IDBI Federal Wealthsurance Suvidha Growth Insurance Plan

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IDBI Federal Wealth insurance Suvidha Growth Insurance Plan is a Unit Linked plan through which the policyholder can reap the benefits of market growth and life insurance together under a single plan.

IDBI Federal Wealth insurance Suvidha Growth Insurance - Key Features 

  • As a ULIP Plan it provides an option of limited or regular option for payment of premium.
  • The fund value is boosted by guaranteed loyalty additions.        
  • The plan provides 2 fund options for investment: 
    • Equity Growth Fund
    • Income Fund 
  • The life insured can invest in any of the fund option according to their own choice or choose the systematic allocator option which initially invests 95% of the allocated premium in the income fund and gradually over the term, the percent is shifted to equity fund. 

IDBI Federal Wealth insurance Suvidha Growth Insurance - Benefits 

  • On the maturity of the policy, the policyholder receives the entire fund value.
  • The insured person may exercise the settlement option and can use the maturity fund value in instalments post maturity in a period of 5 years.
  •  At the end of 10th year of the policy and after that in every 5 years a guaranteed loyalty addition at an average fund value of 3 % over the last 3 years is paid to the insured.
  • On demise, higher of the basic sum assured or the fund value subject to a minimum of 105% of the total premiums paid is payable to the nominee.
  • The insured can save on taxes on the premium paid and the claim received as per section 80C and 10(10D) of Income Tax Act. 

IDBI Federal Wealth insurance Suvidha Growth Insurance - Product Specification:

 

Minimum

Maximum

Entry Age (Last Birthday)

1 month

 65 years

Maturity Age (Last Birthday)

18 years

75 years

Policy Term (PT) in years

10

20

Premium Paying Term (PPT) in years

10

Up to policy term

Premium Paying Frequency

Yearly

Yearly Premium

15,000

25,000

Sum Assured

10* annual premium

 

Details About Premium

Illustration for a policy term of 10 years and PPT 10 years 

Age

35 years

45 years

Premium

20,000

20,000

Sum Assured

200,000

200,000

Fund Value @ 4%

218,862

214,732

Fund Value @ 8%

272,642

268,108

Total Guaranteed Loyalty Additions @ 4%

5597

5485

Total Guaranteed Loyalty Additions @ 8%

6721

6601

 

IDBI Federal Wealth insurance Suvidha Growth Insurance - Policy Details 

Grace Period: The insured can clear all dues within the grace period of 30 days provided by the insurer to the policy owner. If, the insurance holder fails to pay the premium within the given time then the policy discontinues.  

Policy Termination or Surrender Benefit: The insured can surrender the policy once the 5 years of the policy is completed. If you surrender before the completion of 5 years, the fund value will be transferred to the discontinued policy fund. However, the discontinuation charge will be deducted from the fund value. In the discontinued policy fund, your money will be earning minimum 4% per annum growth. Once the 5 year of the policy is completed the fund value in discontinuation policy fund will be paid to the insured. After completion of 5 years, if the policy is surrender then the total fund value on the date will be paid to the insured without any charges. 

Free Look Period: If you are not pleased with the policy’s terms and conditions and coverage, you can opt for cancellation of the policy within 15 days of issuing of the policy documents, provided there has been no claim. 

Inclusion

  • The insured can do partial withdrawal after 5 policy years with a fund value of minimum Rs10,000 and a maximum 20%.
  • In order to change between the chosen funds an unlimited free switches are allowed.
  • The plan provides the facility of premium redirection to redirect the future premium.

Exclusions 

 The profit paid in case of suicide within a year of policy issued is the fund value as on that date. 

You may also Compare: IDBI Federal Life Investment Plans

Documents Required 

Policyholder has to fill up an Application form with accurate medical history along with the address proof and other KYC documents. Medical examination may be required in some cases, based on the sum assured and the age of the person. 

Frequently Asked Questions

1.   What are the special features of the policy?

The features offered by the policy are-

  • As a ULIP Plan it provides an option of limited or regular option for payment of premium.
  • The fund value is boosted by guaranteed loyalty additions.        
  • The plan provides 2 fund options for investment: 
    • Equity Growth Fund
    • Income Fund 
  • The life insured can invest in any of the fund option according to their own choice or choose the systematic allocator option which initially invests 95% of the allocated premium in the income fund and gradually over the term, the percent is shifted to equity fund. 

2.   What are the benefits offered by the plan?

The benefits that can be availed under the plan are-

  • On the maturity of the policy, the policyholder receives the entire fund value.
  • The insured person may exercise the settlement option and can use the maturity fund value in instalments post maturity in a period of 5 years.
  •  At the end of 10th year of the policy and after that in every 5 years a guaranteed loyalty addition at an average fund value of 3 % over the last 3 years is paid to the insured.
  • On demise, higher of the basic sum assured or the fund value subject to a minimum of 105% of the total premiums paid is payable to the nominee.
  • The insured can save on taxes on the premium paid and the claim received as per section 80C and 10(10D) of Income Tax Act. 

3.     What are the policy termination and surrender benefits offered by the policy?

The insured can surrender the policy once the 5 years of the policy is completed. If you surrender before the completion of 5 years, the fund value will be transferred to the discontinued policy fund. However, the discontinuation charge will be deducted from the fund value. In the discontinued policy fund, your money will be earning minimum 4% per annum growth. Once the 5 year of the policy is completed the fund value in discontinuation policy fund will be paid to the insured. After completion of 5 years, if the policy is surrender then the total fund value on the date will be paid to the insured without any charges. 

4.    What is excluded and included under the policy coverage?

Inclusion

  • The insured can do partial withdrawal after 5 policy years with a fund value of minimum Rs10,000 and a maximum 20%.
  • In order to change between the chosen funds an unlimited free switches are allowed.
  • The plan provides the facility of premium redirection to redirect the future premium.

Exclusions

 The profit paid in case of suicide within a year of policy issued is the fund value as on that date.