LIC Saral Pension – Plan No. 862
An independent, plain-language look at LIC Saral Pension (Plan No. 862, UIN 512N342V04) — what it offers, who it may suit, and what to check before buying.
Currently Available Pension / Immediate Annuity Plan UIN: 512N342V04
What Is LIC Saral Pension?
LIC's Saral Pension is a standard, single-premium immediate annuity plan — a simplified, IRDAI-mandated product structure offered uniformly across life insurers, so its core features are broadly comparable wherever purchased. You pay a lump sum and start receiving a guaranteed annuity shortly after, for as long as the chosen option provides.
Key Features
- Single premium, immediate annuity — payouts typically begin soon after purchase
- Choice between life annuity with return of purchase price and joint life last-survivor options
- Standardised structure mandated by IRDAI across insurers, aiding easy comparison
Who May Consider This Plan
- Retirees or near-retirees with a lump sum who want income to start straight away
- Those who want a simple, standardised annuity structure that's easy to compare across insurers
Important Considerations
As an immediate annuity, this plan suits customers who need income now rather than a future date — if you want to lock in a rate today but delay income to a later age, a deferred annuity plan like New Jeevan Shanti may be more appropriate.
Example Scenario
Illustrative only: A 60-year-old retiree investing a retirement lump sum could begin receiving a guaranteed monthly annuity almost immediately, continuing under the option chosen (e.g. with return of purchase price to the nominee).
LIC Saral Pension FAQs
Under the standard Saral Pension structure, the annuity rate is fixed at purchase for the option chosen and does not increase with inflation — confirm the exact terms in the current Sales Brochure.
Depending on the option chosen (e.g. return of purchase price on death), the original amount may be returned to the nominee on death, but is not typically available as a withdrawal to the annuitant during their lifetime.
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