Learn everything there is to know about LIC Annuity Plans.

Annuity Plans Offered by LIC
Endnotes

When you invest a lump sum in an annuity plan, you will get a regular income for the rest of your life. When you choose an annuity plan, your life insurance company invests your money and returns the profits to you when you retire. There are two sorts of annuity plans: deferred annuity plans and immediate annuity plans. Deferred Annuity Plans - These are the annuity alternatives that allow you to build up a nest egg for retirement over time. You can invest in a separate annuity plan while still working. The accumulated corpus is the amount of money you pay in premiums and get when your annuity plan matures. An immediate annuity plan is designed for customers who want to receive recurring payments as soon as they make the first commitment. An immediate annuity is frequently used by those who are nearing retirement age. An annuity plan that is distinguished accumulates the money you pay, whereas an instant annuity refunds it.

Annuity Plans Offered by LIC

Individuals can choose from the following LIC annuity plans:

1. LIC's New Jeevan Nidhi Scheme

The LIC's standard differed insurance plan, the New Jeevan Nidhi Plan, helps you to create a retirement corpus by paying recurring premiums throughout the term of the policy. You will get annuities as soon as this plan achieves maturity.

The following are the benefits of the LIC New Jeevan Nidhi Plan:

It is participating pension insurance, which implies that it is eligible for LIC bonus announcements.
When this annuity plan matures, the sum promised, vested bonuses, and the sum assured are paid as a maturity benefit.
Guaranteed increments to the corpus are also made, boosting the benefits accessible under this plan.
The maturity advantages can also be used to purchase a single premium differed or immediate annuity.
When the insured dies, the cumulative sum promised is paid out, together with guaranteed increases and vested bonuses.

2. Pradhan Mantri Vaya Vandana Yojana

The Indian government established this annuity scheme to provide monthly income to the elderly.
This plan was available through March 31, 2020, and it is presently being sold by LIC.

The Pradhan Mantri Vaya Vandana Yojana has the following characteristics:

It is a ten-year savings plan that includes a pension for the duration of the plan.
Depending on your needs, you might get a pension on a semi-annual, annual, monthly, or quarterly basis.
If the policyholder dies, the nominee receives the program's purchase price.

3. LIC Jeevan Shanti Scheme

Jeevan Shanti is a flexible pension plan that allows you to get an income immediately or after a few years of coverage. As a result, you may choose between delayed and immediate annuity payments with this plan.

The following are the benefits of the LIC Jeevan Shanti Plan:

There are two deferred annuity options available.
Death Benefits Are Available
Loans against insurance policies are available.

4. LIC VII Jeevan Akshay

The Jeevan Akshay - VII plan from the LIC is an Immediate Annuity plan that allows the life insured to choose an annuity from a selection of 10 options in return for a lump sum payout. Annuity rates are guaranteed at the time of policy issuance, and payments are made for the duration of the life assured's life.

The following are the characteristics of the LIC Jeevan Akshay - VII -

Plan for Non-Participation
Loans against insurance policies are available.
Annuity Rates That Are Guaranteed
Death Benefits Are Available
No Medical Exam Is Necessary

Endnotes

The Life Insurance Corporation of India (LIC) is an Indian government-owned insurance corporation. The LIC, India's most respected insurance provider, provides a wide range of insurance products. Annuity and pension plans are among the most popular insurance products offered by LIC, and the firm offers two enticing Annuity plans for retirement planning. Before delving into LIC's Annuity Plans, it's critical to first grasp the fundamentals of Annuity Plans.

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Disclaimer

This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.