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LIC launches superannuation scheme for employers

Life Insurance Corporation of India announced the launch of Superannuation plan called Group Superannuation Cash Accumulation Plan. This plan is well-matched for employers

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Last Updated - May 16, 2023
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Life Insurance Corporation of India announced the launch of Superannuation plan called Group Superannuation Cash Accumulation Plan. This plan is well-matched for employers having defined contribution and definite benefit superannuation scheme for their employees.
This conventional group plan, which is a employer – employee group plan can also be offered for Government sponsored Social security scheme.
The salient feature of this plan is as under:

This plan offers 3 type of interest benefit
Guaranteed minimum floor rate throughout the policy term
Additional interest is declared in advance before the start of the quarter
Enduring benefit (if any) payable after 5th year and every year thereafter
This plan provides for an option of making contribution by employees also
This plan also offers flexible funding options to the employers / trust

Under this plan, the contribution made by the employers / trustees will be credited to the policy account maintained in the name of the company / trust. Also in case of defined contribution scheme, person wise policy account can also be kept.

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