ICICI Prudential Cash Advantage
ICICI Pru Cash Advantage Plan Review
ICICI Pru Cash Advantage Plan is a non-linked insurance plan. The plan offers guaranteed amount every month for 10 years, a guaranteed lump sum amount at maturity, along with bonuses. In the event of the unfortunate death of the policyholder during the policy term, Sum Assured + Guaranteed Additions is paid to the nominee.
Key Features
Through immediate pay out
Lump sum pay out
1% of GMB, every month, for 10 years
5,7, or 10 years
Benefits
In case of death of the Life Insured, irrespective of GCB paid during the tenure, the nominee would get higher of the below:
- Sum Assured + Bonuses
- GMB + Bonuses
- Minimum Death Benefit
Where,
Minimum Death Benefit, is 105% of premiums paid till dates
hroughout the pay-out term, GCB is payable in advance, if the life assured is alive and the policy is fully paid. GCB can be received in monthly or annual instalments. GCB is a percentage of the Guaranteed Maturity Benefit (GMB) and depends on cash benefit mode as shown below:
| Cash Benefit Mode | Guaranteed Cash Benefit (GCB) |
| Monthly | 1% |
| Annual | 11.5% |
On maturity, the policy holder gets higher of the below:
- GMB + Vested Reversionary Bonus
- 100.1% of total premiums paid
Where,
GMB is the Sum Assured on Maturity and will be calculated, at inception, based on your premium, premium payment option, premium payment mode, Sum Assured, cash benefit mode, age and gender.
Life Insurance premiums paid up to Rs. 1, 50,000 are allowed as a deduction from the taxable income each year under section 80C.
Age – 35 years, Premium Payment Term – 10 years, Policy Term – 20 years, Annual Premium – Rs. 50,000, Sum Assured – 5 lacs, Premium Payment mode – Yearly, Cash Benefit Mode – Monthly
| Benefits | @4 (in Rs.) | @8 (in Rs.) |
| Guaranteed Cash Benefit | 3,17,712 | 3,17,712 |
| Guaranteed Maturity Benefit (A) | 2,64,760 | 2,64,760 |
| Vested reversionary bonuses (B) | 2,51,970 | 0 |
| Terminal bonus (C) | 1,99,480 | 72,520 |
| Total maturity benefit (A+B+C) | 7,16,209 | 3,37,280 |
No Riders available under this plan.
If the policy is not convinced with the Terms and Conditions of the policy, s/he can cancel the policy within 15 days of receipt of policy document.
Criteria:-
Age – 30 years, Premium Payment Term – 10 years, Annual Premium – Rs. 1, 00,000, Premium Payment mode – Yearly
| Benefits | Pay out (in Rs.) |
| Guaranteed Cash Benefit | 5,307 |
| Guaranteed Maturity Benefit | 5.31 lacs |
| Bonuses | 9.31 lacs |
| Life Cover | 10 lacs |
Where,
# Illustrative vested reversionary bonuses plus terminal bonus for assumed returns at 8%. For assumed returns at 4%, the bonuses would be Rs. 1.60 lacs.
Anxiety taken care: Child’s education and security in absence of policy holder.
Eligibility
| Particulars | |||
| Premium Payment Options and Term (in years) | 5 | 7 | 10 |
| Pay out Term (in years) | 10 | ||
| Policy term (PPT + Pay out term) (in years) | 15 | 17 | 20 |
| Minimum Annual Premium (in Rs.) | 30,000 | 18,000 | 12,000 |
| GMB* for: minimum entry age,
annual premium, term, annual premium, payment mode |
74,451 | 65,364 | 63,881 |
| Entry Age (in years) | Minimum | Maximum | |
| 0,1,3 | 60 | ||
| Maturity Age (in years) | 18 | 80 | |
| Maximum Annual Premium | Unlimited | ||
| Premium Payment Modes | Annual / Half-yearly / Monthly | ||
| Cash Benefit Mode | Annual / Monthly | ||
| Sum Assured on Death | Entry Age (in years) | Sum Assured | |
| Less than 45 | 10 times annual premium | ||
| 45 to 54 | 10 or 7 times annual premium | ||
| Greater than 54 | 7 times annual premium | ||
Exclusions
If the life assured, commits suicide, within a year of policy start 80% of the premiums paid, will be given to nominee. In case of suicide within one year from revival date, 80% of premiums paid or surrender value, whichever is higher would be paid and the policy will terminate.
FAQs
You stop paying the premiumIf the premium is not paid within 30 days from the grace date, the policy will lapse. Lapsed policy can be revived within 2 years of first unpaid premium. If the premium is discontinued after the policy has acquired surrender value, the policy status will be “paid up”
You want to surrender the policyThe policy will acquire surrender value, after 3 years of policy. On surrender, the higher of the below will be paid:
- Guaranteed Surrender Value (GSV) + cash value of vested bonuses
- Non-Guaranteed Surrender Value
You want a loan against your policyYes, loan facility is available under this plan.
