Product
summary:
This is an Endowment Assurance plan
that provides for benefits on or from
the selected maturity date to meet the
Marriage/Educational expenses of the
named child.
Premiums:
Premiums are payable yearly, half-yearly,
quarterly, monthly or through Salary
deductions, as opted by you, throughout
the term of the policy or earlier death.
Bonuses:
This is a with-profit plan and participates
in the profits of the Corporation’s
life insurance business. It gets a share
of the profits in the form of bonuses.
Simple Reversionary Bonuses are declared
per thousand Sum Assured annually at
the end of each financial year. Once
declared, they form part of the guaranteed
benefits of the plan. Such bonuses are
to be added till maturity even if the
life assured dies before the maturity
date. Final (Additional) Bonus may also
be payable provided a policy is of a
certain minimum term.
Death Benefit:
The Sum Assured plus accrued bonuses
up to maturity is payable on maturity
even though death occurs during policy
term. This may be paid in a lump sum
or in ten half-yearly instalments at
the option of the beneficiary.
Maturity
Benefit:
The Sum Assured plus all bonuses declared
up to maturity date is payable on survival
to the end of the term either in a lump
sum or in ten half-yearly installments,
as opted by you.
Supplementary/Extra
Benefits:
These are the optional benefits that
can be added to your basic plan for
extra protection/option. An additional
premium is required to be paid for these
benefits.
Surrender
Value:
Buying a life insurance contract is
a long-term commitment. However, surrender
value will be available under the plan
on earlier termination of the contract.
Guaranteed
Surrender Value:
The policy may be surrendered after
it has been in force for 3 years or
more. The guaranteed surrender value
is 30% of the basic premiums paid excluding
the first year’s premium.
Corporation’s
policy on surrenders:
In practice, the Corporation will pay
a Special Surrender Value – which
is either equal to or more than the
Guaranteed Surrender Value. The benefit
payable on surrender reflects the discounted
value of the reduced claim amount that
would be payable at maturity. This value
will depend on the duration for which
premiums have been paid and the policy
duration at the date of surrender. In
some circumstances, in case of early
termination of the policy, the surrender
value payable may be less than the total
premium paid.
The
Corporation reviews the surrender value
payable under its plans from time to
time depending on the economic environment,
experience and other factors.
