Partial Withdrawal from NPS allowed for COVID-19 related illness

Govt allows partial withdrawal from NPS fund for COVID-19 related illness by subscribers who apply with proper medical certificate and prescribed application

PENSION FUND REGULATORY
AND DEVELOPMENT AUTHORITY
B-14/A, Chhatrapati Shivaji Bhawan,
Qutab Institutional Area,
Katwaria Sarai, New Delhi-110016

Circular

Circular No. PFRDA/2020/7/REG-EXIT/1.

Date:09.04.2020

To,

All Stakeholders and subscribers under National Pension System (NPS).

SUBJECT: Permission of Partial withdrawals towards treatment of specified  illnesses.

In continuation of the circular no. PFRDA/2018/47/Reg-Exit/4 dated 24.05.2018, issued on the applicability & handling of partial withdrawals, Authority is issuing this circular referring the terms of sub-regulation 8(1)(A)(d)(xv) of PFRDA(Exits and withdrawals under NPS) Regulations, 2015 and amendments thereunder, prescribes that-

(a). In view of the decision of Government of India, which has declared COVID-19 as a pandemic, It has been decided to declare “COVID-19” as a critical illness which is life threatening in nature.

Hence, in view of the above, the partial withdrawals shall be permitted to fulfil financial needs of the subscribers, if required to him/her against the request placed for partial withdrawals towards treatment of illness of subscriber, his legally  wedded spouse, children, including a legally adopted child or dependent parents as mentioned in regulation 8(1)(A)(d) of the said regulations.

(b). The other terms and conditions as prescribed under regulation 8 of the PFRDA(Exits and withdrawals under NPS) Regulations, 2015 and amendments thereto shall continue to be applicable regarding defining of  limits and frequencies.

(c). Documentation

The Nodal Office/PoPs/Aggregators would ensure that the subscriber has provided the following document before authorising partial withdrawals.-

(1).  Medical Certificate

(2). Formal request for partial withdrawal.

-s/d-
Vikas Kumar Singh
General Manager

Read / Download Circular No. PFRDA/2020/7/REG-EXIT/1 dated 09.04.2020

FAQ on partial withdrawal from NPS