The scheme which can be offered by an employer to their employees. The scheme helps in building a substantial retirement fund thus offering a secured regular income flow after retirement. Two options are available under this scheme, Defined Benefit and Defined Contribution. The scheme provides for the contribution either from Employer (non Contributory) or from both the Employer and Employees (Contributory).

The benefits to the members are defined by the scheme rules. Actuarial Valuation will be carried out to decide on the contribution required to achieve the benefit level. An initial contribution to cover past service benefits and a regular contribution in respect of future service benefit may be paid. A single pool account will be maintained for each group to meet the benefit payout.

The contribution in respect of each member is fixed as per the scheme rules. A fixed contribution or a percentage of the salary of the member, which may not exceed 27% of the member’s salary (including employer’s contribution for P.F.) may be paid.

The past service contribution can be paid in respect of the members covered under the Scheme. This past contribution can be made in easy installments (subject to maximum of 5 installments). An individual account will be maintained for each member of the group.

1. The deposited contributions are invested in a specific fund floated by the Company for this plan. The investment pattern of the fund is governed by the IRDA regulation on the controlled fund. At the end of each financial year, the Company shall credit the investment returns to the pool account/individual account. The minimum investment return in any financial year is guaranteed to be minimum of 0% per annum.
2.  The Investment Return and the scheme administration fee shall be applied proportionately, for a fraction of a year, to any increase in the Pool account/individual account value, in case the Policy Commencement Date falls during the financial year or any contribution has been paid during the financial year