Max Life Online Savings Plan
Max Life Online Savings Plan is a unit-linked Non-Participating individual life insurance policy that provides financial coverage to the family of the life insured along with market-linked returns. Max Life Online savings policy has two variants to choose from, one providing more comprehensive death coverage, while the other guaranteeing more returns.
Max Life Online Savings Plan Details:
Variant 2: 5-30 years
- 5-52 years for maturity age of 70 years
- 10-67 years for maturity age of 71-85 years
|Premium Paying Term
Variant 2: 5 up to selected policy term
- 5 years up to selected policy term for maturity age of 70 years
- 10 years up to selected policy term for maturity age of 71-85 years
|Premium Paying Mode
||Yearly, Half-Yearly, Quarterly, Monthly
||Variant 1: 18-60 years Variant 2: 18-54 years
Variant 2: 64 years
- 85 years (for 10 pay variant)
- 70 years (for 5 pay variant)
||30 days (15 days for monthly premium payment)
||Minimum: Rs. 1,20,000/- Maximum: No upper limit
||Partial withdrawal allowed after 5 policy years, up to 50% of fund value. Loan facility not available under the plan
Benefits of Max Life Online Savings Policy
Max Life Online Savings Plan comes packed with a wide range of benefits to offer to its buyers. The main benefits offered under this plan are as follows:
- Maturity Benefits: Under both the variants, the life insured will receive an amount equal to the fund value as on the date of maturity as maturity benefit provided that the settlement option has not been exercised. Fund value shall be equal to total units held by the policy multiplied by Net Asset Value (NAV) of each unit.
- Death Benefits: The death benefits under the variants shall be as follows:
Variant 1: The death benefit shall be the highest of-
- Sum Assured, which shall be the higher of cover multiplied by the annual premium or 0.5 times the product.
- 105% of total premiums paid till the date of death
- Total fund value
Variant 2: The death benefit shall be-
- The highest of sum assured (higher of 10 times the annualised premium or 0.5 times the product) or 105% of total premiums paid by the life insured.
- Family monthly income benefit will be paid equal to 1% of the sum assured for a minimum of 36 months up to a maximum of 120 months from the policy anniversary date.
- Max Life Insurance shall fund all the remaining premiums following the next due installment date since the date of death.
- Fund value till the date of death
- Surrender Value: The life insured may at any time choose to surrender the plan during the policy term. The surrender value shall be equal to fund value minus the discontinuance charge.
- Tax Benefits: The policyholder will enjoy tax benefits against premiums paid and the receipt of maturity benefits as per The Income Tax Act, 1961.
*Subject to the prevailing tax laws
The Premiums for Max Life Online Savings Insurance
The Max Life Online Savings premium depends on the following factors:
- Plan variant chosen
- Age of the entry of the life insured
- Sum assured
- Premium payment frequency
There are other factors at play as well, like lifestyle habits of the life insured, gender, etc.
One can use the Max Life Online Savings calculator available online to determine premiums rates tailored to one's requirement.
Additional Riders for Max Life Online Savings Insurance
Max Life COVID 19 One Year Term Plus rider is offered by the company for additional benefits to the insured.
Eligibility for Max Life Online Savings Policy
The eligibility criteria for the plan are:
- Entry Age: 18 to 60 years for Variant 1
18-54 years for Variant 2
- Maturity Age: 85 years for Variant 1 (10 pay option)
70 years for Variant 1 (5 pay options)
65 years for Variant 2
What are the Documents Required to Buy this Policy?
The Max Life Online Savings plan can be bought by furnishing the following documents:
- Proof of age
- Residence proof
- Passport-size photograph
- Income proof
- Any other documents required by the insurer
How to Buy this Plan Online?
Max Life Online Savings plan can only be bought online:
Step 1: Visit the official website of Policybazaar and fill in the lead form with necessary details.
Step 2: Once the user fills in the details, they will be redirected to the quotes page where they can choose the plan variant, the sum assured, premium payment frequency, etc.
Step 3: Submission of all required documents online
Step 4: Subsequently, one can pay using their debit/credit card or net banking, and the policy will commence.
Exclusions of Max Life Online Savings Plan
Suppose the life insured commits suicide within 12 months from the commencement or revival of the policy. In that case, their nominees will receive a sum equal to the policy's fund value as on the date of communication of death.
Ans: No. The policyholder can switch between available funds any number of times in a given year without any extra charge levied. The minimum switch amount has to be Rs. 5,000/-. Upon intimation, the insurer shall redeem the unites held in a fund and invest than in the fund of the policy owner's choice.
Ans: The life insured can opt for a settlement option at least 15 days prior to the date of maturity. The case policy shall continue for a period not exceeding 5 years with a risk cover of 105% of the total premiums paid. The policyholder shall receive periodic payments of unit fund values cancelled at their present NAV.
Ans: Following at least 5 years from the commencement of risk, the life insured has the option to reduce their premium rate by up to 50% of the original amount by intimating the insurer at least 15 days prior to the due date. Exercising this option would reduce the sum assured proportionately. Once accepted by the insurer, the reduced premium cannot be increased anytime during the policy term.
Ans: The following additional charges are levied under the Max Life Online Savings policy:
- Fund Management Charge
- Mortality Charge
- Surrender/Discontinuance charge
- Government taxes, cesses and levies.
Ans: The policyholder has the option to cancel the policy, and the premium amount shall be returned to them after deductions made by the insurer for certain fees. However, the policy owner has to notify the insurance company within 15 days of commencement of risk and return all policy documents and reasons for such cancellation.
Ans: The policyholder can redirect their future premiums between available funds, subject to a maximum of 6 redirections in a policy year and notifying the insurer in written before the premium due date.
Ans: Minimum annualised premiums for the child investment plan are:
- Annual: Rs. 36,000
- Semi Annual: Rs.18,000
- Quarterly: Rs.9,000
- Monthly: Rs. 3,000