NPS Annuity

At the time of exit from NPS, subscriber has to mandatorily re-invest portion of his / her accumulated corpus towards annuity purchase .

NPS annuity plans are pension plans offered by life insurance companies in which subscriber re-invests his NPS corpus to get regular income at periodic intervals for life. There are multiple Annuity Service Providers (ASPs) empanelled with PFRDA to offer these annuity plans to the subscribers based on their needs and requirements upon exit from NPS.

Some of the prominent annuity plans are listed below:

Annuity for life
Annuity for life with return of purchase price on death
Annuity for life with 100% annuity payable to spouse on death of annuitant
Annuity for life with 100% annuity payable to spouse on death of annuitant with return of purchase price
NPS Family Income / Default Annuity Scheme (applicable in case of Govt. NPS subscribers)

Subscribers may purchase multiple annuities from the same ASP if the amount to be utilised towards annuity purchase is more than ₹10 lakh, where minimum ₹5 lakh would be allocated for each annuity plan.

Pension Projector