LIC Smart Pension Plan: Key features, eligibility, annuity options, death benefits and more.
LIC’s Smart Pension Plan is a non-participating, non-linked annuity policy that offers regular income and financial security during post-retirement. This plan suits those who are looking for assured lifetime pension benefits with flexible annuity choices. One of the main features the single premium payment, in which policyholders can pay a lump sum and receive regular pension payments for a lifetime. The scheme also provides various payout frequencies, such as monthly, quarterly, half-yearly, and annual, to suit various financial requirements.
The scheme is open to people between 40 and 80 years of age, with the minimum purchase price depending on the type of annuity opted for. Policyholders have the option of either immediate annuity, in which payments start immediately after investment, or deferred annuity, in which pension payments are made after a specified deferment period. A distinguishing feature is the restoration of the purchase price option, which guarantees that in the case of the death of the policyholder, the nominee gets back the amount invested. Under joint-life annuity plans, the spouse receives pension payments even after the death of the main annuitant.
Apart from this, the scheme has a loan facility subject to certain terms, enabling policyholders to handle emergency finances. With assured lifetime income and death benefit, LIC’s Smart Pension Plan is a reliable proposition for ensuring post-retirement financial security and peace of mind.
