Sri Lanka’s Janashakthi Insurance launches pension product

Feb 06, 2013 (LBO) – Janashakthi Insurance has launched a pension market with a retirement product, as the island’s population ages rapidly, officials said.

The money will be locked in for a minimum of 5 years.

“Or you can tailor this policy for a variety of needs other than retirement, such as education needs of children,” Schaffter said.

He said the firm was also working on a plan to eventually incorporation health insurance into the plan.

Update II Janashakthi Insurance deputy chairman Chandra Schaffter said only 5 percent of the population had retirement cover at a time when the island’s over 65 population was expanding rapidly.

“More and more people are living longer than we expected and they are becoming a burden on the state or working population,” Schaffter told reporters in Colombo.

“One problem is dying too young; the other is living too long. So retirement planning is very important today.”

The ‘Janashakthi LifeSaver’ branded retirement plan could be purchased by anyone at any age. Even at 75 a policy could be started with a lump sum premium, he said.

The policyholder can decide on a pension plan