TATA AIA Life Smart Annuity Plan
TATA AIA Life Smart Annuity Plan
The TATA AIA Life Smart Annuity Plan is a non-linked, non-participating individual annuity plan designed to provide you with a guaranteed regular income after retirement. With this plan, you can secure your future with a guaranteed income stream while enjoying flexibility in choosing the annuity options that best suit your needs.
What is TATA AIA Life Smart Annuity Plan?
TATA AIA Life Smart Annuity Plan is a non-participating, non-linked individual annuity plan offered by Tata AIA Life Insurance Plan. This investment plan ensures guaranteed regular payouts to provide financial protection for you and your loved ones.
Features of TATA AIA Life Smart Annuity Plan
The salient features of this investment option provided by Tata AIA Life Insurance are listed below:
Choose from various annuity options to cater to the future needs of group members:
Immediate Life Annuity
Immediate Life Annuity with Return of Purchase Price
Deferred Life Annuity with Return of Purchase Price
Select between Single or Joint Life annuity for added flexibility.
Customize the mode of annuity payouts to suit individual preferences.
Enjoy flexibility in premium payment terms, extending up to 15 years.
Benefit from a deferment period of up to 10 years.
Annuity Options Available under TATA AIA Life Smart Annuity Plan
Immediate Life Annuity
Single Life:
The annuity is paid as a chosen payment mode for the Annuitant's lifetime.
The indemnity ceases on the Annuitant's death, and there are no further payments.
Joint Life:
An annuity is paid based on the chosen mode as long as either Annuitant lives.
Payments stop on the death of both Annuitants.
Immediate Life Annuity with Return of Purchase Price
Single Life:
The annuity is paid as the chosen mode for the Annuitant's lifetime.
Lump sum Death Benefit to the nominee on Annuitant's death.
Joint Life:
The annuity is paid as the chosen mode for as long as either Annuitant lives.
Lump sum Death Benefit to the nominee after both Annuitants' deaths.
Deferred Life Annuity with Return of Purchase Price
Deferment Period: 1 to 10 years (chosen at inception).
Single Life:
Annuity paid post deferment period as the chosen mode for the Annuitant's lifetime.
Lump sum Death Benefit to the nominee on Annuitant's death.
Joint Life:
Annuity paid post deferment as chosen mode for as long as either Annuitant lives.
Lump sum Death Benefit to the nominee after both Annuitants' deaths.
Beneficiary Options
Primary Annuitant: Receives annuity payments.
Secondary Annuitant (for Joint Life): Receives payments upon Primary Annuitant's death, if opted for.
Secondary Annuitant eligibility: Spouse, child, parent, parent-in-law, or sibling with insurable interest.
Premium Payment Loadings/Discounts
Single Premium: No loading.
Annual Premium: No loading.
Half Yearly Premium: 51% loading.
Quarterly Premium: 74% loading.
Monthly Premium: 91.17% loading.
Eligibility Criteria to Buy TATA AIA Life Smart Annuity Plan:
Particulars
Immediate Life Annuity Option
Immediate Life Annuity with Return of Purchase Price (ROP) Option
Deferred Life Annuity with Return of Purchase Price (ROP) Option
Entry Age
45 – 85 years 45 – 85 years Single Pay: 45 – 85 years; Regular/ Limited: 30 – 85 years.
Premium Payment Method
Single Pay Single Pay 5- 15 years Annuity Purchase Price
Minimum: As per minimum annuity amount; Maximum: No Limit
Deferment Period
Deferred Life Annuity with ROP:
- Single Premium: 1 – 10 years;
- Regular Pay: Same as PPT;
- Limited Pay: PPT + 1 year to PPT + 10 years.
Annuity Payout
- Annually: Rs. 12,000 – No Limit;
- Half-Yearly: Rs. 6,000 – No Limit;
- Quarterly: Rs. 3,000 – No Limit;
- Monthly: Rs. 1,000 – No Limit.
Annuity Payout Mode
Annually in arrears or advance, Semi-annually in arrears, Quarterly in arrears, Monthly in arrears. Premium Payment Mode
Single Pay/ Yearly/ Half – Yearly/ Quarterly/ Monthl
Benefits of TATA AIA Life Smart Annuity Plan
Maturity Benefit: No maturity benefit is provided in this plan.
Death Benefit:
Annuity Option
Death Benefits
Immediate Life Annuity
None Immediate Life Annuity
Returns 100% of the Purchase Price upon the later of the two annuitants' deaths. Deferred Life Annuity
(a) Option I: Pays either total premiums plus accrued guaranteed additions or 110% of premiums paid upon death.
- Option II:
- During deferment: Pays premiums plus 0.5% of premiums paid monthly.
- Post deferment: Pays premiums plus a maximum of accrued 0.5% premiums till the end of deferment minus total annuity payouts.
Lump Sum Death Benefit: The entire death benefit is paid to the nominee(s) all at once.
Annuitization of Death Benefit: The benefit amount is used to buy an Immediate Annuity from the company for the nominee(s). The annuity amount paid to the nominee(s) upon the death claim is based on their age and the prevailing immediate annuity rates at the time of the Annuitant's death. This option can be chosen for the full or part of the benefit amount, subject to eligibility conditions and regulatory provisions.
Surrender Benefit:
Immediate Life Annuity Option (Single and Joint Life): No surrender benefits available.
Immediate and Deferred Life Annuity with Return of Purchase Price (Single and Joint life): Surrender value available for Immediate Life with Return of Purchase Price and Deferred Life Annuity with Return of Purchase Price options.
