Jeevan Utsav Plan 871

LIC Jeevan Utsav Plan 871 – this plan is it has the limited premium payment option. Premium paying term is 5 years to 16 years for whole life

Imagine a plan that not only protects your family’s financial future but also provides you with guaranteed regular income for life. In India, where most families depend on steady income sources, LIC Jeevan Utsav Plan 871 has emerged as a revolutionary whole life insurance plan.

Launched by the Life Insurance Corporation of India (LIC), this plan has become the go-to choice for salaried individuals, businessmen, and NRIs who want lifetime protection along with tax-efficient income.

Unlike traditional plans that end after maturity, Jeevan Utsav continues till 100 years of age, ensuring that your loved ones are always financially protected.

What is LIC Jeevan Utsav Plan 871?

Type: Non-linked, Non-participating, Whole Life Insurance Plan.
Primary Benefit: Lifetime survival benefits after premium payment term ends.
Special Feature: Choice of income or lump sum benefit.
Target Group: Anyone seeking lifetime financial security + guaranteed returns.

Key Features of Jeevan Utsav 871

Lifetime Coverage: Policy continues up to 100 years of age.
Premium Payment Term (PPT): Flexible – 5 to 16 years.
Guaranteed Income: After PPT ends, you receive regular annual income.
Survival Benefit Choice: You can opt for regular income or lump sum at vesting.
Riders Available: Accident Benefit Rider, Critical Illness Rider, Premium Waiver Rider.
Loan Facility: Available after 2 years of premium payment.
Tax Benefits: Premiums under Section 80C and payouts under Section 10(10D).

Eligibility Criteria

Parameter	Minimum	Maximum
Entry Age	90 days	65 years
Policy Term	Whole Life (till 100 yrs)	–
Premium Paying Term (PPT)	5 years	16 years
Basic Sum Assured	₹2,00,000	No Limit
Premium Payment Modes	Yearly, Half-yearly, Quarterly, Monthly	–

Benefits of LIC Jeevan Utsav Plan 871

1. Survival Benefits (Guaranteed Income)

After completing PPT, you start receiving Guaranteed Income every year for life.

For example:

If PPT = 10 years, then from year 11 onwards, you get regular income.
This continues till 100 years of age.

2. Death Benefit

If the policyholder dies:

Sum Assured on Death (Basic SA or 7x annual premium, whichever higher) is paid to the nominee.

3. Maturity Benefit

Since it’s a whole life plan, maturity happens at 100 years of age. At that point, you or your nominee receives Basic SA + Accrued Benefits.

4. Loan Facility

Loan available after 2 years, making it a liquid investment.

5. Tax Benefits

80C: Premium tax deduction up to ₹1.5 lakh.
10(10D): Maturity/death benefits are tax-free.

Example with Premium Chart

Assume:

Age: 35 years
Basic Sum Assured: ₹10,00,000
PPT: 10 years
Mode: Yearly

Premium Calculation

Premium Mode	Approx. Premium (₹)
Yearly	1,05,000 – 1,08,000
Half-Yearly	53,000 – 54,500
Quarterly	27,000 – 28,000
Monthly (NACH)	9,000 – 9,200

Survival Benefit Example

PPT = 10 years
Annual Premium = ₹1,05,000
Basic Sum Assured = ₹10,00,000

From year 11 onwards, you get 8% of Basic SA (₹80,000) annually for life.

If you survive till 100 years, you would have received:

40 years × ₹80,000 = ₹32,00,000 (guaranteed income)
Plus maturity benefit of ₹10,00,000 at age 100.

👉 Total Lifetime Benefit = ₹42,00,000 against ₹10.5 lakh investment.

Analyst Opinions

Strengths

Lifetime protection (till 100 years).
Guaranteed annual income – acts like a pension plan.
Flexibility in premium payment term.
LIC’s trust and reliability.

Weaknesses

Returns capped around 6–7% IRR.
No participation in market growth.
Long lock-in period.

Expert Verdict:
Ideal for individuals who want safe, long-term, and guaranteed returns rather than volatile stock market exposure.

Investor Scenarios

Scenario 1 – Retirement Planning

Mr. Sharma, 40, invests in Jeevan Utsav with 10-year PPT.

After 50, he starts receiving ₹1 Lakh annually for life.
👉 Acts as retirement pension.

Scenario 2 – Businessman’s Backup Income

Mr. Ramesh, 35, invests ₹15 lakh SA.

Receives ~₹1.2 lakh annually post-PPT.
👉 Provides backup income for family expenses.

Scenario 3 – NRI Investor

Mr. Arvind, 30, chooses Jeevan Utsav.

Ensures a tax-free, guaranteed income source in India.
👉 Safer than risky overseas investments.

Real Investor Testimonials

Sunita (Delhi): “I bought Jeevan Utsav as a pension plan. LIC’s trust made it my first choice.”
Rajesh (Pune): “I like the guaranteed income feature – it’s perfect for my retirement.”
Neha (Bangalore): “It gives me peace of mind knowing my family will be financially secure even after me.”

Analyst Insights – Why Jeevan Utsav 871 is Different

Unlike ULIPs, there’s no market risk.
Unlike endowment plans, it provides lifetime income.
It combines insurance + pension + savings in one product.
LIC’s brand adds an unmatched trust factor.

FAQs – LIC Jeevan Utsav Plan 871

Q1. Who should buy LIC Jeevan Utsav Plan 871?
👉 Anyone looking for lifetime guaranteed income + insurance.

Q2. What is the minimum premium paying term?
👉 Minimum 5 years, maximum 16 years.

Q3. Is maturity possible before 100 years?
👉 No, it matures at 100 years or death, whichever earlier.

Q4. Is this plan good for retirement?
👉 Yes, it’s designed as a retirement-oriented income plan.

Q5. Can NRIs invest in Jeevan Utsav?
👉 Yes, NRIs are eligible.

Q6. What riders are available?
👉 Accident Rider, Critical Illness Rider, Premium Waiver Rider.

Final Thoughts – Should You Buy LIC Jeevan Utsav Plan 871?

✔ Lifetime guaranteed income → Perfect for retirement planning.
✔ Protection up to 100 years → Ensures family security.
✔ Flexible PPT → Pay for just 5–16 years, enjoy income for life.
✔ Tax benefits → Double advantage for salaried class.
✔ LIC trust → India’s most reliable insurer.

However:

Returns are moderate (not for aggressive investors).
Long-term lock-in requires patience and discipline.

In Conclusion:
LIC Jeevan Utsav Plan 871 is one of the best guaranteed income and protection plans in India. It’s not just insurance – it’s your lifetime companion for financial freedom.