LIC Jeevan Utsav: LIC offers a variety of policies tailored to individual needs, including the Jeevan Utsav Lifetime Pension Plan. This plan guarantees a fixed annual amount to policyholders for life after a specific period, unaffected by market fluctuations or economic conditions. For children under 1 year old, saving Rs 160 daily for 16 years can secure an annual payout of Rs 1 lakh from the age of 18 onwards, at a daily rate of Rs 274.
Details of Jeevan Utsav
– The plan is open to infants aged 30 days to individuals aged 65.
– Premiums must be paid for up to 16 years for children under 1 year, and seniors over 65 can choose a payment period of 5-10 years.
– The minimum sum assured is Rs 5 lakh with no maximum limit.
– Under the Regular Income Plan, 10% of the sum assured is credited annually for life, commencing two years after premium payments cease, until age 100.
– Riders such as ADDB, AB, AB (2x), AB (3x), Term Rider, and PWB are available at an extra cost.
– Risk coverage starts two years after policy inception or when a child turns 8, depending on the child’s age at policy purchase.
Here are the Example
– An individual, ABC, aged 36, opts for a Rs 10 lakh policy with an ADDB rider for 15 years.
– Premiums amount to Rs 66,150 annually, Rs 33,653 semi-annually, Rs 16,950 quarterly, or Rs 5,691 monthly for 15 years.
– After 15 years of premiums, there is a two-year break, and from age 53 onwards, ABC receives an annual credit of Rs 1 lakh or 10% of the sum assured.
– In case of death, the nominee receives the sum assured and any guaranteed additions based on the number of years the policyholder paid premiums.
The magic of compounding and two special options
LIC has offered its customers two excellent options. The first is the Regular Income Benefit, which provides a fixed annual sum. The second is the Flexi Income Benefit, meaning that if you don’t need the annual sum immediately, you can leave it with LIC. LIC will pay you compound interest on this money at a rate of 5.5% per annum, which you can withdraw later.
Plan for your child’s bright future
This plan is a great gift for a secure future for children. It can be taken out for anyone from 90 days old to 65 years old. The minimum sum assured is ₹5 lakh. If you take it out in your child’s name, they will receive a guaranteed annual income for life, starting from the time their education or career begins. It also includes loan benefits, tax exemptions, and life cover.