One of the key aspects that one needs to consider when preparing for retirement is the loss of regular income. When a person chooses to retire, the first item that gets impacted is his/her regular income for expense purposes. Investing in a superb pension plan is consequently very vital. To assist individuals to plan their retirement lives better and to give them a chance to establish an exceptional investment, LIC has created the “New Pension Plus Plan”. This pension insurance does not include life cover but helps individuals with their daily needs. In today’s article, we will learn about LIC New Pension Plus Plans eligibility and, importantly, how to apply the procedure of the plan completely.

LIC New Pension Plus Plan 803

The Life Insurance Corporation of India has made New Pension Plus available, and it will be used starting on September 5, 2022. The LIC New Pension Plus Plan can be bought as either a one-time payment or as a policy with regular payments. With the regular payment option, the premium will be paid over the policy’s term. The policyholder is assisted in saving money in a methodical and disciplined manner as a result. After the term has expired, it may be rolled over into an annuity plan and turned into a steady stream of income.

The policyholder will be able to choose how much the premium will be and how long the policy will last, as long as the premium, policy term, and vesting age don’t go over certain limits. The policyholder can choose which of the four types of funds to put their premiums into. The premium allocation charge will be added to each premium that the policyholder pays. The part of the premium that is used to buy units of a fund chosen by the policyholder is called the allocation rate. This is the balance amount. In a policy year, you can change funds for free up to four times. Click to Check About ” LIC Kanyadan Policy “

LIC new Pension Plus Scheme Key Features

Under the LIC Pension Plus Plan, if the policyholder has paid all of the premiums until the loan is paid off, the gross premium will earn guaranteed interest at the end of every financial year. The guaranteed interest rate will be the same as it was on the last working day of June, September, December, and March of the year before. 50 basis points will be added to the current reverse repo rate to get the guaranteed interest rate. The interest rate that is guaranteed can be anywhere between 3% and 6% p.a.

The guaranteed addition to the regular premium is between 5% and 15%, and the guaranteed addition to a single premium is up to 5% at the end of a certain policy year. Guaranteed additions will be used to buy units based on the type of fund chosen. The life assurance will utilize the policy’s funds when it matures, is surrendered, or stops under the annuitization clause.

LIC Varishtha Pension Bima 

LIC New Pension Plus Plan Benefits

There will be various benefits given to the individuals under this pension plan. Some of them are listed below:

• The plan does not include any kind of life insurance coverage on the death of a beneficiary. Although, in the event that the person designated as the nominee survives the policyholder, they will receive the amount of the fund either all at once or as an annuity. 
• If the policyholder lives until the day of vesting, then his or her fund value as well as the assured maturity profits are required to be used to buy an annuity. If the policyholder dies before the date of vesting, then no annuity is required. 
• Under section 80C, an individual is permitted to deduct from their taxable income the amount of their annual life insurance premium payments that are up to Rs 1000.
• LIC New Pension Plus Plan 803 also helps with taxes. Under Section 80C and 10(10D) of ITA, 1961, there are tax benefits for this plan.
• LIC provides 24×7 customer service. 
• An insurance agent is always available.
• Online claims are always accepted.
• LIC’s website allows policy renewal online.
• The insurer’s website contains all the information needed to comprehend this policy. 
• Policyholders may make payments quarterly, monthly, half-annually, yearly, one-off, and periodical.
• Existing policyholders and consumers may log on to the website for special services.
• The insurer specializes in tailoring programs to consumers’ needs and budgets.

Pradhan Mantri Jeevan Jyoti Bima Yojana

Plan Eligibility and Limitations

To purchase the LIC Pension Plus Plan, one must fulfill the insurer’s qualifying requirements:

• Age requirements range from 18 to 75 years old.
• The age range of 40 to 85 years
• Normal premiums vary between 15,000 and 1 lakh rupees.
• Modes of Payment: Annual, Semiannual, Quarterly, and Monthly

Why purchase LIC New Pension Plus?

Life Insurance Corporation of India is a major Indian insurer. This state-owned insurance organization is based in Mumbai. LIC combined 245 insurance companies to provide corporate and individual life insurance. It’s a trusted Indian insurance brand.