Aviva Life ULIP Plans

The company boasts of being among the first companies to introduce modern unit-linked and unitized with-profit plans. The company leads the market in protection and child plans with world-class products and a strong sales force.

What are ULIPs?

Unit Linked Insurance Plans (ULIPs) are insurance plans combined with the features of a mutual fund. The premiums paid by the policyholder are held in a corpus which is then invested in stocks and shares of different companies operating in the capital market. The total market value of the corpus invested divided by the number of securities purchased give the Net Asset Value (NAV) which is the price of one unit of the fund. The premium paid is invested at the prevailing NAV which changes every moment with the market trend. ULIPs promise good returns linked to the market and also insurance coverage. The basic features of ULIPs are as follows:

• The premium paid is invested in a choice of funds offered by the company. Each fund represents different risk criteria. The basic funds offered are Equity Fund which has a high risk, Debt Fund which has low risk and Balanced Fund a mix of Equity and Debt Fund with a moderate risk. The returns are directly related to the risk profile of the fund.
• Applicable charges are deducted from the premium paid for insurance coverage, administration charge, fund management charge, etc.
• Insurance coverage depends on the amount of premium paid
• The premiums are to be locked-in for 5 years after which partial withdrawals are allowed from the fund value
• Switching option is available which enables the policyholder to switch his investment between funds

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply

Aviva ULIP Plans

Aviva Life Insurance Company offers various types of unit linked insurance plans to its customers to meet their requirements of savings and market linked growth while at the same time providing insurance coverage. Let us take a detailed look at the various types of ULIP plans offered by the company and the features and benefits of each of them.

Aviva Life Bond Advantage Plan – a unit linked insurance plan that gives market linked returns and also provides life insurance coverage. The features and benefits of the plan are as follows:

• Premium under the plan is paid one time only at the commencement of the plan under the Single Pay option of premium payment.
  • The premium net of applicable charges can be invested by the policyholder in a choice of seven funds for investment. The funds are Balanced Fund II, Bond Fund II, Enhancer Fund II, Growth Fund II, Infrastructure Fund, Protector Fund II, and PSU Fund.
  • Loyalty Additions accrue at the end of the 10^th policy year @4% and thereafter @2% after every 10 years and are expressed as a percentage of the available fund value
  • On maturity, the Fund Value is payable which can either be availed in lumps um or in instalments over a period of 5 years post maturity under the Settlement Option feature
  • On death of the insured during the tenure of the plan, higher of the basic Sum Assured including any top-up Sum Assured net of partial withdrawals or the Fund Value including any top-up fund value 105% of all premiums paid till the date of death is paid to the nominee.
  • There is an inbuilt Accidental Death Benefit feature under which in case of accidental death of the insured, an additional Accidental Sum Assured is paid which is equal to the base Sum Assured subject to a maximum of Rs.50 lakhs
  • 4 free partial withdrawals are allowed every year with a minimum amount of Rs.5000
  • 12 free switches are allowed annually to change between funds

• Income tax benefit on the premium paid as per Section 80C and on claims under Section 10(10D) of the Income Tax Act.

Eligibility Details

Aviva Live Smart Plan– another unit linked insurance plan which promises attractive returns. The features and benefits of the plan are as follows:

• Premiums under the plan are required to be paid for the entire duration of the plan under the Regular Pay option of premium payment.
  • The premium net of applicable charges can be invested by the policyholder in a choice of seven funds for investment. The funds are Balanced Fund II, Bond Fund II, Enhancer Fund II, Growth Fund II, Infrastructure Fund, Protector Fund II, and PSU Fund.
  • Loyalty Additions accrue at the end of the plan tenure on maturity@1% of the fund value and is added to the fund value at maturity
  • On maturity, the Fund Value including any top-up fund value is payable which can either be availed in lumps um or in instalments over a period of 5 years post maturity under the Settlement Option feature
  • On death of the insured during the tenure of the plan, higher of the basic Sum Assured including any top-up Sum Assured net of partial withdrawals or 105% of all premiums paid till the date of death and the Fund Value including any top-up fund value is paid to the nominee.
  • There is an inbuilt Accidental Death Benefit feature under which in case of accidental death of the insured, an additional Accidental Sum Assured is paid which is equal to the base Sum Assured subject to a maximum of Rs.50 lakhs
  • The Sum Assured can be reduced by the policyholder as per his choice subject to certain terms and conditions
  • 4 free partial withdrawals are allowed every year with a minimum amount of Rs.5000
  • There is also an option of Systematic Partial Withdrawal after the completion of 5 policy years. Under this feature, 0.25% - 1% of the fund value every month multiplied by the premium paying frequency is automatically paid to the policyholder.
  • 12 free switches are allowed annually to change between funds and premium redirection facility is available to redirect future premiums into another fund.

• Income tax benefit on the premium paid as per Section 80C and on claims under Section 10(10D) of the Income Tax Act.

Eligibility Details

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply

Aviva i-Growth Plan –a unit linked insurance plan for capital appreciation and life insurance coverage. The features and benefits of the plan are as follows:

• Premiums under the plan are required to be paid for the entire duration of the plan under the Regular Pay option of premium payment.
• The premium net of applicable charges can be invested by the policyholder in a choice of three funds for investment. The funds are Balanced Fund II, Bond Fund II and Enhancer Fund II.
• The plan can be bought without undergoing any medical examinations by filling up a self-declaration of good health.
• Loyalty Additions are added in the last 3 policy years and the rate of additions depend on the policy tenure chosen.
  • On maturity, the Fund Value including any top-up fund value is payable which can either be availed in lumps um or in instalments over a period of 5 years post maturity under the Settlement Option feature
  • On death of the insured during the tenure of the plan, higher of the basic Sum Assured including any top-up Sum Assured net of partial withdrawals or 105% of all premiums paid till the date of death or the Fund Value including any top-up fund value is paid to the nominee.
  • There is an inbuilt Accidental Death Benefit feature under which in case of accidental death of the insured, an additional Accidental Sum Assured is paid which is equal to the base Sum Assured subject to a maximum of Rs.50 lakhs
  • The Sum Assured can be reduced by the policyholder as per his choice subject to certain terms and conditions
  • 4 free partial withdrawals are allowed every year with a minimum amount of Rs.5000.
  • 12 free switches are allowed annually to change between funds and premium redirection facility is available to redirect future premiums into another fund.

• Income tax benefit on the premium paid as per Section 80C and on claims under Section 10(10D) of the Income Tax Act.

Eligibility Details

Aviva Young Scholar Advantage Plan – a unit linked child plan with multiple investment options and enhanced benefits. Loyalty Additions increase the fund value. On maturity the fund value is paid which can also be availed in instalments under the Settlement Option. On death of the insured, higher of the basic Sum Assured including any top-up Sum Assured or 105% of all premiums paid till the date of death is paid immediately to the nominee. Moreover, all future premiums are waived off and the total of such premiums is credited to the Fund Value which grows for the remaining tenure. On maturity, the applicable fund value is paid to the nominee. There is an inbuilt Accidental Death Benefit feature under which in case of accidental death of the insured, an additional Accidental Sum Assured is paid which is equal to the base Sum Assured subject to a maximum of Rs.50 lakhs. Other features like switching and partial withdrawal are also available under the plan.

Applying for a Unit Linked Plan from the company:

Online

The company offers specific plans which are available online only. The customer only needs to log into the company’s website, choose the required plan, choose the coverage and provide the details. The premium will be determined using the filled details. The customer then needs to pay the premium online through credit card, debit card or net banking facilities and the policy will be issued

Intermediaries

Plans which are not available online can be purchased from agents, brokers, banks, etc. where the intermediaries help with the application process.

Applying For ULIPs through PolicyBazaar

• On the PolicyBazaar homepage, click on ULIPs under the Personal tab.
• Click New Quotes to compare and choose from top insurance providers.
• Fill your date of birth (DOB), whether you are a smoker/non-smoker, and the payout amount. On the basis of your payout amount, you will get an estimate of your premium. Next click Continue.
• Fill in your name, email address, city, country code, and mobile number. Click Continue.
• You will be taken to the Life Insurance quotes page where you will see life insurance quotes of more than 10 insurers. Next, choose the plan as per payment schedule – One Time Payout and Monthly Payout Plans.
• After reviewing and comparing each life insurance quote, click the premium amount to buy the desired plan.
• You will see a pop-up on the screen which will give you an overview of the chosen plan like premium, plan features, exclusions, additional riders, etc. Click Proceed.

This will take you to the insurer’s website. You will have to fill in the necessary details to buy the plan.

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply

Aviva Life Term Insurance Plans- FAQs