LIC launches new annuity plan

Ludhiana: The Life Insurance Corporation of India has introduced its new Jeevan Akshay-VII (plan no.857), which is a single premium, non-linked, non-participating, individual immediate annuity plan with effect from August 25, 2020.

Policyholders have an option to choose a type of annuity from 10 available options on the payment of a lump sum amount. The annuity rates are guaranteed at the inception of the policy and annuities are payable throughout the lifetime of annuitant(s). The plan can be purchased offline as well as online.

While explaining features of the policy, Ganesh Lal, senior divisional manager, Ludhiana division, said the minimum purchase price is Rs 1 lakh (subject to minimum annuity criterion.)

The modes of annuity available are yearly, half-yearly, quarterly, and monthly. The minimum annuity is Rs 12,000 per annum.

There is no ceiling on the maximum purchase price. An incentive for purchase price above Rs 5 lakh is available by way of increase in the annuity rate.

The plan is available for people aged between 30 years to 85 years except for the option of immediate annuity for life with the return of purchase price, where it is till 100 years. The plan can also be purchased for the benefit of divyangs. — TNS