Varishtha Pension Bima Yojana 2017
The Old Age Pension Scheme launched by Prime Minister Narendra Modi is an essential scheme for the old people of the country. Senior citizens will get a lot of benefits from this Old Age Pension Scheme. The scheme isn’t launched up till now, but once it gets effective it shall benefit a lot of people.
The Cabinet has approved the Varishtha Pension Bima Yojana 2017 to provide a guaranteed minimum interest rate to senior citizens. Prime Minister Narendra Modi addressed the launch of Old Age Pension Scheme on New Year Eve 2017 and now the scheme got the approval from the cabinet.
Important features of the scheme
- The Old Age Pension Scheme is implemented by LIC (Life Insurance Corporation of India) for current fiscal year, however, the launch of Varishtha Pension Bima Yojana 2017 has not been declared yet.
- From the launch date, the scheme will be opened for the subscription period of one year.
- The scheme will provide income security to old persons aged 60 years and above against uncertain market falls.
- The Old Age Pension Scheme will provide a secure pension based on a guaranteed interest rate of 8% for 10 years.
- The scheme will come up with an option of monthly/quarterly/half-yearly or annual basis benefits so that the recipients can choose any of the options under Varishtha Pension Bima Yojana 2017.
- The maximum amount of deposit under Varishtha Pension Bima Yojana 2017 has not been mentioned.
- PM had addressed in his New Year Eve speech that up to Rs. 7.5 lac could be invested in Varishtha Pension Bima Yojana 2017
How will the scheme work?
The differential returns of Varishtha Pension Bima Yojana 2017 would be paid to LIC by the Indian government and this process of distributing returns is different from the returns made by the insurer. This process guaranteed a return of 8 percent, as a subsidy on an annual basis.
The first old age pension scheme of Varishtha Pension Bima Yojana was introduced by the government in July 2003 and the withdrawn in August 2004. The scheme was offered with an effective yield of 9% per annum on the investment. Later, the scheme was again launched in August 2014 to August 2015.
The scheme ensures that the senior citizens of India get proper treatment and benefits in their old age. The complete information about the Varishtha Pension Bima Yojana 2017 would be available once the scheme is launched.