LIC Jeevan Akshay-VI Annuity (Pension) Policy: Review Analysis & Details-I

LIC offers a big mix of Investments as well as Insurance Plans - Pension Plans and Annuity Plans are a part of this package. In this article, we will cover details, review and Analysis of LIC Jeevan Akshay-VI Annuity (Pension) Policy.

Review, Analysis & Details of LIC Jeevan Akshay-VI Annuity (Pension) Policy

The policy offered by LIC or Life Insurance Corporation of India offers a good option to investors.
Which class of individuals is this LIC Jeevan Akshay-VI Annuity (Pension) Policy best suited for?
Let's take an example - Say there is an individual who has worked throughout his life, but because of the obligations he was unable to save money for his pension or post retirmement. Now, at retirment, suppose he gets a good amount of money, say from Provident Fund and/or from gratuity or from some other source. So he is now 58 years old, will stay alive for some more years, has some lump-sum money with him.
What he is worried about is how long will this money last? Will it be sufficient to cover his expenses all through his remaining life? How and where can he invest this money to get good returns which are sufficient to have him a regular income till he stays alive. How about the option of leaving some more for his loved ones even after his death?

This is the scenario or the class of individuals which the LIC Jeevan Akshay-VI Annuity (Pension) Policy is most suited for.
The minimum age for investing in this policy is 40 years while maximum is 79 years.

How does the LIC Jeevan Akshay-VI Annuity (Pension) Policy work?
It's simple and straightforward to explain the working concepts, but for the actual numbers, please contact the LIC branch and advisors.
The LIC Jeevan Akshay-VI Annuity (Pension) Policy works as follows:

Basically this is a Annuity Policy - i.e. the buyer of the policy gets the returns till annuity -i.e. his remaining lifetime.
You give LIC a lumpsum amount of money as the price of buying this policy at the beginning. Then you get regular income, in the form of pension, from LIC, for your remaining life (or a specified period), based upon the option you select.

What are the pension options available in LIC Jeevan Akshay-VI Annuity (Pension) Policy?
There are 5 different options available in LIC Jeevan Akshay-VI Annuity (Pension) Policy. They are described as below:

1) Annuity payable for life:
The policy-buyer or the annuitant is paid a fixed annuity at regular intervals throughout his life. Pension stops at the death of the annuitant i.e. the nominees cannot get any further benefit after the death of the policy-buyer.
Who is this option sutied for? This option suits those who do not have any dependents post-death.
One more benefit if that option gives the maximum amount of pension for an individual as compared to any other options available.

2) Annuity payable for life with guaranteed period of 5, 10, 15 or 20 years:
Annuity is paid for a specified no. of years and thereafter, as long as the annuitant is alive. The shorter the guarantee period, the better amount of pension one gets in the guarantee period. Annuity stops on either the death of the annuitant or completion of guaranteed period, whichever is later. Continue to read other options and details here..