HDFC Life Assured Pension Plan

What is HDFC Life Assured Pension Plan?

HDFC Life Assured Pension Plan is a Unit Linked Pension Plan designed to help you achieve a joyful and financially secure retirement. It allows you to start investing as early as 18 years old, giving your retirement savings a head start and taking advantage of long-term growth. Unlike the traditional plans, this HDFC Pension Plan offers flexibility. You can choose to either pay a single premium upfront (single pay) or spread the payments over a chosen period (limited pay).

What truly sets this plan apart is the combination of security and growth potential. It provides a guaranteed minimum benefit (assured vesting benefit) at maturity, ensuring you have a safety net.

Features of HDFC Life Assured Pension Plan

The HDFC Life Assured Pension Plan features are:

• Get guaranteed benefits and potential for market growth.

• Earn bonus units (Pension Multipliers) every other year starting in year 11.

• Invest from 18 and potentially vest your funds at 45.

• Choose single pay or limited pay to fit your budget.

• Death benefits to the nominee which will be higher of the fund value of your policy at the time of death or 105% of premiums paid till then

• Save on taxes under prevailing tax laws.

Eligibility Criteria for HDFC Life-Assured Pension Plan

Below is the eligibility criteria for HDFC Life Assured Pension Plan: 

Benefits of the HDFC Life-Assured Pension Plan

Below are the benefits of HDFC Life Assured Pension Plan

• Get bonus units (Pension Multipliers) every other year starting in year 11 for continued premium payments.

• Receive at least 101% of your premiums paid + an additional bonus based on policy term upon maturity.

• Defer your retirement income (vesting) up to age 75 (if below 55 years old). Benefits and charges continue to apply.

• The nominee gets the higher of fund value or 105% of premiums paid in case of your unfortunate demise.

• Access up to 1/3 of the maturity benefit as tax-free cash, with the remaining amount used to purchase an annuity.

• Choose to receive your entire maturity benefit as a regular income stream through an annuity from HDFC Life.

• Extend your accumulation phase within the same policy terms if you're below 55 years old at maturity.

Riders Under the HDFC Life Assured Pension Plan

HDFC Life Protect Plus Rider (UIN: 101B016V01)

Get protected with a proportion of Rider Sum Assured in case of Accidental Death or partial/total disability due to an accident or diagnosis of Cancer.

Policy Details of the HDFC Life-Assured Pension Plan

1. Discontinuance Policy:

   • Discontinue before 5 years: Options are revival within 2 years or complete withdrawal.

   • Default if no action: Withdrawal.

   • Risk cover remains till discontinuance; charges continue.

   • Fund value moves to 'Discontinued Policy Fund' after deducting Discontinuance Charges.

   • Minimum guaranteed interest rate for the fund is 4% p.a.

   • Asset allocation for the Discontinued Policy Fund: Money Market Instruments (0-40%) and Government securities (60-100%).

   • A Fund Management Charge of 0.50% p.a. applies.

   • Proceeds are paid after a 5-year lock-in or revival period completion.

   • Death before revival/payment results in a payout to the nominee, terminating the policy.

2. Cancellation in Free-Look Period:

   • Return within 15 days (30 days for distance marketing) if not agreeable to the terms.

   • Refund includes allocated units' value, unallocated premium part, minus risk premium, medical expenses, and stamp duty.

   • Returned policy can't be revived; a new proposal is needed for a new policy.