Compare Unit Linked Insurance Plan (ULIP)

A Unit Linked Insurance Plan ( ULIP), is a financial product that combines investment as well as insurance. In an ULIP the premium amount, after deduction of charges, is invested into funds of your choice. The fund could be equity based, debt based etc. The performance of the fund will depend on the market. You can switch between the funds. The features of ULIP are similar to those of mutual funds except that ULIP's are investment products with insurance benefits. Since Ulips are insurance plans, the gains and maturity proceeds are tax-free under Section 10(10d). We at RupayaBazaar.com provide you all information regarding health insurance. Thus, we recommend our viewers COMPARE BEFORE TAKEN UNIT LINKED INSURANCE PLAN.

Company Name Plan Name Entry Age Maturity Age Policy Term Sum Assured Premium Payment Term Premium Mode Download Brochur For More Detail & Apply Online
  Aegon life future protect plus insurance plan Minimum - 7 years last birthday
Maximum - 50 years last birthday
Maximum - 70 years last birthday 15 / 20 / 25 Years Minimum: Higher of 7 times of Regular
AP or (0.25 x Policy Term x AP)
Maximum: 10 times of Regular AP
Equal to the policy term Yearly, Half-yearly, Monthly Download  Apply
  Aviva i Growth Minimum - 18 years last birthday
Maximum - 50 years last birthday
Maximum - 60 years last birthday 10, 15 or 20 Years (subject to maximum maturity age)  Minimum Sum Assured: Rs 3,50,000
Maximum Sum : Rs. 30,00,0,00
Equal to the policy term Yearly, Half-yearly, Quarterly, Monthly Download   Apply
  Bajaj Allianz Future Gain Minimum - 1 years last birthday
Maximum - 60 years last birthday
Minimum - 18 years
Maximum - 70 years

Minimum Policy Term : 10 years

Maximum Policy Term : 30 Years

Minimum: Higher of years  7 times Annualized Premium  0.25 * Policy term * Annualized Premium
Maximum: X* Annualized Premium, where X is based on age at entry and Policy term
5 to 30 years Yearly, Half Yearly, Quarterly and Monthly  Download  Apply
  Bharti AXA Life
Future Invest Plan 
Minimum - 18 years

Maximum - 59 years 

Maximum - 69 years  10 Years For PPT Single Pay
125% of Single Premium

For PPT 5 Years
Higher of 10 times Annualized Premium
Or (0.5* Policy Term* annualized premium) 

Single Pay and 5 Pay Single/ Annual/ Semi Annual/ Quarterly/ Monthly Download   Apply
  Birla Sun Life Insurance
Wealth Aspire Plan
Minimum - 30 Days

Maximum - 60 years 

18 to 70 years Min : 10 Years
Max : 40 Years
Rs. 3,00,000 5 to 40 years monthly,  quarterly,  semi-annual  or 
annual instalments
Download   Apply
  Canara HSBC Platinum Plus Plan Minimum: 0 years

Maximum: 70 years

Minimum - 18 years
Maximum - 80 years
Min : 10 Years
Max : 30 Years
Minimum: Higher of (0.25 x Policy Term x Annualized Premium^)Or 7 x Annualized Premium
Maximum: subject to Underwriting acceptance 
Limited: 5 /7/10/15 years

Regular : Equal to Policy Term

Annual
Monthly
Download   Apply
   Edelweiss Tokio Wealth Accumulation minimum : 5 years

maximum : 65 years

minimum : 18 years

maximum : 75 years

10, 15, 20, 25 and 30 years Minimum: AP × Higher of (7, 0.25 × PT)
Macimum: AP × 20
regular Premium: same as Policy Term

limited Premium: 5/ 7/ 10 years

monthly, quarterly, semi-annually or annually Download   Apply
  Exide Life Wealth Maxima Minimum: 0 Years

Maximum:  65 Years 

Minimum: 65 Years
Maximum: 75 years
10, 15 to 20 Y
ears
For age till 44: Annualized premium x 10 For age above  44: Annualized Premium x (7 or 10 Same as policy term Annual, Half-Yearly
, Monthly
 Download  Apply
  Future Generali Pramukh Nivesh Minimum: 7 years
Maximum: 70 years 
Minimum: 18 years
Maximum: 75 years
Minimum : 5 years
Maximum: 20 years
Single Premium x 1.25 Single Premium Only Single Premium Only Download  Apply
  HDFC Life ProGrowth Plus  Minimum: 14 years

Maximum: 55 years

For Life Option - 75 Years

For Extra Life Option - 70 Years

Minimum : 10 years
Maximum: 30 years
Minimum: Higher   of   7x   annualised   premium   or
0.25 x policy term x annualised premium
Maximum: 40,00,000.
Same as policy term Annual, Half-Yearly
, Monthly
 Download  Apply
  ICICI Pru Wealth Builder II Minimum entry age: 0 years
Maximum entry age: One Pay - 69 years, Limited Pay - 55years, Regular Pay - 65 years
Minimum : 18 years
Maximum : 79 years
10,15,20,25 Years Minimum : Higher of (7 X Annual Premium) and (0.25 X Policy term X Annual Premium
Maximum : Sum Assured Multiples depends on age
Single Premium,
OR
5,7 or 10 Years
OR
Equal to Policy Term
Single, Yearly, Hail-Yearly, Monthly Download   Apply
  IDBI Federal Wealth Gain Insurance Minimum: 5 years
Maximum: 60 years 
Minimum: 18 years
Maximum: 74 years
10 / 15 / 20 years 10 times the Annualized Premium or
0.5 x Policy Term x Annualized Premium
For ages below 50 years : 5 / 10 / 15/ 20 years
For age 50 years and above : 10 / 15/ 20 years
Monthly and Annually  Download  Apply
  Market Plus 1  Minimum: 5 years
Maximum: 80 years 
Minimum: 40 years
Maximum: 85 years
Minimum: 5 years
Maximum: 67 years 
NIL Minimum Deferment Term

Regular Premium - 10 Years
Single Premium - 5 Years

Single, Yearly, Hail-Yearly, Quarterly Monthly Download   Apply
  Max Life Fast Track Super Minimum Entry Age 18 years
Maximum Entry Age 60 years
70 years 10 years for Single Pay/5 Pay and 20 years for Regular Pay Minimum:
Single Pay 125,000
5 Pay 500,000
Regular Pay 250,000

Maximum: No Limit

Single Pay/ 5 years (5 Pay) / 20 years (Regular Pay) Annual, Semi
-
annual,
Quarterly, Monthly
Download   Apply
  Kotak
Platinum
Min: 0 years
Max: 65 years
Min: 18 years
Max: 75 years
10 to 30 years Minimum: Higher of 10 times AP or 0.5* Policy T
erm * AP
Maximum: 10 times AP except for 5 PPT which is 7 times AP
Regular Pay
Limited Pay
Yearly
Half-yearly
Quarterly and Monthly
Download  Apply
  PNB MetLife Smart Platinum  Min: 7 years
Max: 70 years
  100-Age at Entry Depends on Age of the Policyholder 5 pay/ 10pay/ entire term of the policy Annual, Semi-Annual, Monthly, Quarterly Download   Apply
  Reliance Life Classic Plan II Min: 7 years
Max: 60 years
Min: 22 years
Max: 75 years
15 to 30 years For Regular
Higher of 7 times of
the annualised
premium or 1/2*
policy term
*Annualised premium

For Single
110% of the single
premium
Max:- 5 Lakhs

Regular
Equal to policy term

Single
One-time payment

Yearly, Half-Yearly and Monthly for Regular Premium policy Download  Apply
  Sahara Sugam Jeevan Bima Min: 10 years
Max: 55 years
Min: 20 years
Max: 70 years
10 Years or 15 Years or 20 Years. Sum Assured = 10 times of Annualised Premium Same as policy term Yearly Download  Apply
  SBI Life - Smart Wealth Assure Min: 8 years 
Max: 65 years
Min: 18 years
Max: 75 years
10 to 30 Years (both inclusive) Minimum: 1.10 x SP
Maximum: 3 x SP
Single Premium (SP) Single Premium (SP) Download  Apply
  Tata AIA Life Insurance Fortune Maxima Min: 0 years (30 days)
Max: 60 Years
Max: 100 Years 100 minus Issue age For Single Pay – 1.25 times the Single Premium
For Limited Pay –
Higher of (10*AP) OR (0.5*Policy Term*AP)
Single Pay
Limited
Pay
–7/8/9/10/15
and 20 years
Single, Annual, Semi-Annual,
Quarterly, Monthly
Download   Apply

 

Comparison between ULIPs, Insurance plan(non Term) and Mutual Funds

 

ULIPs Traditional Insurance Plans(Non term plans) Mutual Funds
A ULIP is an insurance cum investment plan and returns solely depends on the market performance. Traditional plan(ex Endowment, Moneyback) is an insurance cum investment plan that promises both risk cover and returns to the investor. A mutual fund is a pure investment product that gives market linked returns. There’s no risk cover.
The money is invested in debt, equity and hybrid funds which can be chosen as per risk capacity. One can switch between funds The money is invested only in debt instruments. The money is  invested in equities, debts and other money market instruments depending on the fund.
You can withdraw the money but only after the lock in period (currently 5 years). Traditional Plan locks in your funds. You can’t withdraw the money before maturity. No lock-in period. Exiting from the funds is easy.
ULIps offer tax benefits under section 80C Insurance plan offer tax benefits under section 80C Only investments in ELSS funds are eligible for section 80C benefits
Unit Linked Plans (ULIP) allows you to switch your investment between the funds linked to the plan. No switching option No switching option is available. If you are not satisfied with the performance of the fund you can exit completely from the same by paying exit charges, if applicable
Charges in ULIP include mortality charges, premium allocation charge, fund management charge and administration charges Charges include commission paid to the insurance agent, administration charges towards your policy, mortality charges, etc. Mutual fund charges include an entry load, the annual fund management charge and an exit load, if applicable.

 

FAQ on Unit Linked Insurance

The allocated (invested) portions of the premiums after deducting for all the charges and premium for risk cover under all policies in a particular fund as chosen by the policyholders are pooled together to form a Unit fund.
It is a component of the Fund in a Unit Linked Policy.
Investment returns from ULIP may not be guaranteed.” In unit linked products/policies, the investment risk in investment portfolio is borne by the policy holder”. Depending upon the performance of the unit linked fund(s) chosen; the policy holder may achieve gains or losses on his/her investments. It should also be noted that the past returns of a fund are not necessarily indicative of the future performance of the fund.
ULIPs offered by different insurers have varying charge structures. Broadly, the different types of fees and charges are given below. However it may be noted that insurers have the right to revise fees and charges over a period of time. Premium Allocation Charge This is a percentage of the premium appropriated towards charges before allocating the units under the policy. This charge normally includes initial and renewal expenses apart from commission expenses. Mortality Charges These are charges to provide for the cost of insurance coverage under the plan. Mortality charges depend on number of factors such as age, amount of coverage, state of health etc. Fund Management Fees These are fees levied for management of the fund(s) and are deducted before arriving at the Net Asset Value (NAV) . Policy/ Administration Charges These are the fees for administration of the plan and levied by cancellation of units. This could be flat throughout the policy term or vary at a pre-determined rate. Surrender Charges A surrender charge may be deducted for premature partial or full encashment of units wherever applicable, as mentioned in the policy conditions. Fund Switching Charge Generally a limited number of fund switches may be allowed each year without charge, with subsequent switches, subject to a charge. Service Tax Deductions Before allotment of the units the applicable service tax is deducted from the risk portion of the premium. Investors may note, that the portion of the premium after deducting for all charges and premium for risk cover is utilized for purchasing units.
One has to verify the approved sales brochure for • all the charges deductible under the policy • payment on premature surrender • features and benefits • limitations and exclusions • lapsation and its consequences • other disclosures • Illustration projecting benefits payable in two scenarios of 6% and 10% returns as prescribed by the life insurance council.
The full amount of premium paid is not allocated to purchase units. Insurers allot units on the portion of the premium remaining after providing for various charges, fees and deductions. However the quantum of premium used to purchase units varies from product to product. The total monetary value of the units allocated is invariably less than the amount of premium paid because the charges are first deducted from the premium collected and the remaining amount is used for allocating units.
The policyholder can seek refund of premiums if he disagrees with the terms and conditions of the policy, within 15 days of receipt of the policy document (Free Look period). The policyholder shall be refunded the fund value including charges levied through cancellation of units subject to deduction of expenses towards medical examination, stamp duty and proportionate risk premium for the period of cover.
NAV is the value of each unit of the fund on a given day. The NAV of each fund is displayed on the website of the respective insurers.
The value of the fund units with bonuses, if any is payable on maturity of the policy.
The Sum Assured and/or value of the fund units is normally payable to the beneficiaries in the event of risk to the life assured during the term as per the policy conditions.