IndiaFirst Life CSC ShubhLabh Plan: Good or Bad? A detailed ULIP Review

Is the IndiaFirst Life CSC ShubhLabh Plan a true blend of simplicity and security — or just a basic policy with limited benefits?

Is the IndiaFirst Life CSC ShubhLabh Plan a practical choice for underserved communities — or an outdated model in a modern market?

Is the IndiaFirst Life CSC ShubhLabh Plan a stepping stone to financial security — or a dead-end in terms of wealth creation?

This review breaks down the key features, benefits, and limitations of the plan, so you can decide whether it aligns with your financial goals and make a well-informed choice.

Table of Contents:

What is the IndiaFirst Life CSC ShubhLabh Plan?

What are the features of the IndiaFirst Life CSC ShubhLabh Plan?

Who is eligible for the IndiaFirst Life CSC ShubhLabh Plan?

What are the benefits of the IndiaFirst Life CSC ShubhLabh Plan?

1. Maturity benefit

2. Death benefit

What are the charges in the IndiaFirst Life CSC ShubhLabh Plan?

Grace Period, Discontinuance and Revival of the IndiaFirst Life CSC ShubhLabh Plan

Free Look Period for the IndiaFirst Life CSC ShubhLabh Plan

Surrendering the IndiaFirst Life CSC ShubhLabh Plan

What are the advantages of the IndiaFirst Life CSC ShubhLabh Plan?

What are the disadvantages of the IndiaFirst Life CSC ShubhLabh Plan?

Final Verdict on the IndiaFirst Life CSC ShubhLabh Plan

What is the IndiaFirst Life CSC ShubhLabh Plan?

IndiaFirst Life CSC ShubhLabh Plan is a non-linked, non-participating, variable insurance plan. It is a low-premium insurance plan that helps you build a corpus through savings at your convenience.

The plan augments your savings through regular interest additions, along with providing life cover.

What are the features of the IndiaFirst Life CSC ShubhLabh Plan?

• Pay premiums monthly, half-yearly, or annually—whichever suits your convenience—for a policy term of 10 or 15 years.
• In the unfortunate event of the life assured’s demise, a lump sum death benefit is paid to the nominee, offering financial security to your family.
• Enjoy a minimum guaranteed additional interest of 4% p.a. for the first 5 policy years and 0.5% p.a. thereafter.
• At the end of the IndiaFirst Life CSC ShubhLabh Plan policy term, receive a lump sum maturity benefit equivalent to the accumulated account value.
• After five policy years, get easy access to your funds through partial withdrawals anytime during the plan year, free of charge.
• Boost your savings further with the Top-Up facility by making additional contributions.
• Gain tax benefits on premiums paid under Section 80C and on maturity/death benefits under Section 10(10D), as per prevailing tax laws.

Who is eligible for the IndiaFirst Life CSC ShubhLabh Plan?

Minimum age at the time of applying for the plan	18 years as on last birthday
Maximum age at the time of applying for the plan	55 years as on last birthday
Maximum cover ceasing age	65 years as on the last birthday
Regular Premium	For entry age below 45 years – 10 times Annualised Premium
	For entry age of 45 years & above – 7 times Annualised Premium
Top-up Premium (age at the time of payment of the top-up)	For entry age below 45 years – 125% of Top-up Premium
	For entry age of 45 years & above – 110% of Top-up Premium
Plan Term	10 years and 15 years
Premium Paying Term	10 years and 15 years
Minimum Premium	Yearly – Rs 1,500 Half Yearly – Rs 750 Monthly – Rs 125
Maximum Premium	Yearly – Rs 20,000 Half Yearly – Rs 10,000 Monthly – Rs 1,667

What are the benefits of the IndiaFirst Life CSC ShubhLabh Plan?

1. Maturity benefit

On maturity, you will receive a lump sum amount equal to the higher of

• Total premiums paid, including top-up premiums paid, less partial withdrawal (with time value) made, if any, compounded at 1% per annum till the date of Maturity or
• The Accumulated Account Value.

2. Death benefit

In case of the untimely event of the life assured’s demise, while the IndiaFirst Life CSC ShubhLabh Plan is in force with life cover, the nominee will receive the higher of the following:

• Sum Assured or
• 105% of total premiums paid, including top-up premiums, if any, paid till the date of death or
• Total premiums, including top-up premiums, paid to date of death, compounded at 1% p.a. or
• Account Value

What are the charges in the IndiaFirst Life CSC ShubhLabh Plan?

i.) Premium Allocation Charge

• Year 1 – 20% p.a. of annualised premium
• Year 2 – NIL
• Top-up premium – No Allocation charge

ii.) Fund Management Charge

Not Applicable

iii.) Policy Administration Charge

Nil

iv.) Mortality Charge

Annual Mortality Charge is expressed in rupees per 1000 sum at risk, which is the sum assured. Mortality Charges are guaranteed throughout the term

v.) Discontinuance Charge

Not applicable

Inference from the charges: Unlike traditional endowment plans that typically don’t carry charges, the IndiaFirst CSC ShubhLabh Plan imposes charges similar to ULIPs. These charges eat into your investment, reducing your account value and dampening long-term returns.

Grace Period, Discontinuance and Revival of the IndiaFirst Life CSC ShubhLabh Plan

Grace Period

In case you have not paid the premium on the due date, you will receive a grace period of 30 days to make the payment.

Discontinuance

Discontinuance within the first 5 Plan Years: your life cover will cease immediately, and the plan will continue.

You will still enjoy the benefits of a guaranteed interest rate and minimum guaranteed additional interest on the account value till the end of the lock-in period or revival period of two plan years, whichever is later.

Discontinuance after the first 5 Plan Years: The plan will continue with life cover till the end of the revival period. You will still enjoy the benefits of a guaranteed interest rate and minimum guaranteed additional interest on the account value till the end of the revival period, i.e. two years.

Revival

You may revive the plan within the Revival Period of 2 (Two) years by paying all due premium amount without any interest or charge, and start paying the premium hereon.

Free Look Period for the IndiaFirst Life CSC ShubhLabh Plan

You may cancel your IndiaFirst Life CSC ShubhLabh Plan if you disagree with any of the terms and conditions during the free look period, i.e. within the first 15 days from receiving your plan details.

Surrendering the IndiaFirst Life CSC ShubhLabh Plan

In the first 5 years: If you do not revive the plan during the revival period, it will be treated as a complete withdrawal. The account value will be payable to the life assured at the end of the lock-in period, and the plan will be terminated immediately.

After the first 5 Plan Years, the account value will be paid to the life assured, and the IndiaFirst Life CSC ShubhLabh Plan will be terminated immediately.

What are the advantages of the IndiaFirst Life CSC ShubhLabh Plan?

• Hassle-free enrolment with just your name and Aadhaar number—no complex paperwork.
• All benefits under this plan are guaranteed, offering clarity and certainty throughout your policy term.

What are the disadvantages of the IndiaFirst Life CSC ShubhLabh Plan?

• The sum assured is relatively low, offering limited financial protection.
• The policy term and premium payment options are inflexible, leaving little room for customisation.
• While the benefits are guaranteed, the overall returns are low, making it less attractive as a wealth-building option.
• The plan comes with a 5-year lock-in period, restricting early access to your funds.
• Premium allocation charges, similar to those in ULIPs, reduce the amount actually invested.

Final Verdict on the IndiaFirst Life CSC ShubhLabh Plan

The IndiaFirst Life CSC ShubhLabh Plan is a savings-cum-insurance product where you pay regular premiums, receive life cover throughout the policy term, and get a guaranteed maturity benefit if you survive the term.

While it is positioned as a traditional endowment plan, it offers little value to investors, as it bundles insurance and investment, often a suboptimal combination.

What makes this plan particularly unattractive is that, despite not being market-linked, it levies charges and enforces a 5-year lock-in period, similar to Unit Linked Insurance Plans (ULIPs).

These features are generally unfavourable for traditional plan investors seeking stability and liquidity and it also has a high agent commission.

The maximum annual premium is capped at ₹20,000, with the maximum sum assured at ₹2 lakhs—just 10 times the annual premium.

As per IRDAI guidelines, the minimum recommended sum assured for life insurance is ₹5 lakhs, which provides a more meaningful financial cushion for a family. This plan clearly falls short of that benchmark, offering inadequate protection.

Choose a pure term life insurance policy with a sum assured that aligns with your life goals and liabilities. This ensures real financial protection for your family at a much lower cost.

To meet your financial goals, invest your savings separately in suitable instruments based on your risk appetite and time horizon.

Do Quora, Facebook, and Twitter have the final say when it comes to financial advice?

Consider consulting a Certified Financial Planner (CFP). Their expertise can help you develop a tailored financial plan to effectively balance protection and wealth creation.