As you approach retirement or look for safe ways to grow your savings, it’s important to choose schemes that offer steady income, safety, and peace of mind. One such trusted plan from Life Insurance Corporation of India (LIC) is the Jeevan Umang (Plan 845).
This plan is a perfect blend of insurance and yearly income, designed to support your golden years with guaranteed returns and lifelong coverage.
Let’s explore what makes LIC Jeevan Umang a smart choice for senior citizens.
🧓 What is LIC Jeevan Umang?
LIC Jeevan Umang is a non-linked, with-profit, whole life assurance plan that offers:
- Yearly income (8% of Sum Assured) after the premium-paying term ends
- Insurance cover for life (up to age 100)
- Lump sum benefit at maturity or on death
- Bonus additions to grow your savings
📝 Who Can Invest?
This policy is available for people of all ages, but it’s ideal to start during your working years to enjoy the benefits after retirement.
| Criteria | Details |
|---|---|
| Minimum Entry Age | 90 days |
| Maximum Entry Age | 55 years |
| Maximum Maturity Age | 100 years |
| Policy Term | Whole life (up to 100 years of age) |
| Premium Paying Terms | 15, 20, 25, or 30 years |
💰 Key Features of LIC Jeevan Umang
✅ 1. Regular Yearly Income
After your premium-paying term ends, LIC pays you 8% of the Basic Sum Assured every year until age 100.
✅ 2. Lifelong Risk Cover
In case of the policyholder’s death at any point, LIC pays a death benefit (including bonuses) to the nominee.
✅ 3. Maturity Benefit
If you live to 100, you receive a lump sum payout including the Sum Assured and accumulated bonuses.
✅ 4. Bonus Benefits
LIC adds Simple Reversionary Bonus every year + a Final Addition Bonus at maturity or death.
✅ 5. Tax Benefits
- Section 80C: Premiums are tax-deductible
- Section 10(10D): Maturity and death proceeds are tax-free (as per current tax laws)
✅ 6. Loan Facility
You can take a loan against the policy after paying premiums for a few years—helpful during emergencies.
📊 How Does LIC Jeevan Umang Work? (Simple Example)
Let’s say Mr. Sharma, aged 50, takes this plan with the following details:
- Sum Assured: ₹5,00,000
- Premium Paying Term: 15 years
- Annual Premium: Approx. ₹39,000*
After 15 Years:
- He receives ₹40,000 every year (8% of ₹5,00,000) as guaranteed yearly income
- This continues until he turns 100, or until death
At Age 100:
- If alive, he receives a maturity benefit (Sum Assured + Bonuses), worth ₹8–10 lakhs or more
In Case of Early Death:
- His nominee receives a lump sum death benefit + accumulated bonuses
*Premium depends on age and policy term. Please consult LIC or a certified advisor for exact details.
🎯 Why Is This Plan Great for Senior Citizens?
Here’s why LIC Jeevan Umang stands out for retirees and older investors:
- ✔️ Fixed yearly income post-retirement
- ✔️ Safe & risk-free investment
- ✔️ Backed by LIC – India’s most trusted insurer
- ✔️ No stock market involvement
- ✔️ Financial protection for your family
- ✔️ Tax savings included
📝 Important Things to Keep in Mind
- Start early to reduce your premium and increase your income benefit
- The policy is not suitable for short-term investors
- Bonuses are not guaranteed, but historically LIC has paid them consistently
- This plan is ideal for building a second pension or creating inheritance for your family
📌 Final Thoughts
LIC Jeevan Umang (Plan 845) is more than just insurance—it’s a tool to build lifetime income and financial peace of mind.
Whether you’re planning for retirement or want to leave something behind for your family, this plan is a safe and rewarding investment option to consider.
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