Get Annuity with LIC Jeevan Akshay VII Plan

 

(An Individual Immediate Annuity Plan That Is Non-Linked And Non-Participating)

1.       Introduction:

This is an immediate annuity plan that allows the policyholder to select the sort of annuity they want from 10 possibilities after receiving a lump sum payment.

• The policy's inception guarantees the annuity rates, and payments are made for the duration of the annuitant's life (s). Both offline and online purchases of this plan are possible.

 

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2. Annuity Choices

The following are the annuity alternatives that are offered under this plan:

(I)                  Option A: Lifetime Immediate Annuity.

(II)                Option B: An immediate annuity with a 5-year guaranteed duration and life beyond that.

(III)              Option C: Immediate Annuity with a 10-year guaranteed duration and life beyond that.

(IV)              Option D: Immediate Annuity with a 15-year guaranteed duration and life beyond that.

(V)                Option E: Immediate Annuity with a 20-year guaranteed duration and life beyond that.

(VI)              Option F: Immediate Annuity with Purchase Price Refund for Life.

(VII)            Option G: Immediate Annuity for Life, 3% p.a. simple annual growth.

(VIII)          Option H: Joint Life Immediate Income for Life, with a clause providing that 50% of the annuity will go to the Secondary Annuity upon the death of the Primary Annuity.

(IX)              Option I: Joint Life Immediate Annuity with 100% of the annuity payable as long as one of the annuitants survives.

(X)                Option J: Joint Life Immediate Annuity for Life with 100% of the annuity payable while one annuitant is still alive and a return of the purchase price upon the death of the last survivor. Once chosen, the annuity option cannot be changed.

 

3. Benefits: Payable under the aforementioned alternatives are:

(i) Choice A

•         Depending on the style of annuity payment selected, the annuity payments must be made in arrears for the duration of the annuitant's life.

•         Nothing is payable and the annuity payment stops instantly upon the death of the annuitant.

(ii) Option B, C, D, and E

·         Depending on the style of annuity payment selected, the annuity payments must be made in arrears for the duration of the annuitant's life.

·         If the annuitant passes away while the guaranteed period of 5/10/15/20 years is still in effect, the annuity will continue to be paid to the nominee(s) until the end of the guaranteed period.

·         Nothing shall be payable and the annuity payment shall immediately cease upon the death of the annuitant after the guaranteed time.

(iii) Choice F

 

•         Depending on the style of annuity payment selected, the annuity payments must be made in arrears for the duration of the annuitant's life.

•         Upon the annuitant's passing, the annuity payment shall immediately cease, and the Purchase Price shall be paid to the nominee(s) in accordance with the option the annuitant exercised as described in Paragraph 9.

(iv) Choice G

•         Depending on the style of annuity payment selected, the annuity payments must be made in arrears for the duration of the annuitant's life. For each complete insurance year, the annuity payment will grow at a simple rate of 3% annually.

•         Nothing is payable and the annuity payment stops instantly upon the death of the annuitant.

Choice H

•         Depending on the style of annuity payment selected, the annuity payments must be made in arrears for as long as the Primary Annuitant is alive.

•         If the primary annuitant dies, the surviving secondary annuitant will get 50% of the remaining annuity amount as long as the secondary annuitant is still living. Upon the following death of the Secondary Annuitant, the annuity payments will stop.

•         The annuity payments will continue to be made until the Primary Annuitant's death even if the Secondary Annuitant outlives him or her.

Choice I

•         Depending on the mode of annuity payment chosen, 100% of the annuity amount will be paid in arrears as long as the Primary Annuitant and/or Secondary Annuitant are alive. Upon the death of the last survivor, the annuity payments will end immediately, and nothing will be due.

Choice J

•         Depending on the mode of annuity payment selected, 100% of the annuity amount will be paid in arrears for as long as the Primary Annuitant and/or Secondary Annuitant are alive.

•         If the last survivor passes away, the annuity payments will end immediately, and the Purchase Price will be paid to the nominee(s) in accordance with the option that the Primary Annuitant exercised as described in Paragraph 9.

4. Qualification Standards:

The purchase must be made for at least Rs. 1,000,000, subject to the minimum annuity requirements listed below.

(I)                  The minimum purchase price previously mentioned would be raised appropriately to satisfy the minimum annuity criteria listed below. The annuity rates provided under this plan would be adjusted using the reduction factors listed in Paragraph 7 below for Purchase Prices less than Rs. 1,50,000.

(II)                Maximum Purchase Price: No Limit

(III)              Minimum Age at Entry: 30 years (finished) (completed)

(IV)              Maximum Age at Entry: 85 years (finished) except Option F 100 years (completed) for Option F

(V)                 Minimum Annuity:

 

(a) Monthly- Rs.1000 Per month

(b) Quarterly- Rs.3000 per month

b) Half early: 6,000 rupees per month

(d) Monthly: Rs. 20,000 annually

Joint Life: Any two lineal descendants/ascendants of a family (e.g., grandparents, parents, children, grandchildren), spouses, or siblings may purchase a joint life annuity.

*Exclusive circumstances in which the minimum annuity and purchase price of Rs. 1,000,000 shall not apply:

i. The proposal shall be authorised without any restriction on minimum annuity and the minimum Purchase Price in such cases shall be Rs. 50,000/- provided the plan has been purchased for the benefit of dependent person with handicap (Divyangjan) as specified in Paragraph 9.iii below. In these circumstances, the annuity rates established in Paragraph 7 shall apply without any reduction factor.

ii. The restriction on minimum annuity and the minimum Purchase Price shall be in accordance with PFRDA Rules and Regulations as amended from time to time if the plan has been purchased on exit by NPS subscribers who are subject to regulation by the Pension Fund Regulatory and Development Authority (PFRDA) as specified in Paragraph 9.ii below.

5. Annuity payment method:

There are four different annuity payment schedules: annual, semi-annual, quarterly, and monthly. Depending on whether the annuity payment frequency is annually, biannually, quarterly, or monthly, the annuity payment shall be made after one year, six months, three months, or one month from the date the policy was first issued.

6. Incentives:

Under this programme, the following incentives are available:

i. The following describes the incentive for a higher purchase price through an increase in the annuity rate:

ii. The following describes the incentive for direct sales via an increase in the annuity rate: For plans acquired online, by NPS subscribers, and as QROPS, a 2% refund will be given through a rise in the annuity rate.