HDFC Life
Guaranteed Pension Plan

On survival till the vesting date and on full payment of premiums due throughout the premium paying term, you will receive the aggregate (sum) of: 

• Sum Assured on Vesting.
• Guaranteed Additions of 3% of Sum Assured on vesting for each completed policy year.
• Vesting Addition¹: 24% to 90% of the Sum Assured(based on policy term).

Note: 

Regulation mandates how this Vesting Benefit will be payable to you. Please refer to 'Policy Proceeds' section of policy brochure for details.

On death of the life assured, we would pay to the nominee the Assured Death Benefit: 

• Nominee will get Assured Death Benefit of total premiums paid¹ to date accumulated at a guaranteed rate of 6% per annum compounded annually.
• The minimum level of death benefit at all times will be 105% of the total premiums paid.

Your nominee has an option to utilise the death benefits, fully or partly, for purchasing an immediate annuity from us. However, the nominee or beneficiary shall be given an option to purchase annuity from any other insurer at the then prevailing annuity rate to the extent of percentage, stipulated by the Authority, currently 50%, of the proceeds of the policy net of commutation. Alternatively, your nominee can withdraw the entire death benefit as a lump sum.

Note: 

Please note the guaranteed rate of 6% p.a. on the premiums paid to date is applicable only for the purpose of calculating death benefit and not for vesting benefit.

As per current regulations, you have the option to take the Vesting Benefit and the Surrender Benefit in the following manner: 

Vesting Benefit: On the date of vesting the policyholder shall be allowed:

• To commute up to 60% and utilize the balance amount to purchase an immediate annuity or deferred annuity from us at the then prevailing annuity rates subject to below point .
• To purchase an immediate annuity or deferred annuity from another insurer at the then prevailing annuity rates to the extent of percentage, stipulated by the authority, currently 50%, of the entire proceeds of the policy net of commutation. 

Surrender Benefit: On the date of surrender the policyholder shall be allowed:

• To commute up to 60% and utilize the balance amount to purchase an immediate annuity or deferred annuity from us at the then prevailing annuity rates subject to below point.
• To purchase an immediate annuity or deferred annuity from another insurer at the then prevailing annuity rates to the extent of percentage, stipulated by the authority, currently 50%, of the entire proceeds of the policy net of commutation. 

These are available subject to the following terms and conditions: 

• The policyholder is permitted to alter the premium paying frequency to any of the frequencies available under the product subject to the minimum premium conditions.
• No alterations to the policy term are permitted.
• No alterations to the premium and sum assured are permitted.