LIC’s New Jeevan Shanti (Plan No. 758)

LIC’s New Jeevan Shanti (Plan No. 758): A Complete Guide to Guaranteed Pension for a Stress-Free Retirement

Planning for retirement is one of the most critical financial decisions in life. With rising inflation, increasing life expectancy, and uncertainty in market-linked investments, many individuals seek a safe, guaranteed, and stable pension plan. One such trusted option from India’s most reliable insurer is LIC’s New Jeevan Shanti (Plan No. 758).

LIC’s New Jeevan Shanti is a single premium, non-linked, non-participating immediate and deferred annuity plan that provides guaranteed pension for life. This article offers a detailed, unbiased, and SEO-friendly explanation of the plan, including features, benefits, eligibility, annuity options, tax implications, and who should invest in it.

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What is LIC’s New Jeevan Shanti (Plan No. 758)?

LIC’s New Jeevan Shanti is a pension (annuity) plan designed for individuals who want assured regular income after retirement. The plan allows you to invest a lump sum (single premium) and receive guaranteed pension either immediately or after a deferment period.

This plan is ideal for:

• Retired individuals
• Employees nearing retirement
• Self-employed professionals
• Anyone looking for stable post-retirement income

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Key Highlights of LIC’s New Jeevan Shanti

• Plan Type: Annuity / Pension Plan
• Plan Number: 758
• Premium Payment: Single Premium (One-time investment)
• Annuity Type: Immediate or Deferred
• Risk Level: Very Low
• Market Exposure: None
• Pension Guarantee: For life
• Issuer: Life Insurance Corporation of India (LIC)

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Types of Annuity Options Available

LIC’s New Jeevan Shanti offers multiple annuity options, making it flexible for different retirement needs.

1. Immediate Annuity

• Pension starts immediately after purchase
• Ideal for people who have already retired
• No deferment period

2. Deferred Annuity

• Pension starts after a chosen deferment period
• Deferment options: 1 to 12 years
• Ideal for individuals planning retirement in the future

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Annuity Payment Modes

You can choose how frequently you want to receive your pension:

• Monthly
• Quarterly
• Half-Yearly
• Yearly

Monthly mode is most preferred as it ensures regular cash flow for household expenses.

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Annuity Options Under LIC New Jeevan Shanti

LIC provides several annuity variants. Some of the most popular ones include:

1. Life Annuity

• Pension payable as long as the annuitant is alive
• Payments stop after death
• Higher pension amount compared to other options

2. Life Annuity with Return of Purchase Price

• Pension payable for life
• After death, purchase price is returned to nominee
• Slightly lower pension but safer for family

3. Joint Life Annuity

• Pension payable to primary annuitant
• After death, continues to spouse
• Ideal for married couples

4. Joint Life with Return of Purchase Price

• Pension continues for both lives
• Purchase price returned after last survivor’s death

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Eligibility Criteria

Minimum Entry Age

• Immediate Annuity: 30 years
• Deferred Annuity: 30 years

Maximum Entry Age

• Up to 79 years (depending on annuity option)

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Minimum and Maximum Purchase Price

Minimum Purchase Price

• ₹1,50,000 (subject to annuity option)

Maximum Purchase Price

• No upper limit (subject to LIC underwriting norms)

This makes the plan suitable for both middle-class investors and high-net-worth individuals.

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Guaranteed Pension Rates

The pension amount depends on:

• Age at entry
• Annuity option chosen
• Purchase price
• Mode of annuity payment

Once selected, pension rates are guaranteed for life, offering complete peace of mind.

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Death Benefit Under LIC New Jeevan Shanti

Death benefits vary based on annuity option selected:

• Without return of purchase price: No death benefit
• With return of purchase price: Nominee receives the original invested amount
• Joint life options: Pension continues to spouse

This flexibility allows better estate planning.

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Loan Facility

• Loan is allowed under deferred annuity options
• Available after 3 months from policy issuance
• Maximum loan amount depends on surrender value

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Surrender Value

• Available under deferred annuity options
• Not available for immediate annuity
• Useful in case of financial emergencies

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Tax Benefits of LIC New Jeevan Shanti

Tax on Premium

• Purchase price may qualify for Section 80C deduction (subject to prevailing tax laws)

Tax on Pension

• Pension income is taxable as per income tax slab
• Tax is deducted at source (TDS) as applicable

Note: Tax rules may change. Always consult a tax advisor before investing.

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Why LIC’s New Jeevan Shanti is a Safe Retirement Plan

1. Government-Backed Trust

LIC is owned by the Government of India, ensuring unmatched reliability.

2. Guaranteed Income

No dependency on stock markets or interest rate fluctuations.

3. Lifetime Security

Pension continues as long as the annuitant is alive.

4. Simple & Transparent

No hidden charges or complicated clauses.

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Who Should Invest in LIC New Jeevan Shanti?

This plan is ideal for:

• Retired government or private employees
• Senior citizens seeking stable income
• Individuals with lump sum retirement corpus
• Risk-averse investors
• People without employer pension benefits

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Comparison with Other Retirement Options

Feature	LIC New Jeevan Shanti	Mutual Funds	Fixed Deposits
Risk	Very Low	High	Low
Guaranteed Income	Yes	No	Limited
Lifetime Pension	Yes	No	No
Market Linked	No	Yes	No

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Important Things to Consider Before Buying

• Pension income is taxable
• No liquidity in immediate annuity
• Returns may be lower than market-linked products
• Best suited for conservative investors

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How to Buy LIC New Jeevan Shanti?

You can purchase the plan through:

• LIC agents
• LIC branch offices
• LIC official website
• Authorized intermediaries

Always ask for:

• Benefit illustration
• Annuity rate chart
• Written proposal copy

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Example Illustration

Investment Amount: ₹10,00,000
Age: 60 years
Annuity Option: Life Annuity with Return of Purchase Price
Pension Mode: Monthly

Approximate Pension: ₹5,500 – ₹6,000 per month (varies based on LIC rates)

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Advantages of LIC New Jeevan Shanti

• Guaranteed pension
• Lifetime income
• Multiple annuity options
• Trusted LIC brand
• Ideal for retirement planning

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Disadvantages

• No inflation adjustment
• Pension is taxable
• Lower returns compared to equity in long term

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Final Verdict: Is LIC’s New Jeevan Shanti Worth Buying?

LIC’s New Jeevan Shanti (Plan No. 758) is a reliable, stable, and secure pension plan for individuals who prioritize income certainty over high returns. While it may not beat inflation in the long term, it excels in peace of mind, guaranteed income, and trust.

If you are looking for a no-risk retirement solution with lifetime pension, this plan deserves serious consideration.

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Frequently Asked Questions (FAQs)

Is LIC New Jeevan Shanti a good plan?

Yes, for risk-averse investors seeking guaranteed retirement income.

Can I buy it online?

Yes, through LIC’s official channels and agents.

Is pension guaranteed for life?

Yes, based on the annuity option selected.

Is it better than FD?

For lifetime income, yes. For liquidity, FD is better.

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Disclaimer:
This article is for educational purposes only. LIC terms and conditions apply. Always consult a licensed insurance advisor before investing.

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