Bajaj Allianz Young Assure Plan

This is a traditional Endowment plan where bonuses are declared.

Guaranteed Additions are also provided under the plan to enhance the benefit payable.

Premiums for the plan can be paid either for the entire duration of the plan under the Regular premium payment option or for a limited tenure under the limited premium payment option.

The policyholder can choose from a variety of policy tenure and premium payment tenure as per his requirement. 

The maturity benefit payable can be availed in three options which provide the benefit in installments over a specified duration.

There is an inbuilt Accidental Permanent Total Disability Benefit Rider under the plan.

Female lives are charged lower rates of premiums.

When the plan matures, the benefit payable would be:
Guaranteed Maturity Benefit (GMB) + Guaranteed Additions (GA) + vested Bonuses (VB) + Interim Bonus (IB), if any + Terminal Bonus (TB), if any.
The maturity benefit can be taken either in lump sum or in any one of the three cash installment options available with the plan. Under this option, the benefit is paid in annual installments after the end of the plan tenure. The options are as follows:

If the insured dies during plan term, the death benefit payable would be the Sum Assured on death subject to a minimum of 105% of all premiums paid till death.
The Sum Assured on death would be higher of the following:

• Guaranteed Maturity Benefit
• Sum Assured
  After paying the death benefit, the policy would be converted to a fully paid-up policy where no premium payment would be required. The policy would continue and all future bonuses and any Guaranteed Additions would be added to the policy. When the policy matures, the maturity benefit would be paid under the policy and the plan would terminate.
  If the policyholder becomes permanently and totally disabled due to an accident during the plan tenure, the policy will be turned into a fully paid-up policy where premium payment would be waived. All future bonuses and Guaranteed Additions would accrue under the plan and on maturity the maturity benefit would be paid. If the insured dies during the tenure after the accidental benefit is availed, the death benefit would be paid.

Bonuses are declared under the plan and are paid every year for which the policy is in-force. An interim bonus and a terminal bonus may also be paid on death or maturity of the plan.

 A percentage of the Guaranteed Maturity Benefit would be added to the policy at maturity in the form of Guaranteed Additions (GA). These additions depend on the Premium Paying Term (PPT) of the plan and are as follows:

Loan can be taken on the policy after the policy has acquired a Surrender Value. The maximum amount of loan available is 90% of the acquired Surrender Value

Premiums paid under the plan would be exempt from tax under Section 80C up to a limit of Rs.1.5 lakhs. The death benefit or the maturity benefit received would also be tax exempt under Section 10(10D) of the Income Tax Act.

 Five additional riders are available under the plan which can be added to the base policy for a more comprehensive coverage. The riders include:

• Bajaj Allianz Accidental Death Benefit Rider
• Bajaj Allianz Accidental Permanent Total/Partial Disability Benefit Rider
• Bajaj Allianz Critical Illness Benefit Rider 
• Bajaj Allianz Family Income Benefit Rider
• Bajaj Allianz Waiver of Premium Benefit Rider

Any level of Guaranteed Maturity Benefit above the minimum level of Rs.1 lakh would attract a discount in the premium. The discount available would range from Rs.36 to Rs.48 per Rs.10, 000Guaranteed Maturity Benefit above the minimum limit depending on the premium paying term and the policy term chosen.

A grace period of 30 days is allowed for payment of premium after the due date for annual, half-yearly or quarterly modes of premium payment. For monthly modes, the grace period allowed is 15 days. The life cover under the policy would continue during the grace period.

 A cooling off period or a free look period of 15 days is granted to the policyholder after the policy issuance to review the policy terms and conditions. If found unsatisfactory, the plan can be cancelled within this period and the premium paid would be refunded after deducting the relevant mortality charge, service tax, cess and stamp duty paid.

Surrender is allowed only after the policy becomes paid-up, i.e. after 1 or 2 full years’ premiums have been paid. On surrendering the policy, higher of the Guaranteed Surrender Value (GSV) or the Special Surrender Value (SSV) would be paid.

• GSV = (total premiums paid till the date of surrender * GSV1 Factor)+ (Vested bonuses * GSV2factor of bonus)
• The SSV factors would be declared by the company based on its performance and would be computed as follows:
  SSV = (paid-up Sum Assured on death*SSV1 Factor) + {(paid-up Guaranteed Maturity Benefit + paid-up Guaranteed Additions)* SSV2 Factor} + (vested bonus * SSV3 Factor)

Revival is allowed within 2 years from the date of the first unpaid premium. The policyholder would be required to pay the outstanding premium and any interest charged by the insurer to revive his policy.