ICICI Prudential Elite Life II Plan

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Introduction/Overview 

ICICI Prudential Elite Life II Plan is a non-participating Unit Linked Plan combining the benefits of wealth maximization through participation in capital markets and life insurance cover. 

ICICI Prudential Elite Life II Plan - Key Features 

  • It is a ULIP plan with Limited Pay, Single Pay and Regular Pay options.
  • Two investment strategies are offered under this plan- Fixed Portfolio Strategy, where there is a choice of 8 funds for investment purposes and Lifecycle based Portfolio Strategy where the investment choice depends on the age of the policyholder.
  • The following 7 funds are available for investment under the Fixed Portfolio Strategy: 
      • Opportunities Fund
      • Multi Cap Growth Fund
      • Blue Chip Fund
      • Maximizer V
      • Multi Cap Balanced Fund
      • Income Fund
      • Money Market Fund 
  • Under the Fixed Portfolio Strategy, there is also a choice of Automatic Transfer Strategy (ATS) where all or a part of the investment is allocated in Money Market or Income Fund and then gradually, the investment is transferred to any of the remaining 7 funds every month throughout the policy term.
  • Under the Lifecycle based Portfolio Strategy, the investment is split in a fixed ratio between the Multi Cap Growth Fund and Income Fund depending on the age of the policyholder.
  • This ratio is balanced quarterly for uniformity and towards maturity; the fund is sent to the Income Fund so that your money stays protected against market volatility.
  • Loyalty Additions, Additional Loyalty Additions and Wealth Boosters enhance the Fund Value. 

ICICI Prudential Elite Life II Plan - Benefits 

  • The insured will get the total fund value including top-up fund value on maturity.
  • Maturity Proceeds can be availed in equal instalments over a period of 5 years, after the policy matures, through the settlement option.
  • On demise of the policyholder, higher of the sum assured including top-up sum assured excluding the partial withdrawals or fund value including top-up fund value or minimum death benefit is payable.
  • The Minimum death benefit is defined as 105% of all premiums paid.
  • Loyalty additions and additional loyalty additions are added from the 6th policy year at 0.30% from 6th year to 10th year and 0.50% from 11th year onwards. The percentage is calculated on the Fund Value as in that year.
  • From the end of the 10th policy year and every 5 years thereafter, wealth boosters are added to the fund value @ 1.50% of the average fund value including top-up fund value over the last eight quarters.
  • Income tax benefit is provided on the premium paid on the claims offered by the insurer. 

ICICI Prudential Elite Life II Plan - Product Specification:

 

Minimum

Maximum

Entry Age (Last Birthday)

0 years

 Single pay -69 years

Regular pay – 69 years

Limited pay – 55 years

Maturity Age (Last Birthday)

18 years

Single pay - 79 years

Regular pay – 79 years

Limited pay – 75 years

Policy Term (PT) in years

10

30

Premium Paying Term (PPT) in years

Single Pay or 5 Pay or equal to policy term

Premium Paying Frequency

Yearly, half-yearly, monthly or Single

Yearly Premium

200,000

No limit

Sum Assured

Limited & Regular Pay – Higher of 10*annual premium or 0.5*term*annual premium for ages<45 yrs. or higher of 7*annual premium or 0.25*term*annual premium for ages>=45 yrs.

Single Pay – 1.25*SP

Limited & Regular Pay – as per SA multiples

Single Pay – 10*SP for ages<40 yrs. or 1.25*SP for ages>=40 yrs.

 

Details About Premium

Illustration for a policy term of 20 years:

 

5 Pay

Regular Pay

Age

35 years

35 years

Premium

200,000

20,00,000

Sum Assured

500,000

500,000

Fund Value @ 4%

15,06,054

30,72,186

Fund Value @ 8%

55,30,451

86,81,281

 

ICICI Prudential Elite Life II Plan - Policy Details 

Grace Period: 15 days for monthly mode and 30 days for other modes. 

Policy Termination or Surrender Benefit: Policyholder is allowed to surrender the policy after 5 policy years. If the plan is surrendered prior to the completion of 5 years, the fund value net of discontinuation charge will be credited to the Discontinued Policy Fund in which the money is expected to earn a minimum of 4% p.a. growth. After the first 5 years are complete, the fund value in the Discontinued Policy fund as on that date will be given to the policyholder. If the plan is surrendered after 5 completed policy years, the policyholder will receive the entire Fund value on the date of surrender without any charges. 

Free Look Period - If an insured person is dissatisfied with the coverage, terms and conditions of the policy, then he/she can take advantage of the free look period. Under the Free Look Period Option, the insured can cancel the policy within 15 days of policy issuing. 

Inclusions 

  • Free Partial withdrawals are allowed every year, provided the aggregate of the money should be a maximum of 20% of the Fund Value.
  • Switching between funds is allowed for required investment portfolio.
  • Top-ups are allowed to increase the Fund Value. The minimum amount of top-up is Rs.2000.
  • The policyholder can change between the portfolio strategies chosen once every year, free of cost.
  • Future premiums can be redirected to a new fund via the Premium Redirection option. 

Additional Features or Riders 

The Sum Assured, the policy term and the PPT can be increased or decreased subject to certain terms and conditions. 

Exclusions 

The benefit paid in case the insured commits suicide within 12 months of policy inception or revival is equal to the fund value including Top-up Fund Value as on that date. Any increase in Sum Assured will not be applicable. 

Documents Required for ICICI Prudential Elite Life II Plan

Address proof, KYC Documents, application form etc. 

You may also like to read: ICICI Prudential ULIP Plans

Frequently Asked Questions

1.     What are two investment strategies that come under the policy feature?

The two investment strategies that come under the policy feature are-

1)     Fixed Portfolio Strategy where there is a choice of 8 funds for investment purposes.

2)    Lifecycle based Portfolio Strategy where the investment choice depends on the age of the policyholder. Under this policy, there is a choice of 7 funds.