The Insurance Regulatory and Development Authority on 13th September 2022, has eased the requirement of submitting separate proposal form for taking immediate annuity products from proceeds of National Pension Scheme(NPS).
Currently all insurance companies to offer immediate annuity products, collect proposal form from the NPS retirees. However, it has been observed that, Pension Fund Regulatory and Development Authority (PFRDA) is collecting exhaustive exit form from the NPS retirees which captures necessary details which insurance companies require in the proposal form.
Given the duplication and to facilitate ease of doing business and simple onboarding of NPS retirees for immediate annuity products, after due consultation with the industry, Irdai said the exit form submitted by NPS retiree must be considered as the proposal form for offering the immediate annuity product by the insurance companies.
In order to facilitate ease of living for all senior citizens who are receiving annuity payments the current framework of Aadhar based authentication for life verification certification such as Jeevan Praman, a Govt. of India initiative on biometric enabled digital service for pensioners, to be adopted.
