Star Union Dai-ichi Life Immediate Annuity Plan

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Introduction/Overview

Star Union Dai-ichi Life Immediate Annuity Plan is a traditional immediate annuity plan without bonus geared towards catering for its customers retirement requirements. The premium is paid in a single lump-sum payment at the policy inception for the purchase of the annuity. This policy’s target is to help maintain a comfortable standard of living for its customers after retirement.

Key Features

  • This policy provides a regular income upon retirement.
  • The policy has an affordable minimum purchase price of Rs. 500,000.
  • The policyholder has the choice of how much annuity he or she wishes to receive after retirement.
  • The policyholder has the flexibility of receiving the annuity in annual, semi-annual, quarterly or monthly modes.

Benefits

  • The policyholder receives tax benefits under section 80(C) of the Income Tax Act.
  • In the unfortunate event of the death of the Life Insured, his or her nominee receives a Death Benefit that is dependent on the annuity chosen by the policyholder.
  • The policy offers four annuity options for its customers:
  1. Life Annuity
  2. Life Annuity with the return of Purchase Price
  3. Life Annuity that increases by 5% every year with the return of Purchase Price, payable on death.
  4. Life Annuity that increases by 5%every year without the return of Purchase Price.

Product Specification:

 

Minimum

Maximum

Entry Age (Last Birthday)

50 years

80 years

Maturity Age (Last Birthday)

-

Till death

Policy Term (PT) in years

Whole life

Premium Paying Term (PPT) in years

Single

Premium Paying Frequency

Yearly, Half-yearly, Quarterly, Monthly

Monthly Income

Rs.5,00,000

No limit

Details About Premium

 

Option I

Option II

Option III

Option IV

Annuity Option

Life Annuity

Life Annuity with return of Purchase Price

Life Annuity that increases by 5% every year with the return of Purchase Price payable on death

4. Life Annuity that increases by 5% every year without the return of Purchase Price

Age of the annuitant

60 years

60 years

60 years

60 years

Minimum Purchase Price

Rs. 500000

Rs. 500000

Rs. 500000

Rs. 500000

Monthly Annuity

Rs. 3953

Rs. 3154

Rs. 2211

Rs. 2771

Death Benefit

NIL

Rs. 500000

Rs. 500000

NIL

Surrender Benefit

NIL

NIL

NIL

NIL

Policy Details

Grace Period: Grace Period is not available for this policy as it is a single premium payment.

Policy Termination or Surrender Benefit: Surrender Benefit is not available with this policy. Termination of the policy occurs on the death of the life assured.

Free Look Period: A limited free look period of 15 days from the date of receiving policy documents is allowed to review the policy. If the policyholder does not wish to continue with the policy, then he or she has to return the policy stating their objections. The premium that was paid will be refunded minus a proportionate premium for the risk borne by the company, including as any extra expenses, such as towards stamp duty charges.

Inclusions

  • The annuity is paid annually, semi-annually, quarterly and monthly intervals as per the choice of the policyholder at the time of purchase of the policy. Depending on the mode of annuity chosen, the first annuity payment is made one month, three months, six months or one year after the date of purchase.

Documents Required

The policyholder has to fill up an ‘Application form’ with identity proof, bank account proof, address proof and a recent photograph. A medical examination may be required.