Pension Plans
Jeevan Akshay V
It is an Immediate Annuity plan, which can be purchased by paying a lump sum
amount. The plan provides for annuity payments of a stated amount throughout
the life time of the annuitant. Various options are available for the type and mode
of payment of annuities.
following options are available under plan
Type of Annuity:
* Annuity payable for life at a uniform rate.
* Annuity payable for 5, 10, 15 or 20 years certain and thereafter as long as
annuitant is alive.
* Annuity for life with return of purchase price on death of annuitant.
* Annuity payable for life increasing at a simple rate of 3% p.a.
* Annuity for life with a provision of 50% of annuity payable to spouse during
his/her lifetime on death of annuitant.
* Annuity for life with a provision of 100% of annuity payable to spouse during
his/her lifetime on death of annuitant.
You may choose any one. Once chosen, option cannot be altered.
Mode:
* Annuity may be paid either at monthly, quarterly, half yearly or yearly intervals.
You may opt any mode of payment of Annuity.
Salient features:
* Premium is to be paid in a lump sum.
* Minimum purchase price : Rs.50,000/= or such amt which may secure a
minimum annuity as under:

Mode Minimum Annuity
Monthly Rs. 500 per month
Quarterly Rs. 1000 per quarter
Half-yearly Rs. 2000 per half year
Yearly Rs. 3000 per year
* No medical examination is required under plan.
* No maximum limits for purchase price, annuity etc.
* Minimum age at entry 40 years last birthday and Maximum age at entry 79
years last birthday.
* Age proof necessary.
Annuity Rate:
amt of annuity payable at yearly intervals which can be purchased for Rs. 1 lakh
under different options is as under:
Incentives for high purchase price:
If your purchase price is Rs. 1.50 lakh or more, you will receive higher amt of
annuity due to available incentives.
Cooling-off period
If you are not satisfied with “Terms and Conditions” of policy, you may return
policy to us within 15 days from date of receipt of Policy Bond. On receipt of
policy we shall cancel same and amt of premium deposited by you shall be
refunded to you after deducting charges for stamp duty.
Paid-up value:
policy does not acquire any paid-up value.
Surrender Value :
No surrender value will be available under policy.
Loan :
No loan will be available under policy

Section 41 of Insurance Act 1938 :
* No person shall allow or offer to allow, either directly or indirectly, as an
inducement to any person to take out or renew or continue an insurance in
respect of any kind of risk relating to lives or property in India, any rebate of
whole or part of commission payable or any rebate of premium shown on
policy, nor shall any person taking out or renewing or continuing a policy accept
any rebate, except such rebate as may be allowed in accordance with published
prospectuses or tables of insurer: provided that acceptance by an insurance
agent of commission in connection with a policy of life insurance taken out by
himself on his own life shall not be deemed to be acceptance of a rebate of
premium within meaning of this sub-section if at time of such acceptance
insurance agent satisfies prescribed conditions establishing that he is a bona fide
insurance agent employed by insurer.
* Any person making default in complying with provisions of this section shall be
punishable with fine which may extend to five hundred rupees.
New Jeevan Suraksha-1
These are Deferred Annuity plans that allow the policyholder to make provision
for regular income after the selected term.
Premiums
Premiums are payable yearly, half-yearly, quarterly, monthly or through Salary
deduction, as opted by you, throughout term of policy or till earlier death.
Alternatively, premium may be paid in one lump sum (single premium).
Tax Benefits:
Tax relief under Section 80ccc is available on premiums paid under New Jeevan
Suraksha I (Table No.147). premiums paid under New Jeevan Dhara I (Table
No.148) qualify for tax relief under Section 88.

Bonuses:
These are with-profit plans and participate in profits of Corporation’s annuity /
pension business. Policies get share of profits in form of bonuses. Simple
Reversionary Bonuses are declared per thousand Sum Assured annually at end of
each financial year. Once declared, they form part of guaranteed benefits of
plan. Final (Additional) Bonuses may also be payable provided policy has run for
certain minimum period.
Death Benefit:
On death of Life Assured during term of policy basic premiums paid, excluding
any rider premiums or extra premiums, up to date of death accumulated with
interest at such rates as decided by Corporation will be payable to nominee.
Currently, interest rate is 3%, 4% or 5 % if death occurs within first 10 years, 20
years or thereafter respectively.
Maturity Benefit:
At maturity policyholder can encash up to maximum 25% of maturity proceeds
as tax-free lump sum. balance should be compulsorily converted to an annuity
at rates applicable at time of maturity of policy. policyholder has choice of
opting for any one of 5 annuity options. annuity options available are
(i) annuity payable for remainder of life
(ii) annuity payable for life with guaranteed period of 5, 10, 15 or 20 years
(iii) Joint life and last survivor annuity to annuitant and his/ her spouse under
which annuity payable to spouse on death of purchaser will be 50% of that
payable to annuitant
(iv) Life annuity with return of purchase price on death of annuitant
(v) Life annuity increasing at simple rate of 3% per annum

Supplementary/Extra Benefits:
These are optional benefits that can be added to your basic plan for extra
protection/option. An additional premium is required to be paid for these
benefits.
Surrender Value:
Buying life insurance contract is long-term commitment. However, surrender
value is available on plan on earlier termination of contract.
Guaranteed Surrender Value:
policy may be surrendered after it has been in force for 2 years or more but
before vesting date. guaranteed surrender value is 90% of basic premiums paid
excluding first year’s premium. In case of single premium policy guaranteed
surrender value is allowed after 2 years from date of commencement of policy.
Corporation’s policy on surrenders:
In practice, company will pay Special Surrender Value – which is equal to or
higher than Guaranteed Surrender Value. benefit payable on surrender reflects
discounted value of reduced claim amt that would be payable on death or at
maturity. This value will depend on duration for which premiums have been paid
and policy duration at date of surrender. In some circumstances, in case of early
termination of policy, surrender value payable may be less than total premium
paid.
Corporation reviews surrender value payable under its plans from time to time
depending on economic environment, experience and other factors.
Note: above is product summary giving key features of plan. This is for
illustrative purpose only. This does not represent contract and for details please
refer to your policy document.

New Jeevan Dhara-I
These are Deferred Annuity plans that allow the policyholder to make provision
for regular income after the selected term
Premiums are payable yearly, half-yearly, quarterly, monthly or through Salary
deduction, as opted by you, throughout the term of the policy or till earlier death.
Alternatively, the premium may be paid in one lump sum (single premium).
Tax Benefits:
Tax relief under Section 80ccc is available on premiums paid under New Jeevan
Suraksha I (Table No.147). The premiums paid under New Jeevan Dhara I (Table
No.148) qualify for tax relief under Section 88.
Bonuses:
These are with-profit plans and participate in the profits of the Corporation’s
annuity / pension business. Policies get a share of the profits in the form of
bonuses. Simple Reversionary Bonuses are declared per thousand Sum Assured
annually at the end of each financial year. Once declared, they form part of the
guaranteed benefits of the plan. Final (Additional) Bonuses may also be payable
provided policy has run for a certain minimum period.
Death Benefit:
On death of the Life Assured during the term of the policy the basic premiums
paid, excluding any rider premiums or extra premiums, up to the date of death
accumulated with interest at such rates as decided by the Corporation will be
payable to the nominee. Currently, the interest rate is 3%, 4% or 5 % if the death
occurs within the first 10 years, 20 years or thereafter respectively.
Maturity Benefit:
At maturity the policyholder can encash up to a maximum 25% of the maturity
proceeds as a tax-free lump sum. The balance should be compulsorily converted
to an annuity at the rates applicable at the time of maturity of the policy. The
policyholder has the choice of opting for any one of 5 annuity options. The

annuity options available are
(i) annuity payable for remainder of life
(ii) annuity payable for life with guaranteed period of 5, 10, 15 or 20 years
(iii) Joint life and last survivor annuity to the annuitant and his/ her spouse under
which annuity payable to the spouse on death of the purchaser will be 50% of
that payable to the annuitant
(iv) Life annuity with a return of purchase price on death of the annuitant
(v) Life annuity increasing at a simple rate of 3% per annum
Supplementary/Extra Benefits:
These are the optional benefits that can be added to your basic plan for extra
protection/option. An additional premium is required to be paid for these
benefits.
Surrender Value:
Buying a life insurance contract is a long-term commitment. However, surrender
value is available on the plan on earlier termination of the contract.
Guaranteed Surrender Value:
The policy may be surrendered after it has been in force for 2 years or more but
before the vesting date. The guaranteed surrender value is 90% of the basic
premiums paid excluding the first year’s premium. In case of a single premium
policy the guaranteed surrender value is allowed after 2 years from the date of
commencement of the policy.
Corporation’s policy on surrenders:
In practice, the company will pay a Special Surrender Value – which is equal to or
higher than the Guaranteed Surrender Value. The benefit payable on surrender

reflects the discounted value of the reduced claim amount that would be payable
on death or at maturity. This value will depend on the duration for which
premiums have been paid and the policy duration at the date of surrender. In
some circumstances, in case of early termination of the policy, the surrender
value payable may be less than the total premium paid.
The Corporation reviews the surrender value payable under its plans from time to
time depending on the economic environment, experience and other factors.
Note: The above is the product summary giving the key features of the plan. This
is for illustrative purpose only. This does not represent a contract and for details
please refer to your policy document.
Jeevan Nidhi
LIC's JEEVAN NIDHI is a with profits Deferred Annuity (Pension) plan. On survival
of teh policyholder beyond term of teh policy teh accumulated amt (i.e. Sum
Assured + Guaranteed Additions + Bonuses) is used to generate a pension
(annuity) 4 teh policyholder. teh plan also provides a risk cover during teh
deferment period. teh USP of teh plan being teh pension can commence at 40
years. teh premiums paid are exempt under Section 80CCC of Income Tax Act.
a . Guaranteed Additions: Guaranteed Additions @ Rs.50/- per thousand Sum
assured 4 each completed year, 4 teh first five years.
b. Participation in profits: teh policy shall participate in profits of teh Corporation
frrom teh 6th year onwards and shall be entitled to receive bonuses declared as
per teh experience of teh Corporation.
c. Benefit On Vesting:
1. Option to commute up to 1/3rd of teh amt available on vesting, which shall
include teh Sum Assured under teh Basic Plan together with accrued Guaranteed
Additions, simple Reversionary Bonuses and Terminal Bonus, if any.

2 . Annuity as per teh option selected: Annuity on teh balance amt if
commutation is exercised, otherwise annuity on teh full amt.
d. Annuity Options:
On vesting, teh annuity instalment, mode of annuity payment and type of annuity
which shall be made available to teh Life Assured (Annuitant) / Nominee will
depend upon teh then prevailing Immediate Annuity plan of teh Life Insurance
Corporation of India and its terms and conditions.
Currently teh following options are available under LIC’s immediate annuities:
1. Annuity 4 life: teh annuity is paid to teh life assured as long as he/she is alive.
2. Annuity Guaranteed 4 certain periods: teh annuity is paid to teh life assured 4
periods of 5 or 10 or 15 or 20 years as chosen by him/her, whether or not he/she
survives taht period. After teh chosen period, teh annuity is paid to teh life
assured as long as he/she is alive.
3. Annuity with return of purchase price on death: teh annuity is paid to teh life
assured as long as he/she is alive. On teh death of teh life assured, teh purchase
price of teh annuity is paid as death benefit. teh purchase price includes teh Sum
Assured under teh Basic Plan, teh accrued Guaranteed Additions and any accrued
bonuses, excluding teh commuted value, if any.
4. Increasing annuity: teh annuity is paid to teh life assured as long as he/she is
alive. teh amt of annuity increases every year at a simple rate of 3% per annum.
5. Joint Life Last Survivor Annuity: teh annuity is paid to teh life assured as long
as he/she is alive. On death of teh life assured, 50% of teh annuity is payable to
teh nominated spouse as long as teh spouse is alive.
e. Death Benefit on death before annuity vests: On teh death of teh Life Assured

during teh deferment period of teh policy, i.e. before teh annuity vests, an amt
equal to teh Sum Assured under teh Basic plan along with teh accrued
Guaranteed Additions, simple Reversionary Bonuses and Terminal Bonus, if any,
will be paid in a lump sum to teh appointed nominee, provided teh policy is in
force 4 full Sum Assured. Nominee will also have teh option to purchase an
annuity with this amt.
LIC Market Plus
This is a unit linked pension plan wherein the pension is payable after a specified
period. Four types of investment Funds namely Bond, Secured, Balanced and
Growth Fund are offered. Though primarily a Pension product, the plan has many
attractive features and options which make it an ideal Retirement solution for the
future
A)- On Vesting:
On vesting of policy, Fund Value will be utilized to provide a pension based on
then prevailing Annuity rates. An option to commute upto one third of payable
benefit in a lump sum is available.
B) On Death:
In event of unfortunate death of policy holder Fund Value along with Riders, if
any, will be payable in a lump sum or as a pension.
OPTIONS
Three attractive benefits, viz. - Life Cover, Accident Benefit and Critical Illness
Benefit are available as options or riders. Life option is available within certain
limits depending on age at entry of life assured. other options are available to all
proposers who have opted for Life Cover. quantum of risk covers can also be
reduced; subject to minimum limits, once a year. A policy can be taken without
any of riders also.
REVIVAL
An attractive feature of plan is that provided premiums have been paid for a

minimum period of three years, all riders under policy will continue for a period
of two years from due date of first unpaid premium by deduction of relevant
charges from policy fund. This period of two years is called “Revival Period”.
Further, if premiums have been paid for a minimum period of three years, revival
can be effected merely by paying arrears of premium, within Revival Period.
PAYMENT OF PREMIUMS
Premiums can be paid in a lump sum (single premium) and also by monthly(ECS),
quarterly, half-yearly and yearly modes.
CHANGE IN FUND TYPE (SWITCH)
plan also allows a policy holder to switch from one type of fund to another upto
four times a year, free of charge.
OTHER FEAUTRES
There will be no spread between Bid and Offer price. Net Asset Value (NAV) will
be declared on a daily basis. Additional premium in multiples of Rs.1,000 can be
paid without any limit at anytime during term of policy.
above information is only a gist of benefits/features of plan. For further details
please refer to sales brochure available with our agents/offices.