All You Need To Know About LIC's Jeevan Akshay-VII Pension Plan

Life Insurance Corporation (LIC) of India, the country's largest life insurance company, which offers various life insurance products ranging from money back plans and term insurance plans to endowment plans and unit-linked plans, also has pension plans. LIC's Jeevan Akshay-VII Pension Plan is one of the latest pension plan offering by LIC. It offers an immediate annuity plan wherein the policyholder has an option to choose type of annuity from 10 available options on payment of a lump sum amount, LIC noted on its website https://www.licindia.in.

The pension rates are guaranteed at the inception of the policy and annuities are payable throughout the lifetime of pensioners, LIC added.

LIC's Jeevan Akshay-VII Pension Plan: here are the 10 different annuity options from which policyholders can choose from:

• Option A: Immediate Annuity for life.
• Option B: Immediate Annuity with guaranteed period of 5 years and life thereafter.
• Option C: Immediate Annuity with guaranteed period of 10 years and life thereafter.
• Option D: Immediate Annuity with guaranteed period of 15 years and life thereafter.
• Option E: Immediate Annuity with guaranteed period of 20 years and life thereafter.
• Option F: Immediate Annuity for life with return of Purchase Price.
• Option G: Immediate Annuity for life increasing at a simple rate of 3 per cent per anum.
• Option H: Joint Life Immediate Annuity for life with a provision for 50 per cent of the annuity to the Secondary Annuitant on death of the Primary Annuitant.
• Option I: Joint Life Immediate Annuity for life with a provision for 100 per cent of the annuity payable as long as one of the Annuitant survives.
• Option J: Joint life immediate annuity for life with a provision for 100 per cent of the annuity payable as long as one of the annuitant survives and return of purchase price on death of last survivor.

Annuity option once chosen cannot be altered, LIC added.

LIC's Jeevan Akshay-VII Pension Plan: Here are the benefits of pension options under the policy:

Annuity Option A

• The annuity payments shall be made in arrears for as long as the Annuitant is alive, as per the chosen mode of annuity payment.
• On death of Annuitant, nothing shall be payable and the annuity payment shall cease immediately

Annuity Option B,C,D,E

• The annuity payments shall be made in arrears for as long as the Annuitant is alive, as per the chosen mode of annuity payment.
• On death of the Annuitant during the guaranteed period of 5/10/15/20 years, the annuity shall be payable to the nominee(s) till the end of the guaranteed period.
• On death of the Annuitant after the guaranteed period, nothing shall be payable and the annuity payment shall cease immediately.

Option F

• The annuity payments shall be made in arrears for as long as the Annuitant is alive, as per the chosen mode of annuity payment.
• On death of the annuitant, the annuity payment shall cease immediately and purchase price shall be payable to nominees.

Option G

• The annuity payments shall be made in arrears for as long as the Annuitant is alive, as per the chosen mode of annuity payment. The annuity payment will be increased by a simple rate of 3 per cent per annum for each completed policy year.
• On death of annuitant nothing shall be payable nd the annuity payment shall cease immediately.

Option H

• The annuity payments shall be made in arrears for as long as the Primary Annuitant is alive, as per the chosen mode of annuity payment
• On death of Primary Annuitant, 50 per cent of the annuity amount shall be payable to the surviving Secondary Annuitant as long as the Secondary Annuitant is alive. The annuity payments will cease on the subsequent death of the Secondary annuitant
• If the secondary annuitant predeceases the primary annuitant, the annuity payments shall continue to be paid and will cease upon the death of the primary annuitant

Option I

• 100 per cent of the annuity amount shall be paid in arrears for as long as the Primary Annuitant and/or Secondary Annuitant is alive, as per the chosen mode of annuity payment
• On death of the last survivor, the annuity payments will cease immediately and nothing shall be payable

Option J

• 100 per cent of the annuity amount shall be paid in arrears for as long as the Primary Annuitant and/or Secondary Annuitant is alive, as per the chosen mode of annuity payment.
• On death of the last survivor, the annuity payments will cease immediately and purchase price shall be payable to the nominee(s) as per the option exercised by the Primary Annuitant.

Here are eligibility criteria for LIC's Jeevan Akshay-VII pension plan:

Any individual between the age of 30 and 85 years can buy LIC Jeevan Akshay-VII pension plan with a minimum purchase price of Rs 1 lakh. Under this plan LIC offers minimum annuity of Ra 1,000 per month, LIC added.