ICICI Prudential Life Insurance has launched a new insurance product aimed at retirement saving. Named ICICI Pru Guaranteed Pension Plan Flexi, it is a regular premium payment annuity product, which, the insurer claims, allows the buyer to systematically save and build retirement savings over the long term. 

It is available in seven variants, including options of Life Annuity with Accelerated Health Boosters and Life Annuity with Booster Payouts. The first option provides buyers with additional payout on being diagnosed with difficulties that hinder daily living, and can be used towards meeting expenses for medical care.

The Booster Payout option provides individuals with five lump sum payments in addition to their annuity. This promises to help customers plan and achieve their post-retirement goals, such as travelling, starting a hobby, or gifting with the help of payouts.

This company claims that the product has been specifically designed for buyers who are seeking annuity products that offer guaranteed life-long income along with additional liquidity to meet their healthcare and lifestyle needs in their retirement years. 

It will allow customers to make regular contributions towards building a savings pool and receive a life-long guaranteed income to lead a financially independent retired life, the company said. 

The product also comes with the Waiver of Premium benefit which can prove immensely useful in case of demise of the first holder during the premium paying term. In such a scenario, all future premiums are waived off, while ensuring the second or joint holder receives a life-long guaranteed regular income upon conclusion of the deferment period. Upon the demise of the joint holder, the total premiums invested are paid out to the nominee(s), which can act as a legacy planning tool.

The product also allows for the Return of Premium, along with the option to surrender the policy upon diagnosis of specific critical illnesses or permanent disabilities. 

Says Amit Palta, chief distribution officer, ICICI Prudential Life Insurance: “The pandemic has disrupted livelihoods, leading individuals to lay greater emphasis on safeguarding savings and income, especially on retirement. Typically, annuity products can be purchased by making a lump sum premium payment. Therefore, ICICI Pru Guaranteed Pension Plan Flexi has been specifically designed to provide flexibility to customers to make wallet-friendly regular contributions over the long-term to build the desired retirement savings pool. We believe the option to make regular premium payments will enable a larger section of the country’s population to plan for their golden years in advance.”