Life Insurance Corporation of India is the most trusted insurance company in the country. LIC has recently launched LIC New Pension Plan Jeevan Shanti. It is a deferred annuity plan (858). In this article, let us take a look at the features and benefits of the LIC New Jeevan Shanti Plan.
Now, LIC offers the following three different pension plans.
1. Pradhan Mantri Vaya Vandana Yojana (PMVVY) – A Pension Plan (Click here)
2. LIC Jeevan Akshay VII Policy – An Immediate Annuity Plan 857 (Click here)
3. Jeevan Shanti LIC New Plan 858
Table of Contents
LIC New Jeevan Shanti Plan 858
LIC New Policy Jeevan Shanti is a non-linked, non-participating, single premium, deferred annuity plan. The policyholder has an option to choose between Single life and Joint life deferred annuity.
The annuity rates are guaranteed at the inception of the plan. The annuities are payable post deferment period throughout the lifetime of Annuitant(s).
This plan can be purchased online as well as through offline mode. To purchase LIC Jeevan Shanti New Plan online, please visit LIC official website www.licindia.in.
Features of LIC New Pension Plan Jeevan Shanti
1. This plan is launched by LIC on October 21, 2020.
2. It is a single premium, non-linked, non-participating, and deferred annuity plan.
3. The minimum purchase price is Rs.1.5 lakh.
4. There is no maximum limits for purchase price.
5. The annuity options available are deferred annuity for single life and deferred annuity for joint life. The annuity option once chosen cannot be altered.
6. The annuity rates are guaranteed at the inception of the pension plan.
7. The modes of annuity available are yearly, half-yearly, quarterly, and monthly.
8. The minimum deferment period is 1 year and the maximum is 12 years.
9. You can purchase this pension plan offline as well as online.
10. There is no medical test under LIC New Jeevan Shanti Pension Plan.
11. You can avail loan under New LIC Policy Jeevan Shanti.
12. You can buy multiple annuity policy for yourself.
Annuity options under New Jeevan Shanti LIC Policy
There are two options available.
1. Deferred annuity for a single life
2. Deferred annuity for joint life
Note that the annuity option once chosen cannot be altered.
Benefits of Jeevan Shanti LIC New Plan
The benefits of the plan are as under:
1. Benefit payable on survival
- Deferred annuity for single life: Nothing is payable during the deferment period. After the deferment period, the annuity will be made in arrears to the annuitant as per the chosen mode of the annuity payment.
- Deferred annuity for joint life: Nothing is payable on the survival of the primary annuitant and/or secondary annuitant during the deferment period. After the deferment period, the annuity will be made in arrears to the primary and/or secondary annuitant.
2. Maturity Benefit
The maturity benefit is not available under this policy.
3. Death Benefit
The death benefit under both of the options shall be higher of:
- The purchase price plus accrued additional benefit on death minus total annuity amount paid till the date of death (if any). OR
- 105% of the purchase price.
4. Accrued Guaranteed Additions
- Guaranteed additions shall accrue at the end of every policy month till the end of the deferment period only.
- In the event of the death of the annuitant during the deferment period, guaranteed additions for the policy year in which the death has occurred shall accrue till the completed policy month.
Eligibility Criteria for LIC New Plan Jeevan Shanti
1. Minimum age at entry is 30 years (last birthday)
2. Maximum age at entry is 79 years (last birthday)
3. Minimum purchase price – Rs.1,50,000/- subject to a minimum annuity as specified below
4. Maximum purchase price – No limit
5. Minimum annuity
| Mode of Annuity | Monthly | Quarterly | Half-yearly | Yearly |
| Minimum Annuity | Rs.1,000/- month | Rs.3,000/-quarter | Rs.6,000/- half year | Rs.12,000/-annum |
6. Maximum annuity – No limit
7. Minimum deferment period – One year
8. Maximum deferment period – 12 years subject to a maximum vesting age of 80 years.
9. Minimum vesting age – 31 years (last birthday)
10. Maximum vesting age – 80 years (last birthday)
11. The joint-life annuity can be taken between any two lineal descendant/ascendant of a family (i.e. Parent, Children, Grandparent, and Grandchildren) or spouse or siblings. The age limits mentioned above shall apply to both lives.
Jeevan Shanti LIC Policy Review
LIC New Jeevan Shanti Plan is a deferred pension plan. If you buy this annuity plan online then a rebate of 2% by way of an increase in the annuity rate will be available. However, LIC annuity plans provide 5% to 6% returns. Therefore, you should also consider other retirement plans before buying this policy.
For more information visit LIC official website here.
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