LIC Varishtha Pension Bima Yojana Plan

The LIC Varishtha Pension Bima Yojana Plan is an insurance plan that was brought back by the Government of India in the Union Budget 2014-2015. This plan was introduced in order to offer excellent protection and a source of regular income to senior citizens who are 60 years old and above. Life Insurance Corporation of India has the right to offer this particular scheme. This plan is specifically designed for a retired individual. It offers pension as well as a death benefit.

Eligibility – Who is the LIC Varishtha Pension Bima Yojana Plan for?

Every insurance company typically has certain eligibility criteria that need to be met by anybody who is interested in obtaining the benefits of an insurance plan. You need to fulfill the following eligibility criteria to purchase an LIC Varishtha Pension Bima Yojana Plan:

Minimum entry age	60 years (as on last birthday)
Maximum entry age	There is no limit.
Minimum maturity age	Information not provided
Maximum maturity age	Information not provided

Sum Assured and Premium Range – What you get and what it costs

With the LIC Varishtha Pension Bima Yojana Plan, you will receive large amounts as pension. You will get different amounts for a month, a quarter, 6 months, and 1 year.

Minimum pension	Rs.500 for each month Rs.1,500 for each quarter Rs.3,000 for each half-year Rs.6,000 for each year
Maximum pension	Rs.5,000 for each month Rs.15,000 for each quarter Rs.30,000 for each half-year Rs.60,000 for each year
Minimum purchase price	Annually: Rs.63,960 Half-yearly: Rs.65,430 Quarterly: Rs.66,170 Monthly: Rs.66,665
Maximum purchase price	Annually: Rs.6,39,610 Half-yearly: Rs.6,54,275 Quarterly: Rs.6,61,690 Monthly: Rs.6,66,665

The premiums or purchase price for this plan are reasonably priced. You can check with your insurance advisor regarding the premiums that you need to pay for this plan.

Premiums may vary depending upon factors like age, location, term of the plan and prevailing taxes/GST.

Plan coverage – What the LIC Varishtha Pension Bima Yojana Plan covers

The LIC Varishtha Pension Bima Yojana Plan offers excellent benefits to the policyholder as well as his or her family members. The government revived this plan to offer a pension scheme to help senior citizens. With this scheme, lakhs of annuitants have been enjoying the benefits of this plan.

Type of benefit	Features of the benefit
Death benefit	When the pensioner/annuitant/life insured passes away suddenly due to some reason, then the nominee chosen by the pensioner will receive a death benefit.
Pension benefit	With the LIC Varishtha Pension Bima Yojana Plan, the pensioner/life insured will receive a pension benefit for full life. It will be paid as an immediate annuity according to the pension payment mode selected by the annuitant. The mode can be annual, half-yearly, monthly, and once a month.

You will receive your pension through ECS or NEFT only.

Riders/Add-On Plans - Additional coverage under the LIC Varishtha Pension Bima Yojana Plan

Insurance plans generally offer riders or add-on plans in order to offer additional protection to policyholders. A policyholder will have to pay an additional premium to receive the benefits of this plan. With the LIC Varishtha Pension Bima Yojana Plan, there are no rider plans as of now.

Exclusions – What the LIC Varishtha Pension Bima Yojana Plan doesn’t cover

Most insurance policies come with certain exclusions. Exclusions refer to certain incidents that are not covered by an insurance plan. You can ask your insurance advisor if there are any exclusions that come with the LIC Varishtha Pension Bima Yojana Plan.

Other Key Features – Free-look Period, Surrender Values, Grace Period, etc.

The LIC Varishtha Pension Bima Yojana Plan offers a plethora of salient features for benefitting you and your near and dear ones. Apart from the pension benefit and death benefit, you can enjoy a wide range of other significant features.

Surrender value	You can surrender the LIC Varishtha Pension Bima Yojana Plan after you complete a policy period of 15 years. Under this plan, the surrender value will be the refund of purchase price. If you need money urgently for treating any terminal or critical illness, then you can surrender your plan before the completion of 15 years. In this case, the surrender value will be 98% of purchase price.
Free-look period	This plan will provide you with a free-look period of 15 days. During this period, you can review your plan’s terms and features. If you are not satisfied with any of this plan’s features, you can return it within this period. Within the free-look period, the company will return the purchase price that you would have paid.
Policy loan	With the LIC Varishtha Pension Bima Yojana Plan, you are allowed to apply for a loan after a period of 3 policy years is completed. You will receive a loan amount of up to 75% of the purchase price. The rate of interest for your loan will be fixed by the company and it will change on a regular basis. The interest for this loan will be deducted from the pension amount.

Tax Benefits – How you can save with the LIC Varishtha Pension Bima Yojana Plan

With the LIC Varishtha Pension Bima Yojana Plan, you can save on taxes efficiently. You will get tax benefits and tax deductions according to the Income Tax Act, 1961. These tax benefits are offered under Section 80C and Section 10(10D) under this act. You will typically get tax benefits when you make your premium payments.

Other benefits – How you can save with the LIC Varishtha Pension Bima Yojana Plan

You will receive an amazing array of benefits with LIC Varishtha Pension Bima Yojana Plan that will help you save productively:

• You can plan your NAV for this plan and monitor it accurately and conveniently online.
• You can visit the official website of LIC and make your premium payments online easily.
• The LIC website has a premium calculator which will enable you to compute your premiums easily. You will also get a clear idea of how much premium you need to pay for each payment mode.
• You can file your claims online conveniently.
• You can check your policy status online by visiting the company’s official website.

Why should you buy the Varishtha Pension Bima Yojana Plan from LIC of India?

Life Insurance Corporation of India is a top-notch public life insurance company that has been providing outstanding life insurance services for a number of years. You can count on the company to give you tailor-made insurance solutions as per your specific needs and preferences.

With the Varishtha Pension Bima Yojana Plan from Life Insurance Corporation of India, you can be assured that you will have a steady source of income even after you retire. You do not have to be stressed about depending on your children, relatives or friends for financial support. You can instead stand on your own feet with this plan and make all your dreams come true even after you retire from your job.