Reliance Nippon Life Insurance (Reliance Nippon Life) is one of the leading life insurance companies in the private sector in India. A joint venture between the renowned Reliance Capital and Japan’s Nippon Life Insurance Company, this life insurer has been serving 10 million customers, with the help of a powerful distribution network of over 800 branches and over 1,00,000 advisors. With more than 20 best-in-class products in its portfolio, it caters to the varied financial goals and protection requirements of its policyholders, and helps them to build a worry-free future for their entire family.
It’s always great to receive a steady flow of income, even when you have stopped earning! This would ideally mean that you wouldn’t have to be financially dependent on others. Reliance Nippon Pension Plans offer you the opportunity to receive a guaranteed income for a lifetime. Further, they also provide the flexibility of deciding at what age you wish to retire, for how many years you wish to pay the premiums, and how you would want to utilize the annuity proceeds. Then there are other benefits on offer too, which add a boost to your savings, and induce you to save regularly, so that you have sufficient funds during the post-retirement phase of your life!
You must have surely planned for how you want to spend your golden years of life. To ensure that you can live a peaceful & relaxed post-retirement life you had always dreamt of, it is important that you plan your finances judiciously. To this effect, a pension plan turns out to be an ideal solution. These plans let you create a retirement corpus as well as provide you with a regular flow of income, so that there is no dearth of funds for pursuing your dreams or meeting your daily expenses.
Common Features of Reliance Nippon Pension Plans:
On survival till the end of the Policy Term, provided all the premiums have been paid in full, and the policy is active, you are entitled to receive the Vesting Benefit, which is an accumulation of:
Sum Assured + Vested Simple Reversionary Bonus + Terminal Bonus, (if any), as on the date of vesting, subject to a minimum of 105% of total premiums paid (excluding Service Tax and cess, if any).
105% of all the premiums paid (excluding Service Tax and cess, if any) as on the date of death + Vested Simple Reversionary Bonus + Terminal Bonus, (if any), as on the date of death.Further, it is up to the discretion of the nominee to either withdraw the entire proceeds or to utilize the amount, in full or partly, for purchasing an Immediate Annuity from Reliance Nippon Life Insurance Company at the prevailing Annuity Rate and plan offered by the company.
|Entry Age (As on last birthday)||Minimum - 25 years | Maximum – 65 years|
|Vesting Age||Minimum - 45 years | Maximum – 75 years|
|Policy Term||For Regular Pay : 10 to 40 years | For Limited Pay 5 & 7 years: 10 to 20 years; For Limited Pay 10 years: 15 to 20 years|
|Premium Payment Term||For Regular Pay - Same as Policy Term | For Limited Pay - 5/ 7/10 years|
|Minimum Premium Amount||For Regular Pay: Rs. 25,000 | For Limited Pay 10 years : Rs. 25,000 | For Limited Pay 5 & 7 years: Rs. 35,000|
|Maximum Premium Amount||No Limit|
|Sum Assured||Minimum: 2,00,000 | Maximum: No Limit|
|Premium Payment Mode||Yearly, half-yearly, quarterly, or monthly|
Riders are not applicable under this plan.
|Entry Age (As on last birthday)||Minimum : 20 years | Maximum: 80 years|
|Purchase Price||Minimum : Rs. 1,00,000 | Maximum: No Limit|
|Annuity Instalment||Minimum : Rs.1000 | Maximum: No Limit|
|Premium Payment Term||Single Premium|
|Annuity Payment Modes||FMonthly, Quarterly, Half-yearly, or Annually|
Loyalty Addition Benefits : As the name suggests, these are the benefits, which you receive for being loyal to the insurer for a long time. From the end of the 6th Policy Year, you get entitled to receive Loyalty Additions, which are computed as a percentage of the annualized/single premium, and are added to your fund at the end of every 3rd Policy Year. Here’s a look at the Loyalty Addition chart:
|Policy Year (End)||Guaranteed Loyalty Additions|
Top-ups: Provided your due Base Regular Premiums or Limited Premiums are Paid-up to date, you can enhance your fund by making unlimited Top-Ups, subject to a minimum amount of Rs. 5,000. With the exception of the Top-ups made in the last 5 years before vesting, all other Top-Ups have a lock-in period of 5 years.
Maturity Benefit: At the time of maturity, the Life Assured gets eligible to receive a Maturity Benefit, provided the Policy is in force and all the due premiums have been paid. This amount is calculated as the higher of:
Death Benefit: On the death of the Life Assured, the nominee is entitled to receive the Death benefit, which is the higher of the following:
After paying out the death benefit, the policy ceases to exist. The nominee has an option to utilize the death benefit in any of the following ways:
Surrender Benefit: After a period of five years from policy inception, the policyholder has an option to surrender the policy and receive a Surrender benefit, the amount of which is equivalent to the Fund Value under the base policy (including Top-ups) less applicable Discontinuance Charges (if any). These proceeds may be utilized in any one of the following options:
|Entry Age (As on last birthday)||Minimum - 18 years | Maximum – 65 years|
|Vesting Age||Minimum - 45 years | Maximum – 75 years|
|Policy Term||For Single Premium: 10 to 30 years | For Limited/Regular Premium: 15 to 30 years|
|Premium Payment Term(PPT)||Minimum: 10 years | Maximum: 30 years|
|Premium Payment Mode||Yearly, half-yearly, quarterly, monthly, & single|
Riders are not applicable under this plan