People who are about to retire soon want to ensure a regular stream of income after retirement. Investment plans help individuals ensure the same by creating the desired wealth for their golden days. On this page, we will be discussing the best investment plans for Senior Citizens in a detailed manner. Let’s begin!
Features and Benefits of Top Investment Plans for Senior Citizens
Senior Citizens can protect their retirement years from a wide range of investment plans available in the market. Some of the preferred ones among customers are HDFC Life Pension Guaranteed Plan, Bajaj Allianz Life Guaranteed Pension Plan, PNB MetLife Guaranteed Future Plan, Max Life Guaranteed Lifetime Income Plan and Tata AIA Life Insurance Smart Annuity Plan. These plans help individuals generate sufficient corpus to live their retirement years while also offering them the flexibility they want.
Let’s discuss the features and benefits of these top investment plans for senior citizens one after another.
HDFC Life Pension Guaranteed Plan
HDFC Life Pension Guaranteed Plan is one of the popular insurance-cum-pension plans among customers with which they can enjoy guaranteed benefits at the time of death or vest ( when people want to retire). Please check out the important features shown below.
- Guaranteed Additions of 3% of the Sum Assured on Vesting (keeps getting accumulated for each completed policy year)
- Option to choose the vesting age and the premium amount according to retirement needs
- Policy term ranging from 10 to 20 years according to your vesting age limit
- Premium payment term options of 5, 7 and 10 years
- The minimum premium amount stands at INR 2,000 per month
- Lump Sum Vesting Addition payable at vesting
- Guaranteed Death Benefit equal to total premiums paid to date, accumulated at 6% per annum
- Minimum death benefit as 105% of all the premiums paid
- The minimum entry age stands at 35 years and can go up to 65 years
Bajaj Allianz Life Guaranteed Pension Plan
Bajaj Allianz Life Guaranteed Pension Plan from Bajaj Allianz Life is one of the best investment plans for senior citizens as it helps build a retirement corpus over a long period. This corpus will help you during your retirement years. Let’s check out the key features of this plan.
- Multiple Annuity options according to your lifestyle goals – Immediate Annuity and Deferred Annuity
- Option to get a return of purchase price on death or as survival benefit
- Option to start annuity immediately after the plan ends, or as per your convenience
- Guaranteed income throughout life and paid as per the choice and need
- Option to Change Premium or Annuity Frequency
- Single or regular (5 to 10 years) premium payment term options
- Option of Joint life annuity with 50% or 100% payable after death
- Tax benefits as per the Income Tax Act, 1961
- Minimum annuity amount of INR 12,000 per annum
- Minimum group size of 5 members
PNB MetLife Guaranteed Future Plan
We are showing the key features of the PNB MetLife Guaranteed Future Plan below so that you can understand this plan better. Have a look!
- Multiple Plan options to choose from – Endowment, Income, Income + Lump Sum and Income + Boosters Option
- Flexible premium payment term from 5, 7 up to 15 years of Single Payment
- Choose to receive payout either as a lump sum or guaranteed income
- Guaranteed income ranging from 103-246% of the annual premium
- Life Cover for the entire policy term
- Booster additions ranging from 38-413% of the Annualised premium (In addition to your regular income payout)
- Rider options – Accidental Death and Serious Illness Rider
- Premium payment modes – Single, Yearly, Half Yearly or Monthly
- A minimum annualized premium of INR 2,00,000 as a single payment
- Tax Benefits on premium paid and benefits received
Max Life Guaranteed Lifetime Income Plan
If you want to ensure a guaranteed income as long as you are alive, Max Life Guaranteed Lifetime Income Plan could be a great option for you. With this plan, your partner can continue receiving the income under the joint-life annuity option if you die during the policy term. Have some information about its features shown below.
- Guaranteed income throughout your life
- Flexibility to choose from six annuity options at the policy inception
- Option to choose payout modes on a yearly, half-yearly, quarterly or monthly basis
- Minimum 105% of the purchase price to your nominee after the death of the annuitant(s)
- Option to enhance your annuity amount with a top-up facility
- Minimum purchase price of INR 1,000 per month with no maximum limit
Tata AIA Life Insurance Smart Annuity Plan
If you are looking to plan your retirement time smoothly, Tata AIA Life Insurance Smart Annuity Plan could be the perfect option for you. Some of the prominent features of this plan are as follows.
- Flexible Annuity options according to your future financial goals – Immediate Life Annuity, Immediate Life Annuity with Return of Purchase Price, and Deferred Life Annuity with Return of Purchase Price
- Option to choose between single and joint-life annuity option
- Annuity payout mode options of yearly, half-yearly, quarterly and monthly
- Enhanced annuity with the Top-up option
- One-time premium payment
- Minimum purchase price of INR 87,527
- A free look period of 15 or 30 days
- Loan up to 80% of the policy surrender value on choosing the deferred life annuity Return of Purchase Price option
- Maximum entry age up to 85 years
Senior Citizen Fixed Deposits
Besides the investment plans mentioned above, senior citizens can also choose to invest their hard-earned money in fixed deposit (FD) schemes provided by banks. Senior Citizen FDs offer higher interest rates up to 7.50% per annum. These banks also offer flexible payout frequencies (monthly, quarterly, half-yearly or annual) from which people can choose according to their needs.