Safeguarding your income after retirement requires planning at an early stage. Exide Life Golden Years Retirement Plan and Exide Life Immediate Plan are two pension programs provided by Exide Life Insurance Company Ltd. can offer the right amount to avert financial risks in future. Needless to say, regular income can bestow several benefits on you to lead a life in a hassle-free way.
One of the popular pension plan options is the annuity one which ensures regular income when the stream of earning is limited. If you take help of Exide Life Pension plans, you can easily tackle the retirement expenses which could be medical expenses or life style cost. Exide Life offers immediate annuity to the policyholder where the person can make a certain payment for initiating the annuity payments from the upcoming month.
The policyholder can also choose a specific period, but the lack of death benefit is present. When the insured passes away, annuity ceases to work. Another type of pension plan is a deferred annuity plan in which a person pays for a specified period. When the deferment period is over, the annuity payment initiates.
Vesting date specifies the time when the annuity payments start and the plan reaches the maturity period. The annuity amount is paid from the accumulated fund because the user is unable to withdraw the money which is secured for a pension. The policyholder can take only ⅓ of the amount, and rest has to be utilized for buying a pension plan .
This plan is suitable for people wanting to have a planned life after retirement. The regular income from Exide Life Pension Plans ensures the policyholder enjoys the independence of life without limiting his/her budget or living standards. Also, the capital guarantee comes with enticing returns and one can enjoy the flexibility of top-up premiums and limited premium payment term.
Features and Benefits
life cover
Flexible premium payment option: Regular pay, limited pay and single pay
Tax benefit on paid premium under Section 80C of Income Tax, 1961
Premium allocation charges are repaid after retiring
Regular income under annuity payment
Guaranteed death benefit
IPA (Indian Pension Account) balance goes to Capital Guaranteed Plan
30 days of grace period in yearly mode and 15 days in monthly mode
Guaranteed Vesting Benefit
On vesting, the amount of guaranteed vesting benefit is higher of the IPA balance and gross premiums involving top-ups accumulated at 1% p.a. A ⅓ portion of GVB is considered tax-free under Section 10(10A) of Income Tax, 1961. You can also choose to use the full amount to buy an annuity plan.
Top-up Premium
During the first fifteen years, an endless number of top-up premiums is allowed. However, from the 16th year, it is only allowed for limited pay and regular pay where the 5x yearly premium is permitted for the rest of the policy period.
Loyalty Benefit
When the policyholder has paid total premium of greater than Rs. 4,80,000, he/she is eligible to get loyalty vesting at the time of vesting. The loyalty benefit is equal to the 100% of premium allocation charges acquired on premiums during the policy term and then, they are credited to the IPA at vesting.
Eligibility Criteria
| Entry age | 18 years- 65 years |
| Vesting age | 55 years-75 years |
| Vesting term | 10-42 years, 10 years, 15-42 years |
| Premium paying amount | 5 years-9 years: Rs. 4,000 monthly or 48,000 p.a. 10 years-42 years: Rs. 2,000 monthly or Rs.24,000 p.a. |
| Annuity option | Assured for life |
| Premium payment frequency | Monthly and annual modes |
Premium Details
| Age | 45 years |
| Premium | Rs. 24,000 |
| Indian Pension Account Value at 8% | Rs. 9,05,828 |
| Indian Pension Account Value at 4% | Rs. 9,05,828 |
| Policy term and premium paying term | 20 years |
Exide Life Immediate Annuity Plan Among other Exide Life Pension Plans, this one has been proven to be one of the most reliable plans. Especially, when retirement approaches, it is essential to secure regular income stream during the post-retirement years. This plan lasts till your death and then refunds the purchase price to your nominee or legal heirs.
Features and Benefits
Annuity payout assured throughout the life
Flexibility in choosing annuity payout frequency
Buying price is refunded on death
Tax benefit on paid purchase price under the Section of 80CCC of the IT Act, 1961
Freelook for 15 days is available
Huge discount on the annuity rated based on the buying price range
Better annuity when the purchase price is more
Eligibility Criteria
| Entry age | 0 years-55 years |
| Purchase price | As per the minimum annuity amount of ₹1,000 per month |
| Minimum Annuity | Rs. 1,000 |
If you have collected funds for leading a relaxed post-retirement period, Exide Life Pension Plan guarantees a regular income. For example, if you take Exide Life Immediate Annuity Plan, you can pay the lump sum premium amount once and be assured to receive the lifelong financial guarantee.
Regular Income Flow
Saving as little as Rs. 4,000 has its own perks as you can create a strong corpus after retiring.
Flexibility in the Premium Payment Option
Limited pay, regular pay and single pay are the options for making premium in the Exide Life Pension Plans.
Loyalty Benefit
When you retire, the premium allocation charges are refunded in the pension account.
QROPS
Exide Life Pension Plans have sanctioned Qualifying Recognized Overseas Pension Scheme facility for Indian citizens who move outside the UK. The pension funds are exempted of tax in the plan.
Tax Benefit
Under Section 80C of Income Tax Act, 1961, a person can save a huge amount of taxes on the premiums paid.
Life Cover
The pension plans provide a life cover and there are guaranteed benefits at the time of vesting. This life cover is paid when the policyholder passes away.
Top-Up Premium
This facility is widely helpful for growing the fund at a high speed.
Maturity Benefit
The guaranteed benefit under Exide Life Pension Plans is available. The policyholder can secure ⅓ of the maturity amount under tax-exemption regulation in cash mode. Then, the remaining amount is utilised for buying an annuity from the Exide Life Insurance for maintaining a regular income stream.
Ease of Purchase
The plans provided by Exide Life authority are easy to purchase and the policyholder can pay for a lump sum amount. In return, the policyholder also gets an annuity. There is no need for submitting a medical examination report and high annuity rate is for the high purchase price.
Annuity Payments
The policyholder makes an investment in a lump sum amount for getting regular income throughout life. Based on the financial needs, it is up to the policyholder for making an informed decision about the annuity payment period.
Exide Life has two pension plans, one is a deferred annuity pension plan i.e. Exide Life Golden Years Retirement Plan and another is an immediate annuity plan i.e. Exide Life New Immediate Annuity Plan. Under the deferred pension plan, premiums are paid for accumulating a corpus which is used for purchasing an immediate annuity plan. The immediate annuity plan pays yearly, half yearly, quarterly or monthly income to the annuitant. On death of the annuitant, the purchase price is returned to the nominees of the annuitant.
Open the official site of Exide Life Golden Years Retirement
Mention the payment mode and your date of birth
Tick the right box for choosing premium payment frequency
Type the number of years of investment
Choose the premium amount
Click on ‘View Benefits’
If you are 55 years old and invest Rs. 11 lakhs in the plan, you can receive an annuity in yearly mode. Take a look at the following table for understanding benefits in a better way,
| Age | Single pay (lump sum amount) | Guaranteed annual annuity |
|---|---|---|
| 58 years | Rs. 4,00,000 | Rs. 27,272 |
| 60 years | Rs. 10,00,000 | Rs. 70,420 |
| 65 years | Rs. 10,00,000 | Rs. 1,82,050 |
What should I do if I want to change my premium paying?
When the policyholder pays the premium, the premium amount generally remains fixed throughout the chosen term. However, you can contact the nearest Exide Life Insurance branch for finding out whether you can change the premium paying.
Why you should opt for Exide Life Pension Plans?
Exide Life Pension Plans offer annuity payments for the rest of your life and you can choose the from the flexible payment options suitable for you. With the easy purchase facility, you can start to plan for retirement at an early stage. Additionally, the premium allocation charges are refunded by the company. Not to mention, the tax benefits aid in saving a huge amount on premiums paid.
How to pay a premium? What are the modes of payment available?
8 premium paying modes that are available to pay a premium are-
Auto deposit
Online payment
Cash payment
Payment at ING Bank
ECS
Payment at Axis Bank
Online payment
Net banking
Bangalore One
Credit card
Debit card
Tech process solution
How can I check policy status for Exide Life Pension Plans?
The policyholder has the privilege to choose the status of the policy when he/she is registered online. Only after logging in with the date of birth and policy number on ‘My Life’ section, you can check the status successfully.
What is the policy renewal process for Exide Life Pension Plans?
The renewal process for Exide Life Pension Plans is-
Enter your date of birth and other policy details for logging into the portal.
Make the payment via net banking or debit/credit card.
Print the receipt of premium payment mode.
What is the company’s process to settle a claim for Exide Life Pension Plans?
The company’s process to settle a claim for Exide Life Pension Plans is-
For initiating the claim settlement, you have to register the claim under ‘Register Your Claim Section.
Mention the required information in the mandatory fields.
Utilise the claim intimation form which can be collected from the nearest branch. The form is available on the e-portal; you can download it from there.
Submit the documents to the policy maker and collect a reference number and receipt.
The claim is generally settled within 7 working days.
What is the policy cancellation process for Exide Life Pension Plans?
If you wish to cancel the Exide Life Pension plans, you need to visit the nearest branch with the duly filled surrender application and policy documents. After successfully validating the documents, you can get the refund directly within 7 working days.
What is Exide Life Pension Plans in India?
The traditional plans provided by Exide Life Retirement and Pension Plans make sure that a person can protect their life in an excellent way by providing comprehensive life cover. There are flexible premium paying options and tax benefits on premiums paid to make sure that the users can lead a worry-free post-retirement life. The pension plans are designed for building a strong corpus which can increase fund growth to ensure that a policyholder can pursue all the freedom of an independent life.
