In the realm of financial planning, securing the future of your loved ones is paramount. LIC Jeevan Utsav-871 emerges as a beacon of financial stability, providing a holistic whole-life insurance plan tailored to your family’s needs. Let’s delve into the intricate details of this newly launched plan, unraveling its features, benefits, and eligibility criteria.
LIC Jeevan Utsav- An Overview
LIC’s Jeevan Utsav is a robust whole life insurance plan crafted to offer comprehensive financial support to your family in case of unforeseen events. This plan introduces flexibility through Regular Income Benefit or Flexi Income Benefit, along with guaranteed additions throughout the premium-paying term. The ability to choose a premium-paying term between 5 to 16 years adds another layer of customization to meet individual requirements.
Key Features of LIC Jeevan Utsav
- Lifetime Protection, Limited Premiums: Whole life coverage combined with the convenience of restricted premium payments ensures a secure financial future.
- Income Flexibility: Policyholders can choose between Regular or Flexi Income Benefits right at the policy’s inception, tailoring the plan to their financial goals.
- Steady Growth: Guaranteed additions accrue throughout the premium payment term, providing a steady growth component to the policy.
- Flexible Premium Terms: Choose premium payment terms that align with your financial strategy, ranging from 5 to 16 years.
- Customizable Coverage: Enhance protection by opting for additional riders that offer tailored benefits to suit your needs.
Eligibility Criteria of LIC Jeevan Utsav 871
To embark on the journey of securing your family’s financial future with LIC Jeevan Utsav 871, certain eligibility criteria must be met.
| Criteria | Minimum Age | Maximum Age |
|---|---|---|
| Entry Age | 90 Days | 65 Years |
| Maximum Premium Ceasing Age | – | 75 Years |
| Premium Paying Term | 5 Years | 16 Years |
| Basic Sum Assured | Rs. 5 Lakhs | No limit |
Benefits of LIC Jeevan Utsav
LIC Jeevan Utsav offers a range of benefits to its policyholders. Here are some of them:
- Death Benefit: In case of the policyholder’s demise, the nominee receives the “Sum Assured on Death” along with accrued Guaranteed Additions, ensuring financial support for the nominee. The Death Benefit is not less than 105% of the total premiums paid, with the “Sum Assured on Death” being the higher of the Basic Sum Assured or 7 times the Annualized Premium.
- Flexibility and Refund for Minors: The policy offers premium payment flexibility with various options. In the case of a minor Life Assured (age below 8 years at entry), if death occurs before the commencement of risk, the death benefit is a refund of premiums paid without interest.
- Survival Benefit: Policyholders can choose between two options for the Survival Benefit:
- Option I – Regular Income Benefit: Upon the survival of the Life Assured, a Regular Income Benefit equal to 10% of the Basic Sum Assured is payable at the end of each policy year.
- Option II – Flexi Income Benefit: Policyholders opting for Flexi Income Benefit receive 10% of the Basic Sum Assured at the end of each policy year upon survival.
- Guaranteed Additions: Guaranteed Additions accrue at the rate of Rs. 40 per thousand Basic Sum Assured at the end of each policy year during the Premium Paying Term, providing a consistent growth component. No further accrual of Guaranteed Additions occurs after the Premium Paying Term.
- Enhanced Protection with Riders: The plan comes with several riders that allow the policyholder to enhance their coverage by paying extra premiums. The riders available are:
- LIC Accidental Death and Disability Rider Benefit
- LIC Accidental Benefit Rider
- LIC New Term Assurance Rider
- LIC New Critical Illness Rider
- LIC Premium Waiver Benefit
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Exclusions of LIC Jeevan Utsav
- Suicide Exclusion Clause: In case of the Life Assured (whether sane or insane) committing suicide within 12 months, the nominee will receive 80% of the total premiums paid, excluding taxes, extra premiums, and rider premiums, provided the policy is in force. This exclusion doesn’t apply if the Life Assured’s age at entry is below 8 years. If the Life Assured commits suicide within 12 months from the date of revival, the payable amount will be the higher of 80% of the total premiums paid till the date of death (excluding taxes, extra premium, and rider premiums), or the surrender value as of the date of death. This exclusion is not applicable if the life assured is below 8 years at the time of revival or for a lapsed policy without acquisition.
- Grace Period: LIC provides a grace period of 15-30 days for policyholders who have not paid their due premium, and if the payment is not made within this timeframe, the policy lapses.
- Free-Look Period: Policyholders have a 15-day free-look period from the policy initiation date, during which they can cancel the policy if dissatisfied with its terms and conditions.
- Policy Surrender: Upon payment of premiums for two consecutive years, policyholders can surrender the policy, receiving a surrender value equal to the higher of the special surrender value or guaranteed surrender value.
- Loan Facility: LIC Jeevan Utsav offers a loan facility, allowing policyholders to obtain loans to address financial emergencies.
Conclusion
LIC Jeevan Utsav is a comprehensive whole life insurance plan that offers a range of benefits to its policyholders. The policy provides financial support to the family in case of the unfortunate death of the Life Assured and survival benefits in the form of Regular Income Benefit or Flexi Income Benefit as per the option chosen for surviving policyholder. The policy also offers premium payment flexibility, guaranteed additions, and a range of riders to cater to diverse financial goals. Policyholders can surrender the policy upon payment of premiums for two consecutive years, receiving a surrender value equal to the higher of the special surrender value or guaranteed surrender value. The policy also offers a loan facility, allowing policyholders to obtain loans to address financial emergencies. However, it is important to note that the policy has certain exclusions, such as the Suicide Exclusion Clause, which policyholders should be aware of. LIC Jeevan Utsav is a versatile insurance plan that not only provides life coverage but also offers various options and benefits to suit individual needs. With its flexible options, comprehensive coverage, and rider choices, it caters to the diverse needs of policyholders. I hope this information helps you make an informed decision about LIC Jeevan Utsav.
FAQ’s
- What is Jeevan Utsav?
Jeevan Utsav is a non-linked, non-participating, individual, savings, whole life insurance plan offered by the Life Insurance Corporation of India (LIC). - What is the minimum age at entry for Jeevan Utsav?
The minimum age at entry for Jeevan Utsav is 90 days. - What is the maximum age at entry for Jeevan Utsav? The maximum age at entry for Jeevan Utsav is 65 years.
- What is the minimum basic sum assured for Jeevan Utsav? The minimum basic sum assured for Jeevan Utsav is Rs. 5,00,000/-.
- What is the maximum basic sum assured for Jeevan Utsav? There is no limit on the maximum basic sum assured for Jeevan Utsav.
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