Just think of retiring to a time when the financial concerns are not the order of the day but a constant flow of income enabling you to live the life you desire. On February 18, 2025, the Life Insurance Corporation of India (LIC) introduced the Smarts Pension Plan (Plan No. 879) which is a good, secure and flexible retirement choice to both the retired and the planners. This immediate annuity plan that is only single-premium is guaranteed to provide lifelong income; thus, it is a game-changer among individuals who want to be assured of financial security. Supported by the reliable history of LIC, this plan is meant to meet various needs with tailor-made possibilities. We will discuss why this scheme is a good decision to your future.
A Plan For Everyone
The LIC Smart Pension Plan 2025 is a non-participatory, non-linked annuity plan that is introduced by the Financial Services Secretary, M. Nagaraju and LIC CEO Siddharth Mohanty. You make a lump sum payment once and the plan begins to pay recurring payouts immediately. This plan is flexible enough to attract any kind of planner regardless of whether you are a retiree, a young planner or one who is supporting a dependent. It can be used by individuals and groups making it very appealing.
Flexible Payout Options
The plan will allow you to select the frequency with which you wish to receive your pension monthly, quarterly, half-yearly or annually. This flexibility will suit your cash flow requirements, be it on daily expenditure or larger yearly plans. The lowest possible amount to be purchased is 1 lakh rupees (50000 rupees to those subscribing to NPS or Divyangjan dependents), but there is no maximum, provided that the underwriting of LIC approves.
Single And Joint-Life Annuities
You may choose to have a single-life annuity that will provide you with income or a joint-life annuity to provide income to a spouse, parent, or sibling. The plan provides a variety of annuity options, including fixed payments, or growing payouts by 3 percent or 6 percent a year, or even a refund of the purchase price at death. Upon selection, an annuity product becomes fixed and therefore guarantees returns.
Special Benefits For All
Current LIC policyholders and the nominees of dead policyholders receive higher rates of annuity. The NPS subscribers are enjoying the smooth switch to instant payouts, and the inclusion of Divyangjan dependent provisions. Increased investments will open up superior rates which will maximise your income.
Liquidity And Loan Facilities
Need cash in an emergency? The plan provides partial or complete withdrawal in certain conditions. You are also able to take a loan three months after the issuance of the policy or the free-look period which gives you financial flexibility.
Easy Purchase Process
Purchasing the plan is easy. You can purchase online or meet LIC agents, intermediaries or service centers offline at www.licindia.in. Documents that are required are Aadhaar, PAN, a cancelled cheque, address proof and a photo.
Why Choose This Plan?
The LIC Smart Pension Plan 2025 can be distinguished by its guaranteed and market-risk-free income. It is not volatile like market-based investments, which makes it the best choice among risk-aversive people. Section 80C tax advantages can be available, but pensions are subject to tax.
| Feature | Details |
|---|---|
| Launch Date | February 18, 2025 |
| Minimum Purchase Price | ₹1 lakh (₹50,000 for NPS/Divyangjan) |
| Annuity Payout Modes | Monthly (₹1,000), Quarterly (₹3,000), Half-Yearly (₹6,000), Yearly (₹12,000) |
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| Special Benefits | Enhanced rates for LIC policyholders, NPS subscribers, Divyangjan |
| Purchase Options Online (www.licindia.in) or offline through agents/intermediaries |
Also Read: PPF Withdrawal Rules 2025: What You Can Withdraw And When