The term 'ULIP' is used to address Unit Linked Insurance Plans. It is a type of insurance plan that is designed to deliver two-fold benefits. This system allows you to invest and accomplish your long-term financial goals. Moreover, an insured individual will also avail a sturdy life cover that guarantees financial protection for your family if an eventuality knocks on your door.
Ageas Federal Wealth Insurance growth insurance plan is a ULIP Product that is meticulously planned to help you construct a considerable fund with market participation and also includes guaranteed additions for a brighter future.
Key Attributes of Ageas Federal Wealth Insurance Growth Insurance
- Plan Name: Ageas Federal Wealthsurance Growth Insurance Plan SP/ UIN: 135L034V03
- Type of Plan: It is described as a ‘Non-Participating, Unit Linked Single Pay Life Insurance plan’.
- Aim of the Policy: It is a one-time investment plan that is fabricated to deliver the twofold benefit of a life cover with the opportunity to make long-term returns. Guaranteed Loyalty additions to the investment lead to wealth creation goals.
- It is described as a unit-linked plan that incorporates regular and limited premium paying options.
- Assured Loyalty Additions raise the Fund Value.
- The Sum Assured can be increased or decreased as per requirement.
Given below are 9 funds that are available for investment:
- Equity Growth Fund
- Midcap Fund
- Pure Fund
- Bond Fund
- Income Fund
- Liquid Fund
- Aggressive Asset Allocator Fund
- Moderate Asset Allocator Fund
- Cautious Asset Allocator Fund
The policyholder may feel free to choose to invest in any of the above-written funds on his own or request the organization to proceed with the investments on his behalf where the last 3 funds are selected by the organization.
Benefits that Come with Ageas Federal Wealth Insurance Growth Insurance
Maturity Benefit: If the policyholder survives till the date of maturity, fund value along with the total Guaranteed Loyalty Additions, as on date of maturity is paid.
Guaranteed Loyalty Additions: Guaranteed Loyalty Additions are credited to the policy after the termination of the 5th policy year and consequently after every 5 years.
Death Benefit: If the policyholder passes away during the policy term, the beneficiary will become eligible to avail the 'Death Benefit'. Death benefit remunerated is the highest of:
- Sum Assured; or
- Fund Value; or
- 105% of the single premium paid till the date of death.
Premium Payment: An insured individual needs to pay the premium only once that is at the commencement of the plan.
What will happen if the policyholders discontinue premiums within 5 years from the policy commencement date?
If the policyholder is unable to make premium payments within the Grace Period, the fund value after the deduction of pertinent discontinuance charges, shall be credited to the discontinued policy fund and the risk cover and rider cover (if available) shall terminate.
In case the policyholder refuses to revive the policy, the policy shall carry on without bearing any risk cover and rider cover (if available); and the profits generated from the suspended policy fund shall be paid to the insured individual at the termination of the revival period or lock-in period whichever is later.
What will happen if a policyholder discontinues paying premiums after 5 years from the policy commencement date?
After paying all due premiums in the first five years of the policy, if the policyholder fails to pay premium within the Grace Period, the policy shall be transformed into a reduced paid up policy with: Reduced Death Sum Assured = Death Sum Assured x (Total No. of Premiums Paid / Original No. of Premiums Payable);
If the policyholder doesn't plan to revive the policy, the policy shall linger to be in reduced paid up status. At the end of the revival period, the profits of the policy fund shall be allotted to the insured individual.
The policyholder is eligible to revive the policy within a revival period of 3 years from the due date of the last due premium, by payment of the due premiums without any interest or fee.
Tax benefits may be obtainable under section 80C for the premiums paid and u/s 10(10D) for the amount obtained as maturity/death/surrender advantages under the policy.
Let's look into the policy details of Ageas Federal wealth insurance growth insurance
A policyholder will get a grace period of 30 days for eliminating due premium payments. It is possible to get rid of outstanding premium payments by paying them.
Surrender within the lock-in period of 5 years:
A ‘Discontinuance Charge’ is removed from the fund value and the consequent value is credited to the suspended policy fund, and the life cover discontinues. The earnings of the discontinued policy fund are remunerated to the policyholder at the end of the lock-in period or the surrender date, whichever falls later.
Surrender after the lock-in period of 5 policy years: The fund value will be given to the policyholder on the date of surrender.
The policy concludes after payment of the Surrender value.
The policyholder is authorized to get a free-look period of 15 days (30 days in case of policies summoned through distance mode) from the date of receipt of the policy document to go through all the terms and conditions of the policy.
Partial Withdrawals are permitted after 5 policy years with a minimum amount of Rs.10, 000.
Limitless Switches are permitted to switch between funds chosen.
Premium Redirection is authorized to redirect future premiums to another fund.
Suicide Exclusion is practical as documented in the policy document and sales writings.