LIC Plans for Senior Citizens

One of the leading life insurance companies of India, LIC offers a variety of insurance plans for its customers, out of which few are specially formulated for senior citizens i.e the people aged above 60 years and the individuals who are looking to have regular income through annuity scheme. Let us talk about such types of plans:

1. Pradhan Mantri Vaya Vandana Yojana (PMVVY)

PMVVY is a social security plan of the government of India, run by LIC which is specially designed for Indian residents above 60 years of age. Earlier, the maximum investment limit in this scheme was Rs 7.5 lakhs. But later the limit was revised and increased to Rs 15 Lakhs. The first installment of the pension will be received after 1 month, 3 months, 6 months, and 1 year respectively after depositing the money, depending upon the option chosen by the applicant while applying to it.

Document required for PMVVY

• Aadhar Card
• Address proof
• Age proof
• Passport size photograph
• Employment retirement certificate

Features of PMVVY

• The applicant can invest an amount of Rs 15 Lakhs through this scheme.
• If the applicant survives till the maturity of the term plan, then the policyholder will get the policy amount of the annuity in addition to the final installment amount.
• If the policyholder dies before the maturity of the term plan, the amount of annuity will be provided to the beneficiary.
• A loan facility for up to 75% of the purchase price is also available after the completion of three years of the policy.

2. LIC Jeevan Akshay – VII

This scheme offers 10 different annuity options, out of which the policyholder has to choose anyone. This annuity plan also offers the joint life cover. Any individual of age 30 – 80 years can reap benefits out of this scheme with a minimum purchase price of Rs 1 lakh.   

Annuity options offered by LIC Jeevan Akshay – VII

• Option A: offering annuity for life.
• Option B: offering immediate annuity of a guaranteed period of 5 years and life thereafter.
• Option C: Immediate annuity option with guaranteed period of 10 years and life thereafter.
• Option D: A guaranteed period of 15 years and life thereafter.
• Option E: A guaranteed period of 20 years and life thereafter.
• Option F: Annuity option for whole life along with the return of the purchase price.
• Option G: Annuity for whole life increasing at 3% rate per annum.
• Option H: Joint life annuity with provision for 50% annuity to the secondary annuitant in case the primary ones die.
• Option I: Joint life annuity for life with a provision for 100% annuity as long as any one of the annuitants survives.
• Option J: Joint life annuity for life with a provision for 100% annuity as long as any one of the annuitants survives along with the return of purchase price on the death of the last survivor.

Features of LIC Jeevan Akshay – VII

• Free-look period of 30 days if offered by this scheme which allows the policyholder to check the terms and conditions of the policy well.
• The facility of loan is available in this scheme after the completion of 3 months or a free-look period.
• There is no requirement for medical examination to opt for this scheme.

3. LIC New Jeevan Shanti

LIC New Jeevan Shanti is a single premium annuity plan for individuals of age 30-79 years. The policyholders are offered with two annuity options i.e. Single life or Joint life deferred annuity. The annuity rates are guaranteed and are payable post deferment throughout the lifetime of the annuitant(s).

Features of LIC New Jeevan Shanti

• The plan offers a free-look period of 15 days to the policyholder for checking the terms and conditions of the plan thoroughly.
• The policyholder can avail death benefit under both the annuity options.
• The facility of loan is available after completion of 3 months or free-look period, whichever applicable.
• The policy can be surrendered at any point of time during the term of the policy.

Frequently Asked Questions

1. What is the maximum age limit to opt for Pradhan Mantri Vaya Vandana Yojana (PMVVY)?

PMVVY is a plan offered by LIC exclusively for senior citizens i.e individuals above the age of 60 years. 

2. Is it safe to buy a policy through online mode?

Yes, it is. LIC is one of the leading insurance companies in India offering a safe and secure platform to the customers to buy plans suitable for them.