Axis Max Life Flexi Wealth Advantage Plan

What is Axis Max Life Flexi Wealth Advantage Plan

The Axis Max Life Flexi Wealth Advantage Plan is a Unit Linked Insurance Plan (ULIP) and a Unit Linked Non-Participating Individual Life Insurance Plan. It is designed to partner you in your journey of wealth creation and allows you to tailor your plan to the needs of your loved ones. It emphasizes flexibility, allowing you to choose your variant, premium amount, payment term, policy term, and investment strategy.

It's important to note that the investment risk in the investment portfolio is borne by the policyholder. The plan offers benefits that increase with chosen premium bands. Upon maturity, you receive a maturity benefit as a lump sum or through periodic payouts via a settlement option. In the event of your unfortunate death during the Policy Term, your nominee or legal heir will receive the death benefit.

Features of Axis Max Life Flexi Wealth Advantage Plan

The Axis Max Life Flexi Wealth Advantage Plan offers several rich features and benefits:

• Flexible Plan Options:

  • You can choose from two plan variants: Wealth Variant and Whole Life Variant.

  • There are multiple Premium Payment Term (PPT) and Policy Term (PT) options to suit your investment tenure.

  • You can select from 5 investment strategies and a total of 19 available funds based on your investment style and risk appetite to maximize your investment.

• Return of Charges (RoC): You are eligible for a refund of all or some part of the ULIP charges deducted, which are added back to your fund value, provided all due premiums have been paid.

  • For the Wealth Variant, RoC based on charges deducted from inception till maturity will be paid on the maturity date.

  • For the Whole Life Variant, RoC based on charges deducted between inception and the (PPT+10)th year will be returned at the end of the (PPT+10)th year. Thereafter, RoC for charges deducted during the next five years will be returned at the end of every 5 years or maturity, whichever is earlier.

  • Charges eligible for return include mortality charge on death benefit, policy administration charge, and premium allocation charge. Exclusions are extra mortality charge, mortality charge on Axis Max Life Waiver of Premium Benefit, rider charge, and applicable taxes.

• Guaranteed Loyalty Additions: These additions are designed to boost your fund value. They are added to your fund value starting from the end of the 8th policy year and at the end of each year thereafter. The percentage of fund value for GLAs varies based on the premium band.

• Auto Debit Booster: You can enjoy an additional booster amount of 0.75% of the premium at the end of the 5th policy year. This is available if any of your first five premiums (excluding the first) were paid through auto-debit mode (ECS, DD etc.), provided all due premiums till date have been paid and the policy is in-force. This feature applies to both Wealth and Whole Life variants and accrues from the second premium onwards.

• Option of Whole Life Cover and Wealth Acceleration: The Whole Life Plan variant, starting with 5 years of Premium Payment Term, allows you to provide cover for your loved ones for your entire life and lets your wealth grow until 100 years of age.

  

• Option to Choose your Sum Assured Cover Multiple: You can select your Life Cover from multiple options of 1.25, 7, 10, and 15 times the Premium, depending on your Premium Payment Term and age at entry.

• Option to Avail Regular Systematic Money Withdrawals (Smart Withdrawals): The Whole Life variant allows you to create a secondary income stream by regularly withdrawing money from your policy. This option can be chosen at inception or anytime during the Policy Term. Smart withdrawals are free of any charge.

• Unlimited Free Switches and Premium Redirections: You can avail unlimited switches and premium redirections to adjust your investment style, absolutely free of any cost.

• Tax Benefits: Tax benefits may be applicable on premiums paid and benefits received as per the prevailing tax laws.

• Partial Withdrawals: After the first five policy years, a maximum of twelve partial withdrawals are allowed in any policy year, with a minimum amount of ₹5,000 per transaction. Partial withdrawals are free of any charge.

• Increase or Decrease in Premium Payment Term (PPT): This feature is allowed after completion of the lock-in period, by notifying the company, provided all due premiums have been paid, subject to available PPT options and boundary conditions. This is not applicable for the single pay option.

• Decrease in Sum Assured: You can choose a lower cover multiple from the available options at your entry age, provided you have completed at least 1 policy year and paid all due premiums of the first policy year. There will be no change in the premium payable due to this.

• Increase in Policy Term: This is allowed after the lock-in period, by notifying the company, provided all due premiums have been paid, and is subject to available policy term options. This feature is not applicable for the single pay premium payment option and the Whole Life Variant.

• Premium Reduction: After completing the first five policy years, you have the option to decrease the premium by up to 50% of your original annualized premium, subject to the minimum premium limit, provided all due premiums have been paid.

Eligibility Criteria for Axis Max Life Flexi Wealth Advantage Plan

Benefits of Axis Max Life Flexi Wealth Advantage Plan

The plan provides significant benefits for both survival and in case of unfortunate events:

• Maturity Benefit: On maturity, you will receive an amount equal to the Fund Value as applicable on the maturity date, provided the settlement option has not been exercised. The Fund Value is calculated as the summation of the number of units in funds multiplied by their respective Net Asset Values (NAV) on the maturity date. You can choose to receive this benefit as a lump sum or as periodic payouts through the settlement option.

• Death Benefit: If the Life Insured dies anytime during the policy term, the nominee will receive the higher of the following benefits, provided the policy is in force:

  • Sum Assured (reduced by applicable partial withdrawals, if any).

  • Fund Value (as on the date of intimation of death).

  • 105% of the Total Premiums received up to the date of death (reduced by applicable partial withdrawals, if any).

  • The policy terminates upon the death of the Life Insured. Partial withdrawals refer to those made during the two years immediately preceding death, excluding smart withdrawals.

• Tax Benefits: Tax benefits may be applicable on premiums paid and benefits received as per prevailing tax laws. These are subject to changes in tax laws.

Riders Under Axis Max Life Flexi Wealth Advantage Plan

The plan offers an optional rider to enhance your coverage:

1. Axis Max Life Waiver of Premium (WOP) Benefit (UIN: 104A034V02):

   • This benefit is available for selection only at inception for limited and regular pay policies, specifically when the policyholder and life insured are different individuals.

   • If opted for, upon the unfortunate demise of the policyholder (provided risk cover is in-force and WOP cover is active), the Company will fund all future outstanding premiums of the base policy only (not additional riders chosen) as and when due.

   • All promised benefits under the policy will remain intact and paid to the claimant as if the policyholder was alive and had paid the premiums.

   • If WOP benefit is triggered, and subsequently the life insured surrenders the base policy or dies, the company will pay the present value of future premiums (if any) in addition to the base benefit (surrender value or death benefit). The present value is calculated at a discount rate of 6.00% p.a..

   • For the WOP benefit, the policyholder's entry age plus the chosen premium payment term should be less than or equal to 65 years for Cover Multiple 15, and 70 years for Cover Multiple 7 & 10 under the Wealth variant, and 65 years under the Whole Life variant. The maximum entry age for the policyholder is 60 years for cover multiple 15, and 65 years for cover multiple 7 & 10, respectively, for the wealth variant.

   • If the Life Insured is a minor at inception, the WOP benefit term is restricted to (18 minus age of the minor Life Insured at inception) years, ceasing upon the policy vesting on the Life Insured.

2. Axis Max Life Critical Illness and Disability Secure Rider (UIN: 104A034V02): 

   • This rider provides benefits upon diagnosis of any of the 64 critical illnesses covered. It can be opted for at inception or anytime during the policy term by paying a nominal additional premium.

Additional Details of Axis Max Life Flexi Wealth Advantage Plan

• Investment Strategies: You can choose one of five investment strategies:

  • Self-Managed Portfolio Strategy: You allocate money to your choice of fund(s).

  • Systematic Transfer Plan (STP): Replicates rupee cost averaging by systematically moving money from a debt to equity fund monthly. Premiums (net of charges) are first allocated to Secure Plus Fund, then units are transferred to Growth Super Fund monthly based on a formula.

  • Lifecycle Based Portfolio Strategy: Manages funds by balancing equity and debt based on your changing age.

  • Trigger-Based Portfolio Strategy: An event-based strategy to 'Secure your Gains'. Premiums are initially distributed 75% equity, 25% debt, with rebalancing based on predefined trigger events monthly.

• Dynamic Fund Allocation (DFA) Strategy: Standardized approach balancing debt and equity by rebalancing your portfolio based on years remaining to maturity.

• Available Funds: A total of 19 funds are available, including Money Market II Fund, Secure Plus Fund, Balanced Fund, Growth Fund, High Growth Fund, and various Nifty Index Funds.

• No Charge for: Switch, Premium Redirection, Partial Withdrawal, Smart Withdrawal, Miscellaneous Charges, and Alteration Charges (Sum Assured, Premium Payment Term, Policy Term).

• Free Look Period: A 30-day period from receiving the policy document to review terms. If dissatisfied, you can return the policy for cancellation and receive a refund of premium paid, minus proportionate risk premium, medical examination expenses, and stamp duty charges. Units are repurchased at NAV on the cancellation date.

• Surrender: You have the right to surrender the policy anytime by written notice. The surrender benefit equals Fund Value less applicable charges. A policy once surrendered cannot be revived.

• Settlement Option: You may choose to continue the policy after the maturity date for a period not exceeding 5 years. This option entitles you to receive periodical payments of unit Fund Value by canceling units at their prevailing NAV. The first installment is paid on maturity.