Investment Plans 161 views July 24, 2021

Exide Life Golden Years Retirement Plan is a traditional pension policy that offers you financial support post retirement. So, plan your retirement without compromising on your income with the Exide Life Golden Years Retirement Plan. The plan’s key features include:

  1. Guaranteed death benefit
  2. Guaranteed vesting benefit
  3. Loyalty benefit

So, how do these benefits secure your retirement? Let’s read the same on this page below.

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Exide Life Golden Years Retirement Plan Death Benefit

On the death of the life assured, the insurer pays the highest of the following to the nominee:

  1. 105% of the paid premiums + top-up premiums (if any)
  2. Gross premiums + top-up premiums (if any) compounded at 1% p.a. till the date of intimation of death
  3. Balance in the Individual Pension Account (IPA) + prorated interest from the last policy year

The nominee can receive the death benefit in any of the following ways:

  1. Use the guaranteed death benefit or any part of it to purchase an annuity at the prevailing rates
  2. Withdraw the entire guaranteed death benefit in a lump sum

Exide Life Golden Years Retirement Plan Vesting Benefit

On vesting, the insurer pays higher of the following:

  1. Gross premiums + top-up premiums compounded at 1% p.a.
  2. Balance in the IPA

You can receive the vesting benefit in any of the following ways:

  1. A portion of the vesting benefit is paid to you as a tax-free commuted value, under section 10(10A) of the Income Tax Act, 1961, which is currently 1/3rd of the vesting benefit. The remaining or full amount can be used to purchase a life annuity from Exide Life
  2. You can use the entire proceeds of the vesting benefit to purchase a single premium deferred pension plan from Exide Life

Exide Life Golden Years Retirement Plan Loyalty Addition

If the total payable premium of the policy excluding top-up premiums (if any) is >= INR 4,80,000, you are eligible to receive a Loyalty Benefit on vesting. The loyalty benefit is equal to 100% of the allocation charges collected on the premium, excluding top-up premiums (if any), throughout the policy term. The loyalty additions shall be credited in the IPA on vesting, provided all due premiums are paid.

Exide Life Golden Years Retirement Plan Eligibility Conditions

You need to meet the following age criteria to purchase Exide Life Golden Years Retirement Plan:

  1. Minimum Age at Entry – 18 years (as on the last birthday)
  2. Maximum Age at Entry – 65 years (as on the last birthday)
  3. Minimum Vesting Age Allowed – 55 years (as on the last birthday)
  4. Maximum Vesting Age Allowed – 75 years (as on the last birthday)

Exide Life Golden Years Retirement Plan Vesting Term & Premium Payment Options

Exide Life Golden Years Retirement Plan vesting term and premium payment term are as follows:

Vesting Term (In Years)Premium Payment Term (In Years)
10 to 42Single Pay
105 to 9 (Limited Pay)
15 to 4210 to 41 years (Limited Pay) and Regular Pay

The minimum premium amount is as follows:

  1. For Single Pay – INR 2,40,000
  2. For Limited pay (5 to 9 years) – INR 48,000 yearly and INR 4,000 monthly
  3. For Limited pay (10 to 42 years) & Regular Pay – INR 24,000 yearly and INR 2,000 monthly

In the case of a non-single premium payment term, you can alter the premium payment term subject to limits as allowed under the policy. Before altering the premium payment term, intimate the insurer at least two months before the policy anniversary. The alteration in the premium payment term is effected on the policy anniversary. After alteration, the annual premium amount will be the same as before alteration. The insurer charges no alteration fees.

Note: The premium payment term can’t be reduced to a single premium

You can pay top-up premiums over and above the regular premium in any policy year but before two years from the vesting date. If regular premiums are due, the subsequent premiums shall be adjusted against the unpaid regular premium before accepting the top-up premiums. The minimum amount of top-up premium is INR 2000, while the maximum limit is as follows:

  1. During the first 15 policy years, unlimited top-up premiums are allowed
  2. From the 16th policy year onward, 5X the annual premium is allowed for limited and regular pay for the remaining policy duration. Whereas, no top-up premiums are allowed in the case of single pay

Note: If the Single Premium Exide Life Golden Years Retirement Plan is purchased from the death, surrender or vesting proceeds of any deferred pension plan, the minimum single premium for such policy shall be INR 24,000.

If a customer wants to purchase Single Premium Exide Life Golden Years Retirement Plan from the death/ surrender/ vesting proceeds of any deferred pension plans offered by Exide Life Insurance Company Ltd., the minimum single premium for such policy shall be `24,000.

Lock-in Period

There is a lock-in period of five years under the Exide Life Golden Years Retirement Plan during which no payouts will be available except for the guaranteed death benefit.

Free Look Period

If you disagree with any of the terms and conditions of the policy, return it by stating the reasons for disagreement within 15 days of the free look period. The free look period starts from the date of receipt of the policy document. In case of cancellation during the free look period, the insurer refunds the paid premiums after deducting the stamp duty charges.

Note: In case the policy is sourced through distance marketing, the free look period is 30 days from the date of receipt of the policy document.

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