About New Jeevan Nidhi (818)

This is a with profits deferred pension plan, which provides for death cover during the deferment period, and annuity on survival to the date of vesting. The policy provides for Guaranteed Additions @ Rs-50/- per thousand Sum assured for the first 5 years. From 6th year onwards the vested simple Reversionary Bonus and Final Additional Bonus if any will also be payable either on Death or Vesting.

Options at Vesting :

  1. Commutation is allowed to the extent permissible under Income Tax Act (Present rate 1/3rd), provided balance amount is sufficient to purchase minimum annuity as per provisions of section 4 of Insurance Act, 1938. The entire amount or balance after commutation shall be utilized to purchase immediate annuity at the then prevailing rates from LIC of India only.
  2.  The entire proceeds without commutation may be utilized to purchase a new single premium deferred pension product from LIC of India only.
    3% rebate on Purchase Price will be given under both the cases.

Features & Benefits

Minimum age at entry20 years nbd
Maximum age at entryFor Single Prem. (SP) : 60 years nbd
For Regular Prem. (RP) : 58 years nbd
Min. age at Vesting55 years nbd
Max. age at Vesting65 years nbd
Min. Deferment Period (DP)For SP : 5 years
For RP : 7 years
Max.Deferment Period (DP)35 years
Minimum S.AFor SP : ` 1,50,000
For RP : ` 1,00,000
Maximum S.ANo limit
S.A in multiples of ` 5,000 only.
Available RidersAccident & Permanent Disability Benefit
Mode of PaymentYearly, Half Yly, Qly, Mly (SSS & ECS) & Single
Policy LoanNot Available.
RevivalsWithin 2 years of FUP.
SurrenderLA has to opt for pension only as
per options available on vesting.
Back DatingNo lean month’s benefits.
For SP: Interest will be charged for exact no.
of days from DOC to date of payment.
For RP: Interest will be charged for period in
excess of 15 days, 16 days will be one month.
Tax BenefitsOn Premiums : u/s 80C
Commutation Tax free : u/s 10(10A)iii
Death claim Tax free : u/s 10(10D)
Pension : Taxable.
Service Tax1st Year of RP Policy/SP : 3.09%
2nd Year onwards : 1.545%