Mumbai, 27 September, 2022: Tata AIA Life Insurance (Tata AIA Life), one of India’s leading Life Insurance Companies, has introduced a more powerful version of its flagship annuity (guaranteed income for life) plan, Tata AIA Life Fortune Guarantee Pension. The new version includes some critical improvements, including higher annuity rates and death benefits, making it a must-have for the consumers to live financially independent and worry-free in their golden years.
Longer life expectancy and reduced savings levels have made Retirement Income a major concern in the country. The Retirement Savings Gap in India is projected to reach USD 85 trillion by 2050*, and Indian consumers must prepare for this crisis by ensuring financial independence after retirement. Tata AIA Life Fortune Guarantee Pension plan offers multiple tailor-made guaranteed income options and helps consumers save adequately for retired life. The plan caters to a diverse set of customers, including the married, women and individuals wanting to seriously consider saving to maintain their current lifestyles for the future. It is also a very suitable option for SME customers who need to ensure a security net for themselves in their life.
Commenting on the occasion, Samit Upadhyay, Chief Financial Officer, Tata AIA Life Insurance, said, “Retirement is like starting a new chapter in one’s life. It is a time when we can focus on enjoying ourselves rather than worrying about professional responsibilities. All of us, therefore, desire financial independence after retirement so money will not dictate how we live. With regular guaranteed income for life to help us manage our expenses after retirement, Tata AIA Life Fortune Guarantee Pension is an excellent financial tool to achieve that goal. The plan helps our consumers save enough before they retire and ensures stable income when the regular salary income stops.”
The plan is an ideal solution for consumers seeking a suitable and secured retirement income, and for retired consumers who want to increase their retirement kitty by investing any surplus funds into a guaranteed life insurance solution, can take advantage of Fortune Guarantee Pension.
For example, in the Deferred Life Annuity (GA-I) and with Return of Purchase Price, when a 45-year old male annuitant pays an annual premium of Rs. 5 lakhs for seven years, he would start receiving an annuity income of Rs. 261,030 per annum from the 8th year till the time he is alive. Thus, he ensures an annual income of 7.46% of the total premiums paid. In case of the annuitant’s death, the nominee is also entitled to receive Death Benefit.
The product offers an equally attractive proposition for the Deferred Life Annuity (GA-II) and with Return of Purchase Price. When a 50-year old individual invests an annual premium of Rs. 5 lakhs for ten years when still employed, they would start receiving an annuity income of Rs. 4,06,100 per annum on reaching the age of retirement. Again, like in the previous instance, upon the annuitant’s death, the total premiums paid would be returned to his nominee. In the Joint Life option, when a 48-year old husband and 45-year old wife invest Rs. 2 lakhs for 12 years, they will get a guaranteed annual annuity of Rs. 2,12,040 for life. Upon their death, their nominee would receive Rs. 24 lakhs.
*World Economic Forun (https://www.weforum.org/whitepapers/investing-in-and-for-our-future)
