LIC Jeevan Akshay - VII
What is the LIC Jeevan Akshay Plan?
LIC Jeevan Akshay scheme with plan number 857 is an immediate pension plan. It is an annuity plan, launched on 1st February 2022 by LIC. It means you pay a one-time amount and get regular payments in return. The plan offers different options like receiving payments for life, for a fixed period, or returning the amount you paid to your nominee after your death.
It is a good option for people who want a steady income after retirement. Once you choose your option and pay the amount, you start getting income immediately and continue as per the option you selected.
Eligibility Criteria Of LIC Jeevan Akshay-VII
Here are the eligibility criteria that you need to follow to purchase a LIC Jeevan Akshay-VII Plan:
| Criteria | Details |
|---|---|
| Minimum Age at Entry | 25 years (completed) |
| Maximum Age at Entry | 85 years (for all options except Option F), 100 years (for Option F) |
| Minimum Purchase Price | Rs. 10,00,000 (for age 25-29 years)Rs. 1,00,000 (for age 30 years & above)* |
| Maximum Purchase Price | No Limit |
| Minimum Annuity Amount | Rs. 1,000 per month Rs. 3,000 per quarter Rs. 6,000 per half-year Rs. 12,000 per annum |
| Joint Life Option | Allowed between close family members (spouse, parents, grandparents, children, grandchildren, or siblings) |
Key features of LIC Jeevan Akshay-VII Plan
The following points are the key features of the LIC Jeevan Akshay-VII Plan:
- Non-Linked Plan The plan is not connected to the stock market, so your money is safe from market ups and downs.
- Non-Participating Plan It does not offer bonuses or a share in LIC’s profits.
- Individual Plan This plan is meant for a single person or a joint life option with a family member.
- Immediate Annuity You start receiving regular income right after making a one-time payment, based on the option you select.
- One-time Payment This is a Single Premium Immediate Annuity Plan, which means you pay once and start getting regular income right away.
- Multiple Annuity Options You can choose from various annuity options as per your needs. Once selected, the option cannot be changed later.
| Option | Annuity Type |
|---|---|
| A | Immediate Annuity for Life |
| B | Immediate Annuity with a guaranteed period of 5 years and life thereafter |
| C | Immediate Annuity with a guaranteed period of 10 years and life thereafter |
| D | Immediate Annuity with a guaranteed period of 15 years and life thereafter |
| E | Immediate Annuity with a guaranteed period of 20 years and life thereafter |
| F | Immediate Annuity for Life with return of Purchase Price on death |
| G | Immediate Annuity for Life with 3% simple increase in annuity every year |
| H | Joint Life Annuity with 50% annuity to the secondary annuitant after the death of the primary annuitant |
| I | Joint Life Annuity with 100% annuity payable as long as one annuitant is alive |
| J | Joint Life Annuity with 100% annuity payable as long as one is alive + return of Purchase Price on the last death |
- Flexible Payout Modes You can receive your annuity payments monthly, quarterly, half-yearly, or yearly, as per your comfort.
- Choose Between Single or Joint Life:Single Life Annuity : Payments continue for the lifetime of one person.Joint Life Annuity : Payments are made for the lifetime of two people (usually spouses or family members).
Benefits of LIC Jeevan Akshay Plan-VII
Here are the benefits given by the different annuity options available under the LIC Jeevan Akshay Plan:
- 01
Option A: Annuity for Life
Regular annuity payments are made for the lifetime of the annuitant.Payments stop immediately after the annuitant's death.No amount is payable to the nominee.
Note: An annuitant is the person who receives income payments from an annuity.
- 02
Option B, C, D, E: Annuity with Guaranteed Period (5, 10, 15, or 20 years)
An annuity is paid regularly as long as the annuitant is alive.If the annuitant dies during the guaranteed period, payments continue to the nominee till the end of that period.If the annuitant dies after the guaranteed period, payments stop, and nothing is paid.
- 03
Option F: Annuity for Life with Return of Purchase Price
A regular annuity is paid for the annuitant's lifetime.After the annuitant’s death, payments stop, and the original purchase amount is returned to the nominee.
- 04
Option G: Annuity for Life with 3% Annual Increase
Annuity is paid for life and increases by 3% every year.Payments stop after the annuitant’s death.No additional benefit is payable to the nominee.
- 05
Option H: Joint Life Annuity with 50% to Secondary Annuitant
Full annuity is paid as long as the primary annuitant is alive.After their death, 50% of the annuity is paid to the secondary annuitant for life.If the secondary annuitant dies before the primary annuitant, payments are made to the primary annuitant until their death.Payments stop after both have passed away.
- 06
Option I: Joint Life Annuity with 100% to Either Life
100% annuity is paid for as long as at least one of the two (primary or secondary annuitant) is alive.Payments stop after both have passed away.No refund or additional benefit is payable.
- 07
Option J: Joint Life Annuity with 100% to Either Life + Return of Purchase Price
100% annuity is paid as long as one of the annuitants is alive.After the death of the last survivor, the annuity stops, and the purchase price is returned to the nominee.
How To Buy LIC Jeevan Akshay - VII?
To buy the LIC Jeevan Akshay Plan-VII online, you have to go through the given steps:
Step 1
Go to the official LIC website (www.licindia.in).
Step 2
On the homepage, go to “Buy Policies Online” or select the plan category (like pension plan).
Step 3
Choose the specific plan you want to buy.
Step 4
Click on “Learn More” to open the application page.
Step 5
Fill in the form and upload the required documents.
Step 6
Submit the form and make the payment online.
Available Options in LIC Jeevan Akshay Plan
Death Benefit Payment Options (Only for Option F & J):
If the plan offers a death benefit, you can choose how your nominee will get the money. Here are some ways in which a death benefit to the nominee is offered: Lump Sum The Full purchase price is paid at once.Monthly/Yearly Installments Amount is paid over 5, 10, or 15 years.Minimum: ₹5,000 (monthly), ₹15,000 (quarterly), ₹25,000 (half-yearly), ₹50,000 (yearly).Buy Annuity for Nominee The amount is used to buy a new annuity for the nominee (based on their age).
For NPS (National Pension Scheme) Subscribers:
If the spouse is alive Option J is available.If no spouse Option F is available.On the death of both, the amount can be used to buy an annuity for dependent parents (if eligible).
For Persons with Disabilities (Divyangjan):
The plan can be purchased by a parent/guardian for a dependent Divyangjan.Option F, I, or J can be chosen.On the proposer’s death, the death benefit must be used to buy an annuity for the Divyangjan.
Details of The LIC Jeevan Akshay-VII Plan
Here are the other details of the LIC Jeevan Akshay Plan:
| Parameter | Details of the Plan |
|---|---|
| Loan Interest Rate | The interest rate for loans in 2023 is 9.50% per year, compounded half-yearly, and remains fixed for the entire loan term. |
| Surrender | You can surrender the policy after 3 months from the start date, but this option is only available under Options F and J. |
| Loan Facility | You can take a loan after 3 months, and only if you’ve chosen Option F or J. |
| Free Look Period | If you are not happy with the plan, you can cancel it within 30 days from the start of the policy. |
| Surrender Value | The amount you receive on surrender is based on your purchase price, annual annuity, and your age at the time of surrender. |
| Loan Amount | You can borrow up to 80% of the surrender value, but the annual interest must not exceed 50% of your yearly annuity. |
Provision For Rebate in LIC Jeevan Akshay Scheme
| Provision | Details |
|---|---|
| 41(1) | No one can give or take any discount on commission or premium to promote buying or renewing an insurance policy, unless it is officially allowed by the insurer. |
| 41(2) | Breaking this rule can lead to a fine of up to ₹10 lakh. |
LIC Jeevan Akshay lets you pay once and earn a regular income instantly. Pick wisely and enjoy old age!
To sum up, LIC Jeevan Akshay is a reliable option for those looking for a guaranteed regular income after retirement. However, once an option is selected, it cannot be changed later. It is a simple, secure plan for long-term financial stability and peace of mind.
FAQs
LIC Jeevan Akshay is a one-time payment pension plan that gives you a regular income for life. You pay once and start getting money right away based on the option you choose.
You should buy this plan if you want a guaranteed lifelong income after retirement. It’s simple, safe, and also offers death benefits in some options, giving peace of mind to you and your family.
No, once you select an annuity option, you cannot change it later.
No, LIC Jeevan Akshay does not offer any loan facility under this plan.
Surrender is allowed only under certain annuity options and in specific conditions.