Whether you are young or nearing the annuity age having a proper retirement planning to secure the financial future of an individual is very important. The best to do so is to have a pension plan or retirement plan, so that you can enjoy rest of the retirement days without any stress.
As one of the biggest market player of the insurance sector, SBI life insurance has come up with three pension plans to cater the requirements of the customers. SBI life insurance pension plan comes with a manifold of benefits and provides a worry free retirement life to the insured. The SBI life insurance pension plan provides annuity payout to the insured after the retirement of the individual. These plans comes with two options known as immediate annuity and deferred annuity.
Further in this article we have briefly discussed some of the key features and benefits offered by SBI life insurance pension plan.
Types of SBI Life Insurance Pension Plan
1. SBI Life Saral Pension
2. SBI Life Annuity Pension
3. SBI Life Retire Pension
SBI Life Saral Pension- This is traditional participating non-linked pension plan which provides security from the market fluctuation. The premium is paid during the tenure of the policy. The plan offers a minimum sum assured of Rs1lkah whereas it does not have any maximum limit. The SBI Saral Pension plan participates in profit and also provides bonus facility. In case of vesting of the policy, the chosen sum assured, guaranteed bonus and terminal bonus, simple reversionary bonus, if any s paid to the insured.
The insured can postpone the vesting age if his/her age is 55 years or less. The death benefit paid to the beneficiary of the policy is higher of the 105% of total premium paid till death or growing compounded rate of 0.25% per annum.
The insured can withdraw the death benefit or use it to buy an annuity plan. In the first 5 years of the plan a guaranteed bonus at 2.5% of the sum assured is added.
SBI Life Annuity Pension- This is a non-participating traditional annuity plan that provides a wide range of annuity options. This plan provides regular income or annuity payout to the insured from 40 years. SBI Life annuity pension plan allows the insured to choose from a wide range of annuity option. Moreover, the plan also provides the option of life time annuity payout for the family of the insured. According to one’s own choice he/she can choose from different annuity payouts like yearly, half-yearly, quarterly and monthly.
Under this plan the insured can avail the add-on benefit of accidental death benefit rider. The SBI Life Annuity Pension Plan allows the policy holder the flexibility to increase their annuity payout. The entry age of the policy ranges from 40 years – 80 years.
SBI Life Retire Smart- This is a Unit linked non- participating pension plan that guarantees bonus at 10% of the yearly premium from the 15th policy year to the end of the policy tenure. Moreover, it also offers terminal bonus at 1.5% of the fund value. On maturity and vesting of the policy, the customers can avail the following options like:-
· They can buy immediate annuity from the proceeds of the policy.
· They can buy single premium deferred product.
· The insured have an option of immediate annuity along with 1/3rd of the proceeds to commute.
Under this plan the premium paid is eligible for tax deduction under section 80C of Income Tax Act.
SBI Life insurance pension plan efficiently secures the financial future of the individual and help them to enjoy their golden days of retirement without any stress.