Cim Life's Linked Pension Plan is a unit-linked pension plan through which a person contributes to an individual fund. That fund is then invested on his behalf. The pension fund is a means of transferring the current income stream towards the retirement income. Premiums can be paid at monthly intervals throughout the duration of the policy or through a single premium. Premium contributions to the fund can be increased by 5%, 8%, 10%, 12% or 15% each year.

Benefits for policyholders
	The entire benefit can be paid as monthly pension for life, or as a lump sum where up to 25% per cent of the fund can be paid at retirement and the remaining fund is paid as annuity
	The policyholder has a basic choice of funds depending on his/her risk appetite

Payment options available at retirement
	Joint life pension - an annuity is paid to the last surviving beneficiary
	Increasing annuity - the annuity paid is increased by a predetermined percentage each year
	Guaranteed minimum pension - pension is paid for a minimum guaranteed period (usually 5 years)

Tax treatment of pension plans
	Pension benefits are taxed as income
	The retirement lump sum is tax free up to Rs 1,500,000