The Life Insurance Corporation (LIC) of India introduced the LIC Saral Pension Plan in August 2022. It is a non-linked and non-participating upfront single premium scheme. An annuity rate of about 5% is assured with the start of the plan in this particular annuity arrangement. In accordance with this LIC plan, the annuitant has the choice of receiving payments either monthly, quarterly, half-yearly, or annually for as long as they remain alive.
LIC Saral Pension Plan: Eligibility criteria
Anyone between the ages of 40 and 80 is eligible to subscribe to or purchase this annuity pension plan, according to the specifications of the LIC Saral Pension Plan.
LIC Saral Pension Plan: Pension calculator
As per the LIC Saral Pension Plan details available on the official website of LIC, the policyholder can opt for a minimum ₹1,000 monthly pension or ₹12,000 yearly pension under this scheme. For this minimum pension, one will have to make a one time single premium payment of ₹2.50 lakh. An investor will get ₹50,250 annual pension on investment of ₹10 lakh single premium. Similarly, if an investor wants ₹1 lakh annual pension under this scheme, one will have to make an upfront single premium payment of ₹20 lakh.
LIC Saral Pension Plan: Benefits
Loan benefit: This LIC plan offers a loan facility after the initial six months have passed.
Lifetime pension benefit: Because the LIC Saral Pension Plan is a whole life policy, the policyholder is entitled to a yearly or monthly pension for the remainder of their lives following policy start.
Death benefit for nominee: The base premium will be returned to the nominee following the death of the LIC Saral Pension Plan subscriber.
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No maturity benefit: In LIC Saral Pension Plan, there is no maturity benefit as the pension is made available till the policyholder is alive.
Exit Plan: After six months of operation, participants may leave the LIC Saral Pension Plan.
Interest rate: A guaranteed annual return of about 5% is provided by the annuity plan.
