ICICI Prudential Life Insurance has introduced the industry’s first-ever ‘Increasing Income’ feature in its ICICI Pru Guaranteed Pension Plan Flexi, the company said in a statement.
This innovative addition ensures retirees receive a 5% annual increase in their annuity pay-out, helping them stay ahead of inflation and maintain their standard of living throughout retirement. The move marks a significant step forward in providing financial security for retirees in an evolving economic landscape.
ICICI Pru Guaranteed Pension Plan Flexi with the ‘Increasing Income’ feature can enable customers to maintain their standard of living as inflation reduces their purchasing power over time.
Amit Palta, Chief Product and Distribution Officer, ICICI Prudential Life Insurance, said, “Annuity products are designed to provide a guaranteed permanent income to retired individuals. We recognise that inflation impacts the standard of living of individuals, especially retirees who don’t get the benefit of a periodic hike in salary. To address this challenge, we have introduced the ‘Increasing Income’ feature.”
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Regular premium payment annuity product
This is the first-of-its-kind feature in the industry being offered in our regular premium payment annuity product – ICICI Pru Guaranteed Pension Plan Flexi, Palta added.
The introduction of the ‘Increasing Income’ feature exemplifies our approach in delivering enhanced experience to customers by equipping them with the essential resources to navigate their financial journey with confidence, he said.
Palta, further added, “we designed ICICI Pru Guaranteed Pension Plan Flexi to enable a broader segment of the country’s population to plan for retirement in advance giving them the flexibility to make wallet-friendly contributions over the long-term to build their desired retirement corpus.”
Permanent guaranteed income for life
As India continues its transition to becoming a developed economy, the interest rates are expected to fall, according to Palta. “We believe, the current high-interest rate regime provides an excellent opportunity for customers to purchase an annuity product and lock-in the rate of interest and receive permanent guaranteed income for life.”
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Palta said, “We are committed to innovating across products and processes to deliver the right product to the right customer at the right price and through the right channel and enhance customer experience.
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