HomePensionNew Pension SystemEmpanelment of Annuity Service Providers (ASPs) for National Pension System (NPS)

Empanelment of Annuity Service Providers (ASPs) for National Pension System (NPS)

Empanelment of Annuity Service Providers (ASPs) for National Pension System (NPS) for providing annuity services to the subscribers of National Pension System

04th May, 2012

Subscribers to the National Pension System (NPS) will now have a choice of Annuity Service Providers, from whom they can choose their annuity schemes on their exit from NPS on attainment of 60 years of age. Pension Fund Regulatory and Development Authority (PFRDA) has empaneled the following six IRDA approved life insurance companies for providing annuity services to the subscribers of National Pension System (NPS).

1. Life Insurance Corporation of India
2. SBI Life Insurance Co. Ltd.
3. ICICI Prudential Life Insurance Co. Ltd.
4. Bajaj Allianz Life Insurance Co. Ltd.
5. Star Union Dai-ichi Life Insurance Co. Ltd.
6. Reliance Life Insurance Co. Ltd.

2. It may be mentioned that under the provisions of NPS, a maximum of 60% of
corpus accumulated at the time of exit, normally on the attainment of 60 years
of age, can be withdrawn but a minimum of 40% corpus has to be utilized for
purchasing an annuity from one of the empanelled annuity service providers.
Subscriber can choose from any of the six above mentioned annuity service
providers and can also make their choice of the annuity scheme from amongst
the schemes being offered by these providers.

3. With the above empanelment, PFRDA has taken an important step towards
providing an exit route to the subscribers.

Sd/
Venkateswarlu Peri
General Manager

Original Copy

http://pfrda.org.in/writereaddata/eventimages/Empanelment%20of%20ASP4965489478.pdf

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1 COMMENT

  1. The follwing calculation on based on 8% interest only. However many banks are giving even interest more than 10%
    IF you open saving account in SBI and pay Rs.100 / year ,you will Personal Accident Insurance policy for any accident loss of life Rs 4,00,000.00 and Rs. 250 / year you will be Personal Accident Insurance policy for any accident loss of life Rs 10,00,000.00
    Rank by
    UN member
    state Rank by
    entity Entity Overall life expectancy at birth
    In years Male life expectancy at birth Female life expectancy at birth
    115 146 India
    69.89 67.46 72.61
    This indicates that at the edge of 69.89 in INDIA no one is dying due to natural death

    This indicates that at the due to accident 4.89% per million in INDIA is dying due to various types of event of death.

    Base amount: 40,260.00, Interest Rate: 8% ,Calculation period: 20 years
    IF YOU PAY EARLY RS. 40,260.00 WITH 8% INTEREST IN THE BANK ,YOU WILL GET MINIUM Rs 21,08,878.00
    And if you continue to keeping Rs 21,08,878.00 in the bank with 8% interest you will get Rs 14,060.00 per month.
    Year Year Deposits Year Interest Total Deposits Total Interest Balance

    1 40,260.00 4,944.09 80,510.00 4,944.09 85,454.09
    2 40,260.00 8,560.42 120,770.00 13,504.51 134,274.51
    3 40,260.00 12,466.05 161,030.00 25,970.55 187,000.55
    4 40,260.00 16,684.13 201,290.00 42,654.69 243,944.69
    5 40,260.00 21,239.66 241,550.00 63,894.35 305,444.35
    6 40,260.00 26,159.64 281,810.00 90,053.99 371,863.99
    7 40,260.00 31,473.21 322,070.00 121,527.20 443,597.20
    8 40,260.00 37,211.87 362,330.00 158,739.06 521,069.06
    9 40,260.00 43,409.61 402,590.00 202,148.68 604,738.68
    10 40,260.00 50,103.18 442,850.00 252,251.86 695,101.86
    11 40,260.00 57,332.24 483,110.00 309,584.10 792,694.10
    12 40,260.00 65,139.62 523,370.00 374,723.72 898,093.72
    13 40,260.00 73,571.59 563,630.00 448,295.30 1,011,925.30
    14 40,260.00 82,678.11 603,890.00 530,973.42 1,134,863.42
    15 40,260.00 92,513.16 644,150.00 623,486.58 1,267,636.58
    16 40,260.00 103,135.02 684,410.00 726,621.59 1,411,031.59
    17 40,260.00 114,606.62 724,670.00 841,228.21 1,565,898.21
    18 40,260.00 126,995.95 764,930.00 968,224.16 1,733,154.16
    19 40,260.00 140,376.42 805,190.00 1,108,600.58 1,913,790.58
    20 40,260.00 154,827.34 845,450.00 1,263,427.91 2,108,877.91
    ________________________________________
    Base amount: 40,250.00 ,Interest Rate: 8% ,Calculation period: 20 years

    Month Month Deposits Month Interest Total Deposits Total Interest Balance

    1 0.00 14,059.19 2,108,878.00 14,059.19 2,122,937.19

    ________________________________________
    Base amount: 2,108,878.00 ,Interest Rate: 8% ,Calculation period: 1 month

    Comparison with any LIC Pension Plan and Bank FDS ,
    A) ICICI-PRU, HDFC- Standard Life
    Estimated Monthly Pension. 13,486 13,567 14,729
    Estimated Monthly in FD with Bank you will get. Per month.
    14,060 14,060 14,060
    100% of the annuity payable : Rs.8,09,960.00 Rs. 9,03,160.00 Rs, 8,38,400.00
    By LIC,ICCI PRO and HDFC bank
    B )IF you continue investments in Banks with fixed deposits and open SBI account with 250rs / year
    And 40260=00 per year in FDS
    your family will get Rs. 21,08,878.00 in case of your depth or if you continue
    Rs. 14,060 per month with Rs. 21,08,878.00 and insurance cover of Rs. 10,00,000=00

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