HDFC Standard personal pension plan

Mumbai: HDFC Standard Life has announced the launch of its personal pension plan, aimed at offering customers financial security after retirement.

Addressing press persons here, HDFC Standard Life managing director and chief executive officer Deepak Satwalekar said a customer could choose to pay either a single premium or a regular premium during the savings period.

On retirement, the policyholder will be entitled to the sum assured, plus the attaching bonus. Only a part of this, however, could be taken as cash, subject to the prevailing regulations. The balance will be converted into an annuity, which will provide pension to the policyholder for his or her lifetime.

On death during the term of the plan, after the first year, the policyholders nominees will get a one-time lumpsum. In the case of regular premium policies, this will be equal to the premiums paid to date, with interest of 8 per cent, subject to a maximum of the sum assured, plus bonuses declared to date.

Satwalekar said the product offers features such as the choice of premium payment, as a single-premium or as a regular premium, with a quarterly or half-yearly frequency. "There are no medical requirements for this plan, which simplifies the process of taking a policy. The policyholder is also free to buy an annuity with another insurance company who will accept such business."