LIC’s Jeevan Akshay‑VII (Plan No. 857, UIN 512N337V07) is a non‑linked, non‑participating, single‑premium immediate annuity plan that converts a lump sum into regular lifelong pension.
Plan type and objective
- Immediate annuity: You pay a single premium and pension starts immediately (as per chosen mode – monthly, quarterly, half‑yearly or yearly).
- Non‑linked, non‑par: No market link or bonuses; annuity rate is fixed at the outset and guaranteed for life.
Key features (as per LIC page and linked brochure)
For client‑facing work, you should lift exact annuity options and conditions from the Sales Brochure and CIS PDFs linked on this LIC page.
- Single premium only: One‑time purchase price; no further premiums.
- Multiple annuity options: Includes life‑only annuity, life with guaranteed period (e.g., 5/10/15/20 years), life with return of purchase price, joint‑life options, and variants with increasing annuity; each has its own rate and death‑benefit structure.
- Lifetime income: Annuity is payable as long as the annuitant (or one of the annuitants, for joint options) is alive, subject to the option chosen.
- Return of Purchase Price (ROP) variants: In ROP options, on death (or after last survivor’s death), the original purchase price is paid back to nominee/legal heirs.
- Annuity modes: Yearly, half‑yearly, quarterly, monthly; mode choice affects annuity rate.
- No medical examination in many cases; acceptance is subject to financial underwriting and KYC norms as per LIC rules (see brochure).
Eligibility and basic parameters (high‑level)
Exact numbers (min/max age, minimum purchase price, etc.) are in the Sales Brochure and CIS PDFs accessible from the same LIC page and should be quoted directly.
Typically, the plan specifies:
- Minimum entry age (e.g., 30 years for some options, lower for others) and maximum entry age (varies by annuity option; some may allow up to 85 or 90).
- Minimum purchase price (often in the range of a few lakh rupees; different across channels/options).
- No maximum purchase price, subject to underwriting/SARAL/AML norms.
Annuity and death benefits (option‑wise)
The exact wording and benefit structure must be lifted option‑wise (Option A, B, C, etc.) from the official brochure and CIS:
- Life‑only annuity: Highest annuity rate; income stops on death, no return of purchase price.
- Life with guaranteed period (5/10/15/20 years): Annuity is guaranteed for the chosen period even if death occurs earlier; after the period, it continues for life, then stops on death.
- Life with return of purchase price: Lower annuity rate, but on death the purchase price is refunded to nominee/legal heirs.
- Joint‑life annuity: Pension continues to spouse/secondary annuitant (fully or partly) after first death; purchase price may or may not be returned depending on variant.
- Increasing annuity options: Annuity amount increases at a fixed rate (for example, a percentage per year) to partly offset inflation, with corresponding lower starting annuity.
Suitability and positioning
- Suitable for retirees or near‑retirees who want guaranteed lifelong income from a lump sum (EPF, NPS corpus, sale of property, etc.) with LIC’s backing.
- Useful as the annuity “destination” when vesting proceeds come from products like LIC’s New Pension Plus, NPS, or other pension/ULIP plans that mandate annuitization.
- Not suitable for investors seeking high growth or liquidity; once annuity starts, the purchase price generally cannot be taken back (except via ROP on death or specific surrender conditions defined in the document).
Practical note for your use
Since this LIC page only links the product PDFs and does not itself show the option grid or numbers, you should: