Bajaj Allianz Shield Insurance Plan
This plan has been withdrawn by the insurance company and is no longer available for sale.
Bajaj Allianz Shield Insurance Plan
Bajaj Allianz Shield Insurance is a single premium fixed-term unit-linked insurance plan or ULIP. In this plan, the premiums paid by you are invested in your choice of funds and the company allocates Units to you as per the unit price of the funds. On policy maturity, you get the Fund Value as on the maturity date.
ULIP is a combination of life insurance and market-linked investment. Thus it offers an opportunity to create wealth in the long term along with a life cover. Shield Insurance plan is a single premium plan, which means that you pay a lumpsum premium at the beginning of the policy, which gets invested for a fixed term.
It is important to know that the premiums paid in unit-linked insurance plans are subject to market fluctuation risks and this risk has to be borne by the policy holder.
Key Features
- Guaranteed Addition paid at maturity as a percentage of the single premium
- For Single Premium Rs 25,000 to 3,00,000 – 6%
- For Single Premium Rs 3,00,001 and above – 3%
- Single premium plan with fixed term of 10 years
- Return of up to 6% of the single premium at maturity as Guaranteed Addition
- Unlimited top-up premium payment allowed (except in Shield Plus Fund IV)
- Flexibility to decrease sum assured to 1.25 times of the premium for age below 45 years and 1.1 times of the premium for other ages
- Unlimited free switches
- Partial withdrawal allowed after 5 policy years onwards
- Choice of 8 funds to suit your investment needs
- Accidental Death Benefit Rider
- Accidental Permanent Total/Partial Disability Benefit Rider
- Equity Growth Fund II
- Accelerator Mid-Cap Fund III
- Pure Stock Fund
- Asset Allocation Fund
- Bond Fund
- Liquid Fund
- Bluechip Equity Fund
- Shield Plus Fund IV
- Less than 45 years- Sum Assured is 1.25 to 5 times
- 45 years to 55 years- Sum Assured is 1.10 to 5 times
- Greater than 55 years-Sum Assured is 1.10 times
Unlimited Switches are allowed in this plan. Minimum Switching amount is Rs 5,000 or the Fund Value, whichever is lower.
You are allowed to make partial withdrawals in this policy after 5 complete policy years or the life assured is 18 years old, whichever is later. The minimum amount of partial withdrawal should be Rs. 5,000 such that Rs 5,000 or 1/5th the single premium should be maintained after Partial Withdrawal.
Benefits
On policy maturity, you get the Single Premium Fund Value and Top-up Premium Fund Value (if any) plus the Guaranteed Addition
- In case of death of the Life Assured before attaining 60 years of age, the nominee gets Higher of Sum Assured less partial withdrawals made last 24 months (if any) or the Fund Value.
- In case of death of the Life Assured after attaining 60 years of age, the nominee gets Higher of Sum Assured less partial withdrawals made in last 24 months before age 60 years and all partial withdrawals made after age 60 years or the Fund Value.
Premiums paid under life insurance policy are exempted from tax under Section 80 C and maturity proceeds are exempted from tax under Section 10 (10D)
Variants
Type of Premium
|
Premium Allocation Charge
|
Single Premium
|
3% of the Single Premium Paid
|
Top-Up Premium
|
2% of the Top-Up Premium Paid
|
Policy Year
|
Policy Administration Charge
|
1st -5th year
|
1.90% of the Single Premium per month
|
6th year onwards
|
0.85% of the Single Premium per month
|
Fund Management Charge– This charge is deducted by adjusting the NAV of the units on a daily basis.
Type
|
Charge
|
Equity Growth Fund II Fund
|
1.35%
|
Accelerator Mid Cap Fund II
|
1.35%
|
Pure Stock Fund
|
1.35%
|
Asset Allocation Fund
|
1.25%
|
Bluechip Equity Fund
|
1.35%
|
Liquid Fund
|
0.95%
|
Bond Fund
|
0.95%
|
Shield Plus Fund IV
|
1.35%
|
- Decrease of Sum Assured
- Partial Withdrawal and
- Issuance of copy of policy document
Service Tax would be applicable on the charges depending on the applicable rates.
How it works
Below is an indicative projection of returns for Shield Plus Fund IV
Single Premium = Rs 50,000
Age at the time of taking the policy = 30 years
Policy Term = 10 years
Sum Assured = Rs 62,500
Returns:
Guaranteed Maturity Value (GMV) at 6% = Rs 75,542
Fund Value (FV) at Maturity = Rs 78,542
Guaranteed Maturity Value (GMV) at 10% = Rs 76,949
Fund Value (FV) at Maturity = Rs 99,878
Eligibility
Minimum | Maximum | |
Sum Assured (in Rs.) | For Age 8-44 yrs =
1.25 x Single Premium |
For Age 8-55 yrs =
5 x Single Premium |
For Age 45-65 yrs =
1.1 x Single Premium |
For Age 56-65 yrs =
1.1 x Single Premium |
|
Entry Age of Policyholder (in years) | 8 | 65 |
Age at Maturity (in years) | 18 | 75 |
Premium Payment Term (in years) | 5 | Equal to Policy Term |
Single Premium Amount (in Rs.) | 25,000 | No limit |
Top-up Premium (in Rs.) | 5,000 | No limit |
Policy Term (in years) | 10 |
FAQs
The Company gives a grace period of 30 days after which the policy is discontinued. Revival or reinstatement of the discontinued policy is not allowed
You have the option to surrender policy anytime from 6th policy year. Surrender value paid will be equal to the Fund Value as on date of surrender