LIC Saral Pension Plan: Get INR 12,000 Pension for Lifetime with One-Time Investment in LIC Saral Pension Yojana
1060
6 min read
To attract more and more people towards insurance a range of new and emerging products were launched suiting the taste buds of different individuals by LIC. In this write-up, let us discuss one such lucrative product – LIC Saral Pension Plan.
LIC has been offering some unique plans and products appealing to the needs and requirements of different people from varied sections of the society. The Saral Pension Scheme is one such unique plan that allows the insured to receive guaranteed monthly return by investing in a single premium plan.
Under the LIC Saral Pension Yojana, the insured can receive INR 12,000 pension by paying a single premium. This is one of the many schemes launched by the LIC of India in the last few years to target different types of investors in the country. The policy comes with remarkable returns available at maturity together with better sum assured. The policy supports the investor and his/her family financially in case of any sudden unfortunate medical emergency.
There are various appealing features of the LIC Saral Pension Yojana such as;
- INR 12,000 minimum annual pension
- One time investment option
- Annuity options etc.
Loaded with all such excellent features and several benefits, the LIC Saral Pension plan is one of the best products for people looking to invest in retirement plans for a peaceful life during old age. Now, let us explore the features and benefits of the LIC Saral Pension Yojana in detail.
Also Read: A Beginner’s Guide to Retirement Pension Plans in India
What’s Inside?
Visual Stories by PayBima
What Is LIC Saral Pension Yojana?
Launched as per the guidelines of the IRDAI or Insurance Regulatory and Development Authority of India, the LIC Saral Pension Plan is a life insurance plan available with immediate annuity. The plan guarantees an annual annuity rate of over 5% with monthly, quarterly and annual payment options to the annuitant.
Once the policyholder makes the payment of the lump sum amount as premium, the person becomes eligible for annuity payment immediately which continues throughout the life time of the annuitant.
LIC Saral Pension Plan – Objective
- To help people make informed choice with this customer-friendly plan
- To build the bond of trust between Insurance company and the Insured
- To reduce the misuse of LIC policies
- To lower the likely disputes between insurers by making common guidelines
LIC Saral Pension Plan – Eligibility
| Eligibility | Criteria |
| Minimum Entry Age | 40 years (completed) |
| Maximum Entry Age | 80 years (completed) |
| Minimum Purchase Price | Depends on minimum annuity as specified in the Annuity option |
| Maximum Purchase Price | No Limit |
| Policy Term | Whole life policy |
| Minimum Annuity | Monthly: INR 1000
Quarterly: INR 3000 Half-yearly: INR 6000 Annually: INR 12000 |
LIC Saral Pension Plan – Features
As already discussed, this pension plan is loaded with some wonderful features that make it a worthwhile policy. You may note some such features below:
- LIC Saral Pension Scheme is a single premium, non-participating and non-linked policy that allow immediate annuity
- The plan comes with two options of annuities such as, Life annuity and Joint life annuity
With Life Annuity, the insured can get 100 percent return of investment amount, while under Joint life annuity, 100 percent return is offered to the spouse if the policyholder dies. However, if the insured as well as the spouse passes away, the complete return of amount is paid the nominee/beneficiary of the policyholder
- As per the frequency of the annuity payment is concerned, it is decided depending on the comfort of the policyholder. The various options available are month-wise payment, quarterly or semi-annual payment as well as annual payment
- The dispersal of pension amounts under Saral Pension Plan starts as soon as an individual buys a plan. The minimum annuity offered under the plan is INR 12000/annum by paying a single premium of INR 2.5 lakh. However, there is no maximum limit to the investment. So, to earn more pension on a monthly or quarterly basis, you can invest accordingly
- The policy also allow the option to surrender it after 6 months of commencement of the plan if the insured or a family member is diagnosed with a critical illness mentioned under the plan
- Saral pension Plan LIC also allow the life assured to avail loan against the plan after 6 months of the plan initiation
Read More: Pension Plans in India: Best Retirement Plans for Senior Citizens
LIC Saral Pension Plan – Benefits
Among the various benefits of LIC Saral Pension Yojana, the below mentioned are the key ones:
- Death Benefit – The policy offers death benefit to the nominee of the policyholder in case of his/her demise under a single life annuity
- In case of joint-life annuity, the annuity continues with the spouse if the policyholder dies. In case both of are no more, the nominee receive 100 percent of the sum invested
- Survival Benefit – The plan offer annuity amount to the insured under survival benefit
- Loan Benefit – Loan can also be availed after 6 months of the plan initiation
- Free-Look Period – The plan is available with a 15 to 30 days free-look period from the date of policy purchase during which the policyholder can reject the plan if she/she doesn’t like it
- Tax Benefits – The insured can also avail tax benefits under the existing income tax laws
LIC Saral Pension Yojana – Annuity Options
The Policy offer two annuity options under the scheme including:
- Life Annuity which allow 100 percent return of Purchase Price, and
- Joint Life Last Survivor Annuity which allow 100 percent return of Purchase Price in case of demise of the last survivor under the policy
LIC Saral Pension Yojana – Annuity Options
| Annuity | Benefit |
| Annuity option 1 | Annuity is paid in arrears so far the annuitant is alive
Once the annuitant dies, the payment comes to an end an 100 percent purchase price is paid to the nominee |
| Annuity option 2 | Annuity payment is done in arrears so far the policyholder or spouse survives
Once the annuitant dies, the payment comes to an end and 100 per cent Purchase Price is paid to the nominee |
How to Buy A LIC Saral Pension Scheme?
You can buy a LIC Saral Pension Scheme via online or offline mode. You may seek help from:
- A licensed LIC agent to buy it offline
- Visit the nearest branch of LIC
- Visit the official website of LIC to buy the plan online
Summing Up
The LIC Saral Pension Yojana 2022 was initiated to cater to the retirement and pension needs of people. This is a well planned policy that allows a tension free financial future for individuals after retirement. With no maximum limit of annuity, a policyholder can invest in this plan with any amount he/she wants to receive corresponding 5% as annuity. This is a scheme for the masses and it is getting very popular among common people.
Found this post informational?
Browse PayBima Blogs to read interesting posts related to Health Insurance, Car Insurance, Bike Insurance, Term Life Insurance, and Investment section. You can visit PayBima to Buy Insurance Online.
Also, check out the PayBima’s Guide and Glossary section –
Related Articles:
- How To Apply Online for Atal Pension Yojana On SBI?
- Post Office Monthly Income Scheme
- 6 Best Monthly Income Scheme (MIS) in India
View this post on Instagram
If a policyholder invests INR 2.5 lakh under the scheme, he/she can receive a minimum monthly income of INR 1,000 or an annual pension of INR 12,000. This amount varies as per the sum invested. The Saral Pension Plan offers two different annuity options to choose from as per the convenience of the insured such as Life Annuity and Joint Life Annuity. The premium paid towards the Saral Pension Plan can be used to save tax of up to INR 1.5 lakh per annum under Section 80C of the Income Tax Act, 1961. In addition, the death benefit offered under the plan to the nominee of the policyholder is also exempted from tax under Section 10(10D). The LIC pension plan (Endowment) offers guaranteed payout at maturity and a death benefit for the family if the policyholder dies. Saral Pension Yojana is a non-linked and non-participating upfront single premium scheme. This is an annuity plan with a 5 per cent rate of annuity guaranteed with the plan.FAQs on LIC Saral Pension Scheme
How much pension will I get from the LIC Saral pension plan?
How many options of annuity are there in the Saral pension plan?
Is Saral pension Yojana taxable?
How does the LIC Endowment pension plan work?
Is Saral pension Yojana good?
Other Investment Products
Author Bio
PayBima Team
PayBima is an Indian insurance aggregator on a mission to make insurance simple for people. PayBima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. PayBima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.
Related Blogs
Fixed Deposit for INR 50,000 for 1, 3, and 5 Years – Check Interest Rates and Maturity Amount
For many risk-averse Indian citizens, an FD account is the safest and the most reliable means of securing a lump sum amount in a couple.
-
Sep 19, 2023 -
6 min read
Sep 19, 2023
6 min read 
What is E-Filing 2.0? Check Features, Registration Process, and a New Online Way to File Income Tax Returns
Have you ever delayed your ITR filing task until the last moment due to its difficulty? Income Tax Returns, commonly termed ITR, is a form.
-
Sep 18, 2023
-
6 min read
Fixed Deposit Double Scheme by Popular Indian Banks
Suraj was recently blessed with a daughter, and he wanted to invest in a safe and guaranteed scheme to save some money for her school.
-
Sep 15, 2023
-
6 min read
What is Passive Income? Check 7 Passive Income Ideas in India, 2023
When Sahil lost his job a couple of years back, he was devastated as he had a family of 6 to look after, which was.
-
Sep 15, 2023
-
6 min read
Elabharthi Portal – Check Objective, Benefits, and E-Labharthi Pension Payment Status
Are you well-informed about the various schemes offered by your state government, especially the ones for the old, needy and people with low incomes? Do.
-
Sep 15, 2023
-
6 min read
Important Things One Should Know Before Opening an FD Account
When Soha, a single mother, was considering different investment options to invest INR 10 lakhs for her daughter’s higher education, she wanted a risk-free and.
-
Sep 13, 2023
-
6 min read
Swatantrata Sainik Samman Yojana (SSSY) – Eligibility, Benefits & Application Process
The Swatantrata Sainik Samman Yojana (SSSY) was introduced as a token of gratitude to the freedom fighters for their contributions to free India. Let’s learn.
-
Sep 11, 2023
-
6 min read
Best Eight Child Plan for Education and Marriage in India – Check Plan Type, Sum Assured and Key Features
As you embrace parenthood and enjoy the bliss of having a child in your life, you also prepare yourself to shoulder some responsibilities of the.
-
Aug 29, 2023
-
6 min read
Fixed Deposit for Women – Check Interest rates, Eligibility and Benefits
With the changing times, the perspective of women in society has experienced a sea change. From being labelled as a housewife to someone who has.
-
Aug 29, 2023
-
6 min read
ULIP Lock-in Period – What is a Unit Linked Insurance Plan Lock-In Period?
When it comes to investing in a good financial/investment scheme, there are a host of products available in the market to choose from. Some offer.
-
Aug 25, 2023
-
6 min read
Latest Posts
Fixed Deposit Double Scheme by Popular Indian Banks
Sep 15, 2023What are Tax Benefits Offered by LIC Policy?
Jul 14, 2023Calculators
Top Insurance Companies View All
Motor Insurance
Health Insurance
Life Insurance
Investment Plan
PayBima Blogs
Mahindra Insurance Brokers Limited (A Mahindra Group Company) - Unit-202, A-Wing, 2nd Floor, Amiti Building, Agastya Corporate Park, Kamani Junction, LBS Marg, Kurla West, Mumbai - 400070. Tel: +91 22 66423800
Licenced by IRDAI License No. 261; License Validity : 17-05-2025; Category : Composite Broker; CIN : U65990MH1987PLCO42609 Member of Insurance Brokers Association of India (IBAI).
Insurance is the subject matter of solicitation.
For a seamless experience, use the latest version of Chrome/Firefox/Internet Explorer.
Copyright © 2023 Mahindra Insurance Brokers. All Right Reserved.
Get A Call Back