LIC Hikes Payout Under New Jeevan Shanti Annuity Scheme- Check Here

The Life Insurance Corporation (LIC) has increased the return on its New Jeevan Shanti annuity scheme. According to the corporation, the increase in return is greater for higher values and increases with the deferment. The plan is a single-premium deferred pension plan in which the buyer can choose to receive regular payments one to ten years after purchasing the policy. According to distributors, the returns are higher than what private insurance companies provide. The new annuity payout will be between 12 and 14% higher than the previous payout.

A 60-year-old who purchases a Rs 10 lakh annuity with a one-year deferment will receive Rs 70,800 per year. The annuity increases to Rs 72,000 for a 70-year-old. There is a guaranteed minimum death benefit of 105% of the purchase price that is not taxed. The plan is designed for working and self-employed professionals who want to plan for future regular income after a deferment period. The plan is also appropriate for people who have extra money to invest. Because it is a deferred annuity plan, young professionals can start planning for retirement at an early age.

Minimum Annuity

• Monthly Annuity Minimum: Rs 1000 per month
• Minimum Quarterly Annuity: Rs 3000 per quarter
• Minimum Half-Year Annuity: Rs 6000 per half-year
• The annual minimum annuity is Rs 12000.

Annuity payment

Annuities are available in yearly, half-yearly, quarterly, and monthly instalments. The annuity will be payable after one year, six months, three months, and one month from the date of vesting, depending on whether the payment mode is annual, semi-annual, quarterly, or monthly. The annuity rates are guaranteed at the start of the policy, and annuities are payable for the rest of the Annuitant's life when the deferment period ends.The annuity amount under this New Jeevan Shanti Plan can be calculated using the LIC's website calculator and various LIC Apps.