The Hindu : Pension plan from AMP Sanmar

Online edition of India's National Newspaper
Thursday, Feb 27, 2003

Business

Business

Pension plan from AMP Sanmar

By Our Corporate Reporter

CHENNAI FEB. 26. AMP Sanmar Assurance Co. Ltd. has come out with a pension scheme offering many options.

Introducing the product `Bhagya Shree', S. V. Mony, CEO, AMP Sanmar, told presspersons here today that the interactions with customers revealed that they wanted options and flexibility in their pension plans. Keeping that in mind the product was structured.

The scheme was designed with built-in options such as flexible contributions with flexible top ups, two risk cover options, two choices in investment plan with switch facility, exit options and also the flexibility to choose the annuity provider.

Mr. Mony said the scheme also offered add-on riders for accidental death and disablement benefit. Another feature was the option to go in for early vesting period. Subject to a policy period of five years and a vesting age of 45 years, the customer could choose to advance the accumulation period from the earlier chosen period. At the time of vesting (the time marked as retirement time in the plan), the customer could choose to take back up to 40 per cent of the accumulated sum and use the balance to purchase the annuity.

The life cover has two options. Under the fixed risk cover the total death cover benefit would be increasing. Under decreasing risk cover the death cover would be decreasing so that the total death benefit was kept to the minimum sum leading to faster accumulation towards the pension fund.

S. Balachander, Head (marketing), observed that a notable benefit was the low administration charge at 10 per cent for the first year and 5 per cent for every subsequent year. At the end of accumulation period also, the customer had the option of purchasing the annuity from AMP Sanmar or from any other annuity provider, subject to the rules and regulations prevailing at that time. The company has distribution alliances with Karvy group, Shriram group, Dhandapani & Company and Trade Wings.

Printer friendly page
Send this article to Friends by E-Mail

Business