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Max Life Insurance today launched a pension plan and an annuity plan. “Max Life Forever Young pension plan” which is unit – linked plan with a minimum guaranteed return of premiums that helps in accumulating a retirement corpus. While the 'Max Life Guaranteed Life Time Income Plan' is an annuity plan that helps utilise the retirement corpus to guarantee an income for life.
Max Life Forever Young Pension Plan offers two fund options – Maximizer (maximum investment in equity up to 60 per cent) and Preserver (maximum investment in equity up to 35 per cent).
Max Life Guaranteed Life Time Income Plan offers four annuity options with combinations of single or joint life pension and with or without Return of Premium.
A proprietary study conducted by the company showed that consumers are concerned about the impact of inflation on retirement corpus, said Rajesh Sud, CEO & Managing Director, Max Life Insurance.
The company has tried to address this concern by introducing 'Max Life Partner Care Rider', which will safeguard the completion of the plan for the spouse in case of an untimely death of an individual during the accumulation phase. The company has also introduced the 'Save More Tomorrow' option which will enable the individual to increase his/her savings component in a disciplined manner every year to mitigate the effects of inflation on the pension.
“At a yield of 8 per cent in the accumulation phase and our current annuity rates in the pension payout phase, a 35-year old individual, who invests in this plan and pays around Rs 5,000 per month for 25 years, is likely to get an income of Rs 20,000 per month as lifelong pension. This pension will continue up to the time the customer or his/her spouse are alive. Additionally, a legacy gift of around Rs 35 lakh would be payable to the nominee, in-case he chooses the Return of purchase price option,” Sud added.
