Classic Plan II
Introduction/Overview Classic Plan II is a unit linked non-participating Endowment Assurance Plan through which the policyholder can save for future requirements and augment his savings through market participation of funds invested. Key Features The premium paid can be invested in a choice of 5 funds as per the policyholders risk appetite namely: Life Equity Fund 3 Life Corporate Bond Fund 1 Life Money Market Fund 1 Life Pure Equity Fund 2 Life Balanced Fund 1 The premiums can be paid regularly or through Single Pay The policyholder can average out his risks through Systematic Transfer Plan option under which the units are systematically transferred from low risk to high risk funds at different intervals
Details About Premium Benefit Illustration for a male aged 30 years with a 15 year policy term Policy Details Grace Period: 15 days grace period is allowed for payment of premium in monthly mode and 30 days for other modes. If policyholder fails to make payment within the grace period, the policy lapses Policy Termination or Surrender Benefit: the policyholder can surrender the policy after 5 completed policy years. The fund value on the date of surrender will be paid. If surrendered before completion of 5 policy years, the fund value net of charges will be credited to the Discontinued Policy Fund where it will earn a guaranteed interest of 4% p.a. compounded annually. After 5 years is completed, the resultant Fund Value will be paid to the policyholder. Free Look Period: If you would not be pleased with the coverage, and terms and conditions of the policy, you have the option of canceling the policy within 15 days of receipt of the policy documents, provided there has been no claim. Inclusions 52 free switches are allowed per policy year The policyholder can redirect future premiums towards another funds through Premium Redirection option After 5 completed years, the policy benefits can be transferred to another plan Additional Features or Riders There is an inbuilt Accidental Death Benefit rider which pays additional SA on death due to accident Top-ups are allowed under the plan and the SA is increased after the top-up @ 125% or 110% of the top-up premium paid if age is less than or greater than 45 years respectively Partial Withdrawals are allowed after 5 completed policy years and also from top-up funds 5 years after the top-up payment The policyholder can choose to receive the maturity benefit in 5 equal instalments over 5 years post maturity through the Settlement Option Exclusions In case of suicide committed within 12 months of policy inception, only the Fund Value as on that date is payable
The maturity Value will be the Fund Value including top-up fund value if any On death, higher of the Sum Assured or Fund Value + higher of Top-up SA or Top-up Fund Value is paid subject to a minimum of 105% of all premiums paid till death Additional Sum Assured is paid in case of accidental death Income tax benefit on the premium paid as per Section 80C and on claims received as per Section 10(10D) of the Income Tax Act.
Policyholder has to fill up an `Application form/ proposal form with accurate medical history along with the address proof and other KYC documents. Medical examination may be required in some cases, based on the sum assured and the age of the person.