It provides flexibility, guaranteed income options at retirement, and the security of LIC’s brand.

🏦 LIC New Pension Plus Plan

LIC New Pension Plus is a unit-linked pension plan (ULPP) that helps you build a retirement corpus through market-linked returns.
It provides flexibility, guaranteed income options at retirement, and the security of LIC’s brand.

You can think of it as a retirement savings plan — you invest regularly (or once), LIC invests your money in funds, and at maturity, you use the corpus to get a lifelong pension (annuity).

🧩 Key Features

💼 Available Fund Options

You can choose or switch between funds as per your risk appetite.

💰 How LIC New Pension Plus Works (Example)

Let’s assume:

• Age: 35 years
• Policy Term: 25 years
• Premium: ₹50,000 per year (Regular)
• Fund Chosen: Balanced Fund

Step 1️⃣: Investment Phase

You pay ₹50,000 every year. LIC invests it in your chosen fund.

Step 2️⃣: Growth Phase

Your money grows with the market. The fund value depends on NAV performance.

Step 3️⃣: Vesting (Retirement) at Age 60

At the end of 25 years, you’ll have a retirement corpus (say ₹40–₹45 lakh, depending on fund performance).

You can:

1. Withdraw up to 60% of the corpus as a lump sum (tax-free)
2. Use at least 40% to purchase an annuity (pension plan) from LIC — for regular monthly/annual income for life.

🧾 Example (Approximate Projection)

If your fund earns an average of 8% per year:

• Total Investment = ₹50,000 × 25 = ₹12,50,000
• Estimated Corpus ≈ ₹40,00,000 – ₹45,00,000
• Lump Sum Withdrawal (60%) = ₹24,00,000 – ₹27,00,000
• Remaining 40% used to buy annuity = ₹16,00,000 – ₹18,00,000
  → Could give you a lifetime pension of ₹10,000–₹12,000 per month (approx).

(Actual returns depend on market performance and LIC’s declared annuity rates.)

⚖️ Benefits Summary

🎯 Why Choose LIC New Pension Plus

✅ Combines investment + retirement security
✅ Market-linked returns for faster wealth growth
✅ Flexibility to choose fund type and switch anytime
✅ Guaranteed lifetime pension after vesting
✅ Partial withdrawal and loan options for emergencies
✅ Backed by LIC’s trust and long-term stability

🧠 Example Summary (Simple Words)

You invest ₹50,000 per year for 25 years. LIC invests this in a fund of your choice.
At 60, you can take 60% of the money in cash and use 40% to start a monthly pension for life.
You get market growth during your career and financial security in retirement.

🔔 Quick Summary Table