Edelweiss Tokio Life Wealth Ultima Plan

What is Edelweiss Tokio Life Wealth Ultima Plan?

Edelweiss Tokio Life Wealth Ultima is a Unit Linked Insurance Plan (ULIP) that offers a systematic approach to wealth creation and protection. 

• The Wealth Ultima Plan is the best investment option that also allows you to pay monthly premiums under its Systematic Monthly Plan. This helps to safeguard you against market fluctuations.

• You can choose from a variety of investment options using Systematic Transfer Plan (STP) or a Self-Managed Strategy

• The option to make regular withdrawals from your investment fund is allowed through a Systematic Withdrawal Plan (SWP)

• The plan also offers life cover, guaranteed additions, and income tax benefits 

What are the Features of the Edelweiss Tokio Wealth Ultima Plan?

Let us learn the key features of the Edelweiss Tokio Wealth Ultima Plan from the table mentioned below:

What are the Eligibility Criteria of Edelweiss Tokio Wealth Ultima Plan?

The essential eligibility criteria to buy the Wealth Ultima Plan are as follows:

What are the Benefits of Edelweiss Tokio Wealth Ultima Plan?

Edelweiss Tokio Life Wealth Ultima plan provides the policyholders with the following benefits:

1. Maturity Benefit:

   If you survive till the end of the Policy Term, the total Fund Value is paid as a maturity benefit. Under the Settlement Option, you can receive the benefit in lump sum or regular instalments.

2. Death Benefit: 

   In your absence, your beneficiary will receive a death benefit, as per the following:

   • If your unforeseen death is within 1 year of the policy, the death benefit is the sum of higher of:

   • Total Fund Value; OR

   • 105% of Total Premium Payments

   AND

   • Total Top-up Fund Value; OR

   • 10% of Total Top-up Premium Payments

   • If your unforeseen death is at 1 year & above of purchasing the policy, the death benefit is the sum of higher of:

   • Total Fund Value; OR

   • Sum Assured – Partial Withdrawals; OR

   • 105% of Total Premium Payments

   AND

   • Total Top-up Fund Value; OR

   • Sum Assured u/ Top-Up Payments

   • 10% of Total Top-up Premium Payments

3. Tax Benefits: 

   Edelweiss Tokio Wealth Ultima offers a number of ULIP tax benefitss, including:

   • Tax deductions of up to ₹1,50,000 on the premiums paid towards the plan under Section 80C of the Income Tax Act, 1961

   • The maturity benefit received under the plan is tax-free in the hands of the receiver under Section 10(10D) of the Income Tax Act, 1961 

   • This can help you save money on your taxes and put more money towards growing your wealth

4. Flexible Investment Options: 

   You can choose from a wide range of investment options, including the following:

   • Equity funds

   • Debt funds

   • Hybrid funds

   This gives you the flexibility to choose the option that best suits your risk appetite and investment goals.

5. Guaranteed Additions:

   Edelweiss Tokio Life Wealth Ultima returns to offer a number of guaranteed additions. 

   • These are the assured additions to your fund value from the end of 6th policy year up to the date of maturity

   • These guaranteed additions can help you grow your wealth faster and reach your financial goals sooner

   • 0.25% of average Fund Value of each day for a year is added as Guaranteed Additions

6. Loyalty additions: 

   The plan offers loyalty additions that are added to the fund value at the end of each policy year from 6th policy year. 

   • The additions are based on the performance of the underlying funds 

   • The loyalty additions are calculated as 0.15% of average Fund Value per day for an year

   • There are no loyalty additions for a policy with 5-year Premium Payment Term

7. Booster additions: 

   The plan offers booster additions that are added every 5-years to the fund value from the end of 10th policy year.

   • Booster additions are added in case of certain events, such as a child's birth or marriage. 

   • The booster additions are calculated as a percentage of average Fund Value per day for last 60 months

   • 2.75% booster additions are made at the end of 10th and 15th policy year

   • 3.50% booster additions are made at the end of 20th and every 5 policy year there onwards

8. Systematic Withdrawal Plan: 

   SWP is a good option for individuals who want to generate a regular income from their ULIP policy. It is also a good option for individuals who want to reduce the risk of market volatility by withdrawing money from their ULIP policy gradually.

9. Flexibility: 

   The plan offers a lot of flexibility in terms of the following factors:

   • You can decide on the premium payment, investment options, and withdrawals

   • You can choose to pay premiums monthly, quarterly, or annually

   • You can also select to invest your premiums in a mix of equity and debt funds

   • You can make regular withdrawals from your fund value after the 10-year lock-in period

How Does Edelweiss Tokio Life Wealth Ultima Plan Work?

Here are the steps on how Edelweiss Tokio Life Wealth Ultima Plan works:

Step 1: You choose the following details as per your need:

• Amount of Life Cover you want

• Premium Paying Term

• Policy Term of your plan

• Sum Assured Value

• Mode of Premium

Select the investment options you want your premiums to be invested in.

Step 2: Decide among the following choices:

• Systematic Transfer Plan (STP)

• Self-Managed Strategy

Step 3: You start paying premiums monthly or through other modes

Step 4: Your premiums are invested in the underlying funds and grow over time

Step 5: You can make regular withdrawals from your fund value using the optional Systematic Withdrawal Plan (SWP)

Step 6: Upon maturity of your policy, you will get maturity benefits as the Edelweiss Tokio Life Wealth Ultima Plan returns

Step 7: In the event of your demise, the nominee will receive the death benefits as life cover

Charges under the Edelweiss Tokio Life Wealth Ultima Plan

Following are the ULIP charges applicable to the policyholders:

Premium Allocation Charge:

• 1st Policy Year: 6% of Premium

• 2nd – 5th Policy Year: 4% of Premium

• Zero premium allocation charge from the 6th policy year onwards

Policy Administration Charge:

• 1st – 5th Policy Year: 1.65% p.a. of Annualised Premium (AP)

• 6th Policy Year Onwards: NIL

Fund Management Charges (FMC): 0.50% - 1.35% of the Fund Value (FV)

Surrender/Discontinuance Charges: 

• 1st – 4th Policy Year: 2% -6% of AP or FV

• 5th Policy Year Onwards: NIL

Switching charges: NIL

Premium Redirection charges: NIL

Partial Withdrawal Charges: NIL

Mortality Charges: Monthly mortality fees are reimbursed by the cancellation of units

Policy Details of Edelweiss Tokio Life Wealth Ultima Plan

The essential terms and conditions of Edelweiss Tokio Life Wealth Ultima Plan are mentioned in the table below:

Exclusion of Edelweiss Tokio Life Wealth Ultima Plan

Exclusions in Case of Suicide: 

• No death benefit is paid, if the policyholder dies within 12 months of policy term by suicide

• Full payment of death benefit is made, if the policyholder dies after 12 months of policy term by suicide

In Conclusion

Edelweiss Tokio Life Insurance Wealth Ultima is a ULIP plan that offers a variety of benefits, including the ability to accumulate wealth, grow your funds, and make regular withdrawals. 

The plan is designed to help you achieve your financial goals, such as securing your family's future financial needs or enjoying a stress-free retirement. 

If you are looking for a comprehensive life insurance plan to help you build your wealth and protect your loved ones, Edelweiss Tokio Life Insurance Wealth Ultima is a great option.