Ageas Federal Life Insurance launches Saral Pension: 3 things you should know

NEW DELHI: Ageas Federal Life Insurance on Monday announced the launch of its Ageas Federal Life Insurance Saral Pension annuity plan.

The plan helps a policyholder prepare a personal annuity plan for self and spouse. It offers an option of single life and joint life immediate annuity with a return of premium. Ageas Federal Life Insurance Saral Pension intends to offer an individual assured guaranteed regular income during retirement years.

Karthik Raman, CMO & Head - Products, Ageas Federal Life Insurance, said, "This Saral Pension Plan is an apt solution designed to address customers need, a much-needed product for their retirement readiness."

1 Annuity payout

The minimum annuity one can get is ₹1,000 per month, ₹3,000 per quarter, ₹6,000 per half year and ₹12,000 per annum. However, there is no cap on the maximum annuity that can be bought from the insurer.

2 Type of annuity options

Life Annuity with a return of 100% of the purchase price (ROP) - Under this, an annuity is paid for the life of the annuitant. In addition, a 100% purchase price will be returned to the nominee on the death of the annuitant.

Joint life last survivor annuity with return of 100% of purchase price (ROP) on the death of the last survivor. - Here, the annuity is first paid to for life. After your death, if the spouse is surviving, the spouse continues to receive the same amount of annuity for life till her death. Consequently, on the death of the spouse, the purchase price is then paid to the nominee. However, if the spouse has pre-deceased, then on your death, the purchase price will be paid to the nominee.

3 Option to surrender

You can be surrender the policy anytime after the completion of six months from the date of commencement, if you or your spouse or children is diagnosed as suffering from any of the critical illnesses specified in the policy document, based on the documents produced to the satisfaction of the medical examiner of the insurer.

Once the approval of surrender is done, you will be paid 95% of the purchase price, subject to deduction of outstanding loan amount and loan interest, if any. On payment of surrender value, the policy will get terminated.

Source: Live Mint