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LIC Varishtha Pension Bima Yojana Review

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LIC Varishtha Pension Bima Yojana Plan Review

LIC Varishtha Pension Bima Yojana Plan Review

LIC Varishtha Pension Bima Yojana plan 828 is a pension plan released by Life Insurance Corporation of India. Government of India in the Union Budget 2014-2015, announced the revival of LIC Varishtha Pension Bima Yojana. LIC Varishtha Bima Yojana is a single premium pension policy for senior citizens, with pension starting to flow in immediately. One can opt to receive the pension either monthly, quarterly, half yearly or annually.

LIC Varishtha Pension Bima Yojana is a Pension plan for the welfare of  Senior Citizens of the India. Here you can calculate the your Premium amount that has to be paid to get all the benefits available under this policy by using Lic varishtha pension bima yojana premium calculator.

LIC Varishtha Pension Bima Yojana Plan eligibility conditions

Eligibility Condition Details
Age of Entry
  • Minimum – 60 years (Completed)
  • Maximum – No Limit
Sum Assured
  • Minimum – Rs 66,665/-
  • Maximum – Rs 6,66,665/-
Policy Term
  • Minimum – 5 years
  • Maximum – 35 Years
Pension payable Minimum

  • 500 Rs./- per month
  • 1,500 Rs./- Per Quarter
  • 3,000 Rs./- Per Half Year
  • 6,000 Rs./- Per Year

Maximum

  • 5,000 Rs./- per month
  • 15,000 Rs./- Per Quarter
  • 30,000 Rs./- Per Half Year
  • 60,000 Rs./- Per Year
Premium Mode Yearly, Half Yearly, Quarterly, Monthly
Loan Facility Loan facility is available.
Surrender value Surrender value is payable

Benefits of LIC Varishtha Pension Bima plan 828

  • Pension Payment :

During the lifetime of Pensioner, a pension in the form of immediate annuity will be paid as per mode chosen by the Pensioner shall be payable.

  •  Death Benefit:

On death of the Pensioner the Purchase Price shall be refunded.

Lic varishtha pension bima yojana features

Sample Pension interest rates per Rs.1000/- Purchase Price

The pension rates for Rs.1000/- Purchase Price for different modes of pension payments are as below:

  • Yearly:         Rs. 93.8069 p.a.
  • Half-yearly: Rs. 91.7045 p.a.
  • Quarterly:     Rs. 90.6767 p.a.
  • Monthly:      Rs. 90.0000 p.a.

The pension installment shall be rounded off to the nearest rupee. These rates are not age specific.

Documents Required for open LIC Varishtha Pension Bima Yojana

  1. Proposal Form
  2. Age Proof
  3. Identification proof
  4. Medical Certificates(If Required)

Documents Required for Claim under LIC Varishtha Pension Bima Yojana

  1. On death of the pensioner : Claim Forms , Original Policy Bond, NEFT mandate form for bank deposit, Bank Passbook or cancelled cheque as a proof of  Bank details and Proof of the death. If age not provided at the time of taking the policy age proof has to be submitted.
  2.  Payment of Pension : Policy Holder Existence certificate to stop frauds. it will be given at the time of taking the policy.
  3.  Surrender before 15 years : Discharge form, Policy original Document, proof medical treatment to self or spouse, NEFT mandate form for bank transfer, Bank Passbook or cancelled cheque, proof of age if age not admitted at the time of taking the policy.

Rebates in LIC Varishtha Pension Bima Yojana

No rebates are available under this plan

Surrender value under LIC Varishtha Pension Bima Yojana

After completion of 15 years the policy can be surrendered. The Surrender Value is 100% purchase value.  That means if we withdraw the policy after 15 years the amount invested will be returned back.

However, under exceptional circumstances, if the pensioner requires money for the treatment of any critical/terminal illness of self or spouse then the policy can be surrendered before the completion of 15 years and the Surrender Value payable shall be 98% of Purchase Price.

Loan Facility under LIC Varishtha Pension Bima Yojana

Loan facility is available after completion of 3 policy years. The maximum loan that can be granted shall be 75% of the Purchase Price.

The rate of interest to be charged for loan amount would be determined from time to time by the Corporation.

Loan interest will be recovered from pension amount payable under the policy. The Loan interest will accumulate as per the frequency of pension payment under the policy and it will be due on the due date of pension. However, the loan outstanding shall be recovered from the claim proceeds at the time of exit.

Taxes under LIC Varishtha Pension Bima Yojana

In Lic varishtha pension bima yojana tax the policyholder has to pay the tax amount also while taking the policy. The amount of Tax paid shall not be considered for the calculation of benefits payable under the plan.

Free Look period under LIC Varishtha Pension Bima Yojana

If a policyholder is not satisfied with the “Terms and Conditions of the policy, he/she may return the policy to the Corporation within 15 days from the date of receipt of the policy stating the reason of objections.

Under SECTION 45 OF INSURANCE ACT, 1938 No policy of life insurance shall after the expiry of two years from the date on which it was effected.

LIC Varishtha Pension Bima Yojana premium calcuator

Through LIC Varshitha pension Bima yojana Premium calculator we can calculate pension amount to be received either yearly, Half yearly ,Quarterly or Monthly. Based up on the date given Premium calculator helps in calculating the premium amount.

Example for LIC Varishtha Pension Bima Yojana

To Illustrate the benefits of LIC Varishtha Pension Bima Yojana, Lets take an example of a person with following details.

Sum Assured: Rs. 5,00,000
Policy Purchase Year: 2014
Age of entry: 60 Years
Pension type: Yearly
To Calculate benefits with details other than above, go to LIC Varishtha Pension Bima Yojana premium calculator

Varishtha Pension Bima Yojana Purchase Details
Purchase Price 500000
Service Tax 15450
Total Amount to Pay 515450
Pension Receivable Details
Pension Type Yearly
Interest Rate 9.38069
Pension Amount 46903

For the policy purchase price 5,00,000 RS/- The interest rate will 9.38 RS per annum

Based on that, policyholder will receive pension of an amount of Rs 46903/- every Year.

FAQs under LIC Varishtha Pension Bima Yojana

1. What happens if You stop paying the premium?

Ans. If the premiums are not paid within the grace period, the policy lapses and all benefits cease. However, there the policy can be revived within 2 years from the date of first unpaid premium.

2. What happens if You want to surrender the policy?

Ans. Single Premium Policies can be surrendered at any time during the deferment period and the Guaranteed Surrender Value would be:

Within 3 policy years would be 70% of the Single Premium Paid excluding taxes and extra premium, if any and

After 3 policy years would be 90% of the Single Premium Paid excluding taxes and extra premium, if any

Regular Premium Policies:

For deferment period less than 10 years: The policy can be surrendered provided the premiums have been paid for at least two consecutive years.

For deferment period 10 years or more: The policy can be surrendered provided the premiums have been paid for at least three consecutive years.

The Guaranteed Surrender Value is a percentage of total premiums paid excluding taxes, extra premium.

For more details please refer the given below official link,

Click here for LIC Varishtha Pension Bima Yojana Policy

Related Lic Pension Plans

LIC Jeevan Akshay 6 Policy

LIC New Jeevan Nidhi Policy

Comments

  1. Dear Sir,

    How to pay monthly interest, by check, or cash or direct sent to bank account, in case we are sent bank account, monthly Pensioner signature required or not required.

    Reply

    • not recd annuity monthlysince april 2016 noone craing lic us a ded organistion even afterresubitingfresh ecs mendate tosbi versoava br notgeting anuitynmonyky nophon working or no one k’lifting lic shd b eorivtsed or burntdowm

      rajagopal

      Reply

    • lic is deda organistion
      notreceving monthlyanauityfrvrisht bima yojan from april 16 evn after submiting frseh ecs endate sbi versov afr pol no1013245107 on17th am 2016 sbin 03117 at yigashema churchgtae anuiy otcomimngfr april onwards noon eis klifting aphone or no phon working’ic shd be burntdown3245

      Reply

      • not receving varshta bhima monthly anuity fro april 16 no891409858

        sbi versova10132451507 sbin0003117

        gave again ecs menadre frm at yogasema 17th amy 16

        til notreciving monthy from april may june 16

        no on ei slifting ph inyogashma 66598148/8152 even after lifting no on etals useless staff

        lic shdbe privatsed or burnt down

        ramachandran rajgopal

        Reply

  2. As the admin of this site is working, no uncertainty
    very rapidly it will be well-known, due to
    its quality contents.

    Reply

    • not recd annuity monthlysince april 2016 noone craing lic us a ded organistion even afterresubitingfresh ecs mendate tosbi versoava br notgeting anuitynmonyky nophon working or no one k’lifting lic shd b eorivtsed or burntdowm

      rajagopal

      Reply

  3. I understand that if we opt for annual based pension instead of monthly, the amount payable is lesser. What is the difference of amount of investment on such case?

    Reply

  5. We have received maturity amount of Rs.2,61,312/= against Policy No.902298464 through ECS but not received the Payment advice letter.

    Reply

  6. Please send LIC advice letter of r maturity amount received ag. Policy No.902298464 Rs.2,61,312/=

    Reply

  8. that Batista pension yojna is really good but I can’t understand if my age 60 now & I pay 70000 so when I got pension amount from next month or after some yr

    Reply

  9. I have taken a Varistha Policy for my wife. When I approached LIC for a second Varistha policy in my name, I was refused. I was told that “there is a circular” which effectively says that the Varistha policy is limited to only one policy per family. However, I cannot find anything that confirms this. And subscription to Varistha is only upto 14 August. Is any clarification available?
    Raj

    Reply

    • lic is aded organisatiob donot invest i amnotreceving monthy abniuynfrom april 2016 ispite if submieting fresh ecs ebdate on 17th mayat yohgshmena frsbiversiova
      lic shd be rivatsed noon elifting aphon eno email mtoontact lic shd eburnt down

      Reply

    • Dear Sir,
      Kindly Send the details of policy terms and condition and tell me what you want to know about policy please contact me any other formation about lic contact me.
      Regards:
      Santosh SIngh
      +91-9455567187
      +91-8543948813

      Reply

  11. Sir, I have not clearly understood the policy. I would like somebody to explain me. Varishtha Pension Yojana.

    Reply

  12. Dear Sir,

    In case I invest say 1.5 lakhs or 2 lakhs, how much will be pension monthly paid by LIC to me and what wiill be the term ie can we invest the money for less than 15 years and is there any Life cover??

    Reply

  13. Dear Sir,

    In case I invest say 1.5 lakhs or 2 lakhs, how much will be pension monthly paid by LIC to me and what wiill be the term ie can we invest the money for less than 15 years and is there any Life cover?

    Reply

    • I have purchased one varishte yojana policy as one time premium payment for life and I am being paid pension @30000 halfyearly. Please inform me
      1. whether this one payment can qualify for deduction from taxable income subject to a maximum of Rs 1,50,000/- under sec80c and 80ccc of the act.
      2.Further the halfyearly pension paid–is it taxable (Imean exempt from tax) just like my normal Govt pension.

      Please inform.

      Reply

    • The reply to query by Shri. sarbinder takhar Dt. August,30,2015 is not seen.
      Kindly let me have the reply.

      Reply

  17. I am 47 and willing to join now. I want to get 5000 per month take home. How much premium I have to pay to join Varishtha Pension Bima Yojana.

    Reply

  20. I have a Varishtha Pension Bima Yojana Table 161. It was taken in 2003 and i received pension till 2013.
    How do i claim for my maturity /principal amount from LIC.
    Can anyone please guide

    Reply

  21. I HAD PURCHASED AVPBYOJ IN AUG. 2003 FOR RS 35000/ IHAVE LAST SUBMITTED EXSISTANCE CERTIFICATE IN NOV. 2013. NOW I WANT TO KNOW WHEN I HAVE TO SUBMITEE THE FRESH EXSISTANCE CERI.

    Reply

  22. I want to open an account under the VARSISHTHA PENSION BIMA YOJNA.
    Is the scheme still in force or the deadline has expired?
    How do I go about?

    Reply

  23. I have contributed Rs 200000 toward varistha pension Yojana in month of may 2015 whether income tax benifit will be permissible in assessmenet year 2016-2017

    Reply

  24. What is the procedure for changing the bank branch for receiving monthly pension in a branch other than the branch where it is being received now??

    Reply

  26. Is quarterly pension under varishtha pension bima yojana.exemted from income tax

    Reply

  27. not receiving varishta bjima yojan momthlyannuityrs 200 from april2016 onwards submitedfresh ecs appl on17th amy at office in yogashema
    fr vcreditto sbi versoav act no 10132451507nSBIn 0003117 400002078

    but notreceiving
    ph one not worjking
    even working noon eliftinglic is a dd organistion
    itshd be privayesd

    ramcahndran rajgaopal sr citizen

    lic isduping citizens andthattoosr citizens

    Reply

  28. even after submiting rfesh endate ecs on 7th may atyogashema churchgate not reeiving monthly anuity from april 2016 lic is bogus noone working or lifting phone or phonesded no website to contact and give coplaint etc lic shdb eburntdown or privatised

    Reply

  30. My Varishtha Pension Bima Yojana Pension is not credited to my account for this month which is supposed to be credited on 01/07/2016,
    My Policy No. 789295519

    Reply

  32. I would like to know whether I am eligible for taking Varishta Pension Bima Yognna. My age is 63 years and working as NRI. I would like to join this policy. Please let me have your reply and suggestion.

    Ravindra Menon

    email : gr_menon@hotmail.com

    Reply

  33. I took varishta bima pension policy in 2014, max single premium with pension of rs 5000 p.m. If I surrender the policy now, what will my loss be?

    Reply

  34. Earlier there was a proposal to withdraw service tax on Varishta Bhima yogana. Is it done or still service tax is charged

    Reply

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