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Birla Sun Life Insurance-Wealth Assure Plan

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Birla Sun Life Insurance-Wealth Assure Plan

BSLI Wealth Assure Plan is a Limited Pay Unit Linked Insurance Plan. It is a non-Traditional Plan without Bonus facility.
 
How it works – In this plan premium needs to be paid for 5 years whereas the policy continues till the end of the Policy tenure. The Basic Sum Assured is calculated according to the table, based on the Basic Premium:

 

Entry Age
Basic Sum Assured
< 45 years of age
Basic Premium X Higher of (10 years or Policy Term/2)
>= 45 years
Basic Premium X Higher of (10 years or Policy Term/4)
 
Based on the Insurance Requirements, the Sum Assured can be increased to 100%, 150%, 200%, 250% or 300% of the minimum Basic Sum Assured.
 
The premium, net of charges, is allocated in the Funds as per the Investment Strategy chosen.
There are 3 Investment Strategies in this plan:
  1. LifeCycle Option: where the money would be invested in 100% Equity and Debt Fund, and based on the age and risk profile, the investment portfolio is balanced over the years
  2. Systematic Transfer Option: where the money is initially invested in Liquid Plus Fund and then a systematic monthly transfer of funds happen to a specified fund
  3. Self-Managed Option: There are 13 funds for the policyholder to choose from and manage as per his wishes
 
There are Guaranteed Additions available in this Plan:

 

Policy Year
Guaranteed Addition
6th to 10th Policy Year
0.25% of the average Fund Value in the last 12 months
11th to 15th Policy Year
0.55% of the average Fund Value in the last 12 months
16th Policy Year Onwards
0.75% of the average Fund Value in the last 12 months
 
Thus, on survival till the end of the Policy Tenure, the Fund Value will be paid to the policyholder as Maturity Benefit and the policy terminates. However, if the Life Insured dies within the Policy Tenure, then the Basic Sum Assured + the Fund Value would be paid to the nominee as Death Benefit and the policy terminates.
 
There are 4 additional riders available in this plan.
 
 
Key Features of Birla Sun Life Insurance-Wealth Assure Plan
 
  • This is a Limited Pay Unit Linked Insurance Plan without Bonus facility
  • The Premium Paying Term in this plan is 5 years
  • There are 3 Investment Strategies in this Plan-  LifeCycle Option, Systematic Transfer facility and Self Managed Option
  • There are 13 funds available in this plan
  • This Plan offers Guaranteed Additions as loyalty in the Fund Value
  • On survival till the end of the Policy Tenure, the Fund Value will be paid to the policyholder as Maturity Benefit
  • If the Life Insured dies within the Policy Tenure, then the Basic Sum Assured + the Fund Value would be paid to the nominee as Death Benefit
  • There are 4 additional riders available in this plan

COMPARE THIS PLAN WITH OTHER ULIP PLANS

 

Benefits you get from Birla Sun Life Insurance-Wealth Assure Plan

Death Benefit – If the Life Insured dies within the Policy Tenure, then the Basic Sum Assured + the Fund Value would be paid to the nominee as Death Benefit and the policy terminates.
 
Maturity Benefit – On survival till the end of the Policy Tenure, the Fund Value paid to the Policyholder as Maturity Benefit and the policy terminates.
 
Income Tax Benefit - Life Insurance premiums paid up to Rs. 1,50,000 are allowed as a deduction from the taxable income each year under section 80C and the Maturity proceeds are tax free under section 10(10)D subject to fulfilment of terms and conditions
 
 

Eligibility conditions & other restrictions in Birla Sun Life Insurance-Wealth Assure Plan

 
Minimum
Maximum
Sum Assured (in Rs.)
Basic Premium X Higher of (10 yrs or Policy Term/2) for Age<45 yrs
Basic Premium X Higher of (10 yrs or Policy Term/4) for Age>=45 yrs
Policy Term (in years)
10, 15, 20, 25
30
Premium Payment Term (in years)
5
Entry Age of Life Insured (in years)
8
65
Age at Maturity (in years)
-
75
Premium (in Rs.)
90,000 p.a. if Paid Annually
1,32,000 p.a. if Paid Monthly
No Limit
Payment modes
Annually or Monthly
 

Additional Features and Benefits of Birla Sun Life Insurance-Wealth Assure Plan

Riders – There are 4 Additional Riders available in this policy:
  1. Accidental Death and Disability Rider
  2. Critical Illness Rider
  3. Surgical Care Rider
  4. Hospital Care Rider
 
Investment Fund Options - There are 3 Investment Strategies available in this plan:
  • LifeCycle Option: where the money would be invested in 100% Equity and Debt Fund, and based on the age and risk profile, the investment portfolio is balanced over the years
  • Systematic Transfer Option: where the money is initially invested in Liquid Plus Fund and then a systematic monthly transfer of funds happen to a specified fund
  • Self-Managed Option: There are 13 funds for the policyholder to choose from and manage as per his wishes:
    • Liquid Plus
    • Income Advantage
    • Assure
    • Protector
    • Builder
    • Enhancer
    • Creator
    • Magnifier
    • Maximiser
    • Multiplier
    • Super 20
    • Pure Equity
    • Value & Momentum
 
Switching - The Minimum amount of switch needs to be Rs 5000 and it can be done at any point of time. Each Switch is charged at Rs 50 per transaction.
 
Top Up - Additional Premium can be paid as Top Up anytime during the Policy Tenure provided all premiums have been paid. The minimum top-up premium is Rs 5,000 and the Basic Sum Assured will increase accordingly:

 

Age of Life Insured at time of Top Up
Sum Assured Increases
< 45 years
125% of Top Up Premium
>= 45 years
110% of Top Up Premium
 
Partial Withdrawal - Partial withdrawals are allowed only after completion of 5 policy years or after completion of 18 years of the Life Insured. The minimum partial withdrawal is Rs 5,000 subject to at least Rs 25000 should remain in the Fund Value post withdrawal.
Each partial withdrawal is charged at Rs 50 per withdrawal.
 

Charges in Birla Sun Life Insurance-Wealth Assure Plan

 
Premium Allocation Charge – This charge is deducted from the Premium Paid by you

 

Policy Year
Premium Allocation Charge
1st
5% of the Basic Premium
2nd year onwards
4% of the Basic Premium
Top Up
2% of Top Up Premium
 
 
Policy Administration Charge— This is the charge for the administrative working of the policy and is deducted on a monthly basis.

 

Policy Year
Premium Allocation Charge
Each Year
Rs 3000 p.a.
 
 
Fund Management Charge– This charge is deducted by adjusting the NAV of the units on a daily basis.

 

Type
Charge
Liquid Plus Fund
1% p.a.
Income Advantage Fund
1% p.a.
Assure Fund
1% p.a.
Protector Fund
1% p.a.
Builder Fund
1% p.a.
Enhancer Fund
1.25% p.a.
Creator Fund
1.25% p.a.
Magnifier Fund
1.35% p.a.
Maximiser Fund
1.35% p.a.
Multiplier Fund
1.35% p.a.
Super 20 Fund
1.35% p.a.
Pure Equity Fund
1.35% p.a.
Value & Momentum Fund
1.35% p.a.
 
 
Discontinuation Charge— This charge is for discontinuing the plan before the end of the Policy Tenure.

 

Year of Discontinuation
Annual Premium > Rs 25,000 p.a.
1st
Lower of 6% of (Annual Premium or Fund Value) subject to a maximum of Rs 6,000
2nd
Lower of 4% of (Annual Premium or Fund Value) subject to a maximum of Rs 5,000
3rd
Lower of 3% of (Annual Premium or Fund Value) subject to a maximum of Rs 4,000
4th
Lower of 2% of (Annual Premium or Fund Value) subject to a maximum of Rs 2,000
5th onwards
NIL
 
 
Mortality Charge — This charge is paid for the Life Coverage provided according to the Sum At Risk. This is based on the mortality rates which are specified for all ages and amount of cover being provided.
 
Service Tax would be applicable on the charges depending on the applicable rates.
 

What happens if?

You stop paying the premium before 5 years - If the policy holder stops paying the premium, the insurance cover will cease and the fund value net of any discontinuance charge will be transferred to the Discontinued Policy Fund. The Discontinued Policy Fund will earn a minimum guaranteed interest rate equal to the savings account rate of State Bank of India or 3.5%, whichever is higher and the proceeds from this will be payable after the fifth policy anniversary. In case of death of the Life Assured during this period, only the accumulated Fund Value will be payable to the nominee.
The policy can be revived as well but within a period of 2 years from the Date of Discontinuance of the Policy or before completion of the Lock-in period of 5 policy years, whichever is earlier.
 
You stop paying the premium after 5 years – The premium paying term being 5 years, there is no requirement of further premium payment.
 
You want to surrender the policy – If the policy holder wants to surrender the policy before completing 5 years, then the insurance cover will cease and the Fund Value net of any discontinuance charge, if at least 5 years’ premiums have not been paid, will be transferred to the Discontinued Policy Fund. The Discontinued Policy Fund will earn a minimum guaranteed interest rate equal to the savings account rate of State Bank of India or 3.5%, whichever is higherand the proceeds from this will be payable after the fifth policy anniversary. In case of death of the Life Assured during this period, only the accumulated fund value will be payable to the nominee.
 
If the policyholder surrenders the policy after completion of 5 policy years, then there is no Surrender/Discontinuance Charges and the Fund Value is paid to the policy holder and the policy will terminate immediately.
 
You want a loan against your policy - There is no loan available under this plan.




 
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