ICICI Prudential Life Insurance conducted a study titled ‘Is India prepared for retirement?’ to understand people’s attitude towards retirement planning. A large number of individuals view retirement as a phase of maintenance, upgradation, and growth. Continuing with the current lifestyle into their retirement is the topmost priority, as indicated by 83% of respondents. Over three-fifths of the respondents indicated that their retirement goals include enjoying life, staying connected with friends, travelling abroad, feeling financially secure, and having peace of mind in this new chapter of their lives.
Over two-thirds of those surveyed have mentioned, they worry about inflation impacting their retirement savings, and their lifestyle. 67% of the respondents highlighted the need to have adequate retirement corpus to take care of medical expenses if stuck with a terminal illness during their retirement. The survey reveals that the respondents consider an average corpus of Rs 65.4 lakh as ideal for retirement.
To prepare for retirement, individuals are recognising the importance of products that are risk-free and offer guaranteed returns for life, such as annuity plans. The survey also revealed a high interest in investing in annuity plans among 65% of respondents who have not invested in annuity plans so far. The findings reveal that a set of individuals are well prepared to lead a financially independent retired life. They start investing for retirement even before they turn 40 and put aside an average of 17% of their income towards retirement. ICICI Prudential Life Insurance, in association with Quantum Consumer Solutions, surveyed over 1,100 individuals to understand the consumers’ attitudes toward retirement, money, and annuity plans.
