ICICI Pru Immediate Annuity - Retirement Plan
Retirement is the phase of life where everyone looks forward to working for years. The ICICI Pru Immediate Annuity is a unique product specialized for helping people at their retirement time. So, get retirement with an Immediate Annuity Retirement Plan from ICICI Prudential Life Insurance. This is one of the single premium annuity plans. This plan has 5 different pension options for you and your spouse. This is a very flexible plan you can cancel this at any given point but the best time log is to cancel after 5 years. So, that you will get the default benefits as mentioned in the plan. To avoid such a situation please read the terms and conditions carefully.
The Retirement Planning Goals
Remember. You are doing the planning for such a life that will start after your paid work is done. So, you need to manage both professional and personal life, financial and non-financial needs, etc. the age of retirement is between 50-60. You need to start planning for retirement goals from the mid-age between 35-40. In INDIA various plans, government schemes, bank schemes from reputed banks are available for you as per your lifestyle.
Let’s have a look at the “ICICI Pru Immediate Annuity Retirement Plan” from ICICI bank. We will first try to understand the terminologies.
What is an Annuity?
This is like a contract between you and any insurance company. Here you will do the initial investment by giving them a lump sum amount or investing a certain amount every month. In return, you will get a series of payments in regular and equal intervals. At a certain stage of your life. This is one of the most important retirement benefits and a wonderful source of income for your requirement life at retirement stage.
What is an Immediate Annuity?
Immediate annuity means you will get the instant payment regularly on a monthly or yearly basis. As you mention in the plan while purchasing. These immediate annuities are created for life long purposes.
How Does This Plan Will Work?
If you are an individual or employee and you want to purchase the ICICI Pru Immediate Annuity Retirement Plan. You need to pay some token amount which is a one-time payment.
After that, you get an option to choose the frequency for the payments that you wish to receive like yearly, quarterly and monthly called the pay-out mode.
You will get the amount as per the rate of annuity applicable to you at the time of purchase. You will get that constant amount for your entire life.
ICICI Prudential Life Insurance has provided an online option to apply this plan.
How To Start Lifelong Income?
- One-time Payment: To purchase ICICI Prudential Immediate Annuity Plan, you need to do the one-time lump sum payment for this plan.
- Select Various Options for Annuity: You will get navigation for an annuity. You can choose as per your requirements.
- Select the option for annuity frequency: Here you are allowed to choose the frequency for your annuity payout mode.
- Ready for Receiving income: From the next month right after that, your income will flow.
Benefits of "ICICI Pru Immediate Annuity Retirement Plan"
Guaranteed income flow for lifelongWhen you buy this plan from ICICI Prudential Life Insurance. As mentioned earlier, you will get regular income for the rest of your entire life. This income will start from next month after purchasing.
Secure and Safe InvestmentYou are doing a kind of contract with ICICI Prudential Life Insurance. ICICI Prudential Life Insurance is a reputed and trusted company. Serving a customer for a long time. So, guaranteed you will get payment as per your respected plan.
Beneficial for TaxWith ICICI Pru Immediate Annuity Retirement Plan you will get the tax benefits on the premium you are paying u/Sec 80CCC and u/Sec 10(10A) of the income tax act 1961. Also, consult your tax advisor for the same.
Various Payout OptionsFor this particular plan, you have several options for payout. Such as
- Life Annuity: This is a very simple will pay you an annuity for your life.
- Annuity on Return of Purchase Price: This will pay you for life and on death for a nominee will get all returns of the purchase price annuity.
- Returns of 50% Purchase Price with Annuity: This is similar to above but only one difference is for a nominee it will be 50% of the purchase price annuity.
- Returns of 75% Purchase Price with Annuity: This option will also pay you and on death, for a nominee, it will be only 75% of the purchase price annuity.
- Returns of Balance Purchase Price with Annuity: This will pay you for your life and on death, the balance purchase price will be given to the nominee that you have mentioned. Please note that if the balance purchase price is negative then no benefits will be given.
- The annual increase of 5% with Life Annuity: In this option, this will pay you for your life and with each respective year, it will increase by 5% annuity.
- Return of Purchase Price Without Joint Life, Last Survivor: This option will pay to you and on annuitant death, to his/her spouse, as mentioned while purchasing. If the name has been changed or decrease then no further benefits are given. If the name is not given legally.
- Return of Purchase Price With Joint Life, Last Survivor: This will pay you for your life and on death, the annuity will be given to your spouse. On the last demise of the Last Survivor then it will be given to the nominee and no other benefits shall be given. Only the price at the time of purchase.
- Return of Purchase Price in Parts With Joint Life, Last Survivor: you will get your annuity for your life and thereafter your spouse will get it which is called the last survivor. If any demise occurs to your survivor then the annuity will be given to the nominee.
- Annuity Returns For a Particular Year Like 5, 10, 15 and Thereafter Life For Guaranteed: This option will pay you for some years such as 5, 10, and 15. Also, another option is thereafter life. These options are allowed to choose. During this guarantee period, any demise occurs then the annuity will be given to your nominee.
- Annuity Returns on purchased For CI - Critical illness or PD – permanent disability due to accident or death: This option will pay you when you are below age 80 years and you may have experience of CI or death. Another purchase price will be given to your nominee in case of death before 80 years of age.
Eligibility For ICICI Pru Immediate Annuity Retirement Plan
- A person or individual who wants the annuity for life from their savings. Also some discounts for NPS – National Pension Scheme subscribers.
- A person or individual person who wants to purchase retirement plans from ICICI Prudential Life Insurance company.
- Group member or team of an employee who wants to purchase this plan or to manage their fund by providing the pension plans from ICICI Prudential Life Insurance.
Boundary Conditions For Annuities?
|Annuity For||Annuitant||Nominee for Pension Plan|
|Group Members||For single life annuity and 20 years of your last birthday. |
For joint life annuity and 30 years of your last birthday.
|Last birthday and 0 years|
|Individual||Last birthday 30 years. |
Last birthday 20 years and for NPS.
Last birthday 55 years if you have a policy as QROPS and UK tax recreated assets.
|Last birthday and 0 years|
ICICI Pru Immediate Annuity Sample Premium
|Age in Years||Return of Premium with a life annuity||Return of premium without life annuity|