with an intention of investment and upon some pressure from ICICI.
Insurance is for risk cover and not for investment. Second it's a pension plan and none of the pension plan is only designed for 3 or 5 years. Why you gave cheque to ICICI? Even if somebody asked you to give cheque, you had 15 days free look period to read the policy and revise your decision.

But befre paying 3rd instalment I realized that I forego 1st instalment if I cancel with 3 or 5 years.
If you check the ICICI Life Stage Assure Pension brochure, Page 5, Premium Allocation Charge: First year's premium goes towards providing Guaranteed Maturity Additions and will not be allocated to the unit fund. Second year onwards premium allocation charges will be deducted from the premium amount at the time of premium payment & the balance amount would be used for allocation of units.
Surrender Charges:
Surrender of the policy the fund value will be returned to the customer, however; no Guaranteed Maturity Addition will be paid in case of a surrender.


So what ICICI guys are saying is as per policy.