LIC New Jeevan Shanti Yojana is a pension plan offered by the Life Insurance Corporation of India (LIC) that provides financial support to individuals after retirement. Retirement planning is an important aspect that individuals should start planning for at an early age to secure their future. The New Jeevan Shanti Plan (plan number 858) offers the facility of lifelong pension after retirement.
This annuity plan has two options: Deferred Annuity for Single Life and Deferred Annuity for Joint Life. The plan offers a fixed pension amount that can be received on a yearly, 6-month, 3-month, or monthly basis depending on the requirement of the individual. An annuity plan is a type of insurance contract where a lump sum amount is paid to the insurance company in exchange for a regular income stream in the future.
One of the benefits of this plan is that it offers pension even if the individual has to retire prematurely due to some reason in their job. The annuity rates are guaranteed at the inception of the policy and the annuity is payable when the deferred period is over. The annuity rate for the New Jeevan Shanti plan has been revised and increased by LIC from 5 January 2023.
The plan does not have a maximum investment limit, and the minimum plan price is Rs.1.5 lakh. If an individual invests Rs.1.5 lakh, they will receive a pension of Rs.1000 every month for life. In case of the policyholder's death due to any reason, if they have opted for the Deferred Annuity for Single Life Plan, then the money deposited in their account will go to the nominee. If the policyholder survives, they will receive the pension. In case of Deferred Annuity for Joint Life, if one person dies, the other will receive the pension. If both persons die, the nominee will receive all the money.
Read more: Your PAN Card can be misused to secure fake loans! Step-by-step guide to prevent PAN fraud
