NEW DELHI: Finance Minister Arun Jaitley today relaunched an insurance scheme for senior citizens that will provide monthly pension ranging from Rs 500 to Rs 5,000. The revived scheme would be available between August 15, 2014 and August 14, 2015 for the benefit of citizens aged 60 years and above. It will provide financial security by ensuring regular income during their advancing years, a Finance Ministry statement said.
Peaceful Post-Retirement Life
Tax Free Regular Income
Wealth Generation to beat Inflation
Invest ₹6,000/month & Get Tax Free Monthly Pension of ₹60,000
Get the best returns & make the most of your golden years
The scheme would be administered by LIC. "VPBY (Varishtha Pension Bima Yojana) will benefit the vulnerable section of society with limited resources as it will provide monthly pension ranging from Rs 500 to Rs 5,000 to senior citizens of the country," Jaitley said.
The minimum investment (purchase price) for the scheme would be Rs 66,665 and the maximum is over Rs 6.66 lakh. The pension will start from next year of purchase of insurance.
The full purchase price will be refunded to the nominee in case of dealth of the insured.
Varishtha Pension Bima Yojana (VPBY), introduced earlier in 2003-04 by then NDA Government, covered 3.83 lakh senior citizens. LIC collected Rs 7,100 crore under the scheme.
The Finance Minister hoped LIC will cover a much larger number of people this time.
This initiative reflects the commitment of the government to the welfare and well-being of the senior citizens of the country, which is especially important in light of the increasing longevity in India, which has gone up substantially, the statement added.
People Also Read: Best Retirement Plan
The subscription to the scheme is likely to create a corpus of more than Rs 10,000 crore, and would thus also be a significant source of resource mobilisation for the development of the country.
"In case of VPBY, the beneficiary gets an income at the overall rate of 9.38 per cent per annum on their deposits as they are being paid on monthly basis," Jaitley said.
"In this era of volatile interest rate, this scheme would provide senior citizens a fixed return for rest of their life," he said.
(Original Source - http://articles.economictimes.indiatimes.com/2014-08-14/news/52807829_1_varishtha-pension-bima-yojana-pension-scheme-insurance-scheme)
†Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. The sorting is based on past 10 years’ fund performance (Fund Data Source: Value Research). For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in
*All savings are provided by the insurer as per the IRDAI approved insurance
plan.
^The tax benefits under Section 80C allow a deduction of up to ₹1.5 lakhs from the taxable income per year and 10(10D) tax benefits are for investments made up to ₹2.5 Lakhs/ year for policies bought after 1 Feb 2021. Tax benefits and savings are subject to changes in tax laws.
+Returns Since Inception of LIC Growth Fund
¶Long-term capital gains (LTCG) tax (12.5%) is exempted on annual premiums up to 2.5 lacs.
~Source - Google Review Rating available on:- http://bit.ly/3J20bXZ
^^The information relating to mutual funds presented in this article is for educational purpose only and is not meant for sale. Investment is subject to market risks and the risk is borne by the investor. Please consult your financial advisor before planning your investments.
Tata AIA
Max Life
Bajaj Allianz
SBI Life
HDFC Life
ICICI Prudential
Bharti AXA Life
Edelweiss Life
Kotak Life
Future Generali
PNB MetLife
Aditya Birla Sun Life
Aviva
Ageas Federal
Bandhan Life
Canara HSBC
IndiaFirst
Pramerica Life
Reliance Life
Sahara Life
Shriram Life
Star Union
11 Dec 2024
Bank of India is a public sector bank owned and managed by the
10 Dec 2024
The Indian Overseas Bank (IOB), a government-owned public sectorInsurance
Calculators
Payment Methods
Secured With
Follow us on
