New Pension Plus scheme for savings launched by LIC, all you need to know

LIC India introduced New Pension Plus on September 5. Through methodical and disciplined saving, this non-participating, unit-linked, individual pension plan helps build a corpus that can be converted into regular income by purchasing an annuity plan after the term. 

People can acquire the plan as a single premium payment policy or as a recurring premium payment policy. The premium will be paid during the length of the insurance under the regular payment option. The single premium policy for persons requires a premium to be paid upfront. 

The amount of the premium that policyholders pay is their choice. Additionally, they have the choice of selecting the policy term in accordance with the policy term, vesting age, and minimum and maximum premium limits. He or she may also extend the accumulating time under the same terms and conditions, subject to specific restrictions. 

The policyholder has the choice to invest premiums in one of the four types of funds. Each premium paid by the policyholder will incur a premium allocation charge. The amount of the premium utilised to purchase the policyholder's chosen fund's units is the balance, also known as the allocation rate. 

Within a policy year, there are four readily available free switches for switching funds. The premium plans are available for purchase on the LIC website or through an agent. 

With a market value of Rs 5,53,721.92 lakh crore on the day of its market listing in May, Life Insurance Corporation became the fifth-largest corporation in terms of valuation. Tuesday saw the shares of LIC begin trading on the BSE at a discount of 8.61 percent, or Rs 867.20 a share.