gives protection in case of accidental death or permanent disability. If the insured person dies within 180 days after an accident, an extra amount (Accident Benefit Sum Assured) is paid along with the normal death benefit.
- 02
LIC Accidental Benefit Rider
This rider is only for females and does not cover disability. If the insured person dies in an accident, an extra amount is paid along with the normal death benefit.
You can add this rider during the premium paying period if there are at least 5 years left before the policy ends. It is available up to age 70. For minors, it can be added after they turn 18 if requested.
- 03
LIC New Term Assurance Rider
This rider can only be taken when you buy the policy. You cannot add it later. If the insured person dies during the rider term, an extra sum assured is paid. The coverage lasts up to 35 years or till age 75, whichever comes first.
- 04
LIC Premium Waiver Benefit
This rider is for policies where the insured person is a minor. If the proposer (the person paying for the policy) dies during the policy term, all future premiums are waived (not required to be paid) until the rider term ends. If the policy continues beyond that, the child will have to pay the remaining premiums.
Option to take Death Benefit in Instalments
In this plan, the death benefit does not have to be taken as one full payment. It can be received in smaller payments over 5, 10, or 15 years. This option can be chosen by the policyholder (if the insured person is a minor) or by the insured person after turning 18. They can choose to receive all or part of the death benefit in instalments.
| Mode of paying installments | Minimum amount of installment (Rs.) |
|---|---|
| Monthly | 5,000 |
| Quarterly | 15,000 |
| Half-Yearly | 25,000 |
| Yearly | 50,000 |
Sample Illustrative Premium of LIC Jeevan Utsav Plan
Below are example yearly premium amounts for a basic sum assured of Rs. 5,00,000. These are for standard customers and apply to policies bought offline.
| Premium Paying Term | Age at Entry | ||
|---|---|---|---|
| Age 10 Years | Age 30 Years | Age 50 Years | |
| 5 Years | Rs. 1,09,575 | Rs. 1,10,150 | Rs. 1,18,625 |
| 8 Years | Rs. 72,600 | Rs. 72,600 | Rs. 72,600 |
| 12 Years | Rs. 44,250 | Rs. 44,275 | Rs. 45,225 |
| 16 Years | Rs. 29,900 | Rs. 30,025 | Rs. 33,475 |
The above example does not include any taxes.
LIC Jeevan Utsav Policy Details
Here are some simple details to help you understand the plan better:
Grace Period
If you miss paying your premium, LIC gives you extra time to pay it.15 days for monthly payments30 days for quarterly, half-yearly, or yearly payments
During this time, your policy is still active. If you do not pay within this period, the policy will stop (lapse).
Policy Surrender
You can give up (surrender) your LIC Jeevan Utsav policy after completing 1 year if you have paid one full year's premium.To get the Guaranteed Surrender Value (GSV), you must have paid at least 2 full years of premiums.If you surrender after this, LIC will pay the higher of the Guaranteed Surrender Value or the Special Surrender Value.
Free-Look Period
After buying the policy, you get 30 days to review it. If you are not happy, you can cancel it. If you cancel, your premium will be refunded after deducting small charges like the cost for the time you were covered, medical check-up, admin fees, and stamp duty.
Loan Facility
This policy also allows you to take a loan if you need money in an emergency.You can take a loan after 1 year, once you have paid a full year's premium.The loan amount can be up to 75% of the policy's surrender value.
Rebates on High Sum Assured
Online Sale Rebate :Get 10% discount on the premium if you buy the policy online.High Sum Assured Rebate : An extra discount is given for a higher sum assured.Rs. 25-49 lakhRs. 10-24 lakhRs. 50 lakh and above
The bigger the sum assured, the bigger the rebate. For longer premium payment terms, the rebate is a bit smaller.
Revival
If you don't pay your premium within the grace period, the policy will stop (lapse). You can restart (revive) a lapsed policy within 5 years from the date of the first unpaid premium.
Paid-Up Value
If you have paid at least one full year's premium but stop paying after that, your policy becomes a paid-up policy instead of ending completely.The policy stays active, but the benefits are smaller.The Death Sum Assured and Basic Sum Assured are reduced based on how many premiums you have paid compared to the original term.
Policy Termination
The LIC Jeevan Utsav policy will end automatically in these cases:Death benefit (lump sum or final instalment) is paid.Surrender value is paid.Option I: If the loan interest is not paid, and the total loan plus interest is more than the surrender value.Option II: If the loan interest is not paid, and the loan plus interest is more than the surrender value plus any unclaimed Flexi Income Benefits with interest.Policy is not revived during the revival period and has not become paid-up.Free-look cancellation amount is paid.Policy is cancelled because false information was given to LIC.
Exclusions
- 01If the insured person (whether mentally sane or not) dies by suicide within 12 months from the start of the policy:The nominee or beneficiary will get 80% of the total premiums paid (excluding taxes, extra premiums, and any rider premiums), only if the policy is active.This rule does not apply if the insured was under 8 years old at the time of policy start.
- 02If the insured dies by suicide within 12 months of reviving a lapsed policy:The nominee or beneficiary will get the higher of 80% of total premiums paid (excluding taxes, extra premiums, and rider premiums) or the surrender value at the time of death.No other claims under the policy will be paid.This rule does not apply:If the insured was under 8 years old at the time of revival.If the policy lapsed without becoming paid-up, in that case, nothing will be paid.
Disclaimer: Squareinsurance.in does not endorse or recommend any specific insurance company or insurance plan. For more details about this plan, please check the plan brochure or the policy document.
FAQs
It is a life insurance plan that gives both protection and savings. It provides fixed benefits, not linked to the stock market, and offers a regular or flexible income.
LIC Jeevan Utsav is a good plan if you want long-term safety and life cover. It gives guaranteed extra money and options for lifelong income. It is best for people who want steady and safe returns, not risky market profits.
LIC 711 (Jeevan Utsav) does not have a fixed interest rate. You earn money through guaranteed extra amounts and income benefits. Usually, the total return is about 5% to 7%, depending on how long you keep the policy and when you get paid.
Yes, the plan offers four extra covers (riders) you can add. They are:
- Accidental Death and Disability Benefit
- Accident Benefit
- New Term Assurance
- Premium Waiver Benefit
Yes, LIC Jeevan Utsav gives extra time to pay your premium. You get 15 days if you pay monthly, and 30 days if you pay quarterly, half-yearly, or yearly. This helps if you miss the payment date.