LIC Jeevan Shanti Policy

LIC Jeevan Shanti Policy:

If you are nearing retirement age and want to get pension every month by investing a lump sum, then you can invest in this policy.

 

The ‘Jeevan Shanti  ‘ annuity policy of Life Insurance Corporation of India (LIC) relieves pension stress. Employed people always have pension tension. This tension increases even more when the retirement days start coming closer. Although there are pension schemes of Central and State Governments, but their terms and conditions have been made in such a way in which not everyone can apply.

In such a situation, the ‘Jeevan Shanti’ annuity policy of Life Insurance gives people the opportunity to invest. If you are nearing retirement age and want to get a pension every month by investing a lump sum, then you can invest in this policy. The special thing is that in this policy you get an option to get pension immediately after investment.

First of all, talk about the basic information of this policy, then these are the conditions for investing in the policy: 

Age: 

Minimum 30 years and 

maximum 85 years

Sum Assured: 

Minimum Sum Assured is Rs 1.5 lakh and there is no limit of maximum

loan:    Loan facility 

surrender: 

 1 year after the commencement of pension

3 months after the commencement of pension can be done

Pension Options: Immediate and Defferd

While taking the policy, the policyholder has two options regarding pension. First intermediate second deferred annuity. Immediate means that the pension is immediately after taking the policy, while the deferred annuity means payment of pension after some time (5, 10, 15, 20 years) of taking the policy. There are 7 options available in intermediate annuity.

If you invest a lump sum of Rs 40,72,000 in this policy and choose the intermediate option, then you will get a pension of Rs 25,783 every month. Let us understand this with an example of how you can get such a pension: –

Age: 60

Sum Assured: 20,00,000

Lump sum premium: 20,36,000

Pension:

Annual: 1,63,200

Half Yearly: 79,800

Quarterly: 39,475

Monthly: 13,067

Suppose if a working person chooses the option ‘A’ i.e. Immediate Annuity for life (pension per month) present in this policy just before retirement i.e. at the age of 60 years. In addition, he opts for the sum assured option of Rs 2000000. So he will have to pay a lump sum premium of Rs 2036000. After this investment, he will get a pension of Rs 13,067 per month, which will be Rs 163200 annually. This pension will be received as long as the policy holder survives. At the same time, this pension will stop coming after death.