TATA AIA Guaranteed Return Insurance Plan

Key Features of TATA AIA Guaranteed Return Insurance Plan

• The plan offers a guaranteed benefit for maturity or death, whichever happens first.

• With this plan, you get the flexibility of choosing the plan options from endowment, regular income, or whole life insurance plans.

• You can get guaranteed additions that boost your wealth under the endowment option.

• The plan provides the flexibility to cover your spouse under the whole life insurance option.

• You can choose the most suitable policy term with the limited premium payment terms, as per your suitability.

• Enhance the base cover of the plan with the available term insurance riders.

Plan Options Under TATA AIA Guaranteed Return Insurance Plan

• Option 1: Endowment

• Option 2: Regular Income

• Option 3: Whole Life Insurance

Benefits of the TATA AIA Guaranteed Return Insurance Plan

Death Benefit

In options 1 and 2, the sum assured on death will be paid as the highest of the following:

• 10 times the single/annualised premium for ages less than 45 years or 7 times the single or annualised premium for ages 45 and above. 

• 105% of the total premiums paid till the date of death

• Guaranteed maturity benefit

• Basic sum assured

Along with this, the collected guaranteed addition as on the date of death will also be paid in option 1, and the future income payments with the income booster will be paid to the nominee in option 2.

In option 3, the sum assured on death will be payable as the highest of the following:

• 1.25 times the single premium in case of single pay and 7 times the annual premium in case of premium pay terms of 5–12 years.

• 105% of the total premiums paid till the date of death

• Guaranteed maturity benefit

• Basic sum assured

Maturity Benefit

If the Life Assured survives till the end of the policy term and the policy is active, the maturity benefit will be paid based on the option chosen at the time of purchase.

Option 1: Endowment

At maturity, you receive a one-time lump sum payout. This includes the Guaranteed Maturity Benefit (GMB) along with any Guaranteed Additions earned during the policy term.

The GMB is calculated by multiplying the applicable GMB factor with the total premiums payable. Guaranteed Additions are calculated as a fixed percentage of the GMB and accrue every year throughout the policy term. These additions are paid either on maturity or on death, whichever happens earlier, provided all premiums are paid on time. Once the policy is converted to a reduced paid-up policy, no further Guaranteed Additions are added.

Option 2: Regular Income

At maturity, you receive a one-time lump sum payout. This includes the Guaranteed Maturity Benefit (GMB) along with any Guaranteed Additions earned during the policy term.

The GMB is calculated by multiplying the applicable GMB factor with the total premiums payable. Guaranteed Additions are calculated as a fixed percentage of the GMB and accrue every year throughout the policy term. These additions are paid either on maturity or on death, whichever happens earlier, provided all premiums are paid on time. Once the policy is converted to a reduced paid-up policy, no further Guaranteed Additions are added.

Option 3: Whole Life Income

This option gives you a Guaranteed Annual Income and an Income Booster that works for you. The income starts after the policy ends and lasts for a set number of years, which depends on the term you choose.

For example, if you choose a policy term of 6 years, the income starts from the end of the 7th year and continues till the end of the 11th year. Similarly, longer policy terms offer income over longer periods. The Guaranteed Annual Income always includes the Income Booster.

If preferred, you also have the option to receive the total value of future income payments as a single lump sum at maturity. This amount is calculated by discounting future income at the applicable government security rate.

Flexible Premium Pay Modes

You can choose to pay the premiums in single, annual, half-yearly, quarterly, or monthly premium payment modes. 

Rider Benefits Available with Tata AIA GRIP Plan

You can strengthen your base policy by adding optional riders at an additional cost. These riders offer extra protection against specific risks and help customise your cover based on your needs. Riders are available only if the remaining policy term is at least five years. Rider benefits are paid separately and in addition to the base policy benefits, with no overlap.

Tata AIA Life Accidental Death and Dismemberment Rider

This rider gives your family additional payout in case you suffer an untimely death due to an accident. It also pays a set amount of the rider's sum assured if an accident causes serious injuries like losing limbs, losing bodily functions, or severe burns. 

Tata AIA Life Waiver of Premium Plus Rider

If the proposer passes away or becomes totally and permanently disabled, this rider waives all future premiums of the base policy. The policy continues without any further payment of premium, provided the event occurs before the proposer turns 70 years or before the ending of premium payment term . This rider must be chosen at policy inception.

Tata AIA Life Non-linked Comprehensive Protection Rider 

Along with protection against death, disability, critical illness, and terminal illness, this rider rewards healthier living through the Tata AIA Vitality wellness programme. You can earn rewards for meeting health goals while enjoying flexible payout options such as lump sum, income, or premium waiver.

Tata AIA Life Non-linked Comprehensive Health Rider

This rider covers health-related risks such as disability, hospitalisation, and major illnesses like cancer or heart-related conditions. It also includes cover for certain minor illnesses or injuries and allows multiple claims, subject to terms. You can opt for this rider at policy inception or during any policy anniversary.

Tata AIA Vitality Protect Rider

This rider protects you from death, disability, critical illness, and terminal illness. It also encourages you to live a healthier life through the Tata AIA Vitality wellness program. You can get rewards for reaching your health goals, and you can choose how you want to be paid, such as in a lump sum, as income, or by waiving your premium.

Tata AIA Vitality Health Rider

This rider offers both health insurance and wellness benefits. It pays for hospitalization, disability, serious illnesses, and some minor conditions, and you can get multiple payouts. The Vitality program also rewards people who make healthy choices.

Tata AIA Benefit Protection Rider 

This rider ensures that the benefits of your base policy remain protected if the Life Assured faces death, terminal illness, or accidental total and permanent disability.

Eligibility Conditions of TATA AIA Guaranteed Return Insurance Plan

Here are the eligibility conditions you need to meet before buying the Tata AIA term insurance plan:

Additional Policy Details of Tata AIA GRIP Plan

Grace Period

The policy has a grace period of 15 days for monthly pay premium plans and 30 days for quarterly, half-yearly, and annual premium pay plans. During this period, you can pay the premiums without worrying about policy lapse.

Policy Lapse and Reduced Paid-up

The policy will lapse in case the premiums have not been paid for a full 1 year since the grace period, and no benefits will be payable on death during the policy lapse. If the premiums for 1 year have been paid, and the following premiums are not paid, the policy will be converted into a reduced paid-up.

Policy Loan

Once the policy has acquired surrender value, you can apply for a policy loan till 80% of the total surrender value. 

Policy Revival

The lapsed policy can be revived for 5 years from the date of first unpaid premium. You need to submit all the outstanding premiums, applicable interest, and health certificate, and any other details the insurer might require.

Auto Vesting

In case the policy is issued in the name of a minor, the policy will automatically go into a vesting stage till the life assured is legal.

Exclusions

Suicide Claim: In case of death due to suicide within the first 12 months from the date of policy issuance or revival, the insurer will only pay 80% of the total premiums paid till the date of death. 

Waiting Period: For policies purchased offline, a waiting period of 90 days will be applicable for all deaths other than accidental death.