Life Insurance Corporation of India (LIC) has launched Smart Pension Plan, which guarantees fixed and secure income after retirement. It is a non-linked, non-participating, immediate annuity plan with single and joint life annuity options.
LIC Smart Pension Plan Launched: To ensure financial security after retirement, Life Insurance Corporation of India (LIC) has launched its new Smart Pension Plan. This scheme has been designed with the aim of providing flexible, secure and stable income. This will not make the policyholders worry about financial dependence throughout their life. It is a non-linked, non-participating, individual and joint savings scheme suitable for different age groups. Single life and joint life annuity options are available under this scheme, from which investors can choose the option according to their needs.
Key features of Smart Pension Plan
Minimum and maximum entry age
The minimum age to invest in this plan is 18 years, so that even young investors can take advantage of the scheme early.
The maximum entry age ranges from 65 to 100 years, depending on the annuity option chosen.
Flexible annuity options
LIC has designed this plan keeping in mind various financial needs and retirement goals. It has two main annuity options:
Single Life Annuity: In this, the investor will continue to receive annuity throughout his life.
Joint Life Annuity: In this, the main investor and his spouse will continue to receive annuity, which will ensure financial security of the family.
Special benefits for existing policyholders and beneficiaries
Existing LIC policyholders and beneficiaries whose close relatives have been LIC policyholders will get better annuity rates, enabling them to earn higher returns.
Partial or full withdrawal facility
The plan offers liquidity, allowing policyholders to withdraw partial or full amount under certain conditions. This special facility will be helpful in accessing funds in case of financial emergency.
Annuity payment options
Investors can choose the mode of annuity payment as per their convenience:
Monthly: Minimum ₹1,000 per month
Quarterly: Minimum ₹3,000 per quarter
Half-yearly: Minimum ₹6,000 per six months
Yearly: Minimum ₹12,000 per year
Special benefits for NPS subscribers
Subscribers of the National Pension System (NPS) can choose to receive annuity immediately under this scheme, ensuring regular income after retirement.
Special provisions for Divyangjans
LIC has also ensured financial security for Divyangjans in this scheme, so that they can avail the benefits of the scheme according to their needs.
Loan facility
Policyholders can take a loan in this scheme after three months or after the free-look period ends.
The loan amount will be decided according to the annuity option chosen.
Key details of LIC Smart Pension Plan
Minimum Purchase Price: ₹1,00,000
Maximum Purchase Price: No limit (approval required as per LIC underwriting rules)
Minimum Annuity Amount: ₹1,000 (monthly), ₹3,000 (quarterly), ₹6,000 (half-yearly), ₹12,000 (yearly)
Maximum Annuity: No limit
Premium Payment Mode: Single Premium (i.e., lump sum investment)
How to buy LIC Smart Pension Plan?
This new plan of LIC is available both online and offline for the convenience of investors. In offline mode, this plan can be purchased through LIC agents, intermediaries, point of sales persons (POSP-LI) and common public service centers (CPSC-SPV). If you want to take the online route, customers can buy it directly from www.licindia.in.
