LIC Jeevan Shanti

The LIC Jeevan Shanti plan is one single premium plan where the policyholder gets a chance to opt between a deferred annuity and immediate annuity. The rates of such annuity are guaranteed at the beginning of the policy for the two annuities. The immediate and deferred annuities are payable until the life span of the annuitants.

Buy the LIC Jeevan Shanti plan and lead a secured and comfortable future. In case you, wish to buy the LIC Jeevan Shanti policy you can avail it online or offline.

Let us confer the LIC Jeevan Shanti plan in detail.

The LIC Jeevan Shanti policy is one non-linked and non-participating plan. This specific plan provides different options to the insured. Within an immediate annuity plan, a total of ten options are available out of, which two options are available for life cover. On the other hand, within a deferred annuity plan, there are two options available that provide adequate cover against any risk that one might encounter in life.

When it comes to the returns then the same can be availed instantly within an immediate annuity plan, however, in case of a deferred annuity plan, the time of returns can be chosen. The basic intent of a LIC Jeevan Shanti plan is to offer prospective customers who are looking forward to buying the insurance with various options. Moreover, an individual has an alternative either to withdraw the pension immediately or delay the same with returns.

This LIC Jeevan Shanti policy moving ahead is divided into various options. Now, these options can also be personalized that will take care of the requirements of the insured. At the time of retirement, the policy essentially determines the sum assured. An individual can select the type of plan on the premise of certain requirements or needs.

What are the Annuity Options Available Within LIC Jeevan Shanti Plan?

The following are the options available within the immediate annuity plan:

  • Option A: An immediate annuity for life-long.
  • Option B: An immediate annuity with the guaranteed period of 5 years and thereafter life.
  • Option C: An immediate annuity with the guaranteed period of 10 years and thereafter life.
  • Option D: An immediate annuity with the guaranteed period of 15 years and thereafter life.
  • Option E: An immediate annuity with the guaranteed period of 20 years and thereafter life.
  • Option F-: An immediate annuity for life along with the return of the purchase price.
  • Option G: An immediate annuity for life that is increasing at a rate of 3% per annum.
  • Option H: Joint life immediate annuity for a lifetime with a provision for 50% of the annuity to the secondary annuitant on the demise of the primary annuitant.
  • Option I: Joint life immediate annuity for a lifetime with a provision for 100% of the payable annuity as long the annuitant lives.
  • Option J: A joint life immediate annuity for a lifetime with a provision for 100% of the payable annuity as long the annuitant lives and return the purchase price upon the demise of the survivor.

The following are the options available within the deferred annuity plan:

  • Option1: A deferred annuity for the interest of a single life.
  • Option 2: A deferred annuity for the interest of joint life.

What are the Advantages of LIC Jeevan Shanti Plan?

Listed below are the advantages of the LIC Jeevan Shanti plan under the following options:

Immediate Annuity Plan

The following is the list of benefits that is payable within Immediate Annuity options:

  • Option A: Within this, the annuitant would get the returns instantly wherein one will be able to enjoy the return for life-long. The payments can be made yearly, bi-annual, quarterly or monthly. In case, the insured passes away, the annuity will cease with immediate effect.
  • Options B, C, D and E: Until the time the annuitant is alive, the payments for the annuity will be made as per the mode opted for the payment. In case, the annuitant passes away within the guaranteed period, then the nominee will receive the annuity until the guarantee period ends. However, in case the annuitant passes away after the completion of the guaranteed period thereafter the annuity payment will be ceased and nothing will be paid.
  • Option F: Till the time annuitant is alive, the annuity payments will be made through the opted mode of payment. In case the annuitant is no more, the annuity payment will likewise cease and the nominee will be paid the purchase price for the same.
  • Option G: As long as the annuitant will be alive the payment will be made as per the chosen mode of payment. The time the annuitant is no more, nothing will be payable and the annuity payment will be ceased with an immediate effect.
  • Option H: Till the time the primary annuitant is alive the annuity payments will be duly made with the chosen mode of payment. In case, the primary annuitant passes away, then from the annuity amount 50% will be paid to the secondary surviving annuitant till he is alive. However, if the secondary annuitant passes away the annuity payment will likewise be caused. Moreover, if the primary annuitant is predeceased by the secondary annuitant, then under such a situation the annuity payments will be paid and only be ceased when the primary annuitant passes away.
  • Option I: Till the time both the primary and the secondary annuitant is alive then 100% of the amount of annuity will be paid with the opted mode of the annuity payment. When the last survivor passes away, the annuity payments likewise will be ceased that means nothing will be payable.
  • Option J: Till the time both the primary and the secondary annuitant is alive then 100% of the amount of annuity will be paid with the opted mode of the annuity payment. On the demise of the last survivor, the purchase price will be paid to the nominees and then the annuity payments will be ceased.

Deferred Annuity Plan

The following is the list of benefits that is payable within Deferred Annuity options:

  • Option 1: At the time of the deferment period, if the annuitant is survived nothing will be paid. In case the annuitant passes away, the death benefit will be payable to the nominee as defined. After the deferment period, as the long the annuitant is alive, the annuity payments will be paid as per the chosen mode of payment. On the demise of the annuitant, the annuity payments will likewise be ceased instantly and the death benefit will be paid to the nominees.
  • Option 2: At the deferment period, when the primary or the secondary annuitant survives nothing will be paid. Upon the demise of the last survivor, the defined death benefit will be paid to the nominees. After the deferment period, as long the primary and secondary annuitant is alive the annuity payments will be made as per the chosen mode of payment. On the demise of the last survivor, the annuity payment will be ceased with immediate effect and the defined death benefit will be paid to the nominee.

Death Benefit (Applicable only for Deferred Annuity)

  • It will be higher of the purchase price adding accrued guaranteed additions then subtracted with the total annuity sum that is payable till the demise date.
  • Or it is 110 per cent of the purchase price.

Accrued Guaranteed Additions (Applicable only for Deferred Annuity)

  • The guaranteed additions will be accrued towards the end of every policy month until the end of the deferment period. One will obtain guaranteed addition each month wherein the value of the guaranteed addition is the purchase price * the annuity rate per annum monthly payable/ 12.

What is the Eligibility Standard for LIC Jeevan Shanti Plan?

The minimum purchase price has to be Rs 1, 50,000 that is subject to the minimum annuity and the maximum purchase price has no limit.

Note: In case of an NPS  and if the LIC Jeevan Shanti Plan is bought for the interest of Divyangjan, as per the terms and conditions of the policy then a  lower purchase price might be permitted. Moreover, for an NPS the annuity rates will be subject to the factor of reduction.

The least age of entry will be 30 years completed. The below table shows the different mode of payment along with the minimum annuity amount:

Mode of Annuity

Monthly

Quarterly

Half-yearly

Yearly

Minimum Annuity

Rs 1000 every month

Rs 3000 every quarter

Rs 6000 every half-year

Rs 12000 every year

 

In case of a joint-life annuity then it could be taken amongst any lineal that is ascendant or the descendant of the family such as, parent, spouse, grandparent, children, and siblings and so on.

Parameter

Deferred Annuity

Immediate Annuity

Maximum Age of Entry

79 years (Completed)

Apart from Option F 85 years (Completed)

 

 

Only for Option F 100 years

The Minimum Vesting Age

31 years (Completed)

 

 

NA

The Maximum Vesting Age

80 years (Completed)

The Minimum Deferment Period

1 year

The Maximum Deferment Period

20 years that is subject to the vesting age

 

What You Should Buy the LIC Jeevan Shanti Plan?

Let us quickly understand the importance of buying LIC Jeevan Shanti plan as listed below:

  • Ease of Buying: Any individual can buy the LIC Jeevan Shanti plan both online or offline. It is advisable to buy the plan online and keep a track of the same.
  • Dual Annuity: The LIC Jeevan Shanti policy offers two types of annuity that are a deferred and immediate annuity. As per the requirement, the annuitant can opt for the right type of plan.
  • Multiple Alternatives: The LIC Jeevan Shanti policy has both immediate and deferred annuity plans wherein the insured can select from the plethora of options available within the policy. Likewise, it also gives the customers certain flexibility so that the customers can easily decide on their own for what to choose from the prevailing options in case of immediate annuity plan a total of ten options and for deferred annuity plan two options is available.
  • Assured Returns: When an individual opts for a deferred annuity plan, assured returns are a guarantee. Now, every month these returns are added to the LIC Jeevan Shanti plan. The benefits can easily be availed after the deferred period.
  • Guaranteed Income: When investing in such plans a monthly income will be received every month. The policyholder will receive the income for a lifetime. There are options available within the policy wherein the annuitants will receive the guaranteed income even at early demise on the premise of the chosen alternative.
  • Tax Benefits: Within Section 80CCC, the tax benefits can be accessible from the plan. The one-time premium, which is paid it, will be recovered when the tax is being paid.

What are the Additional Benefits of LIC Jeevan Shanti Policy?

Listed below are some key additional benefits of LIC Jeevan Shanti Policy:

  • The Flexibility of Annuity Payment: Regardless of the plan one takes, the annuity payments can be done as per the convenience at the various interval. The annuity payments can be made by the policyholder on a monthly, quarterly, half-yearly or yearly basis.
  • Loan Facility: Anyone who wishes to avail loan on the LIC Jeevan Shanti plan one can take after the completion of a year. Within an immediate annuity plan the loan facility is accessible under Option F and J. And, for deferred annuity plan, it is accessible for both the available alternatives.
  • Death Benefit: Within an immediate annuity plan, the nominee will obtain death benefit for Option F and J. In a deferred annuity plan, death benefits will be accessible in both the plans.
  • Special Cover: In case when the dependent life is handicapped, a certain provision is there wherein the amount of investment is reduced.
  • Surrender Value: The LIC Jeevan Shanti policy can be surrendered within three months of the purchase. Within an immediate annuity plan the surrender value is available for Option F and J. In case of deferred annuity plan the surrender value can be availed for both the accessible options
  • Free Lookup Period: The LIC Jeevan Shanti Plan has a free lookup period for 15 days. Within this period, the policyholder can cancel the policy when not satisfied with the applicable terms and conditions of the policy.

How to Buy LIC Jeevan Shanti Plan?

Any individual who wishes to buy LIC Jeevan Shanti Plan can buy it simply by visiting the website of the company.

One can buy the LIC Jeevan Shanti policy online, visit the website, and complete the registration details with a valid user ID and password respectively. Now select the plan as per the convenience and make the payment of the premium.

Once the payment is received, the LIC Jeevan Shanti policy will be shared with the individual on their registered mail id.

What are the Documents Required to Buy LIC Jeevan Shanti Plan?

Anyone who wishes to buy LIC Jeevan Shanti plan needs to possess the following documents:

  • Address Evidence: Driving license, passport, aadhar card, and so on.
  • Identity Evidence: Aadhar card, PAN Card, valid passport, and so on.

What are the Exclusions Within LIC Jeevan Shanti Plan?

Listed below is the exclusion that is not covered under a LIC Jeevan Shanti policy:

In the case of suicide within the following plans:

  • Immediate Annuity Plan (Applicable For Options F and J): When the annuitant or the primary secondary annuitant commits suicide in 12 months right from the commencement date of the policy, the LIC Jeevan Shanti plan will become void. A sum which is greater of 100 per cent that is of the paid purchase price likewise the surrender value will be paid.
  • Deferred Annuity: When the annuitant or the primary secondary annuitant commits suicide in 12 months right from the commencement date of the policy, the LIC Jeevan Shanti plan will become void. A sum which is greater of 80 per cent that is of the paid purchase price likewise the surrender value will be paid.
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