Forever Young Pension Plan

We work all our lives meticulously so that we can retire with pride. As we near retirement, we want to take a break from our highly-pressed jobs and follow long-lost hobbies that were left unexplored.

During this exciting phase of life, finances should be the last thing you and your family should have to worry about.

Choose Max Life Forever Young Pension Plan which helps you create savings for retirement years while safeguarding you from ups and downs of the equity market. You can also get additional annuity plan benefits to safeguard your partner and your family against unforeseen events so that you and your loved ones live life on your terms.

 

3 reasons you should buy this plan

  • Build a large corpus to fulfill your retirement goals
  • Shield your savings from market downturns
  • Secure your spouse’s future financially, even if you are not around

What do I get with this plan?

What do I get with this plan?

Here’s all you need to know about this plan

Here’s all you need to know about this plan

Insert Image Vesting Benefit

The age at which you choose to start receiving the pension or the payouts

You will receive higher of the Fund Value or Guaranteed Vesting Benefit, where the Guaranteed Vesting Benefit is defined as follows:

  • In case you opt for the Pension Maximiser Option – 101% of total premiums paid (including Top-Up premiums paid, if any), exclusive of rider charge if any
  • In case you opt for the Pension Preserver Option – 110% of total premiums paid (including Top-Up premiums paid, if any), exclusive of rider charge if any    

Options Available on Vesting

  • Commute up to 60% of fund value and use remaining proceeds to purchase an immediate annuity or Deferred Annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by IRDAI from time to time) or
  • To utilize the entire proceeds to purchase an immediate annuity or deferred annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by IRDAI from time to time); or
  • Extend accumulation period or deferment period within the same policy with same terms & conditions as the original policy provided the life insured is less than age 60 years (last birthday).
    .

Insert Image Death Benefit

Payable on the death of the policyholder

In the event of the death of the policyholder during premium payment phase, your nominee will receive higher of fund value or 105% of Total premiums paid including top up premiums (exclusive of rider charges, if any)

Insert Image Loyalty Benefit

Additional guaranteed benefits added to the fund as mentioned below

  • Get guaranteed loyalty additions at 0.50% of fund value added to the fund by creation of additional units, from the end of 10th policy year
  • These additions increase by 0.02% (absolute) every year, from the end of 11th policy year

 

Let's consider Mr. Sharma’s case to explain this plan. He is a 40 year old employee with an MNC and wants to retire at the age of 60. As his employer does not provide for any fixed pension, he wants to buy a pension solution with monthly premiums that will not only fulfill his retirement needs but also look after his wife even in case of his death. Below are the details:

Monthly Premium: Rs. 10,000

Premium Payment Term: 20 years

        Policy Term: 20 years

Fund option: Max Life Pension Preserver Fund

        Annuity Option: Joint Life

Let’s see how Max Life Forever Young Pension Plan works for him:

Scenario 1 - Vesting Benefit

Mr. Sharma chooses to invest in Max Life Forever Young Pension Plan and after 20 years chooses to invest entire corpus in Max Life Guaranteed Lifetime Income Plan with Joint Life with Return of Purchase Price option.

        Total amount invested in Max Life Forever Young Pension Plan - Rs. 10,000 x 12 x 20 = Rs. 24,00,000

        Guaranteed Retirement Corpus from Max Life Forever Young Pension Plan - Rs. 26,40,000

        Retirement corpus from Max Life Forever Young Pension Plan* @4% is Rs. 30,03,623** and @8% is Rs. 46,26,551**       

 On maturity, Mr Sharma shall be entitled to exercise one of the following options with regards to the maturity benefit:

  • Commute up to 60% of fund value and use remaining proceeds to purchase an immediate annuity or Deferred Annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by IRDAI from time to time) or
  • To utilize the entire proceeds to purchase an immediate annuity or deferred annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by IRDAI from time to time); or
  • Extend accumulation period or deferment period (Only in case of Single Pay) within the same policy with same terms & conditions as the original policy provided the life insured is less than age  60 years


•Annuity values as per Annuity Rates as on April 2019. The Annuity conversion rates are riot guaranteed and may vary from time to time.Please note all additional applicable taxes, cesses, and levies as imposed by the Government will be applicable as per prevailing rates on the purchase of Max Life Guaranteed Lifetime Income Plan.

Please note that above is only an example and does not create any rights and/or obligations. The assumed and non-guaranteed rates of return of 4% and 8% mentioned above relate to assumed investment returns at different rates and may vary depending upon the market conditions.

*The Fund Option assumed to be chosen in the above scenario is Max Life Pension Preserver Fund (SFIN - ULIFOIBIS!O2II3PENSPRESERIO4).

**These are not guaranteed and they are not the upper or lower limits of what your policy might earn as the value of your policy is dependent on a number of factors including the future investment performance scenario. For more information, please request for your policy specific benefit illustration.

Scenarion 2 - Death Benefit


In case, Mr. Sharma passes away at the age of 50 years, after paying the premium for 10 years, Total amount invested in Max Life Forever Young Pension Plan:  Rs. 10,000 x 12 x 10 = Rs. 12,00,000 (12 lakhs)

His wife aged 50 years will get the following benefits:

Death Benefit (higher of the Fund value* or 105% of the cumulative premiums paid) with Max Life Partner Care Rider: @4% is Rs. 23,94.687** and @8% is Rs. 26,65,400**

*Please note that above is only an example and does not create any rights and  or obligations. The assumed and non.guaranteed rates of return of 4% and 8% mentioned above relate to assumed investment returns at different rates and may vary depending upon the market conditions.

The Fund Option assumed to be chosen in the above scenario is Max Life Pension Preserver Fund (SFIN - ULlF0l8l5/02Il3PENSPR(SRl04).

** These are not guaranteed and they are not the upper or lower limits of what your policy might earn as the value of your policy is dependent on number of factors including the future investment performance scenario. For more information, please request for your policy specific benefit illustration.

Minimum and Maximum Entry Age

30 - 65 Years


Minimum and Maximum Vesting Age

Minimum: 50 years (55 years for policies sourced under Qualifying Recognized Overseas Pension Scheme (QROPS), as per prevailing Her Majesty’s Revenue & Customs (HMRC) regulations )

Maximum: 75 years (age last birthday)

You may choose from any one of the below mentioned investment options:

Pension Maximiser Option –The 100% of your premiums (including Top-Up premiums, if any) shall be invested in the Pension Maximiser Fund (SFIN: ULIF01715/02/13PENSMAXIMI104). The risk profile of the investment option is medium.
Nature of Fund - An open ended hybrid fund investing in a mixture of debt instruments and equities.

Pension Preserver Option – The 100% of your premiums (including Top-Up premiums, if any) shall be invested in the Pension Preserver Fund (SFIN: ULIF01815/02/13PENSPRESER104). The risk profile of the investment option is low. 
Nature of Fund - An open ended hybrid fund investing predominantly in debt instruments.

Please note that you can choose the option only at inception and no change in the option is allowed during the policy term.

Below are the different fund options with details:

Fund Name and Objective

Government Securities & Corporate Bonds

Money Market & Cash Instruments

Equity & Equity related securities

Potential Risk/Reward    

Pension Maximiser Fund: (SFIN: ULIF01715/02/13PENSMAXIMI104)

40% - 80%

0% - 40%

20% - 60%

Medium

Pension Preserver Fund: (SFIN: ULIF01815/02/13PENSPRESER104)

60% - 90%

0% - 40%

10% - 35%

Low

Charge Structure

1.  Premium Allocation Charge

Year

Allocation Charge

Single Pay (as a % of Single Premium)

Nil

Regular Pay (as a % of Annual Premium)

Year 1 to 10 - 2% p.a. for annual mode

Year 1 to 10 - 1.25% p.a. for non annual modes

Year 11onwards - Nil for all modes

2.  Fund Management Charge

The annual rate for the Fund Management Charge is 1.25% for the Pension Maximiser Fund and the Pension Preserver Fund. An additional charge* for offering guaranteed benefit will apply to the Pension Preserver Fund and Pension Maximizer Fund at 0.20% per annum and 0.40% per annum respectively.

*The company reserves the right to revise the charge of guarantee, subject to a maximum of 0.50% p.a., with prior approval from IRDAI.

 

3. Policy Administration Charge

Single Pay: 0.08% of the Single Premium per month increasing @ 4% p.a. starting from the second year. The charge will not exceed Rs. 400 p.m. in any year

Regular Pay:

Year 1 to 5: 0.36% of the Annual Premium per month.

Year 6 onwards : 0.46% of the Annual Premium per month increasing @ 5% p.a. starting year 7,(i.e. 85th month), 0.483% of the Annual Premium per month in year 7. The charge will not exceed Rs. 400 p.m. in any year.

        This charge will be deducted from the first policy year on a monthly basis by cancellation of units from the Unit Account.

 

4. Surrender/Discontinuance Charge


Single Premium Policies

Surrender Charge - Single Pay

If Policy is surrendered/discontinued

Maximum discontinuance charges for the policies having SP up to Rs 3Lac

Maximum discontinuance charges for the policies having SP above Rs 3Lac

In 1st Policy Year

Lower of 2% * (SP or FV) subject to a maximum of Rs 3000

Lower of 1% * (SP or FV) subject to a maximum of Rs 6000

In 2nd Policy Year

Lower of 1.5% * (SP or FV) subject to a maximum of Rs 2000

Lower of 0.70% * (SP or FV) subject to a maximum of Rs 5000

In 3rd Policy Year

Lower of 1% * (SP or FV) subject to a maximum of Rs 1500

Lower of 0.5% * (SP or FV) subject to a maximum of Rs 4000

In 4th Policy Year

Lower of 0.5% * (SP or FV) subject to a maximum of Rs 1000

Lower of 0.35% * (SP or FV) subject to a maximum of Rs 2000

In 5th Policy Year and onwards

0%

Nil

 

Regular Premium Policies

Surrender/ Discontinuance Charge – Regular Pay

If Policy is surrendered/discontinued

Maximum discontinuance charges for the policies having Annualised Premiums up to Rs 50000/-

Maximum discontinuance charges for the policies having  Annualised Premiums above 50000/-

In 1st Policy Year

Lower of 20% * (AP or FV) subject to a maximum of Rs 3000

Lower of 6% * (AP or FV) subject to a maximum of Rs 6000

In 2nd Policy Year

Lower of 15% * (AP or FV) subject to a maximum of Rs 2000

Lower of 4% * (AP or FV) subject to a maximum of Rs 5000

In 3rd Policy Year

Lower of 10% * (AP or FV) subject to a maximum of Rs 1500

Lower of 3% * (AP or FV) subject to a maximum of Rs 4000

In 4th Policy Year

Lower of 5% * (AP or FV) subject to a maximum of Rs 1000

Lower of 2% * (AP or FV) subject to a maximum of Rs 2000

In 5th Policy Year and onwards

Nil

Nil

 

NOTE:

 1) Surrender within five years of the date of risk commencement of the Policy (i.e. within the Lock-in Period)

    In case the policyholder surrenders the policy within the lock-in-period, the Company will credit the Fund Value, by creation of units, into the Pension              Discontinuance Policy Fund after deducting applicable Surrender/Discontinuance Charges.

    At the expiry of five years from the date of inception of the Policy (i.e. at the expiry of the lock-in period), the Company will close the Unit Account and the policyholder shall have the following options with regards to the Surrender Value payable at the end of the Lock-in period of five years:

  • Commute up to 60%of fund value and use remaining proceeds to purchase an immediate or deferred annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by the authority). or
  • To utilize the entire proceeds to purchase an immediate annuity or Deferred Annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by the authority)

 2) After five years of the date of risk commencement of the Policy (i.e. after the Lock-in Period)

     The Company will close the Unit Account and the policyholder shall be entitled to exercise one of the following options with the Surrender Value payable:

  • Commute up to 60%of fund value and use remaining proceeds to purchase an immediate or deferred annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by the authority); or
  • To utilize the entire proceeds to purchase an immediate annuity or Deferred Annuity from Max Life at the then prevailing annuity rate or from another insurer (to the extent of 50% of the entire proceeds of the policy net of commutation as stipulated by the authority)
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Premium Rates Table

 
Policy Contract

 
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Prospectus
 

Additional Benefits through Riders

Additional Benefits through Riders

Why Choose Max Life

Here are some of the numbers which speak about our accomplishments

Why Choose Max Life

Here are some of the numbers which speak about our accomplishments
Claims Paid Percentage

98.74%

98.74%

(Source : Annual Results Release FY18-19)

Max Life Presence

239 Offices

239 Offices

(Source : Annual Results Release FY18-19)

Sum Assured

₹7,03,972 Cr.

₹7,03,972 Cr.

In force (individual) (Source : Public disclosure FY18-19)

Assets Under Management

₹62,798 Cr.

₹62,798 Cr.

(Source : Public disclosure FY18-19)

More reasons why our customers choose us
See what our customers have to say about this plan
See what our customers have to say about this plan

I bought this pension plan because it is one of the very few retirement plans which lets you choose your retirement age. I have plans to retire early and travel the world with my wife. Thanks to Sahil, my Max Life relationship manager who spent a lot of time in understanding my requirements and financials and suggested me the right pension plan. He has been a constant support whenever I need any further details and help.

Mr. Sahni, 36 years

Bengaluru

Let’s Connect

Let’s Connect

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nri.helpdesk@maxlifeinsurance.com