Exide Life Pension Plans

Exide life Insurance Company Limited (previously known as ING Vysya Insurance Company Limited) started its operation from 2001-02 onwards and its headquarters is in Bengaluru. It has a customer base of over 10 lakh customers. Its distribution channel comprises of multi channels like Agency, Bancassurance, Alliances and Direct Channels. Exide Life Insurance is one of the leading life insurance companies in South India and is growing in other parts of the country. The main focus of the company is to provide long term protection and savings solution with a strong traditional product portfolio with a bonus track record

What are Pension Plans?

Annuity or Pension plans are such plans which are designed with the purpose of providing income after retirement regularly so that an individual can meet his day-to-day expense without hardships. These are specialized pension plans with special features which are as below:

• When the plan matures and annuity payments start it is called the Vesting Date
• There are two types of plans as per individual requirements. One is the Deferred Annuity plan where the individual pays premiums for stipulated period and after the completion of that period, the plan vests and annuity begins. If he dies in that period, a benefit is paid to the nominee. The other is the Immediate Annuity plan where the individual pays an amount and annuity payments start immediately from the next month or any other period as chosen and there is no benefit payable on death. On death the annuity simply stops
• Annuity payments will be paid from the accumulated fund as the policyholder cannot withdraw the money invested in a pension plan. Only 1/3^rd part of the money can be taken in cash as commuted pension.

Exide Life Pension Plans

Exide Life Insurance Company is offering two types of retirement plans to its customers. Let us take a detailed look at the types of plans available and the features and benefits of the plans in details.

Read Also : What is an Annuity | Present Value of an Annuity

Exide Life Golden Years Retirement Plan

A traditional pension plan which promises multiple benefits to the policyholder. The features and benefits of the plan are as follows:

• Though it is a traditional plan, it is a variable plan where the premiums paid net of charges are transferred to the Individual Pension Account. The amount transferred to the Individual Pension Account is invested in the Capital Guarantee Plan
• Besides the growth in the Individual Pension Account, a Minimum Floor Rate of 1%, an Additional Interest Rate of 4%  and any Residual Addition is added from the 5^th policy year
• In case of death of the insured during the plan tenure, a benefit higher of 105% of all premiums paid including any top-up premiums paid or aggregate premiums paid including any top-up premiums compounded @1% or the available balance in the Individual Pension Account is payable to the nominee
• The nominee can withdraw the entire amount in lump sum or choose to avail annuity from the amount.
• On Vesting, a benefit higher of the total premiums paid including any top-up premiums compounded @1% or the available balance in the Individual Pension Account is payable.
• The policyholder can use the Vesting Benefit in multiple ways. The policyholder can commute 1/3^rd part of the corpus and avail annuity from the remaining part or use the proceeds to buy a Single Premium Annuity plan from the company or can even defer the vesting age if he is aged below 55 years
• Top-ups can be done to increase the corpus in any year except in the last two years before vesting. The minimum amount for a top-up is Rs.2000
• If the total premiums paid is higher than Rs.4.8 lakhs, Loyalty Benefits are paid which is equal to 100% of the allocation charges deducted from the premium
• The premium paying tenure can be changed subject to compliance with certain terms and conditions
• Income tax benefit on the premium paid as per Section 80CCC and on the commuted part as per Section 10(10A) of the Income Tax Act. Death benefit is exempt under Section 10(10D).

Eligibility Details

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply