Aviva Young Scholar Secure

Aviva Young Scholar Secure is a Traditional Money Back Child Plan where the parent is the Life Insured and the plan is for the benefit of the child. This plan does not cover the life of a child but it is meant for the security of the child’s future even if anything happens to the parent. In this plan if the Life Insured, i.e. the parent dies within the policy tenure, the nominee, i.e. the child would receive the Sum Assured to address the immediate needs of the family. The future premiums would also be paid by the company such that the Survival Benefits are paid out as and when it is due. 

• There are 4 Plan Options- Silver, Gold Diamond and Platinum
• Premium is fixed under all plan options and so are the returns, hence it is a Guaranteed Plan
• Tuition Fee Support, College Admission Pool and Higher Education Reserve Money are paid to the child for meeting his future education needs even if parent is not alive
• 3 riders are available namely Accidental Death Benefit Rider, Dread Disease Rider and Term Plus Rider
• This policy has an inbuilt Premium Waiver Rider where the premiums would be paid by the company if the parent dies within the policy tenure

Death Benefit – In case of death of the parent (Life Insured), the child (Nominee/Beneficiary) would get Sum Assured as Immediate Death Benefit. The future premiums would be paid by the company in a lump sum and the child would also receive the future benefits

Survival Benefit –

1.     Tuition Fee Support Benefit- a guaranteed amount is paid every year after the end of the premium paying term till age 17 of the child as a Tuition Fee Aid

2.     College Admission Pool- lump sum amount is paid when the child turns 18 so as to assist in the college admission fees

Maturity Benefit – Higher Education Reserves- The remaining (Sum Assured – Amount paid before as Tuition Fee Support and College Admission Pool) is paid on Maturity

Income Tax Benefit - Life Insurance premiums paid up to Rs. 1,00,000 are allowed as a deduction from the taxable income each year under section 80C

Premium Option Gold with Annual Premium = Rs. 50000

Age of Parent = 35 years

Age of Child = 0 years

Policy Term = 21 years

Premium Payment Term = 13 years

Sum Assured = Rs 13,75,000                                     

Total Investment = Rs 50,000 X 13 years= Rs 6,50,000

Riders – Premium Waiver Benefit Rider is an in-built rider.

There are 2 additional riders available in this policy

1.     Term Plus Rider- helps to enhance the life coverage beyond the Sum Assured provided.

2.     Accidental Death Benefit Rider

3.     Dread Disease Rider

You stop paying the premium - If the policy holder stops paying the premium, the insurance cover will cease and the policy will lapse. However it can be revived within 2 years from the first unpaid premium.

You want to surrender the policy – Surrender is allowed after completion of 2 policy years provided at least 1 years’ premium has been paid.

Guaranteed Surrender Value = 30% of all premiums paid -  1^st years premium

You want a loan against your policy - There is no loan available under this plan.

Aviva Young Scholar Advantage