Pension plans are the favorite for many people as it allow getting a fixed amount of money after retirement just like receiving salary every month.
Pension plans are basically an extension of Endowment where on maturity, instead of paying you maturity amount it gets converted in to pension fund and based on the amount in the fund you will get pension till you survives and on death nominee would receive the fund.
A pension plan on the vesting provides with a option to take 1/3rd of amount from entire fund. For eg. In a pension policy of 25 year; on 25th year that is (vesting year) total amount in the policy is 5, 00,000 then one can withdraw 1/3rd amount from it and rest is converted to annuity and based on annuity amount once will get the pension, however one can also opt for not withdrawing 1/3rd amount and in such cases pension is based on original Rs. 5,00,000.
Like endowment plans if person dies in between then SA is paid to the nominee and policy gets terminated. There are many pension plans available which do not provides risk cover and in such cases only premium paid is paid to nominee.
Now a day’s pension plan comes in two flavors; Unit linked pension plan (ULIP pension plans) and the other one is traditional pension plan.
It entirely depends on your choice as you want to take a risk with your pension money or not. With Ulip pension plan you can create a large corpus even by investing small amount while for traditional plans; to build large pension fund you should make considerably higher investment. However most important part is to start early which helps in creating good pension fund even if you are not investing much.
Saturday, April 24, 2010
What are Child Insurance Policies
Child insurance plans are nothing but an extension of Endowment, Money Back and in many cases Ulip plans,
It is the Premium Waiver Benefit which makes them interesting, and a worth investing your money.
In normal Child Insurance plan,
1)One need to pay premium up to a fixed term.
2) If Proposer(In most cases parents) dies and if PWB is taken(In many policy it comes by default)all the future premium will be waived, and child will continue to get all the benefit stated in the policy.
3) If Child dies
a) Before commencement of risk, Premium paid is returned
b) After Commencement of risk, S.A + Bonus is paid to proposer.
Policy gets terminated.
For a child policy, normally risk commence after child completes 7 years or after 2 years of policy, whichever is later.
4) If every thing works fine, On Maturity Child will receive amount as stated in the Policy.
Like Money Back plans many child policies pay Periodic amount so parent can use this amount to fund educational and marriage expense of their child.
If you are looking for an instrument for making financial provision for your child, Child Insurance policies are definitely for you.
It is the Premium Waiver Benefit which makes them interesting, and a worth investing your money.
In normal Child Insurance plan,
1)One need to pay premium up to a fixed term.
2) If Proposer(In most cases parents) dies and if PWB is taken(In many policy it comes by default)all the future premium will be waived, and child will continue to get all the benefit stated in the policy.
3) If Child dies
a) Before commencement of risk, Premium paid is returned
b) After Commencement of risk, S.A + Bonus is paid to proposer.
Policy gets terminated.
For a child policy, normally risk commence after child completes 7 years or after 2 years of policy, whichever is later.
4) If every thing works fine, On Maturity Child will receive amount as stated in the Policy.
Like Money Back plans many child policies pay Periodic amount so parent can use this amount to fund educational and marriage expense of their child.
If you are looking for an instrument for making financial provision for your child, Child Insurance policies are definitely for you.
Friday, April 23, 2010
What are Endowment Plans
Endowment plans are one of the best way to save the money as well as provide financial security to your family.
In typical Endowment plan you need to pay premium till fixed term and at the maturity you will receive Sum Assured along with bonus.
1) If person dies in between the term.
Nominee will receives insured amount along with Bonus accumulated till date.
Policy gets terminated.
2) If person survives till the end of the term.
A maturity amount which typically is Sum Assured + Bonus accumulated till maturity is paid.
Normally the bonus amount is based on the performance of the insurer and hence it is variable, but there are policies which offer guaranteed bonuses.
As Endowment plans provide S.A and Bonus, it is costlier as compared to Term Insurance.
But at the same time it does not provides liquidity like Money Back plans and so are cheaper then Money Back Plan.
Endowment plans normally has very high surrender charges and if surrendered during the initial years one may end up loosing even invested money. Because of this endowment plan encourage long term investment which intern helps investor to accumulate huge amount at the end of term.
Depending on the insurance plans insurance companies provides loan facility to investor after completion of fixed years.
If you have long term financial goal, want to provide financial security to your family, want to create wealth by saving regularly with no risk on investment and want moderate return then Endowment policy is for you.
Advantage:
• Provide risk cover with moderate premium.
• Risk free return as money is generally invested in debt fund.
• Forced saving.
• Tax benefit on premium paid.
• Maturity amount tax free.
• Partial withdrawal facility after few years.
In typical Endowment plan you need to pay premium till fixed term and at the maturity you will receive Sum Assured along with bonus.
1) If person dies in between the term.
Nominee will receives insured amount along with Bonus accumulated till date.
Policy gets terminated.
2) If person survives till the end of the term.
A maturity amount which typically is Sum Assured + Bonus accumulated till maturity is paid.
Normally the bonus amount is based on the performance of the insurer and hence it is variable, but there are policies which offer guaranteed bonuses.
As Endowment plans provide S.A and Bonus, it is costlier as compared to Term Insurance.
But at the same time it does not provides liquidity like Money Back plans and so are cheaper then Money Back Plan.
Endowment plans normally has very high surrender charges and if surrendered during the initial years one may end up loosing even invested money. Because of this endowment plan encourage long term investment which intern helps investor to accumulate huge amount at the end of term.
Depending on the insurance plans insurance companies provides loan facility to investor after completion of fixed years.
If you have long term financial goal, want to provide financial security to your family, want to create wealth by saving regularly with no risk on investment and want moderate return then Endowment policy is for you.
Advantage:
• Provide risk cover with moderate premium.
• Risk free return as money is generally invested in debt fund.
• Forced saving.
• Tax benefit on premium paid.
• Maturity amount tax free.
• Partial withdrawal facility after few years.
What are ULIP !
ULIP stands for Unit linked insurance products.
They are the most happening products in the Indian insurance industry,
So what are ULIPS? And why they are so popular?
In simple words ULIPS are nothing but a mutual fund with insurance cover attached to it.
Because of the exposure to equity it beats all the traditional insurance plan in terms of returns. But in the same time unlike traditional insurance products they do not provide guaranteed return.
Entry Load of ULIPS is quite higher then Mutual Funds, and it is normally in range of 5% to 20% of investment.
Apart from Entry load,there are many others charges need to pay each year and because of these charge ULIPS are very costly for short term
ULIPS are better place to invest money if you have longer horizon of 10 years or more.
For every 100 Rs invested part of your money goes toward various charges which include insurance cover and rest is invested.
Investor (or say Policy Holder!) can choose fund depending on his risk taking capability.
The fund type would be Growth(With high risk, high return), Balanced(moderate risk, moderate return).
secured(Low risk, Low return), There might be more variety available depending upon insurers and type of ULIPS.
One can also switch between different funds and upto certain number of times in a year it is free.
Like MF, on investing money Investor will get Units based on current NAV.
Tuesday, April 6, 2010
BSLI Platinum Premier Plan(Highest Daily NAV over 7Years with life cover)
Presenting the Birla Sunlife Insurance Platinum Premier Plan, a unit linked insurance plan that gives your investments the advantage of the highest NAV with the flexibility to also manage your investments based on your risk appetite.
Choice of Investment Options
The plan offers you two options to invest your premium.
Guaranteed Option ensures that the premiums paid in the first three policy years will be automatically allocated to the Platinum Premier Fund.
You will be assigned the latest Platinum Premier Fund series when your policy is issued. We open new Platinum Premier Fund series from time to time and each series starts with a unit price of 10. For each series, the Guaranteed Unit Price is the highest daily unit price recorded during the first 7 years and 3 months since the series has opened.
Self-Managed Option gives you complete access to our range of investment funds with the freedom to switch between them, free of cost. In this investment option, you decide how to invest your premiums. We offer 10 investment funds ranging from 100% debt to 100% equity to suit your particular needs and risk appetite - Income Advantage, Assure, Protector, Builder, Enhancer, Creator, Magnifier, Maximiser, Multiplier and Super 20.
Loyalty Additions
To further enhance the value of your investments, you will also receive guaranteed loyalty additions at maturity equal to 5% of all policy premiums (excluding top-up premiums) paid during the tenure of the policy. This means that if all policy premiums are paid, you will receive 50% of the annual policy premium at the end of the policy term as additions to your investments.
Other Benefits
• Partial Withdrawals
After completion of 3 policy years, you have the freedom to undertake free unlimited partial withdrawals, subject to maintaining a minimum Fund Value equal to one annual premium plus any surrender charge or top-up premiums you have paid in the previous three years, whichever is higher. The minimum sum of withdrawal should be Rs. 5,000 and the minimum age of the life insured should be 18 years.
• Surrender Benefits
You have the flexibility of surrendering the policy if the need arises, anytime during the tenure of the policy. On surrender, you will receive the Fund Value (net of any surrender charge). There is no surrender charge once your policy completes five policy years. If you surrender the policy prior to the 3rd policy year, your surrender benefit will be kept constant and deferred for payment to the end of the 3rd policy year.
• Maturity Benefits
On maturity, you receive the fund value. Apart from this, under the Guaranteed Option, an amount equal to the number of units in the Platinum Premier Fund times the excess, if any, of Guaranteed Unit Price over the then prevailing unit price of this investment fund is paid.
• Death Benefit
The nominee will receive the higher of the fund value or the sum assured less applicable partial withdrawals, if any. Such withdrawals impact the Death Benefit as follows:
• For life insured under 60 years, Sum Assured is reduced by the partial withdrawals done in the last two years
• For life insured over 60 years, the Sum Assured is reduced by the partial withdrawals done after the age of 58
Plan Summary
Entry Age of Life Assured 8 to 70 years of age
Policy Term 10 years
Premium Paying Term 10 years
Annual Policy Premium Minimum Rs. 25,000 p.a. if paid annually
Minimum Rs. 30,000 p.a. if paid
monthly, quarterly or semi-annually
Sum Assured Minimum 5 x Annual Policy Premium
Monday, April 5, 2010
BSLI Immediate Income Plan
When you retire, your regular source of income stops, your expenses don’t. With increasing life expectancy and rising medical costs, the need to have an alternate income after retirement has become very important.
On retiring you would receive a lump sum amount from your employers like the Employee Provident Fund or other forms of savings that you have been doing. You require a financial planning tool that can allow you to club your other savings and these lump sum payouts which you can convert into a regular income plan.
Presenting the BSLI Immediate Income Plan that puts your savings into an annuity to give you a regular income in your retirement years.
BSLI Immediate Income Plan is a traditional, non-participating, single premium annuity plan with return of purchase price.
How does the Plan Work
Step 1: Decide the amount of premium (lump sum amount) you want to pay to purchase the annuity depending on the amount of regular income you wish to receive. This annuity payment is guaranteed for life and depends on the annuity rates prevailing at the time of the purchase of the annuity
Step 2: Choose your annuity payout options from monthly, quarterly, semi annual or annual modes.
Step 3: Choose how would like to receive your annuity from either post dated cheques or through direct credit to your bank account.
This plan is meant for you, if
1. Your age is at least 50 years and a maximum of 90 years
2. You are able to purchase the annuity such that you can get a regular income of Rs.1,000, Rs.3,000, Rs.6,000 or Rs.12,000 for monthly, quarterly, semi-annual and annual mode of annuity payment respectively. There is no maximum limit on the purchase price
Birla Sunlife Immediate Income Plan
1. Birla Sunlife Immediate Income plan gives you a guaranteed income over your
entire life
2. In case of unfortunate death of annuitant, 100% of the annuity purchase price
(i.e. single premium) will be paid to the nominee
3. This plan offers convenient annuity payout options - monthly, quarterly,
semi-annually and annually from date of purchase
4. You do not have to go through any medical tests to purchase this plan
5. You will be eligible for tax benefits under Section 80CCC of the Income Tax
Act, 1961
On retiring you would receive a lump sum amount from your employers like the Employee Provident Fund or other forms of savings that you have been doing. You require a financial planning tool that can allow you to club your other savings and these lump sum payouts which you can convert into a regular income plan.
Presenting the BSLI Immediate Income Plan that puts your savings into an annuity to give you a regular income in your retirement years.
BSLI Immediate Income Plan is a traditional, non-participating, single premium annuity plan with return of purchase price.
How does the Plan Work
Step 1: Decide the amount of premium (lump sum amount) you want to pay to purchase the annuity depending on the amount of regular income you wish to receive. This annuity payment is guaranteed for life and depends on the annuity rates prevailing at the time of the purchase of the annuity
Step 2: Choose your annuity payout options from monthly, quarterly, semi annual or annual modes.
Step 3: Choose how would like to receive your annuity from either post dated cheques or through direct credit to your bank account.
This plan is meant for you, if
1. Your age is at least 50 years and a maximum of 90 years
2. You are able to purchase the annuity such that you can get a regular income of Rs.1,000, Rs.3,000, Rs.6,000 or Rs.12,000 for monthly, quarterly, semi-annual and annual mode of annuity payment respectively. There is no maximum limit on the purchase price
Birla Sunlife Immediate Income Plan
1. Birla Sunlife Immediate Income plan gives you a guaranteed income over your
entire life
2. In case of unfortunate death of annuitant, 100% of the annuity purchase price
(i.e. single premium) will be paid to the nominee
3. This plan offers convenient annuity payout options - monthly, quarterly,
semi-annually and annually from date of purchase
4. You do not have to go through any medical tests to purchase this plan
5. You will be eligible for tax benefits under Section 80CCC of the Income Tax
Act, 1961
Sunday, April 4, 2010
BSLI Health Insurance Plan
Birla Sunlife Insurance being able to provide the best medical care is of great importance to all of us. Illnesses can strike at any time and paying for medical and hospitalization care from your savings can put a strain on your finances and can become a major source of worry. BSLI's Health Plan allows you to spend time cheering up your loved ones and not worry about paying for the best care.
Birla Sunlife Insurance Health Plan is a 3 years Plan which guarantees you a health cover now and in the future also.
Guaranteed coverage till age 80 years
Birla Sunlife Insurance Health Plan gives you a guaranteed health cover till the age of 80 years. While you may have to undergo some medical tests when the policy is issued to you for the first time, subsequent renewal every three years are guaranteed without any medical tests. This plan can be renewed till you and your spouse is 78 years old and your children are 23 years old. Now you need not worry about paying your family's hospitalization bills.
Health Cover in addition to Mediclaim
Birla Sunlife Insurance Health Plan covers you in addition to any other health plan that you may have including mediclaim policies.
This means that you only have to submit the photocopies of your hospital bills to claim the benefits under the Birla Sunlife Insurance Universal Health Plan. With this plan you can now get a double cover benefit.
Tax benefit under section 80D
Annual Premiums up to Rs. 15,000 (Rs. 20,000 for senior citizens) are eligible for tax benefit.
And in case you are buying this plan to cover your parents your premiums are eligible for an additional tax benefit of Rs. 15,000 (Rs. 20,000 for senior citizens).
Key benefits of the plan
Hospitalization Benefit
In case of hospitalization of any of the family member, this plan provides
you with a per day hospitalization expense and ICU allowance.
Surgical Benefits
The plan provides a comprehensive surgical cover for a number of surgeries.
These are fixed benefits and not linked to your actual expenses.
Plan Summary
Age at entry Self, Spouse and Parents - 18 years to 65 years, Children - 3 months
to 17 years
Maximum coverage age Self, Spouse and Parents - 80 years Children - 25 years
Family members eligible for cover Self, Spouse and 3 dependent children or Parents
Policy Tenure 3 years
Premium Payment Term 3 years regular premium payment with guaranteed insurability at the end of every policy term
Minimum & Maximum Premium Depends on age and gender
Network Hospitals with Cashless Facility 5300 PLUS network hospitals that provide cashless facility
Medical Second Opinion Free medical second opinion from world's leading second opinion provider
BSLI Titanium Plus Plan
Birla Sunlife Insurance Titanium Plus plan is the solution for you. Through this plan you can safeguard your investment from market fluctuations and enjoy complete freedom to manage your investments.
CHOICE OF INVESTMENT OPTIONS
The plan offers you two options to invest your premium.
Self-Managed Option gives you complete access to our range of investment funds with the freedom to switch between them, free of cost. In this investment option, you decide how to invest your premiums. We offer 10 investment funds ranging from 100% debt to 100% equity to suit your particular needs and risk appetite – Income Advantage, Assure, Protector, Builder, Enhancer, Creator, Magnifier, Maximiser, Multiplier and Super 20.
Guaranteed Option ensures that the premiums paid in the first three policy years will be automatically allocated to the Titanium fund.
BSLI TITANIUM FUND
Titanium Fund , is the new generation investment fund from BSLI that helps you optimise your equity participation at reduced risks.
Your premiums for the first three years, net of charges, are invested in the latest available Titanium Fund. Every three months, a new Titanium fund is launched. The fund is launched at a base price of Rs 10, and is open for subscription for three months. The highest unit price recorded in this period is called the Guaranteed Unit Price. All subsequent premiums from fourth year onwards will be invested in your chosen funds in the Self-Managed Option.
On completion of five policy years, units in the Titanium fund are redeemed at the higher of the then prevailing unit price and Guaranteed Unit Price. The redemption proceeds can be either reinvested in the latest available Titanium fund or in the Self Managed Option .
Please note that you retain the flexibility to redirect your future premiums even within the first three years to any other fund than the Titanium Fund. You have to simply send your request and your future premiums will be allocated to the funds of your choice in the Self-Managed Option. Please note that this decision cannot be reversed.
Guaranteed Unit Protection Non-Guaranteed Unit Appreciation
On 5th Anniversary GUP of at least 10 any unit appreciation in first 5
years
At Maturity GUP + any unit appreciation any unit appreciation in last 5
in first 5 years Years
OTHER BENEFITS
Partial withdrawals : After completion of 3 policy years, you have the freedom to undertake free unlimited partial withdrawals, subject to maintaining a minimum Fund Value equal to one annual premium plus any surrender charge or top-up premiums you have paid in the previous three years, whichever is higher. The minimum sum of withdrawal should be Rs. 5,000.
Loyalty additions : You are entitled to receive guaranteed loyalty additions at the end of the 5th policy year and again at maturity. The loyalty addition is 3% of all policy premiums (excluding top-up premiums) paid in the previous 5 years.
Maturity benefits : On maturity, you receive the fund value. Apart from this, under the Guaranteed Option, an amount equal to the number of units in the Titanium Fund times the excess, if any, of Guaranteed Unit Price over the then prevailing unit price of this investment fund is paid.
Death benefit : The nominee will receive the higher of the fund value or the sum assured less applicable partial withdrawals, if any.
Plan Summary
Entry Age 8 to 70 years of age
Policy Term 10 years
Premium Paying Term 10 years
Premium Paying Frequency Annually, Semi-annually, Quarterly or Monthly
Annual Premium Minimum Rs. 25,000 p.a. if paid annually
Minimum Rs. 30,000 p.a. if paid monthly, quarterly
or semi-annually
Tax Benefit Section 80C and Section 10(10D) of the Income Tax
Act. 1961.
CHOICE OF INVESTMENT OPTIONS
The plan offers you two options to invest your premium.
Self-Managed Option gives you complete access to our range of investment funds with the freedom to switch between them, free of cost. In this investment option, you decide how to invest your premiums. We offer 10 investment funds ranging from 100% debt to 100% equity to suit your particular needs and risk appetite – Income Advantage, Assure, Protector, Builder, Enhancer, Creator, Magnifier, Maximiser, Multiplier and Super 20.
Guaranteed Option ensures that the premiums paid in the first three policy years will be automatically allocated to the Titanium fund.
BSLI TITANIUM FUND
Titanium Fund , is the new generation investment fund from BSLI that helps you optimise your equity participation at reduced risks.
Your premiums for the first three years, net of charges, are invested in the latest available Titanium Fund. Every three months, a new Titanium fund is launched. The fund is launched at a base price of Rs 10, and is open for subscription for three months. The highest unit price recorded in this period is called the Guaranteed Unit Price. All subsequent premiums from fourth year onwards will be invested in your chosen funds in the Self-Managed Option.
On completion of five policy years, units in the Titanium fund are redeemed at the higher of the then prevailing unit price and Guaranteed Unit Price. The redemption proceeds can be either reinvested in the latest available Titanium fund or in the Self Managed Option .
Please note that you retain the flexibility to redirect your future premiums even within the first three years to any other fund than the Titanium Fund. You have to simply send your request and your future premiums will be allocated to the funds of your choice in the Self-Managed Option. Please note that this decision cannot be reversed.
Guaranteed Unit Protection Non-Guaranteed Unit Appreciation
On 5th Anniversary GUP of at least 10 any unit appreciation in first 5
years
At Maturity GUP + any unit appreciation any unit appreciation in last 5
in first 5 years Years
OTHER BENEFITS
Partial withdrawals : After completion of 3 policy years, you have the freedom to undertake free unlimited partial withdrawals, subject to maintaining a minimum Fund Value equal to one annual premium plus any surrender charge or top-up premiums you have paid in the previous three years, whichever is higher. The minimum sum of withdrawal should be Rs. 5,000.
Loyalty additions : You are entitled to receive guaranteed loyalty additions at the end of the 5th policy year and again at maturity. The loyalty addition is 3% of all policy premiums (excluding top-up premiums) paid in the previous 5 years.
Maturity benefits : On maturity, you receive the fund value. Apart from this, under the Guaranteed Option, an amount equal to the number of units in the Titanium Fund times the excess, if any, of Guaranteed Unit Price over the then prevailing unit price of this investment fund is paid.
Death benefit : The nominee will receive the higher of the fund value or the sum assured less applicable partial withdrawals, if any.
Plan Summary
Entry Age 8 to 70 years of age
Policy Term 10 years
Premium Paying Term 10 years
Premium Paying Frequency Annually, Semi-annually, Quarterly or Monthly
Annual Premium Minimum Rs. 25,000 p.a. if paid annually
Minimum Rs. 30,000 p.a. if paid monthly, quarterly
or semi-annually
Tax Benefit Section 80C and Section 10(10D) of the Income Tax
Act. 1961.
BSLI Saral Children’s Plan
Birla Sunlife Insurance Saral Children’s Plan, a solution that combines the best benefits into a single plan. A plan that gives a guaranteed amount on maturity and keeps the policy alive in the unfortunate event of the parent’s death, ensuring that your child’s future is secure.
A Simple buying process without medical tests
You do not have to go through the hassle of medical tests for buying this plan. All you have to do is fill up an application form, choose your savings premium, premium paying term and policy term and a suitable investment option.
Continuation of policy even after your death
This plan completely secures your child’s future. In the unfortunate event of the parent’s death,
Your child will receive an amount equal to the Sum assured
All future premiums continue to be paid by BSLI and your child receives the Fund Value at the end of the policy term
Investment options to suit your needs
BSLI Saral Children’s plan gives you an opportunity to invest depending on your risk appetite. You have two investment options to choose from – LifeCycle Option and Guaranteed Option.
In the LifeCycle option, we manage your investments over the term of the policy to suit your age and risk profile. This frees you from having to manage your investment.
If you choose the Guaranteed Option, you stand to receive a guaranteed amount on maturity based on the number of premiums you pay, pay term and policy term of your choice. You only require to pay a nominal additional premium to provide this extra protection to your savings. Please refer to the brochure for details.
Enhanced returns at maturity through Guaranteed Additions
Your fund value is increased at the end of the policy term by means of Guaranteed Additions. Thus you will receive an amount in addition to your fund value at maturity.
Your Guaranteed Addition amount depends on your policy premium and the combination of premium paying term and policy term you choose. The Guaranteed Additions are applicable only if you have paid all your premiums.
Tax Benefit
You enjoy tax benefits under Section 80C and 10(10D) of the Income Tax Act, 1961 under this plan.
Plan Summary
Your Age at Entry 18 to 50 years
Premium paying term and Policy term combinations ( referred as pay/term)
Your three options are : 10 pay/ 10 term, 10 pay/20 term and 20 pay/20 term
Your Child’s age at entry
• Children upto the age of 21 years .
• The 10 pay/10 term option is not applicable where the child is below 8 years
Savings Premium Rs. 10,000 or more annually
Sum Assured 6 times of annual savings premium
Investment Options LifeCycle Option: Your premiums will be invested between
Maximiser (100% equity) and Income Advantage (100% debt) in
a predetermined proportion based your risk profile and age
at the time of investment
Guaranteed Option: Your money will be solely invested in the investment fund
Enhancer
Please refer to brochure for details on funds Maturity
benefit You will receive the Fund Value plus Guaranteed
Addition. In case of Guaranteed Option, you receive higher
of Guaranteed Maturity Benefit and Fund Value ,plus
Guaranteed Addition
Saturday, April 3, 2010
BSLI Saral Wealth Plan
BSLI Saral Wealth Plan, an insurance plan that provides you the benefits of insurance without any medical tests, offers you extra protection for your loved ones and an option to enjoy Guaranteed Maturity Benefits. A Simple buying process without medical tests You do not have to go through the hassle of medical tests for buying this plan. All you have to do is fill up an application form, choose your savings premium, premium paying term and policy term and a suitable investment option. Investment options to suit your needs BSLI Saral Wealth plan gives you an opportunity to invest depending on your risk appetite. You have to two investment options to choose from – LifeCycle Option and Guaranteed Option.
In the LifeCycle option, we manage your investments over the term of the policy to suit your age and risk profile. This frees you from having to manage your investment.
If you choose the Guaranteed Option, you stand to receive a guaranteed amount on maturity based on the number of premiums you pay, pay term and policy term of your choice. You only require to pay a nominal additional premium to provide this extra protection to your savings. Please refer to the brochure for details.
Enhanced returns at maturity through Guaranteed Additions Your fund value is increased at the end of the policy term by means of Guarenteed Additions. Thus you will receive an amount in addition to your fund value at maturity.
Your Guaranteed Addition amount depends on your policy premium and the combination of premium paying term and the policy term you choose. The Guaranteed Additions are applicable only if you have paid all your premiums. Tax Benefit You enjoy tax benefits under Section 80C and 10(10D) of the Income Tax Act, 1961 under this plan.
Plan Summary
Entry Age 18 to 55 years
Savings Premium Rs. 10,000 or more annually
Sum Assured 6 times of annual savings premium
Premium paying term and Policy term combinations ( refered as pay/term)
Your three options are : 10 pay/ 10 term, 10 pay/20 term and 20 pay/20 term
Investment Options
LifeCycle Option: Your premiums will be invested between Maximiser (100% equity) and Income Advantage (100% debt) in a predetermined proportion based your risk profile and age at the time of invetsment
Guaranteed Option: Your money will be solely invested in the investment fund Enhancer
Please refer to brochure for details on funds
Maturity Benefit
You will receive the Fund Value plus Guaranteed Addition. In case of Guaranteed Option, you receive higher of Guaranteed Maturity Benefit and Fund Value, plus Guaranteed Addition
In the LifeCycle option, we manage your investments over the term of the policy to suit your age and risk profile. This frees you from having to manage your investment.
If you choose the Guaranteed Option, you stand to receive a guaranteed amount on maturity based on the number of premiums you pay, pay term and policy term of your choice. You only require to pay a nominal additional premium to provide this extra protection to your savings. Please refer to the brochure for details.
Enhanced returns at maturity through Guaranteed Additions Your fund value is increased at the end of the policy term by means of Guarenteed Additions. Thus you will receive an amount in addition to your fund value at maturity.
Your Guaranteed Addition amount depends on your policy premium and the combination of premium paying term and the policy term you choose. The Guaranteed Additions are applicable only if you have paid all your premiums. Tax Benefit You enjoy tax benefits under Section 80C and 10(10D) of the Income Tax Act, 1961 under this plan.
Plan Summary
Entry Age 18 to 55 years
Savings Premium Rs. 10,000 or more annually
Sum Assured 6 times of annual savings premium
Premium paying term and Policy term combinations ( refered as pay/term)
Your three options are : 10 pay/ 10 term, 10 pay/20 term and 20 pay/20 term
Investment Options
LifeCycle Option: Your premiums will be invested between Maximiser (100% equity) and Income Advantage (100% debt) in a predetermined proportion based your risk profile and age at the time of invetsment
Guaranteed Option: Your money will be solely invested in the investment fund Enhancer
Please refer to brochure for details on funds
Maturity Benefit
You will receive the Fund Value plus Guaranteed Addition. In case of Guaranteed Option, you receive higher of Guaranteed Maturity Benefit and Fund Value, plus Guaranteed Addition
BSLI Saral Health Plan
BSLI Saral Health Plan, a that covers hospitalisation expenses, surgical expenses, critical illness and routine health care expenses during your chosen Health Insurance Benefit term. And, Builds a fund for you to meet your health and medical expenses which you can use over your entire life.
A Simple buying process without medical tests
You do not have to go through the hassle of medical tests for buying this plan. All you have to do is fill up an application form, choose your pay term, your health insurance benefit term and any additional premium that you may choose to pay to enhance your health reimbursement benefit.
Cover for your regular medical expenses
The premium that you pay is used to create a fund which you can start using from the sixth year onwards to cover routine health and medical related expenses over your entire life. These would include your dental care, general practitioner fees and similar expenses. All you have to do is provide us a copy of the bills to get the amount reimbursed.
Enhanced savings through Guaranteed Additions
Your fund value is increase at the end of the health insurance benefit term by means of Guaranteed Additions, giving you an additional amount to meet your health care expenses.
Your Guaranteed Addition amount depends on your policy premium and the combination of premium paying term and health insurance benefit term you choose. The Guaranteed Additions are applicable only if you have paid all your premiums.
Cover for Hospitalisation Expenses and Critical Illness
In case of hospitalisation, you will receive a daily fixed cash benefit as below:. Rs. 2000 for hospitalisation without surgery, Rs. 4000 for hospitalisation involving surgery and Rs. 8000 for surgery related to brain, heart, liver or lungs
In case you are diagnosed with a Critical Illness, you will receive a lump sum equal to Rs. 20,000 times the policy year in which the critical illness has occurred.
Tax Benefit
You enjoy tax benefits under Section 80D of the Income Tax Act, 1961 under this plan.
Plan Summary
Your Age at Entry 18 to 50 years
Premium paying and Health Insurance benefit Term (referred as pay/ term) Three options to Choose from : 10 pay/ 10 term, 10 pay/20 term and 20 pay/20 term
Terminal Illness and Death Benefit If you are diagnosed with a terminal illness, you can claim full Fund Value, even without providing bills against it.
In case of unfortunate death, your nominee will receive the Fund Value.
Investment Option – LifeCycle Your premiums will be invested between Maximiser (100% equity) and Income Advantage (100% debt) in a predetermined proportion based your risk profile and age at the time of investment.
A Simple buying process without medical tests
You do not have to go through the hassle of medical tests for buying this plan. All you have to do is fill up an application form, choose your pay term, your health insurance benefit term and any additional premium that you may choose to pay to enhance your health reimbursement benefit.
Cover for your regular medical expenses
The premium that you pay is used to create a fund which you can start using from the sixth year onwards to cover routine health and medical related expenses over your entire life. These would include your dental care, general practitioner fees and similar expenses. All you have to do is provide us a copy of the bills to get the amount reimbursed.
Enhanced savings through Guaranteed Additions
Your fund value is increase at the end of the health insurance benefit term by means of Guaranteed Additions, giving you an additional amount to meet your health care expenses.
Your Guaranteed Addition amount depends on your policy premium and the combination of premium paying term and health insurance benefit term you choose. The Guaranteed Additions are applicable only if you have paid all your premiums.
Cover for Hospitalisation Expenses and Critical Illness
In case of hospitalisation, you will receive a daily fixed cash benefit as below:. Rs. 2000 for hospitalisation without surgery, Rs. 4000 for hospitalisation involving surgery and Rs. 8000 for surgery related to brain, heart, liver or lungs
In case you are diagnosed with a Critical Illness, you will receive a lump sum equal to Rs. 20,000 times the policy year in which the critical illness has occurred.
Tax Benefit
You enjoy tax benefits under Section 80D of the Income Tax Act, 1961 under this plan.
Plan Summary
Your Age at Entry 18 to 50 years
Premium paying and Health Insurance benefit Term (referred as pay/ term) Three options to Choose from : 10 pay/ 10 term, 10 pay/20 term and 20 pay/20 term
Terminal Illness and Death Benefit If you are diagnosed with a terminal illness, you can claim full Fund Value, even without providing bills against it.
In case of unfortunate death, your nominee will receive the Fund Value.
Investment Option – LifeCycle Your premiums will be invested between Maximiser (100% equity) and Income Advantage (100% debt) in a predetermined proportion based your risk profile and age at the time of investment.
BSLI Dream Retirement Plan
Through your working life you give your family the best and save for your retirement years. You wish to live your Golden Years in the same comfort and life style as before. Presenting BSLI Dream Retirement Plan, a plan that gives you the confidence and freedom to keep pace with the ever changing world of your dreams for your Golden Years.
The Guaranteed Savings Date
BSLI Dream Retirement Plan guarantees that you receive no less than the chosen Basic Sum Assured on the Guaranteed Savings Date.
Your Guaranteed Savings Fund will continue to grow at a minimum rate of 3% per annum less policy charges and less any partial withdrawals. All Basic Premiums, net of an investment guarantee charge, paid by you are invested in the Enhancer Fund.
Enhancing Your Benefits
You may wish to enhance your financial security by choosing Enhanced Sum Assured. The Enhanced SA Premium as applicable will be invested, net of investment guarantee charge, in the Enhancer Fund thus augmenting your Basic Fund Value. You may also opt for Enhanced Savings Premiums, which increases your savings. The Enhanced Savings Premiums are invested under the Self-Managed Option in our range of ten well established investment funds ranging from 100% debt to 100% equity to suit your particular need and risk appetite - Income Advantage, Assure, Protector, Builder, Enhancer, Creator, Magnifier, Maximiser, Multiplier and Super 20. You will retain the freedom to reallocate your investments and re-direct your future Enhanced Savings Premiums between these funds based on your choice. The Pre-Retirement Benefit
You may choose to receive a monthly benefit equal to 5% of your Basic Sum Assured annually prior to the Guaranteed Savings date by selecting either a 5-year or 10-year Enhanced Pre-Retirement Benefit. You may encash each Enhanced Pre-Retirement Benefit, at any time, once vested and after completing three policy years.
Choose Your Pay Term
Besides the regular premium pay option, you can choose from a single
pay option or short pay options of 5-Pay, 10-Pay, 15-Pay or 20-Pay as per your convenience.
Guaranteed Additions Benefit
You will receive a Guaranteed Addition equal to 2% of your average Basic Fund Value recorded in the last 60 months at the end of 10th year and every 5th year subsequent to that. These will be in the form of additional units allocated to your fund. In case you have chosen to augment your savings through Enhanced Savings Premium, the Guaranteed Additions will be paid on your Fund Value (Basic Fund Value plus Enhanced Fund Value).
Death Benefit
In the unfortunate demise of the life insured during the policy term, the nominee will receive the higher of Basic Sum Assured or the Fund Value (Basic Fund Value plus Enhanced Fund Value, if any). The nominee will also receive the Enhanced Sum Assured, if chosen, for death of the life insured prior to the Guaranteed Savings Date.
Other Benefits
• Partial Withdrawals
You can make partial withdrawals after you have completed three policy years as long as the amount withdrawn is more than Rs.5,000 and the amount left in your fund is equal to at least one annual policy premium plus any surrender charges. Please note that the Basic Sum Assured is reduced by any partial withdrawal made till the Guaranteed Savings Date.
Such withdrawals also impact the Death Benefit as follows:
• For life insured under 60 years, Basic Sum Assured is reduced by the partial withdrawals done in the last two years
• For life insured over 60 years, the Basic Sum Assured is reduced by the partial withdrawals done after the age of 58
• Surrender Benefits
You can surrender your policy and receive your Fund Value (Basic Fund Value plus Enhanced Fund Value if any) less applicable surrender charges. There are no surrender charges after the completion of 5 policy years. If you surrender the policy prior to the 3rd policy year, your surrender benefit will be kept constant and deferred for payment to the end of the 3rd policy year.
Please go through our brochure to understand the surrender charges in detail.
Plan Summary
Policy Term Whole life
Entry Age 18 to 45 years | 18 to 50 years | 18 to 55 years | 18 to 60 years
Guaranteed Savings Date To age 55 | To age 60 | To age 65 | To age 70
Pay Term Single pay | Short pay - 5, 10, 15, 20 years
| Guaranteed Savings Date
Basic Sum Assured Minimum Rs. 2,00,000, subject to minimum
Basic Premium Rs. 8,000
Enhanced Sum Assured Minimum Rs. 50,000, subject to maximum of
30 years to Guaranteed Savings Date
Enhanced Savings Premium Minimum Rs. 5,000
Tax Benefits Under section 80C and section 10(10D) of the Income Tax act, 1961
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