HDFC Life CFO: Indians must adapt retirement plans for longer lives

• Rising life expectancy (71 years), nuclear families, and a growing savings gap necessitate a rethink of retirement planning in India.
• HDFC Life's CFO, Niraj Shah, highlights the need for structured retirement planning to ensure stable income and protection against health costs and outliving savings.
• Insurance-based retirement products offer various options (guaranteed, hybrid, market-linked) to address longevity risk and provide long-term income streams.
• Tax incentives are available for retirement products, including exemptions for pension plan withdrawals and NPS benefits under Sections 80CCD(1B) and 80CCD(2).
• Common pitfalls include underestimating needs (inflation, healthcare), delaying planning, and failing to diversify investments, emphasizing the need for periodic reviews.

Why It Matters: Indians face a critical need to secure their financial future in retirement.