Max Life Child Plans

It thus especially focuses to the need of a parent for the future of the child and not for others.

Why Child Plan?

If you want to know why you need a child plan, well the answer can be long and detailed. But to put it in a simple way, let’s just say that as an intelligent and modern parent, you need to secure your child’s future. And when the mode to secure is served to you on a platter, why would you not want it? The child plans available today literally come to you as a boon and help you in planning your child’s future in a systematic and smooth manner.

Thus a child’s life as well as a parent’s mental peace is secured at the same time with a child plan. Thus it makes sense for each and every parent to start planning for his child’s future and start saving and also investing for the same.

Max Life Insurance Company Limited is a joint venture between Max India Limited, a leading multi-business corporate and Mitsui Suimoto Insurance Company Limited which is member of MS & AD Insurance Group, a leader in the general insurance sector across the world. The rich experience of both the companies has made Max Life one of the leaders in the Indian Insurance Industry. As in the year 2013 – 14, Max Life Insurance Company Limited has been ranked among the life insurers in India with a market share of 10.30%. The company is counted amongst the fastest growing life insurance businesses with the Gross Written Premium of Rs.7279 crores and declaring a shareholder’s profit of Rs.436 crores post taxation. The company offers a range of products which meet the need of every individual.

Max Life Child Plans

Max Life Insurance Company currently offers a single type of child education plan to its customers. Let us consider the plan which the company has in its kitty and what it offers in terms of benefits:

Max Life Shiksha Plus Super

Is a unit linked child plan designed to provide market related returns to boost wealth creation for the child’s future and also life insurance protection for coverage purposes. The plan’s benefit structure is detailed below:

• The plan can be taken by individuals who have a child aged 0 to 18 years.

• Premiums under the plan can be paid for a limited tenure under the Limited pay option or for the entire duration of the plan under the Regular Pay Option of premium payment.

• The premium net of the applicable charges can be invested by the policyholder himself among a choice of 5 fund options of can be chosen to be invested as per two different pre-defined strategies of Systematic Transfer Plan and Dynamic Fund Allocation.

• Under the Systematic Transfer Plan option, the concept of rupee cost averaging is used and the net premium is initially invested in the Secure Plus Fund and thereafter every month, a proportion of the premium is transferred to the Growth Plus Fund

• Under the Dynamic Fund Allocation option, the premium is invested initially in the Growth Super Fund and thereafter, as the plan approaches maturity, the funds are transferred to the Secure Fund to prevent the fund against market volatility. A specified ratio of the fund is maintained in both the fund options and the ratio changes as the plan progresses.

• If the policyholder choose to make the investment decisions himself, the company offers him a choice of 5 funds to choose from which are Growth Super Fund, Growth Fund, Balanced Fund, Conservative Fund and Secure Fund

• Guaranteed Loyalty Additions @0.20% of the Fund Value is added to the fund value from the 11th policy year. This ratio increases by 0.02% every year.

• On maturity of the plan, the Fund Value is paid to the policyholder which he can choose to take at once or in 5 instalments over a course of 5 years after maturity through Settlement Option

• In case of the insured dying, higher of the Fund Value or 105% of premiums paid till the date of death or (0.5*annual premium*term) is paid to the nominee

• The plan has a unique feature of Family Income Benefit under which, after the death of the insured during the tenure of the plan, 10% of the chosen Sum Assured is paid every year till the end of the plan tenure subject to a minimum of 3 payments and a maximum of 10 payments.

• Under another benefit called the Funding of Future Premiums, in case of death of the insured during the tenure of the plan, the company waives off the premiums and pays it towards the plan itself. On maturity of the plan, the applicable fund value is payable

• Two free partial withdrawals are allowed every year after 5 policy years with a minimum value of Rs.5000

• 12 free switches are allowed every year to change between funds

• 6 free premium redirections are allowed every year to redirect future premium into another fund than which was originally selected.

Eligibility Details

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 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

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

• 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. Fill in the necessary details to buy the plan.

Max Life Child Plans - FAQ