PNB Met Smart One Insurance policy is a single premium Unit Linked Insurance Plan. It offers a host of investment management options along with Loyalty Additions that help to create and accelerate the wealth of its customers.
The policyholder has the choice of two investment strategies; one is the Self Managed option and the other is the Auto Rebalancing option. The Self Managed option gives the policyholder the freedom to manage his or her investment portfolio independently. There is a choice of six Unit Linked Fund options for the policyholder.
The Auto Rebalancing option is ideal for customers who do not wish to maintain their portfolio on a regular basis. The funds are allocated to the Flexi Cap Fund and Protector II Fund in proportions chosen by the policyholder.
Policyholders have the option to receive the Maturity Benefit as a lump sum or as structured payments using the Settlement Option facility
If the person insured passes away, the nominee receives the Death Benefit. The Death Benefit payable is higher of the following:
(1) The Single Premium Fund Value, or
(2) The Sum Assured less Partial Withdrawals or
(3) 105% of the Single Premium paid.
The Stop Loss option is available on the Flexi Cap Fund. It is used to protect policyholders from market downswings.
Tax benefits are available under this policy as per the Income Tax Act under sections 80 (C) and 10(10D).
Loyalty Additions are available with this policy. The percentage of Loyalty Additions varies, according to the size of the Single Premium. It is credited to the policy at the end of every Policy year starting from the sixth year to the tenth year.
Partial withdrawals are permitted after five years from the commencement of the policy. After five years, partial withdrawals can be made, subject to the condition that the withdrawal amount is a minimum of Rs. 5000 and should not exceed 5% of the Total Fund Value.
Additional Features or Riders
There are various charges that apply to this policy. They are as follows:
Premium Allocation Charge is deducted from the Single Premium paid by the customer. The balance is invested to buy units
Policy Administration Charge is deducted by the cancellation of units on a monthly basis.
Fund Management Charges are adjusted while calculating the NAV of the Unit Linked Funds each day.
At the beginning of each month, Mortality Charges are deducted by cancellation of units at the relevant NAV.
Switching Charge – There is a limit of four free switches allowed in a single policy year. Subsequently each switch is charged at Rs. 250.
Partial Withdrawal Charge – This policy allows one partial withdrawal free of cost in a policy year from the Top Up Fund or the Single Premium. For subsequent withdrawals, there is a charge Rs. 250 per withdrawal.
Miscellaneous Charge in which Rs.250 is levied for various alterations such as a change in the Base Sum Assured, Premium Redirection, etc.
The term insurance cover is void if the person insured, whether sane or insane at the time, commits suicide within one year from the start of the policy cover. The company will refund only Fund Value in the unit account as on the date of death. The same is applicable if the person insured commits suicide within one year from the date of last reinstatement. Any charges that are recovered subsequent to the date of death will be paid back to the nominee along with the Death Benefit.