Annuity payouts will be paid as per the frequency chosen immediately after the premium paid
On death of the annuitant, annuity payouts cease under the first option. Under the second option, the purchase price is also returned
Under the third option, after the first annuitants death, annuity continues to be paid to the spouse and ceases on spouses death. The purchase price is also returned to the nominee in the last cae post the spouses death
Income tax benefit on the premium paid as per Section 80CCC of the Income Tax Act.
Policyholder has to fill up an `Application form/ proposal form with accurate medical history along with the address proof and other KYC documents.
Mr Duggal is 66-year-old retired government service personnel. He has a family of three which includes his wife who is 60 years of age and a daughter. He decided to purchase Max Life Guaranteed Lifetime Income Plan – Joint Life Annuity for Life that offers a Return of Purchase Price at Rs. 10,00,000 (excluding all the taxes and cesses).
They named their daughter as the nominee. Mr Duggal gets a guaranteed payout of Rs. 65,530 each year. So in case if Mr Duggal passes away his wife will get to receive the yearly payout of Rs. 65,530 all through her lifetime. This empowers her financially and makes her independent. Moreover, at the time of death of Mrs Sharma the complete purchase price which is Rs. 10,00,000 will be given to their daughter.
Annuity Options Available
o Annuity for single life: This life does not include any death benefit. This policy offers a certain amount which is guaranteed to the policyholder at the time of inception, and this will be paid all through your life.
o Annuity for single life with return of Single Premium (Purchase Price) on death: A set amount, guaranteed at the time of taking the policy is paid to the policyholder throughout their life. Wherein, if the policyholder passes away, 100% of the purchase price net taxes and cesses are received by the person you nominated.
o Annuity for joint lives (not including death benefit): A set amount which is guaranteed at the time of taking the policy is received by alive annuitants. Wherein, in case of the death of the both the annuitants, the policy tends to cease.
o Annuity for joint lives (return of Single Premium on the demise of the last alive Annuitant): A fixed sum guaranteed at the very beginning of taking the policy will be paid to the policyholder throughout the lifetime of even single the annuitant. Wherein, at the time of the death of the last survivor, 100% of the purchase price (minus taxes and cesses) is received by the nominee.