LIC New Jeevan Shanti - Plan 858
LIC New Jeevan Shanti (Plan 858) is new pension plan launched by LIC within the 12 months 2020. New Jeevan Shanti is non-linked, non-participating, particular person single premium deferred annuity plan. This plan is launched on 21st October, 2020.
Few days’ again LIC has launched LIC Jeevan Akshay VII plan (Desk 857). On the time of launching Jeevan Akhsay VII plan, LIC has discontinued single premium pension plan Jeevan Shanti (Desk 850). The primary purpose was falling rate of interest. Now LIC is relaunching New Jeevan Shanti plan with few modifications.
New Jeevan Shanti is single premium annuity plan out there with two choices. This plan may be bought for single life in addition to joint life. Right here is full details about LIC’s New Jeevan Shanti Plan together with key options advantages and evaluate.
As of now, LIC provides three completely different pension plans. (1) Pradhan Mantri Vaya Vandana Yojana (2) LIC Jeevan Akshay VII – 857 plan (3) New Jeevan Shanti – 858 plan. You’ll be able to refer my earlier posts to get details about these plans.
LIC New Jeevan Shanti – Plan 858 Key Options
- Minimal Entry Age – 30 Years
- Most Entry Age – 79 Years
- Minimal Deferment Interval – 1 Yr
- Most Deferment Interval – 12 Years
- Minimal Vesting Age – 31 Years
- Most Vesting Age – 80 Years
- Joint Life Cowl – Sure
- Minimal Buy Value – 1.5 Lakh
- Most Buy Value – No Restrict
- Minimal Annuity – Rs. 12000 per 12 months
- On-line & Offline Buy Choices
- Mortgage – Supplied in opposition to this plan
How LIC New Jeevan Shanti – Plan 858 Works?
You should purchase New Jeevan Shanti plan on-line in addition to offline. It’s a single premium coverage. On this plan annuity choice to be chosen. Primarily based on choice of annuity possibility pension is payable to policyholder until the time coverage holder is alive. The pension is named annuity and it’s payable solely after the deferment interval. Nothing is paid throughout deferment interval. This profit can also be out there within the joint life possibility.
Dying profit can also be payable throughout or after deferment interval. Dying profit is paid to nominee primarily based on possibility exercised by policyholder. In case joint life possibility is chosen profit is payable to final survivor and likewise to nominee.
The joint-life annuity may be taken between two lineal descendant/ascendant of a household (grandparent, guardian, youngsters, grandchildren) or partner or siblings.
As it’s deferred annuity plan on the first occasion policyholder must pay single premium. Annuity might be payable solely after deferment interval. Throughout deferment interval the insurance coverage firm invests your premium.
Annuity Choices and Advantages
#1 Deferred annuity for Single Life
Profit payable on Survival –
Throughout deferment interval: Nothing is payable through the deferment interval
After deferment interval: Annuity funds might be made in arrears so long as the Annuitant is alive, as per the chosen mode of annuity fee.
Profit payable on Dying –
Increased of Buy Value + Accrued Further Profit on Dying – Complete annuity quantity payable until date of demise or 105% of Buy Value
On demise of the Annuitant through the deferment interval: Dying Profit as outlined above shall be payable to nominee.
On demise of the Annuitant after the deferment interval: The annuity funds shall stop instantly and Dying Profit as outlined above shall be payable to nominee.
#2 Deferred annuity for Joint life
Profit payable on Survival –
Throughout deferment interval: On the survival of the Major Annuitant and/or Secondary Annuitant through the deferment interval, nothing is payable.
After deferment interval: Annuity funds might be made in arrears so long as the Major Annuitant and/or Secondary Annuitant is alive, as per the chosen mode of annuity fee.
Profit payable on Dying –
Increased of Buy Value + Accrued Further Profit on Dying – Complete annuity quantity payable until date of demise or 105% of Buy Value (Identical as that of single life)
Throughout deferment interval in case of demise of first holder nothing is payable. On the demise of final survivor demise advantages as outlined above shall be payable to the nominee.
After deferment interval on first demise (of both of the coated lives): 100% of the annuity quantity shall proceed to be paid so long as one of many Annuitant is alive.
On demise of the final survivor: Annuity fee shall stop instantly and Dying Profit as outlined above shall be payable to nominee
LIC’s New Jeevan Shanti (Desk 858) plan – Evaluate
The positives and negatives about this plan after going by way of coverage info is given beneath.
Positives
- Assured Pension plan with deferred annuity
- Annuity charges are assured at inception of coverage
- Joint Life Annuity possibility out there
- Two completely different annuity choices out there for choice
- Low cost is obtainable on buying coverage on-line
Negatives
- Minimal age entry is 30 years and most deferment is 12 years. This implies you’re going to get pension at 42 years of age. That’s too early.
- Most Vesting age is 80 years. This implies you’ll not get pension after 80 years of age.
- The anticipated annuity quantity to be low and unable to beat inflation.
- Pension obtained from this plan is taxable. This implies put up tax returns can be low.
In brief, LIC New Jeevan Shanti is mixture of positives and negatives. The choice of shopping for this coverage is solely on you. Nonetheless, I recommend if you’re planning for retirement profit it is best to discover mutual funds, PPF and different funding choices.
For extra details about this plan, please check with LIC web site.
