LIC’s New Jeevan Nidhi Plan is a conventional with profits pension plan with a combination of protection and saving features. This plan provides for death cover during the deferment period and offers annuity on survival to the date of vesting.
Key Features of LIC New Jeevan Nidhi
- LIC Jeevan Nidhi is a non linked pension plan.
- Can be opted as a single premium or a regular premium plan.
- Premium payment (regular) until minimum vesting age of 55 years.
- Maximum vesting age of 65 years.
- Death benefit within the first 5 years will be SA + Guaranteed Addition. After 5 years will be SA + GA + Simple revisionary and Final Additional Bonus.
- The policy provides for Guaranteed Additions @ Rs.50/- per thousand Basic Sum Assured for each completed year, for the first five years.
Jeevan Nidhi maturity Amount HAS to be used to be used in one of the following ways:
Purchase an Annuity Plan for the entire Maturity Amount from LIC and get regular income from the Annuity plan for the rest of their lives.
Withdraw a maximum of ⅓ of the Maturity Amount and invest the balance in the Annuity Plan from LIC to get a regular income.
Invest in buying another Single Premium Pension plan from LIC
Premiums paid towards New Jeevan Nidhi is eligible for Tax rebate under Section 80C each year upto Rs.1,50,000. The Pension amount will be taxable.
Eligibility Conditions And Restrictions
- Minimum Entry Age : 20 Years Completed
- Maximum Entry Age : 58 years (Regular Premium) 60 years (Single Premium)
- Minimum Vesting Age : 55 years (nearest birthday)
- Maximum Vesting Age : 65 years (nearest birthday)
- Minimum Sum Assured : Rs.1,00,000 (Regular Premium) Rs.1,50,000(Single Premium)
- Maximum Sum Assured : No limit
- Premium Payment : Yearly/Half yearly/Quarterly/Monthly/(Through Bank) or Single Premium