HDFC LIfe Group Pension Plan
- Reduce taxable income by up to Rs. 1,50,000 deduction under section 80C**
- Convenient payment options - annual, half-yearly, quarterly or monthly premium payments
- Do more with plans that offer pure protection, retirement planning and investment options
The HDFC Life Group Pension Plan is a non-linked participating variable insurance plan that offers you a flexible solution for managing all your superannuation obligations. The HDFC Life Group Pension Plan comes with great benefits for the employees. It is specially designed to meet and manage pension needs effectively.
Eligibility – Who is the HDFC Life Group Pension Plan for?
In order to be eligible for the HDFC Life Group Pension Plan, some criteria set out by HDFC Life must be met. The eligibility criteria for HDFC Life Group Pension Plan are given below:
| Type of Plan | Non-linked participating variable insurance plan |
| Minimum age at entry | 16 years |
| Maximum age at entry | 75 years |
Sum Assured and Premium Range – What you get and what it costs
Sum Assured – It is the amount that you get after the end of the policy term. In this case, you will get the amount after your retirement.
Premium – The premium depends on the assured sum chosen by you for your HDFC Life Group Pension Plan.
| Minimum Premium | Rs.100,000 |
| Maximum Premium | No limit |
| Mode of Premium Payment | Single premiums, monthly, quarterly, semi-annually and annually |
Disclaimer: Premiums vary based on age, location, plan term and other factors.
Plan Coverage – What the HDFC Life Group Pension Plan covers
HDFC Life Group pension Plan is a great option that supports liabilities like superannuation and pension. You can have a single policy account or avail separate accounts for each of the members. At the start of the policy, after applicable premium charges are deducted, the premiums paid will go to the account of the policy holder. On an annual basis, the policy holder will receive the amount along with bonuses. The premiums can be paid by you monthly, quarterly, semi-annually and annually.
Account Value Crediting:
- Minimum Floor Rate – Minimum floor rate for HDFC Life Group pension Plan is 0.5% per annum. The minimum floor rate is guaranteed for the entire term of the policy. The minimum floor rate is credited to the policy holder’s account and the end of each financial year
- Bonus Rate – A non-negative bonus rate is declared over the minimum floor rate after the end of each financial year. After minimum floor rate has been credited, the bonus rate goes to the account of the policy holder
- Residual Additions – The non-negative residual additions get credited to the account of the policy holder after each policy year ends. These residual additions are determined as:
- Actual yield received, when the policy year ends, in the account of the policy holder
- Gross Investment yield received at the end of every policy year in the shadow account
- Yield that is referred in yield reduction duration according to IRDA Regulation 37 (Linked Insurance Products)
- Yield received in the account of the policy holder is calculated at the end of every policy year using the method of money weighted rate of return
The table below talks about the cover offered by the HDFC Life Group pension Plan:
| Scheme or Event | For the schemes where an individual member accounts are not maintained as defined benefits | For the schemes where an individual member accounts are maintained as defined benefits |
| Maturity or Vesting | The benefit is paid according to the rules set by the employer in the scheme, subject to value of the policy account or assured benefit | Higher of
|
| Death of any scheme member | The benefit is paid according to the rules set by the employer in the scheme, subject to value of the policy account or assured benefit | Higher of
|
| Policy exit due to early retirement, resignation or termination other than death | The benefit is paid according to the rules set by the employer in the scheme, subject to value of the policy account | Account Value of the member. After the benefit is paid, all the benefits that were being availed by the member will cease |
Exclusions – What HDFC Life Group Pension Plan does not cover
Under HDFC Life Group Pension Policy, there are no exclusions for death benefit.
Other Key Features
| Premium Allocation Charge | The premium allocation charge is applicable at the time of premium payment. The charge is 0.05% per annum of the total premiums paid. It is subject to a maximum amount of Rs.10,000 |
| Surrender of Policy | For the schemes where all the member level accounts have been maintained with HDFC Life:
|
| Cancellation in Free-look period | If the policy holder does not agree to the provisions mentioned in the certificate or policy of insurance and the details provided in the proposal form, then he/she may choose to return the policy to HDFC Life stating the reasons for doing it. This must be done within a period of 15 days from receipt date of the policy. After receiving the original policy document and the cancellation letter, HDFC Life will arrange for the premium refund. However, statutory deductions will be applicable on the refund. If the policy is returned, it cannot be revived, restored or reinstated. New application must be made if the applicant wants a policy again. |
Tax Benefits – How you can save with HDFC Life Group Pension Plan
Tax benefits under the HDFC Life Group Pension plan are applicable as per the prevailing tax laws.
Why you should buy the HDFC Life Group Pension Plan from HDFC Life
HDFC Life has a widespread network of offices around the country like most of the top insurers present in the market today. They operates out of 9,000 touch-points and 398 offices within India, making its products extremely accessible to their customers. The insurance provider has a capable financial consultancy team that caters to the growing needs of customers within the country and abroad.
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