In short (tl;dr)
Jeevan Akshay-VII is LIC's immediate annuity. You pay a single purchase price and the pension starts straight away, at a rate locked for life on the day you buy.
About LIC Jeevan Akshay-VII
Jeevan Akshay-VII (Plan 857) converts capital into income. You pay a single purchase price, choose one of ten annuity options, and the pension begins immediately — after one year for the yearly mode, one month for the monthly mode. The rate is fixed for life at purchase, so a fall in interest rates later cannot reduce your pension.
The options trade income against protection. Option A pays the most because it stops dead when you do. Options B to E guarantee payments for 5 to 20 years regardless. Option F returns your entire purchase price to your nominee on death, which is why it pays roughly 30% less than Option A. Options H, I and J extend the income to a surviving spouse.
There is no going back. Annuities cannot be surrendered except under the return-of-purchase-price options in defined circumstances, so the decision about which option to take is effectively permanent.
Key features
- Ten annuity options, from maximum income to full return of capital
- Annuity rate guaranteed for life at the date of purchase
- Minimum purchase price ₹1,00,000; no maximum
- Entry age 30 to 85 years
- Higher annuity rates for larger purchase prices, and for online purchase
Jeevan Akshay-VII at a glance
- Plan number
- 857
- Category
- Pension & Annuity
- Entry age
- 30 to 85 years
- Minimum purchase price
- ₹1,00,000
- Maximum maturity age
- 100 years
- UIN
- 512N337V07
We checked the plan number and UIN above against LIC's own page for this plan on 2026-09-02. Check it on licindia.in
Benefits under Jeevan Akshay-VII
Death benefit
Depends on the option. Options A, H and I pay nothing on death. Options B to E continue the annuity to the nominee for the balance of the guarantee period. Options F and J return the full purchase price.
Vesting
There is no maturity — the annuity continues for life.
Who it suits
A retiree who wants a floor of income they cannot outlive, and who values certainty over the flexibility of managing a portfolio.
What to watch out for
The annuity is level. Thirty years of even modest inflation will halve its real value, so most planners suggest annuitising only part of a retirement corpus. Annuity income is fully taxable as income from other sources.
How this calculator works
Jeevan Akshay-VII is priced here on its own parameters, not a generic formula. We build the plan's full cash-flow schedule — the death benefit in each policy year, every survival payout, and the maturity value — and discount it on a basis calibrated to a reference premium for this plan. That reference is checked two ways: against LIC's published tabular rate, and against the return the plan's own benefits imply for the policyholder.
- Reference premium
- Published annuity rates at age 60
- Discount basis
- 35.00% a year, on LIC (2012-14) Ultimate mortality
- GST
- Nil. Individual life insurance premiums have been exempt from GST since 22 September 2025, so the instalments shown are what you actually pay.
Bonus rates are declared annually and are not guaranteed; only the sum assured and any contractual guaranteed additions are. Read our editorial and methodology policyfor the full basis, and confirm every figure with LIC before you buy.
Check the source:Jeevan Akshay-VII on licindia.inLIC valuation and bonus declarationsIRDAI regulations
What this premium does not include
Jeevan Akshay-VII carries no optional riders, so the premium above is the whole premium. Some LIC plans let you bolt on accident, term or premium-waiver cover for an extra premium; this one does not.
Source: Jeevan Akshay-VII sales brochure (PDF), read in full.
LIC Jeevan Akshay-VII — frequently asked questions
How much pension will I get for ₹10 lakh in Jeevan Akshay-VII?
For a 60-year-old under Option A (annuity for life), roughly ₹92,000 a year, or about ₹7,400 a month. Option F, which returns the ₹10 lakh to your nominee, pays around ₹65,000 a year instead. Rates rise sharply with entry age. Use the calculator above for your exact age and option.
Which Jeevan Akshay option is best?
It depends on whether the capital needs to survive you. If you have no dependants and want maximum income, Option A. If you want your children to receive the capital back, Option F. If you have a spouse who would need the income to continue, Options H, I or J. There is no universally best option — only the one that matches your obligations.
Can I surrender a Jeevan Akshay-VII policy?
Only under the options that include return of purchase price (F and J), and only in the limited circumstances set out in the policy conditions, such as the diagnosis of a specified critical illness. Under the other options the annuity cannot be surrendered at all.
Is Jeevan Akshay-VII pension taxable?
Yes. Annuity payments are taxable as income from other sources at your slab rate. The purchase price may qualify for deduction under Section 80CCC in the year of payment under the old regime, up to the overall ₹1.5 lakh ceiling.
Does the Jeevan Akshay annuity increase over time?
Only under Option G, which increases the annuity by a simple 3% of the original amount every year. It starts about 23% lower than Option A and takes roughly a decade to overtake it.
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