Bharti AXA Life Child Plans

Bharti AXA Life Insurance Company offers its customers a wide range of insurance plans in different categories to meet their requirements. Whether the requirement is for protection or for savings or for retirement, the company has a solution for every need. The child plans offered by the company are designed for the welfare of a child even in the absence of a parent.

Key Aspects of Bharti AXA Life Child Plans

The plans designed for the child generally do not cover the child’s life. The life covered is of the parent with a minor child. Underwriting is done on the parent’s life while the child’s details are given in the policy

Some common aspects of these plans include:

• There is a ‘deferment period’ in some child plans. Deferment is applied if the child’s life is insured. Under the clause, risk coverage will commence after the completion of some years. If the child dies during this period, the aggregate premiums paid till death is returned since life cover is not available during that period.

• If the child is insured, he will become the policyholder when he attains 18 years. The process of reverting the ownership to the child is called Vesting.

• If the parent is insured and he dies, there will be no need to pay future premiums. It will be covered by the insurance company as per the provisions of the inbuilt waiver of premium benefit.

Bharti AXA Life Child Plans

Bharti AXA Life Insurance Company offers child plans that are packed with different benefits to provide complete future protection to the child. Let us understand these plans in detail:

1. Bharti AXA Life Child Advantage Plan

   It’s a traditional child plan which promises guaranteed returns and participates in the profits of the company by way of earning bonuses. The important aspects of this plan are mentioned hereunder:

   • There are two types of Maturity Benefit options to choose from –

     • Endowment Option - 125% of Sum Assured and accrued simple reversionary bonuses with any Terminal Bonus is paid on maturity.

     • Money Back Option, Guaranteed Payouts are paid every year in the last 5 policy years. 10% of Sum Assured in the last 5th and 4th years, 15% of Sum Assured in the last 3rd and 2nd years and 20% of the Sum Assured in the last year before maturity. On maturity, 40% of Sum Assured and accrued simple reversionary bonuses and any Terminal Bonus are paid.

   • In the event of death of the parent, the death benefit payable will be higher of Sum Assured payable on maturity or 11 times the premium or the basic Sum Assured or 105% of total premiums paid.

   • There is an inbuilt Premium Waiver Rider under which all future premiums are waived off on the death of the parent but the plan continues unaffected. The promised benefits also accrue as and when they fall due.

   • Bharti AXA Hospi Cash Rider and Bharti AXA Accidental Benefit Rider can be added to the plan for a more comprehensive coverage.

   Eligibility Details

   	Minimum	Maximum
   Entry Age	18 years	Regular pay - 50 years Limited pay – 55 years
   Maturity Age	-	Regular pay – 71 years Limited pay – 76 years
   Policy Term	11 years	21 years
   Sum Assured	Rs.25, 000	No limit
   Annual Premium Amount	Depends on the cover, age, term and PPT
   Premium Payment Term	Equal to plan term or (Term – 5 years)
   Premium Payment Frequency	Yearly, half-yearly, quarterly or monthly

2. Bharti AXA Life Shining Stars

   This Bharti AXA child insurance plan offers parents an opportunity to save for their child’s future while also protecting them in case of uncertainties such as the death of a parent. Here are some important aspects about the Bharti AXA Life Shining Stars plan –

   • It offers flexibility in the policy term and premium paying term with a total of 9 different options.

   • It acts as a triple benefit child plan offering the following 3 benefits to the child on the death of the parent –

     • Death benefit amount

     • Waiver of premiums

     • Maturity benefit at the end of the policy term

   • You get to choose from 2 maturity payout options –

     • Flexi Payout – You can choose to receive the maturity benefit at any year of your choice during the maturity period.

     • Annual Payout – You can choose to receive the whole amount as a lump sum. You can select one according to whichever milestone your child is at.

   • You can also pay a single premium amount at the time of buying to avoid paying premiums regularly.

   Eligibility Details

   Parameters	Details
   Policy Tenure	12-20 years
   Premium Paying Term	7-15 years
   Premium Paying Mode	Monthly, quarterly, semi-annually, & annually
   Entry Age	18-60 years
   Maturity Age	72-80 years
   Sum Assured	Min- Rs. 50,000 Max- No limit; subject to underwriting norms

3. Bharti AXA Life Elite Advantage

   This is a long-term savings plan for your kids that offers benefits at regular intervals to help you meet your child’s key education milestones. Here are the key features related to this child education plan by Bharti AXA Life –

   • You can choose to pay premiums for 5, 7, or 12 years, based on which the policy term is selected.

   • On the death of the parent, the child is entitled to the highest of 11 times the annual premium, sum assured on maturity, or 105% of the premiums paid until death.

   • If the life assured survives the whole term, 100% of the sum assured is paid out in the 20th year.

   • Guaranteed payouts are offered as a percent of the sum assured on specific policy years.

   Eligibility Details

   Minimum	Maximum
   Entry Age (Last Birthday)	6 years	65 years
   Maturity Age (Last Birthday)	-	77 years
   Policy Term (PT) in years	10 or 12
   Premium Paying Term (PPT) in years	5 for 10 year term 7 / 12 for 12 year term
   Premium Paying Frequency	Annual, half-yearly, quarterly
   Yearly Premium	12,000	No limit
   Sum Assured	Depends on the premium chosen

Child Savings Plan vs Sukanya Samriddhi Yojana Scheme and Public Provident Fund

Applying for a Child Plan from the company:

1. Online

   The company offers specific plans which are available online only. The customer 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.

2. 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 Child Plans through PolicyBazaar

• On the PolicyBazaar homepage, click on Child Plans 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 from 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. Fill in the necessary details to buy the plan.

Why buying a child plan is important?

Planning for your child’s future if you have a child is a very important aspect of your future planning. A child plan takes care of this planning and is the complete solution for planning your child’s future. Essentially, this type of insurance plan should be taken for a longer tenure. Here are some reasons why.

• Your child would require more financial help in the later stages of his life when he seeks admission into a good college or when he wants to pursue a specialized post-graduate education.

• Even planning for your child’s marriage would require substantial funds.

• When taken for a longer tenure, the plan involves paying a small premium every year which goes towards building a substantial corpus.

• On maturity, the resultant fund is sufficient enough to provide for huge expenses which would require a lump sum amount.

Even if the parent dies, the fund creation does not go to waste because of the inbuilt rider clause. The company keeps on crediting the required premium in the policy and the fund at the end of the tenure comes out to be the same as was originally planned. This is perhaps the best feature of Bharti AXA child plans because in case of other investments, the savings stop when the investor dies. By promising continuity, the child plan helps in maintaining the corpus which the parent had initially planned for.