The Business Bytes
Mumbai, October 6, 2024 (TBB Bureau): Reliance Nippon Life Insurance Company Limited, a leading private life insurer, has launched its latest deferred annuity plan, Reliance Nippon Life Nishchit Pension, aimed at providing customers with a guaranteed lifelong income. This plan is designed to help streamline retirement income and safeguard against long-term interest rate fluctuations, offering a dependable financial solution as India’s aging population continues to grow.
With India’s population over 60 expected to rise to 15.9 per cent by 2041, as noted in the Government of India’s Economic Survey, the demand for reliable retirement solutions is on the rise. The Nishchit Pension plan specifically caters to this need by addressing the primary concerns of retirees, such as securing a stable long-term cash flow for themselves and their dependents.
Ashish Vohra, Executive Director & CEO of Reliance Nippon Life Insurance, emphasized the importance of early retirement planning due to increasing life expectancy and smaller family structures, ensuring that individuals are financially secure throughout their retirement.
The Nishchit Pension plan offers several attractive features. Firstly, it guarantees a lifelong income not only for the policyholder but also for their spouse, child, siblings, or in-laws, ensuring financial stability for the family. The plan provides multiple flexible annuity options, allowing customers to select the option that best aligns with their unique retirement goals. Additionally, customers can choose convenient accumulation periods ranging from 5 to 10 years, enabling them to plan their contributions as per their financial situation.
In the event of critical illness or total permanent disability, the plan includes liquidity options, providing financial relief during times of need. Another standout feature is the lifetime rate guarantee, ensuring a consistent income for the policyholder and their family members throughout their retirement.
Commenting on the customer benefits, Vohra highlighted that a typical 50-year-old customer who accumulates Rs. 60 lakh over six years could expect to receive a lifelong annual income of approximately Rs. 6 lakh starting from age 60, while preserving the Rs. 60 lakh savings as a legacy for their family. This product is designed to offer financial independence and legacy creation, enabling Indians to retire with dignity and security, especially given increasing healthcare costs and inflationary pressures.
