LIC Monthly Pension Plan : The Life Insurance Corporation of India (LIC) has launched a pension plan that promises a monthly payout of up to ₹12,000. Targeted especially at individuals aged 40 to 80 years, this scheme has been gaining popularity for offering financial stability during retirement years. With a one-time investment, policyholders can enjoy a guaranteed monthly income for life.
This article explains all the key details of the plan including eligibility, benefits, investment options, and how to apply.
What is LIC’s ₹12,000 Monthly Pension Plan?
LIC’s ₹12,000 Monthly Pension Plan is essentially a variant of the popular Pradhan Mantri Vaya Vandana Yojana (PMVVY) or the LIC Jeevan Akshay and LIC Saral Pension schemes. It provides a fixed pension every month, which is ideal for senior citizens or individuals planning for retirement income.
Key features include:
- Guaranteed monthly income for life
- Policy available for individuals aged 40 to 80
- Option to choose annual, half-yearly, quarterly, or monthly payouts
- Return of purchase price in some variants upon death
Eligibility Criteria for LIC Pension Plan
To apply for the scheme, here are the basic eligibility conditions:
- Minimum Entry Age: 40 years
- Maximum Entry Age: 80 years
- Minimum Pension: ₹1,000 per month
- Maximum Pension: ₹12,000 per month (depending on investment)
- Policy Term: Lifetime
- Mode of Pension: Monthly, Quarterly, Half-Yearly, Yearly
Investment & Pension Options: Key Table
Here is an estimate of how much you may need to invest to receive ₹12,000 monthly:
| Monthly Pension Amount | Approx. Investment Needed | Payout Mode | Age Group (Years) | Return of Purchase Price | Lifetime Pension | Tax Benefit |
|---|---|---|---|---|---|---|
| ₹1,000 | ₹1.5 Lakh approx. | Monthly | 40–80 | Yes (depends on plan) | Yes | 80C & 10(10D) |
| ₹3,000 | ₹4.5 Lakh approx. | Monthly | 40–80 | Yes | Yes | Yes |
| ₹5,000 | ₹7.5 Lakh approx. | Monthly | 40–80 | Yes | Yes | Yes |
| ₹7,500 | ₹11.25 Lakh approx. | Monthly | 40–80 | Yes | Yes | Yes |
| ₹10,000 | ₹15 Lakh approx. | Monthly | 40–80 | Yes | Yes | Yes |
| ₹12,000 | ₹18 Lakh approx. | Monthly | 40–80 | Yes | Yes | Yes |
| ₹12,000 (Joint) | ₹20 Lakh approx. | Monthly | 40–80 | Yes | Yes | Yes |
Note: These are indicative figures and may vary depending on age, plan variant, and market factors.
Key Benefits of LIC’s ₹12,000 Monthly Pension Scheme
- Assured Lifetime Income: Ensures peace of mind post-retirement.
- One-Time Investment: No recurring premiums required.
- Tax Benefits: Under Section 80C and tax-free returns under 10(10D), depending on the plan.
- Flexibility: You can choose payout frequency and also add a joint life (spouse).
- Return of Investment: In some options, the purchase price is returned to the nominee.
Variants Available Under This Scheme
There are multiple LIC pension schemes offering monthly income. Here’s a comparison of the top three:
| Scheme Name | Minimum Entry Age | Return of Purchase Price | Joint Life Option | Monthly Pension |
|---|---|---|---|---|
| LIC Jeevan Akshay | 30 years | Optional | Yes | Up to ₹12,000 |
| LIC Saral Pension | 40 years | Yes | Yes | Up to ₹12,000 |
| PMVVY (via LIC) | 60 years | Yes | No | Up to ₹9,250 |
How to Apply for LIC Pension Plan
Applying for the LIC pension plan is easy and can be done both online and offline:
Offline Method:
- Visit the nearest LIC branch
- Carry identity proof, address proof, and age proof
- Meet with a LIC advisor for plan customization
- Submit the application and make the lump-sum payment
Online Method:
- Visit the official LIC website (licindia.in)
- Select the desired pension plan
- Fill in personal and investment details
- Make payment and receive confirmation digitally
Who Should Invest in This Plan?
This LIC pension scheme is ideal for:
- Retired or soon-to-retire individuals seeking fixed income
- Those aged 40–80 who have lump-sum funds from PF, gratuity, or savings
- Individuals wanting low-risk, guaranteed returns for lifelong income
- People seeking a financial cushion for medical and daily expenses post-retirement
Why This Plan is a Golden Opportunity
LIC’s ₹12,000 Monthly Pension Plan offers a secure, predictable income stream and financial peace of mind during the golden years of life. For those with sufficient savings who don’t want to depend on children or uncertain market-linked options, this plan provides both safety and regular income.
However, before making a lump-sum investment, compare available variants and consult with a licensed LIC advisor. Consider your health, life expectancy, and financial goals.
This article is for informational purposes only. The actual investment and returns may vary depending on age, scheme, and LIC’s terms and conditions. Always consult an official LIC advisor before making financial commitments.
What age group is the LIC's ₹12,000 Monthly Pension Plan targeting?
40-80 year olds.
What is the benefit of LIC's ₹12,000 Monthly Pension Plan?
Provides financial security and stable income for retirees.
How can individuals apply for LIC's ₹12,000 Monthly Pension Plan?
Visit LIC's website or contact a licensed insurance agent.
What is the eligibility criteria for LIC's ₹12,000 Monthly Pension Plan?
Age range of 40-80 years old.
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