**This scheme was to end on 31 Mar, 2020 but now been extended for another 3 years i.e. till 31 Mar, 2023.
Pradhan Mantri Vaya Vandana Yojana – Explanation in simple words
The policy is being run by LIC of India on behalf of Government of India. It is a pension plan.
The plan can be taken for a maximum of 10 years and for a amount not exceeding 15 lakh. Only people above the age of 60 years ca take this PMVVY
The PMVVY policy from LIC of India is introduced by Prime Minister Shri Narender Modi to mkae senior citizens self reliant. LIC of India manages the policy on Government of India’s behalf. The plan is giving out extra interest rates to senior citizens, the rate of interest is always kept higher than the bank, and other financial instruments.
- The PMVVY scheme is for senior citizens with a assured return.
- Maxmum 15 lakh can be invested by one person
- The maximum period for the policy can be 10 years.
LIC PMVVY pension scheme is sponsored and managed by Government of India and LIC has been appointed as the facilitator for the scheme. The scheme has been launched to provide the retirement security for senior citizens. It is one of the most popular pension plan by LIC of India.
- Pradhan Mantri Vaya Vandana Yojana (Table 842) is a government subsidized scheme with a assured return of 7.4% per annuum.
- There is no insurance in the scheme.
- Mode of payment can be monthly, quarterly, half yearly or yearly.
- Pensioners have to submit Existence certificate / Jeevan Pramaan Patra every 5 years.
Application form download
Download the application for for the PMVVY plan. You can take a print out, fill the form with your details and submit te applcation at nearest LIC office with required documents.
Pension Rates for PMVVY
|Mode of Pension||Minimum Purchase Price||Corresponding Pension Amount|
|Yearly||1,56,658||12,000 per annum|
|Half-Yearly||1,59,574||6,000 Half yrly|
|Monthly||1.62,162||1,000 per month|
|Mode of pension||Maximum Purchase Price||Corresponding Pension amount|
|Yearly||14.49.086||1,11,000 per annum|
|Half-Yearly||14,76,064||55,500 Half yrly|
|Monthly||15,00,000||9250 per month|
Death benefit: On death of the pensioners the invested amount and the pro-rata interest thereon.
PS: there is no loan or surrender facility in this plan.
PMVVY can only be taken for 10 lakhs and a maximum of 10 years whereas there is no such restriction on Jeevan Shanti. Any one can take Jeevan Shanti but PMVVY is only for senior citizens. There are many other differences as well, do comment below if you would like to understand the two policies in details.
1,000 per month is the minimum and 10,000 per month is the maximum that one can get from PMVVY
Yes surrender of the plan is possible. However 98% of the invested amount is refunded.
Loan is available under the policy after completion of 3 policy years. Maximum loan granted will be 75 per cent of the purchase price.
You can visit the LIC India official website at the link (https://onlinesales.licindia.in/eSales/liconline/setprop) and buy the plan online.
Yes. A senior citizen above the age of 60 can simultaneously buy both plans / schemes. For PMVVY the total investment cannot increase beyond 15 lakhs.
Once you have bought the plan, you will be required to submit life certificate every 5 years. To buy the plan life certificate isn’t required.
You can get 9250 per month as pension under PMVVY.
InsuringGurgaon.com is a leading LIC of India advisory firm based in Gurgaon. Our team of life insurance experts have an combined experience of over 40 years in life insurance services. Do get in touch with our insurance advisers to understand how Pradhan Mantri Vaya Vandana Yojana can help you achieve your financial goals in a systematic manner.