Plan 260

New Deferred Future Secure Pension Plan

New Deferred Future Secure Pension Plan is an innovative non-linked, single premium, deferred annuity product where the annuity payments are paid in arrears to the annuitant/survivor upon his/her survival after the completion of the deferment period.

The policyholder has the following annuity options to choose from at the inception of the contract:

Option 1: Deferred annuity for Single life with Return of Purchase Price
Option 2: Deferred annuity for Joint life with Return of Purchase Price

The deferment period shall range from 3 years to 10 years.

BENEFITS

1. ANNUITY BENEFITS (Amount Payable on Survival)

Annuity Options

Types of Annuity

Annuity Benefits

Option 1

Deferred annuity for Single life with Return of Purchase Price

During Deferment
Under this option, no annuity payment shall be made during the deferment period. On death of the Annuitant during the deferment period, no annuity benefit shall be payable under the policy and death benefit as defined below, shall be payable to the Nominee.

After Deferment
The annuity payments will start in the policy year immediately following the completion of the deferment period. The annuity payments will be made in arrears for as long as the Annuitant is alive. The annuity payments will cease on the death of the Annuitant and the death benefit, as defined below, shall be payable to the Nominee.

Option 2

Deferred annuity for Joint life with Return of Purchase Price

During Deferment
Under this option, no annuity payment shall be made during the deferment period. On death of the Annuitant and Spouse during the deferment period, no annuity benefit shall be payable under the policy and death benefit as defined below, shall be payable to the Nominee.

After Deferment
The annuity payments will start in the policy year immediately following the completion of the deferment period. The annuity payments will be made in arrears for as long as the Annuitant is alive. On death of the Annuitant, 100% of the annuity amount will be payable to the surviving named spouse as long as the spouse is alive. The annuity payments will cease on the subsequent death of the Spouse and the death benefit, as defined below, shall be payable to the Nominee. If the Spouse predeceases the Annuitant, the annuity payments shall continue till the death of the Annuitant and the death benefit, as defined below, shall be payable to the Nominee.

2. BENEFICIARY BENEFITS (Amount Payable on Death)

Annuity Options

Types of Annuity

Annuity Benefits

Option 1

Deferred annuity for Single life with Return of Purchase Price

During Deferment
Under this option, on death of the Annuitant during the deferment period, no annuity benefit shall be payable under the policy and death benefit equal to the Purchase Price plus 1% of Purchase Price for each year of deferment till the year of death, shall be payable to the Nominee and the policy shall terminate.

After Deferment
On death of the annuitant after the deferment period, the annuity payments will cease and death benefit, equal to 105% of the Purchase Price for annuities with deferment period of 5 years and less and equal to 110% of the Purchase Price for annuities with deferment Period of more than 5 years, shall be payable to the Nominee and the policy shall be terminated.

Option 2

Deferred annuity for Joint life with Return of Purchase Price

During Deferment
Under this option, on death of the Annuitant and Spouse during the deferment period, no annuity benefit shall be payable under the policy and death benefit equal to the Purchase Price plus 1% of Purchase Price for each year of deferment till the year of death of Annuitant or Spouse, whichever is later, shall be payable to the Nominee. On the first death of either Annuitant or Spouse, annuity payments after the deferment period, as described above, shall be payable on survival of either life.

After Deferment
On death of the Annuitant after the deferment period, 100% of the annuity amount will be payable to the surviving named spouse as long as the spouse is alive. The annuity payments will cease immediately on the subsequent death of the Spouse. If the Spouse predeceases the Annuitant, the annuity payments shall continue and cease immediately upon the death of the Annuitant.

On death of both the Annuitant and Spouse the annuity payments will cease and death benefit, equal to 105% of the Purchase Price for annuities with deferment period of 5 years and less and equal to 110% of the Purchase Price for annuities with deferment period of more than 5 years, shall be payable to the Nominee. On the first death of either Annuitant or Spouse, annuity payments after the deferment period, as described above, shall be payable on survival of either life.

3. RETURN OF PURCHASE PRICE

Return of Purchase Price is available under both Option 1 & Option 2.

4. SURRENDER BENEFIT

Surrender Benefit shall be available during deferment period as described below. Upon vesting, the surrender benefit shall only be available under extreme circumstances such as critical illness of the annuitant, loss of job before superannuation of the annuitant, for marriage of children etc. The Surrender Value shall be as described below.

The surrender benefit shall be available from the 2^nd Policy year onwards. The Guaranteed Surrender Value shall be 95% of Purchase Price. However, the Company may pay Special Surrender Value which may be higher than the Guaranteed Surrender Value.

During the deferment period, starting from the 2^nd policy year upto the 10th policy year, the special surrender value shall be 95% of Single Premium in the 2nd Policy year and shall increase by 1% for each subsequent year for deferment period of 5 years or less and by 2.50% for each subsequent year for deferment period of more than 5 years. This increase in surrender value shall cease on completion of the deferment period and there shall be no change to the surrender value after vesting.

BASIC PRODUCT FEATURES, RESTRICTIONS AND APPLICABILITY

Attribute

Minimum limit

Maximum limit

Purchase Price

USD 15,000

No Limit but subject to Underwriting

Entry Age

35 years (completed)

72 years (Nearest Birthday)

Deferment Period

3 years

10 years

Age at Vesting

40 years (completed)

75 years (completed)

Mode of Premium Payment

Single Premium

Mode of Annuity Payment

Yearly, Half Yearly, Quarterly, and Monthly

ADDITIONAL ANNUITY RATE FOR HIGH PURCHASE PRICES

Purchase Price Band (Amount in USD)

Increase in Annuity Rate (For all modes)

< 50,000

Nil

50,000 to 99,999

1.75%

100,000 and above

3.00%

SERVICING ASPECTS

Underwriting Requirements

All aspects of underwriting will be as per the underwriting policy of the company.

Insurance LEVY/TAX

Insurance levy and any other taxes, if any, will be charged as per existing rules in addition to the premium.

For detailed terms and conditions applicable to the base policy and riders, please contact our branch office / chief agent.