Registered Oce:
Life Insurance Corporaon of India
Central Oce,
Yogakshema, Jeevan Bima Marg, Mumbai – 400021.
Website: www.licindia.in
Registraon Number: 512
24
2
LIC’s Index Plus (UIN: 512L354V01)
(A Unit Linked, Non-Parcipang,
Individual Life Insurance Plan)
LIC’s Index Plus is a Unit Linked, Non-Parcipang, Regular Premium,
Individual Life Insurance plan which oers life insurance cover cum savings
throughout the term of the policy.
LIC’s Index Plus is a non-parcipang product and hence the policy is not
entled for any share in surplus (prots) during the term of the policy.
This Plan can be purchased Oine through Licensed agents, Corporate
agents, Brokers, Insurance Markeng Firms as well as Online directly
through website www.licindia.in.
KEY FEATURES:
• Benets:
 Life insurance cover throughout the policy term.
Refund of mortality charges in respect of life insurance
cover excluding any extra amount chargeable under the policy due
to underwring decision and tax charges levied on the mortality
charges on survival ll maturity as specied in Para 2 below.
Guaranteed Addions as a percentage of Annual Premium shall be
added to the Unit Fund at the end of specied policy duraons and
shall be ulized to purchase units.
• Flexibility to choose:
Type of investment fund to invest the premiums as per your risk
appete.
Basic Sum Assured as 7 or 10 mes of Annualized Premium subject
to Age at entry as specied in Para 1 below.
Amount of Premium payable, Policy Term subject to minimum
and maximum limits of Premium, Policy Term and Maturity Age as
specied in Para 1 below.
Method of selement of death benets either in lump sum or in
instalments.
• Paral withdrawals allowed to take care of liquidity needs as specied
in Para 4 below.
• Opon to enhance coverage by opng for LIC’s Linked Accident Benet Rider.
1. Eligibility condions and other restricons:
i Basic Sum
Assured
Age at Entry Basic Sum Assured
From [90] Days (completed)
To
[50] years (nearer birthday)
• 7 mes of
Annualized Premium
or
• 10 mes of
Annualized Premium
From [51] years (nearer
birthday)
To
[60] years (nearer birthday)
7 mes of Annualized
premium
IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENT PORTFOLIO IS
BORNE BY THE POLICYHOLDER.
THE UNIT LINKED INSURANCE PRODUCTS DO NOT OFFER ANY
LIQUIDITY DURING THE FIRST FIVE YEARS OF THE CONTRACT. THE
POLICYHOLDERS WILL NOT BE ABLE TO SURRENDER OR WITHDRAW
THE MONIES INVESTED IN UNIT LINKED INSURANCE PRODUCTS
COMPLETELY OR PARTIALLY TILL THE END OF FIFTH YEAR.
23
LIFE INSURANCE CORPORATION OF INDIA
“Life Insurance Corporaon of India” was established on
1
st
September, 1956 under Life Insurance Corporaon Act, 1956,
with the objecve of spreading life insurance more widely, in
parcular to the rural areas with a view to reaching all insurable
persons in the country and providing them adequate nancial
cover against insured events. LIC connues to be the important
life insurer even in the liberalized scenario of Indian insurance
and is moving fast on a new growth trajectory surpassing its own
past records. In its existence of over six decades, LIC has grown
from strength to strength in various areas of operaon.
3
ii Minimum
Premium
Mode/Premium Payment
frequency
Amount (in ` )
Yearly 30,000/-
Half-yearly 15,000/-
Quarterly 7,500/-
Monthly (NACH) 2,500/-
Premium shall be in mulples of ` 1000/- for Yearly
mode, ` 500/- for Half-yearly mode and ` 250/- for
Quarterly and Monthly (NACH).
iii Maximum
Premium
No Limit. The maximum premium allowed to each
individual will be subject to underwring decision as
per the Board Approved Underwring Policy.
iv Minimum
Age at
entry
[90] Days (completed)
v Maximum
Age at
entry
Basic Sum Assured Maximum Age at entry
10 mes of Annualized
Premium
[50] years (nearer
birthday)
7 mes of Annualized
Premium
[60] years(nearer
birthday)
vi Minimum
and
Maximum
Policy
Term
Annualized
Premium
Minimum
Term
Maximum Term
Less Than
` 48,000
15 25
` 48,000 and
above
10 25
vii Premium
Paying
Term
Same as Policy Term
viii Premium
Paying
Mode
Yearly/Half Yearly/Quarterly/Monthly (NACH)
ix Minimum
Maturity
Age
[18] years (Completed)
x Maximum
Maturity
Age
Basic Sum Assured Maximum Maturity Age
7 mes of Annualized
Premium
85 years(nearer birthday)
10 mes of Annualized
Premium
75 years (nearer birthday)
Date of commencement of risk under the plan:
In case the age at entry of the Life Assured is less than 8 years, the risk
under this plan will commence either on the compleon of 2 years from
the date of commencement of policy or on policy anniversary coinciding
with or immediately following the compleon of 8 years of age, whichever
is earlier. In case the age at entry of Life Assured is 8 years or more, risk will
commence immediately from the date of underwring acceptance of risk
i.e. date of commencement of policy.
22
Provided that the insurer shall have to communicate in wring to the
insured or the legal representaves or nominees or assignees of the
insured the grounds and materials on which such decision to repudiate
the policy of life insurance is based:
Provided further that in case of repudiaon of the policy on the ground
of misstatement or suppression of a material fact, and not on the
ground of fraud the premiums collected on the policy ll the date of
repudiaon shall be paid to the insured or the legal representaves or
nominees or assignees of the insured within a period of ninety days
from the date of such repudiaon.
Explanaon - For the purposes of this sub-secon, the misstatement of
or suppression of fact shall not be considered material unless it has a
direct bearing on the risk undertaken by the insurer, the onus is on the
insurer to show that had the insurer been aware of the said fact no life
insurance policy would have been issued to the insured.
(5) Nothing in this secon shall prevent the insurer from calling for
proof of age at any me if he is entled to do so, and no policy shall
be deemed to be called in queson merely because the terms of the
policy are adjusted on subsequent proof that the age of the life insured
was incorrectly stated in the proposal.
Prohibion of rebates (Secon 41 of Insurance Act, 1938) as amended
from me to me:
1) No person shall allow or oer to allow, either directly or indirectly,
as an inducement to any person to take out or renew or connue an
insurance in respect of any kind of risk relang to lives or property in
India, any rebate of the whole or part of the commission payable or
any rebate of the premium shown on the policy, nor shall any person
taking out or renewing or connuing a policy accept any rebate, except
such rebate as may be allowed in accordance with the published
prospectuses or tables of the insurer.
2) Any person making default in complying with the provisions of this
secon shall be liable for a penalty which may extend to ten lakh
rupees.
Various Secons of the Insurance Act, 1938, applicable to LIC to
apply as amended from me to me.
This product brochure gives only salient features of the plan. For
further details please refer to the Policy document on our website
www.licindia.in or contact our nearest Branch Oce.
To purchase the policy online please log on to www.licindia.in.
BEWARE OF SPURIOUS PHONE CALLS AND FICTITIOUS /
FRAUDULENT OFFERS
IRDAI is not involved in acvies like selling insurance policies,
announcing bonus or investment of premiums. Public receiving such
phone calls are requested to lodge a police complaint.
4
Date of vesng:
If the policy is issued on the life of a minor, the policy shall automacally
vest in the Life Assured on such vesng date i.e. on the policy anniversary
coinciding with or immediately following the compleon of 18 years of age
and shall on such date of vesng be deemed to be a contract between the
Corporaon and the Life Assured.
2. Benets payable under the policy:
A) Death Benet: On death of the Life Assured before the Date of Maturity
(including during Grace Period), provided policy is in-force, then
On death of Life Assured before the Date of Commencement of Risk:
An amount equal to the Unit Fund Value as on date of inmaon of
death shall be payable.
On death of Life Assured aer the Date of Commencement of Risk:
An amount equal to the highest of the following shall be payable
• Basic Sum Assured reduced by Paral Withdrawals, if any, made
during the two years period immediately preceding the date of death; or,
• Unit Fund Value as on date of inmaon of death; or
• 105% of the total premiums received upto the date of death reduced
by Paral Withdrawals, if any, made during the two years period
immediately preceding the date of death.
Where Basic Sum Assured and Paral Withdrawal are as specied in
Para 1.i and Para 4.II respecvely.
Mortality charge, Accident Benet charge, Policy Administraon
charges and Tax charges thereon recovered subsequently to the date
of death shall be added back to the Unit Fund Value available on the
date of inmaon of death and shall be paid back to the nominee or
beneciary along with death benet.
Any Guaranteed Addion added subsequent to the date of death shall
be recovered from the Unit Fund.
The death benet shall be paid either in lump sum as specied above or
in instalments, if Selement Opon is opted for, as menoned in Para
4.IV below as per opon exercised by the Policyholder/Life Assured
B) Maturity Benet: On Life Assured surviving the date of maturity, an
amount equal to Unit Fund Value as on date of maturity shall be payable.
C) Refund of Mortality Charges: On Life Assured surviving the spulated
date of maturity provided all due premiums under the policy have been
paid, an amount equal to the total amount of mortality charges deducted
in respect of life insurance cover shall be payable along with the Maturity
Benet. The total amount of Mortality charges shall not include any
extra amount chargeable under the policy due to underwring decision
and tax charges levied on the mortality charges, if any.
Refund of Mortality Charge shall not be payable in case of surrendered
or disconnued policy.
3. Guaranteed Addions:
Guaranteed addions shall be payable only under an in-force policy
i.e. if all due premiums have been paid. Guaranteed Addions as a
percentage of one Annualized Premium, as menoned in the table
below shall be added to the Unit fund on compleon of specic
21
SECTION 45 OF THE INSURANCE ACT, 1938
The provision of Secon 45 of the Insurance Act, 1938 as amended from
me to me shall be applicable. The current provision is as under:
(1) No policy of life insurance shall be called in queson on any ground
whatsoever aer the expiry of three years from the date of the policy,
i.e. from the date of issuance of the policy or the date of commencement
of risk or the date of revival of the policy or the date of the rider to the
policy, whichever is later.
(2) A policy of life insurance may be called in queson at any me within
three years from the date of issuance of the policy or the date of
commencement of risk or the date of revival of the policy or the date
of the rider to the policy, whichever is later on the ground of fraud:
Provided that the insurer shall have to communicate in wring to the
insured or the legal representaves or nominees or assignees of the
insured the grounds and materials on which such decision is based.
Explanaon I- For the purposes of this sub-secon, the expression
“fraud” means any of the following acts commied by the insured or
by his agent, with the intent to deceive the insurer or to induce the
insurer to issue a life insurance policy:-
(a) the suggeson, as a fact of that which is not true and which the
insured does not believe to be true;
(b) the acve concealment of a fact by the insured having knowledge
or belief of the fact;
(c) any other act ed to deceive; and
(d) any such act or omission as the law specially declares to be
fraudulent.
Explanaon II- Mere silence as to facts likely to aect the assessment of
the risk by the insurer is not fraud, unless the circumstances of the case
are such that regard being had to them, it is the duty of the insured or his
agent, keeping silence to speak, or unless his silence is, in itself, equivalent
to speak.
(3) Notwithstanding anything contained in subsecon (2), no insurer shall
repudiate a life insurance policy on the ground of fraud if the insured
can prove that the misstatement of or suppression of a material fact
was true to the best of his knowledge and belief or that there was
no deliberate intenon to suppress the fact or that such misstatement
of or suppression of a material fact are within the knowledge of the
insurer:
Provided that in case of fraud, the onus of disproving lies upon the
beneciaries, in case the policyholder is not alive.
Explanaon – A person who solicits and negoates a contract of insurance
shall be deemed for the purpose of the formaon of the contract, to be the
agent of the insurer.
(4) A policy of life insurance may be called in queson at any me within
three years from the date of issuance of the policy or the date of
commencement of risk or the date of revival of the policy or the date
of the rider to the policy, whichever is later, on the ground that any
statement of or suppression of a fact material to the expectancy of
the life of the insured was incorrectly made in the proposal or other
document on the basis of which the policy was issued or revived or
rider issued:
5
{
{
duraon of policy years provided all due premiums have been paid and
the policy is in-force.
End of Policy Year
Guaranteed Addions (as percentage of one
Annualized Premium)
Annualized Premium
less than ` 48,000/-
Annualized Premium
` 48,000/- and above
6 3% 5%
10 6% 10%
15 12% 20%
20 15% 25%
25 18% 30%
The ‘Annual Premium’ or ‘Annualized Premium’ for all modes of
premium payment shall be calculated as installment (periodic) premium
amount mulplied by frequency of premium payment in a policy year.
The allocated Guaranteed Addions shall be converted to number of
units and shall be credited to the opted fund type on the due date of
payment of Guaranteed Addions. For policies which are not in-force
but revived subsequently, the Guaranteed Addions from the date of
Disconnuance ll the date of Revival shall be credited on the date of
revival of the policy.
However, any Guaranteed Addions added subsequent to the date of
death shall be recovered from the Unit Fund.
Note: Guaranteed Addions shall not be payable if the policy is in
reduced paid-up status.
Special cases where the Guaranteed Addions shall be reduced on
pro-rata basis:
In case of an in-force policy where Paral Withdrawal(s) have been
availed by you as specied in Para 4.II, the Guaranteed Addions to
be aached aer the date of Paral Withdrawal(s) shall be reduced on
pro-rata basis. The modied rate of Guaranteed Addions in each of
the future policy years under such polices shall be calculated by using
the formula:
(Original rate of Guaranteed Addions applicable for the
respecve year)mulplied by (Fund Value at the end of the year)
(Fund Value at the end of the year) plus
(amount of total Paral Withdrawal(s)).
4. Oponal benets:
I. Rider Benets:
You have an opon of availing LIC’s Linked Accidental Death Benet
Rider (UIN: 512A211V02).
This rider can be opted for at any policy anniversary provided the
outstanding policy term is at least 5 years but on or before the policy
anniversary on which the age nearer birthday of the Life Assured is
65 years. The benet cover under this rider shall be available ll the
Date of Maturity or ll the policy anniversary on which the age nearer
birthday of the Life Assured is 70 years, whichever is earlier, provided
the Policy is in force as on date of accident. If this rider is opted for,
in case of accidental death, the Accident Benet Sum Assured will be
payable in lumpsum. This Rider will not be available under the policy
on the life of minor, during minority of the Life Assured. The Accident
Benet Sum Assured cannot exceed the Basic Sum Assured.
20
24. Sample Benet Illustraon:
Illustraon :
Age of Life Assured 30
Policy Term 25
Premium paying mode Half-yearly
Premium ( ` )
50,000
Basic Sum Assured ( ` )
10,00,000
Mode of purchase Oine
Type of Fund Flexi Growth Fund
Benets under Plan:
Benets @ 4% p.a.
( ` )
Benets @ 8% p.a.
( ` )
Total Maturity
Benet (Fund Value)
32,61,345 56,78,503
Net Yield: 6.30%
Benets @ 4% p.a.
(`)
Benets @ 8% p.a.
(`)
End of
Policy
Duraon
(Year)
Cumulave
premium
(`)
Guaranteed
Addions
(`)
Fund
Value
(`)
Death
Benet
(`)
Fund
Value
(`)
Death
Benet
(`)
6 6,00,000 5,000 5,99,947 10,00,000 6,80,716 10,00,000
10 10,00,000 10,000 10,60,743 10,60,743 13,07,764 13,07,764
15 15,00,000 20,000 17,07,366 17,07,366 23,46,412 23,46,412
20 20,00,000 25,000 24,35,514 24,35,514 37,57,282 37,57,282
25 25,00,000 30,000 32,61,345 32,61,345 56,78,503 56,78,503
Disclaimer
i) This illustraon is applicable to a non-smoker male/female standard
life (from medical, life style and occupaon point of view) for a policy
purchased oine, wherein LIC’s linked Accidental Death Benet rider is
not opted.
ii) In this benet illustraon it is assumed that the Projected Investment
Rate of Return that LICI will be able to earn throughout the term
of the policy will be 4% p.a. or 8% p.a., as the case may be. The
Projected Investment Rate of Return is not guaranteed and they are
not upper or lower limits of what you might get back as the value
of your policy is dependant on a number of factors including future
investment performance.”
iii) The above illustraon has been given considering the prevailing Tax
Charge (GST) of 18% which is subject to change from me to me.
iv) The main objecve of the illustraon is that the client is able to
appreciate the features of the product and the ow of benets in
dierent circumstances with some level of quancaon.
v) LIC does not authorize its agents/intermediaries, staand ocials to
express their opinion on the future performance of the “ULIP” fund,
excepng the above illustrave rate of 4% and 8% growth.
6
For more details on the above Rider, refer to the Rider Brochure or
contact LIC’s nearest Branch Oce.
II. Paral Withdrawals:
You may parally withdraw the units at any me aer the 5 years’
lock-in period (i.e. a period of 5 years from the date of commencement
of policy) subject to the following:
i. In case of minors, paral withdrawals shall be allowed only aer
Life Assured is aged 18 years or above.
ii. Paral withdrawals may be in the form of xed amount or in the
form of xed number of units.
iii. Maximum amount of Paral Withdrawal as a percentage of fund
during each policy year shall be as under:
Policy Year Percent of Unit Fund
6
th
to 10
th
20%
11
th
to 15
th
25%
16
th
to 20
th
30%
21
st
to 25
th
35%
The above Paral withdrawal shall be allowed subject to minimum
balance remaining aer allowing for paral withdrawal is not less than
4 Annualized Premiums for Annual Premium less than ` 48,000/- and
in all other cases not less than 3 Annualized Premiums. The paral
withdrawals which would result in terminaon of a contract shall not
be allowed.
iv. Paral withdrawal charge as specied in Para 9.G shall be deducted
from the Unit Fund Value.
v. The Guaranteed Addions to be aached aer the date of Paral
Withdrawal shall be reduced on pro-rata basis as specied in Para 3.
If paral withdrawal has been made then for two years’ period immediately
preceding from the date of withdrawal, the Basic Sum Assured or Paid-up
Sum Assured, whichever is applicable, shall be reduced to the extent of the
amount of Paral Withdrawals made. On compleon of two years’ period
from the date of withdrawal the original Basic Sum Assured/Paid-up Sum
Assured shall be restored.
III. Switching:
You have an opon to switch between the two fund types as specied
in Para.7 during the policy term. On switching, the enre Fund Value
shall be switched to the new Fund opted for. During a given policy year,
four switches will be allowed free of charge. Subsequent switches shall
be subject to a switching charge of ` 100 per switch as specied in
Para 9.F.
IV. Selement Opon:
This is the opon to receive the Death Benet in instalments. This
opon can be exercised by the Policyholder during minority of the
Life Assured or by Life Assured aged 18 years and above during the
lifeme while in currency of the policy, specifying the mode of paying
the Death Benet to the nominee (i.e. yearly, half yearly, quarterly or
monthly) spread over a period of not more than 5 years from the date
of inmaon of death of Life Assured, in wring, along with the death
cercate. The death claim amount shall then be paid to the nominee
as per the opon exercised and no alteraon whatsoever shall be
allowed to be made by the nominee.
19
20. Forfeiture in certain events:
In case it is found that any untrue or incorrect statement is contained
in the proposal, personal statement, declaraon and connected
documents or any material informaon is withheld, then and in every
such case the policy shall be void and all claims to any benet in virtue
of this policy shall be subject to the provisions of Secon 45 of the
Insurance Act, 1938, as amended from me to me.
21. Taxes:
Statutory Taxes, if any, imposed on charges of such insurance plans by
the Government of India or any other constuonal Tax Authority of
India shall be as per the Tax laws and the rate of tax as applicable from
me to me.
Regarding Income tax benets/implicaons on premium(s) paid
and benets payable under this plan, please consult your tax advisor
for details.
22. Free look period:
If you are not sased with the “Terms and Condions” of the policy,
the policy may be returned to us within a period of 30 days from the
date of receipt of the electronic or physical mode of Policy Document
whichever is earlier, stang the reasons of objecons. On receipt of
the same the Corporaon shall cancel the policy and the amount to be
refunded shall be as under:
Value of units in the Unit Fund as on the date of receipt of request
Plus Unallocated Premium (equal to Allocaon Charge mulplied by
Premium received)
Plus Proporonate Mortality Charges and Accident Benet charge, if
any, for the balance period from the date of opng for Free-Look
to the end of the policy month for which the respecve charges
have been deducted
Plus Tax Charges deducted thereon
Less Actual cost of medical examinaon and special reports, if any,
Less Stamp duty @ ` 0.20 per thousand Basic Sum Assured and
Accident Benet Sum Assured, if any.
23. Exclusions:
Suicide Clause:
Notwithstanding the provision of benets payable on death menoned
in Para 2.A., the provisions related to claim payment in case of death
due to Suicide shall be subject to the condions as specied herein
under:
• In case of death due to suicide, within 12 months from the date
of commencement of the policy or from the date of revival of the
policy, the Nominee or Beneciary of the policyholder shall be
entled to the Unit Fund Value available on the date of inmaon
of death along with death cercate. The Corporaon will not
entertain any other claim by virtue of this policy and the policy
shall terminate.
• Any charges and Tax levied thereon other than Fund Management
Charges (FMC) and Tax charges levied on FMC recovered subsequent
to the date of death shall be added back to the Unit Fund Value as
available on date of inmaon of death.
• Any Guaranteed Addions added subsequent to the date of death
shall be recovered from the Unit Fund.
This clause shall not be applicable in case age at entry/age at revival
of the Life Assured is below 8 years and death benet as menoned in
Para 2.A shall be payable.
7
The Unit Fund under such policy will connue to be invested as per the
fund type exisng as on the date of inmaon of death
Each instalment (in number of units) shall be the total number of
units as on the date of inmaon of death divided by total number
of instalments (i.e. 5, 10, 20 and 60 for yearly, half-yearly, quarterly
and monthly instalments in 5 year period respecvely). The number of
units arrived at in respect of each instalment will be mulplied by the
NAV of the applicable fund type as on the date of instalment payment
to arrive at the amount paid out in each instalment. The instalment
payment shall be made by redeeming the units from the Unit Fund.
The rst payment will be made corresponding to the date of inmaon
of death and thereaer based on the mode opted i.e. every month or
three months or six months or annual from the date of inmaon of
death, as the case may be.
During the Selement Opon period no charges other than the Fund
Management Charge shall be deducted. The value of instalment
payable on the date specied shall be subject to investment risk
i.e. the NAV may go up or down depending upon the performance of
the fund. The investment risk during the selement period shall be
borne by the Nominee/Beneciary. There will not be any risk cover or
guaranteed benets during the selement period.
On death of the nominee aer the commencement of the Selement
Opon period, the value of the outstanding units held in the Unit Fund
shall become payable to the legal heir in lump sum.
No paral withdrawal or switching of fund by the nominee shall be
allowed during the subsistence of the period of selement period.
5. Payment of premiums:
You may choose mode of premium payment as Yearly, Half-Yearly,
Quarterly or Monthly (through NACH only) for premium payment over
the term of the policy.
The mode of premium payment has to be chosen at commencement
although the same can be changed (between various premium payment
modes) at any subsequent policy anniversary during the premium
paying term of the policy subject to the provisions of Minimum
Premium and Premium mulples as menoned under Para 1 above.
6. Grace Period:
A grace period of 30 days will be allowed for payment of yearly or
half-yearly or quarterly premiums and 15 days for monthly (NACH)
premiums from the date of rst unpaid premium.
7. Investment of Funds:
Unit Fund: You will have the opon to choose any one of the following
two funds to invest your premiums inially and at the me of switching.
Each premium paid, aer deducon of Premium Allocaon Charge,
shall be ulized to purchase units of the Fund type chosen. The Unit
Fund shall be subject to deducon of various other charges either as
cancellaon of number of units or by adjusng the Net Asset Value
(NAV). The value of units may increase or decrease, depending on Net
Asset Value (NAV).
The details of the available funds and broadly their investment paern
available are as under:
18
iii) Life Insurance Corporaon of India is only the name of the
Insurance Company and LIC’s Index Plus is only the name of the
unit linked life insurance contract and does not in any way indicate
the quality of the contract, its future prospects or returns.
iv) Please know the associated risks and the applicable charges, from
your Insurance agent or the Intermediary or policy document of
the insurer
v) It is recommended that you read and understand this brochure &
customized benet illustraon and understand what the plan is,
how it works and the risks involved before you purchase.
vi) The various fund types oered under this contract are the names
of the funds and do not in any way indicate the quality of these
plans, their future prospects and returns.
vii) All benets under the policy are also subject to the Tax Laws and
other nancial enactments as applicable from me to me.
viii) The actual value of units under your policy in the IRDAI
prescribed FORM D02 can be viewed through a secured login
on LIC’s Customer Portal provided on the Corporaon’s website
(www.licindia.in)
17. Policy Alteraon:
During the contract, alteraon in premium payment mode subject to
provisions of Minimum Premium and Premium Mulples allowed as
per terms and condions of the plan and grant of Accident Benet rider
aer the issue of policy may be allowed subject to a miscellaneous
charge of ` 100/- which will be deducted by cancelling appropriate
number of units out of the Unit Fund Value and the deducon
shall be made on the date of alteraon in the policy. The alteraon
will be eecve from the policy anniversary coincident or following the
alteraon.
The Corporaon reserves the right to accept or decline the alteraon
in the policy as per the Underwring Policy of the Corporaon.
The alteraon shall take eect only aer the same is approved by
the Corporaon and is specically communicated in wring to the
Proposer/Life Assured.
18. Loan:
No loan facility shall be available under this plan.
19. Terminaon of Policy:
The policy shall immediately and automacally terminate on the
earliest occurrence of any of the following events:
a) The date on which death benet is paid if Selement Opon for
death is not exercised; or
b) The date on which surrender benets are seled under the policy;
or
c) The date of maturity ;or
d) On payment of nal installments under Selement Opon if opted
in case of death; or
e) On death of the Nominee/Beneciary aer the commencement of
the Selement Opon Period; or
f) On payment of free look cancellaon amount; or
g) On compulsory terminaon as specied in Para 13 above; or
h) In case of disconnuance of policy as specied in Para 11 above; or.
i) In the event of forfeiture as specied in Para 20.
8
Fund Type Investment in
Government/
Government
Guaranteed
Securies/
Corporate Debt
Short-term
investments
such as
money
market
instruments
Investment
in Listed
Equity
Shares
Details and
objecve of the
fund for risk /
return
Risk
Prole
SFIN No.
Flexi
Growth
Fund
0% to 20% 0% to 40% 40% to
100%
To provide long
term capital
appreciaon
through
investment
primarily in
select stocks
which are a part
of NSE NIFTY100
Index.
Very High
Risk
ULIF00510/11/23
LICULIPFLX512
Flexi
Smart
Growth
Fund
0% to 20% 0% to 40% 40% to
100%
To provide long
term capital
appreciaon
through
investment
primarily in
select stocks
which are a part
of NSE NIFTY50
Index.
Very High
Risk
ULIF00610/11/23
LICULIPFSG512
Disconnued Policy Fund (SFIN: ULIF001201114LICDPFNLIF512): The
investment paern of the Disconnued Policy Fund shall be a unit fund
with the following asset categories:
i) Money market instruments: 0% to 40%
ii) Government securies: 60% to 100%
If any of the funds, which are aached to this Plan and are approved
by the Board, do not comply with Regulaon 8 of Schedule I of the
IRDAI (Investment) Regulaons, 2016 read with the Master Circular –
Investment issued there under, the policyholder will be given a free switch
to the other available fund as detailed below.
1. Fund Name: Flexi Growth Fund, SFIN No: ULIF00510/11/23
LICULIPFLX512 (Very High Risk)
Free Switch shall be allowed to the following fund:
Fund Name SFIN Risk Prole
Flexi Smart Growth
Fund
ULIF00610/11/23LICULIPFSG512 Very High Risk
2. Fund Name: Flexi Smart Growth Fund, SFIN No: ULIF00610/11/23
LICULIPFSG512 (Very High Risk)
Free Switch shall be allowed to the following fund:
Fund Name SFIN Risk Prole
Flexi Growth Fund ULIF00510/11/23 LICULIPFLX512 Very High Risk
Fund Closure:
Although the Funds are open ended, we may close any of the exisng
funds with prior approval from the IRDAI. You will be noed at least
3 months prior to the closure of the Fund. You can switch to other exisng
Fund opon without switching charges during these 3 months. In case you
do not switch during this period, Corporaon shall switch the units to any
other Funds with similar asset allocaon and risk prole considering NAV
as on the date of Switch.
8. Method of calculaon of Unit Value:
Units will be alloed based on the Net Asset Value (NAV) of the respecve
fund as on the date of allotment. There is no Bid-Oer spread (the Bid
price and Oer price of units will both be equal to the NAV). The NAV will
17
3 years from the date of rst unpaid premium, the policy shall
be revived subject to the following:
a. On payment of all due and unpaid premium without
interest. All outstanding applicable Premium Allocaon
Charges, and Tax charges thereon due since the date of
disconnuance shall be deducted from the Unit Fund.
b. Disconnuance Charge deducted from the Unit Fund, if
any, at the me of disconnuance of the policy along with
the Proceeds of the Policy’s Disconnued Policy Fund, if
any, shall be added back to the Unit Fund.
B. Revival of a Disconnued Policy aer lock-in Period:
In case you opt to revive the policy during the Revival Period
of 3 years from the date of rst unpaid premium or up to the
date of Maturity, whichever is earlier, the policy shall be revived
subject to the following:
i. On payment of all due and unpaid premium without
interest.
ii. All outstanding applicable Premium Allocaon Charges,
Policy Administraon Charges and Tax charge thereon due
since the date of disconnuance shall be deducted from
the Unit Fund.
The Corporaon reserves the right to accept at original terms, accept
with modied terms or decline the revival of a disconnued policy as
per the “Board Approved Underwring Policy” of the Corporaon. The
Revival shall be subject to sasfacon of Connued Insurability of the
Life Assured on the basis of informaon, documents and reports that
are already available and any addional informaon in this regard if
and as may be required in accordance with the “Board Approved
Underwring Policy” at the me of revival, being furnished by the
Policyholder/Proposer / Life Assured. The revival of a disconnued
policy shall take eect only aer the same is approved, accepted and
revival receipt is issued by the Corporaon.
Units of the segregated fund originally chosen by the Policyholder or
as chosen in the last switch, or the fund chosen at the me of revival,
as the case may be, shall be alloed based on the NAV as on the date
of revival.
The Guaranteed Addions from the date of Disconnuance ll the date
of Revival shall be credited on the date of revival of the policy.
Irrespecve of what is stated above, if the Unit Fund Value is not
sucient to recover the charges during the revival period, the policy
shall terminate and thereaer revival will not be allowed.
LIC’s Linked Accidental Death Benet Rider, if opted for, can be revived
along with the Base Policy and not in isolaon.
15. Reinstatement:
Reinstatement of a surrendered policy shall not be allowed even if a
request for reinstatement is received from the policyholder during
5 years’ lock in period.
16. Risk factors and Disclaimers:
i) LIC’s Index Plus is a Unit Linked Life Insurance product, which is
dierent from the tradional insurance products.
ii) The premiums paid in Unit Linked Life Insurance policies are
subject to investment risks associated with capital markets and the
NAVs of the units may go up or down based on the performance of
fund and factors inuencing the capital market and the insured is
responsible for his/her decisions.
9
be computed on daily basis and will be based on investment performance and
Fund Management Charge of each type of fund and shall be computed as:
Market Value of investment held by the fund + Value of Current Assets –
Value of Current Liabilies & Provisions, if any
Number of Units exisng on Valuaon Date (before creaon / redempon
of Units)
Where, Valuaon Date is the date of calculaon of NAV.
The Unit Fund value will be subject to deducon of charges, as specied in
Para 9 below
Applicability of Net Asset Value (NAV):
i. The allocaon and redempon of units for various transacon will
be at the NAV as described below:
Type of Transacon Applicable NAV (Where transacon is
received before cut o Time)
First Premium received
• In case of Oine sale:
by way of a local cheque
or a demand dra payable
at par at the place where
premium is received.
• In case of Online sale : by
any digital Payment mode.
NAV of Date of underwring acceptance
of risk i.e. Date of commencement of
policy.
Renewal premium received
through NACH or by any
digital payment mode.
NAV of the date of our receipt of
instrucon or transacon realizaon date
or the due date of premium whichever is
later.
Renewal premium received
by way of a local cheque or
a demand dra payable at
par at the place where the
premium is received.
NAV of the date of our receipt of
instrument or the due date of premium,
whichever is later.
Paral withdrawal,
Switching between
available Fund types, or
Free-look cancellaon
NAV of the date of our receipt of the
request online or in wring.
Surrender NAV of the date of our receipt of
surrender request in wring
Death claim NAV of the date of our receipt of the
inmaon of death in wring along with
death cercate.
Guaranteed Addion NAV of the date of allocaon
Revival NAV as on date of revival, where date of
revival is the date of adjustment of all due
premiums aer underwring acceptance
has been received.
Selement Opon NAV of date of installment payment under
selement opon.
Maturity Benet NAV of the date of maturity.
Disconnuance NAV as on the date of disconnuance.
Terminaon NAV of date of terminaon.
Policy Alteraon NAV of date of alteraon in the policy.
16
Disconnuance Charges as specied in Para 9.(H) shall be
transferred to the Disconnued Policy Fund and the risk cover
including rider cover, if any, shall cease. Where, Unit Fund Value
shall be calculated by mulplying the NAV with the number of units
in the Unit Fund as on the date of disconnuance.
The number of units of Disconnued Policy Fund shall be allocated
to the policy considering the NAV of the Disconnued Policy Fund
as on the date of disconnuance.
B. The Proceeds of the Disconnued Policy Fund :
The Disconnued Policy Fund (SFIN: ULIF001201114LICDPFNLIF512)
is a segregated unit fund and shall comprise of all the disconnued
policy fund of all the policies oered under the Unit Linked Life
Insurance plans. Only Fund Management Charges (FMC) as
specied in Para 9.D shall be applicable on this fund.
The Unit Fund Value which is transferred to the Disconnued Policy
Fund as menoned above shall connue to be invested therein
from the date of disconnuance ll the Policy exits from the
Disconnued Policy Fund either by death, surrender, revival, policy
terminaon at the end of 5 years’ lock-in-period or on compleon
of 3 years’ revival period (if revival period extends beyond the 5
years’ lock-in- period), whichever is applicable.
The Proceeds of the Disconnued Policy Fund in respect of the
Policy shall be higher of:
• Unit Fund Value of the Disconnued Policy Fund; or
• Guaranteed amount calculated using minimum guaranteed
interest rate.
Where, Unit Fund Value shall be calculated by mulplying the
NAV with the number of units of Disconnued Policy Fund on
the date of exit of the Policy from the Disconnued Policy Fund.
The Guaranteed amount is the accumulaon of amount transferred
into the Disconnued Policy Fund at the guaranteed interest rate from
the date of disconnuance ll the Policy exits from the Disconnued
Policy Fund.
The minimum guaranteed interest rate applicable to the ‘Disconnued
Policy Fund’ shall be as per the prevailing Regulaons. Currently this
guaranteed interest rate is 4% p.a. and shall be subject to change from
me to me as declared by IRDAI.
13. Compulsory Terminaon:
If the policy has run for at least 5 years provided 5 full years’ premiums
have been paid and the balance in the Unit Fund is not sucient
to recover the relevant charges, the policy shall be compulsorily
terminated and the balance amount in the Unit Fund, if any, shall be
refunded to the policyholder. This shall be applicable irrespecve of
whether the policy is in-force or paid-up during the revival period.
14. Other features:
i) Top-up: No Top-up shall be allowed under the plan.
ii) Increase / Decrease in Benets:
No increase / decrease of Basic Sum Assured will be allowed under
the plan. Under an in-force policy, the policyholder can, however,
cancel the LIC’s Linked Accidental Death Benet Rider at anyme
during the policy term. However, once the rider is cancelled, the
same cannot be subsequently restored
iii) Revival:
A. Revival of a Disconnued Policy during lock-in Period:
In case you opt to revive the policy during the Revival Period of
10
ii. Currently, the cut-o me is 3.00 p.m. as per the exisng IRDAI
guidelines and changes in this regard shall be as per the instrucons
from IRDAI. In case of new business the cut- o me of 3 p.m. for
determinaon of NAV shall be in reference to the date of acceptance
of risk i.e. date of commencement of Policy.
iii. If the transacon request is received before the cut-o me in
respect of:
a) Premium Payments, at any branch oce of the Corporaon or
other authorized oce for premium collecon or by any digital
payment mode or through NACH;
b) Other transacon, by servicing branch of the Corporaon;
c) Successful Registraon of Service Requests as and when made
available on LIC’s Customer Portal the closing NAV of that day
shall be applicable.
iv. If the transacon request is received aer the cut-o me in
respect of:
a) Premium Payments, at any branch oce of the Corporaon or
other authorized oce for premium collecon or by any digital
payment mode or through NACH;
b) Other transacon, by servicing branch of the Corporaon;
c) Successful Registraon of Service Requests as and when made
available on LIC’s Customer Portal the closing NAV of the next
business day shall be applicable.
v. In case of oine sale, Premium paid by CTS 2010 cheque/demand
dra drawn on a bank which is parcipang in local/CTS/speed
clearing house shall only be accepted. Cheques /demand dra not
coming under above category shall not be accepted.
9. Charges under the Plan:
The details of charges (subject to taxes as menoned in Para 9.I below
are as under:
A) Premium Allocaon Charge: This is the percentage of the premium
appropriated towards charges from the premium received. The balance
known as allocaon rate constutes that part of the premium which is
ulized to purchase units of the chosen fund in the policy.
The premium allocaon charges as a % of Instalment Premium are as below:
Premiums O line sale Online sale
1
st
Year 8.00% 3.00%
2
nd
to 5
th
Year 5.50% 2.00%
Thereaer 4.00% 1.50%
Instalment Premium is a Premium to be paid by Policyholder as per the
premium payment frequency opted by the Policyholder.
The cap on Premium Allocaon Charge shall be as per Para 9.L below
B) Mortality Charge: Mortality Charge is the cost of life insurance cover,
which is age specic and this will be taken at the beginning of each
policy month by canceling appropriate number of units out of the
Unit Fund Value. The monthly charge will be one twelh of the annual
Mortality Charges. This charge shall depend upon the Sum at Risk.
The Sum at risk during the policy term shall be
Highest of
• Basic Sum Assured in case of in-force policies or Paid-up Sum
Assured in case of reduced paid-up policies
• Unit Fund Value
• 105% of total Premium Received
Less
• Unit Fund Value
{
{
15
II) If the policy is disconnued aer 5 years’ lock-in- period:
Upon expiry of the grace period, in case of disconnuance of policy
due to non payment of premium, the policy shall be converted into a
reduced paid-up policy. The Basic Sum Assured under the policy shall
be reduced to such a sum called Paid-Up Sum Assured and shall be
equal to { Basic Sum Assured mulplied by the rao of total number of
premiums paid to the original number of premiums payable}. The policy
shall connue to be in reduced paid up status without rider cover, if
any i.e. no Accident Benet cover shall be available under reduced paid
up policy. The reduced risk cover and hence the mortality charges in
respect of the paid up policy shall be applicable from the next policy
month following the date of rst unpaid premium. Further, all other
applicable charges (except Accident Benet Charge) as specied in Para
9 above shall also connue to be deducted.
On such disconnuance, a communicaon shall be sent to you within
three months of the date of rst unpaid premium, communicang the
status of the policy and the opons (a) to revive the policy (along with
the rider ,if opted for) within the revival period of three years from the
date of rst unpaid premium or upto the date of maturity, whichever is
earlier; or (b) complete withdrawal of the Policy
In such case, the following situaons may arise:
A. If you opt to revive and thereaer exercise Opon to revive the
policy anyme during the Revival Period or upto the date of
maturity, whichever is earlier, then the policy shall be revived as
specied in Para 14.iii.
B. In case you opt to revive but do not revive the policy during the
Revival period or upto the date of Maturity, whichever is earlier,
or do not exercise any opon, then the policy shall subsist as a
reduced paid up policy ll the end of the revival period or upto the
date of maturity, whichever is earlier.
In such case, the Unit Fund Value as on the date of expiry of Revival
Period or as on the date of Maturity ,whichever is earlier, shall
be payable at the end of the revival period or date of maturity,
whichever is earlier, and the Policy shall be terminated.
C. If you opt for complete withdrawal or surrender the policy at any
me, in such case the amount in the Unit Fund shall be refunded
and the policy shall be terminated.
D. In case of death of the Life Assured before the end of Revival Period
or date of Maturity, whichever is earlier, highest of the following
shall be payable
• Paid up Sum Assured reduced by Paral Withdrawal, if any,
made during the two year period immediately preceding the
death of the Life Assured, (Paral Withdrawal is as dened in
Para 4.II above)
• Unit Fund Value as on the date of inmaon of death
• 105% of total premiums received excluding Paral Withdrawals
made during the two year period immediately preceding the
death of the Life Assured.
12. Treatment of the policy while the policy money is in Disconnued
Policy Fund:
During the 5 years’ lock-in-period if you apply for surrender or in case
of non-payment of premium before the expiry of the Grace Period, the
policy shall be in a state of disconnuance.
A. Conversion of Unit Fund Value into monetary amount and
allocaon of units in Disconnued Policy Fund:
On disconnuance of the policy, the Unit Fund Value as on the
date of disconnuance of policy aer deducng the applicable
11
The Unit Fund value shall be taken as on the date of deducon of charge,
aer deducon of Accident Benet charges, Policy Administraon Charges
and Tax charge on Accident Benet Charges and Policy Administraon
Charges. The Mortality Charges shall be deducted only if, the Basic Sum
Assured/Paid-up Sum Assured, whichever is applicable, is more than the
Unit Fund Value as on the date of deducon. The total premiums received
shall be reckoned as on date of deducon of Mortality Charge.
In case of paral withdrawals, the Basic Sum assured or Paid up Sum
Assured, whichever is applicable and 105% of the total premiums
received, shall be reduced to the extent of all Paral Withdrawals made
during the two years period immediately preceding the date of deducon
of Mortality Charges .
The rate of Mortality Charge per annum per ` 1000/- Sum at Risk for some
of the ages in respect of a healthy life are as under:
Age 25 35 45 50 60
`
1.26 1.62 3.48 5.99 15.07
In case where the Policy is converted into a reduced paid-up policy, the
Mortality Charge in respect of Sum at Risk under a paid-up Policy shall be
deducted from the policy month following the due date of rst unpaid
premium. On revival of policy, the risk cover under the policy shall be
restored immediately and the Mortality Charge in respect of Sum at Risk
under an in-force policy shall be deducted from the policy month following
the date of revival along with proporonate mortality charge for the period
from the date of revival to the following policy month.
C) Accident Benet Charges ( if LIC’s Linked Accidental Death Benet
Rider( is opted for):
Accident Benet Charge is the cost of LIC’s Linked Accidental Death
Benet Rider if opted for. This charge will be taken at the beginning
of each policy month by canceling appropriate number of units out of
Unit Fund Value while the policy is in-force (i.e. all due premiums have
been paid) and shall be at the rate of ` 0.40 per thousand Accident
Benet Sum Assured per policy year. If the Life Assured is engaged in
police duty in any police organizaon other than paramilitary forces
and opted for this cover while engaged in police duty, then the level
annual charge shall be at the rate of ` 0.80 per thousand Accident
Benet Sum Assured per policy year. The monthly charges will be
one-twelh of the annual Accident Benet Charge.
D) Fund Management Charge – This is a charge levied as a percentage of
the value of the assets and shall be appropriated by adjusng the Net
Asset Value. Fund Management Charge (FMC) shall be as under:
• 1.35% p.a. of Unit Fund for both fund types available under an
in- force policy i.e. Flexi Growth Fund and Flexi Smart Growth Fund.
• 0.50% p.a. of Unit Fund for “Disconnued Policy Fund”
This is a charge levied at the me of computaon of NAV, which will be
done on daily basis. The NAV thus declared will be net of FMC.
E) Policy Administraon Charge: This Charge shall be levied at the
beginning of each policy month from 6th policy year ll the end of
policy term as menoned below and shall be subject to maximum of
` 500 per month (i.e ` 6000 p.a) from the Unit Fund Value by cancelling
units for equivalent amount.
Policy Year Policy Administraon Charges
First 5 Years NIL
Year 6 Minimum of [(One twelh of 3.25%
mulplied by Annualized Premium) or
(` 125) ] per month
Thereaer from 7
th
year onwards Applicable Policy Administraon Charges
in 6
th
year escalang at the rate of 5% p.a
Fund Value as on the date of inmaon of surrender shall be payable
to the Policyholder and the policy shall terminate. There will be no
Disconnuance Charge under the policy.
Further, Reinstatement of a surrendered policy shall not be allowed
even if a request for reinstatement is received from the policyholder
during the 5 years’ lock-in-period.
11. Disconnuance of premiums:
If you fail to pay premiums under the policy before the expiry of Grace
Period, then the policy shall be in a state of disconnuance.
During the Grace Period the policy shall be treated as in-force and the
benets payable under the policy during the grace period shall be same
as that under an in-force policy. The charges for mortality and Accident
Benet cover, if any, shall be deducted in addion to other applicable
charges as specied in Para 9.
The treatment of disconnued policy shall be as under:
I) If the policy is disconnued during the 5 years’ lock-in-period:
Upon expiry of the grace period, the Unit Fund Value aer deducng
the applicable Disconnuance Charge as specied in Para 9.H shall be
transferred to the Disconnued Policy Fund as specied in Para 12.
below and the risk cover and rider cover, if any, shall cease. Only Fund
Management Charges of 50 basis points per annum shall be deducted
from the Disconnued Policy Fund.
On such disconnuance, a communicaon shall be sent to the you within
three months of the date of rst unpaid premium, communicang the
status of the policy and the opon to revive the policy during the revival
period of three years from the date of First Unpaid Premium.
Under such cases
A. If you opt to revive and thereaer exercise the Opon to revive
the policy at any me during the revival period of 3 years, then the
policy shall be revived as specied in Para 14.iii below .
B. In case you opt to revive but do not revive the policy during the
revival period of 3 years, then the Proceeds of the Disconnued
Policy Fund in respect of the policy, as specied in Para 12.B,
shall be payable to you at the end of the revival period or lock-in
period, whichever is later and the policy shall terminate. In respect
of Revival period ending aer the lock-in period, the policy will
remain in the Disconnued Policy Fund ll the end of the Revival
period.
C. In case you do not exercise the opon to revive the policy, the
policy shall connue without any risk cover and rider cover, if any,
and the policy fund shall remain invested in the Disconnued Policy
Fund. The Proceeds of the Disconnued Policy Fund in respect of
the policy as on the date of expiry of lock-in period as specied in
Para 12.B below shall be paid to you at the end of lock-in period
and the policy shall terminate.
D. However, you have an opon to surrender the policy anyme and
Proceeds of the Disconnued Policy Fund in respect of the policy
as on the date of expiry of lock-in period or as on the date of
surrender as specied in Para 12.B shall be payable at the end of
lock-in period or date of surrender whichever is later and the policy
shall terminate.
Irrespecve of what is stated above, in case of death of the Life Assured
during the revival period or lock-in-period, as the case may be, the
Proceeds of the Disconnued Policy Fund in respect of the Policy as on
the date of inmaon of death, as specied in Para 12.B below, shall be
payable to the Nominee or Beneciary.
14
12
F) Switching Charge – This is a charge levied on switching of monies from
one segregated fund to another available within the product. The
charge per switch, if any, shall be levied at the me of eecng a switch
by cancelling appropriate number of units out of Unit Fund Value.
Within a given policy year 4 switches shall be allowed free of charge.
Subsequent switches in that year shall be subject to a Switching Charge
of ` 100 per switch.
G) Paral Withdrawal Charge – This is a charge levied on the Unit Fund
Value at the me of each paral withdrawal of the fund. A at amount
of ` 100/- shall be deducted by canceling appropriate number of units
out of the Unit Fund Value on the date on which paral withdrawal
takes place.
H) Disconnuance Charge – This is a charge levied by cancelling
appropriate number of units out of the Unit Fund Value as on the date
of disconnuance of Policy. The Disconnuance charge applicable is
as under:
Where the policy is
disconnued during
the policy year
Disconnuance Charges
for the policies having
Annualized Premium
up to ` 50,000
Disconnuance Charges
for the policies having
Annualized Premium
above ` 50,000
1 Lower of 20%
mulplied by (AP or FV)
subject to maximum of
` 3,000/-
Lower of 6% mulplied
by (AP or FV) subject to
maximum of ` 6000/-
2 Lower of 15%
mulplied by (AP or FV)
subject to maximum of
` 2,000/-
Lower of 4% mulplied
by (AP or FV) subject to
maximum of ` 5000/-
3 Lower of 10%
mulplied by (AP or FV)
subject to maximum of
` 1,500/-
Lower of 3% mulplied
by (AP or FV) subject to
maximum of ` 4000/-
4 Lower of 5% mulplied
by (AP or FV) subject to
maximum of ` 1,000/-
Lower of 2% mulplied
by (AP or FV) subject to
maximum of ` 2000/-
5 and onwards NIL NIL
Where
AP – Annualized Premium
FV – Unit Fund Value on the date of disconnuance of policy
“Date of disconnuance of the policy” shall be the date on which the
inmaon is received from the Life Assured / Policyholder about the
surrender of the policy or on the expiry of the Grace Period (in case of
non-payment of contractual premium due during the Grace period),
whichever is earlier.
I) Tax Charge – Tax charges, if any, shall be levied on all or any of the
charges applicable to this plan at the rate of tax as per the prevailing
Tax laws/nocaon etc. as issued by Government of India or any other
Constuonal Tax Authority of India from me to me in this regard
without any reference to the policyholder.
J) Miscellaneous Charge – This is a charge levied for an alteraon during
the contract, such as change in premium mode and Grant of Accident
Benet Rider aer the issue of the policy, and shall be a at amount of
Rs. 100/- which will be deducted by cancelling appropriate number of
units out of Unit Fund Value and the deducon shall be made on the
date of alteraon in the policy.
The Corporaon reserves the right to accept or decline an alteraon in
13
the policy. The alteraon shall take eect from the policy anniversary
coincident with or following the alteraon only aer the same
is approved and accepted by the Corporaon and is specically
communicated in wring to the Policyholder.
K) Bid Oer Spread: NIL
L) Right to revise charges: The Corporaon reserves the right to revise
all or any of the above charges except the Mortality Charge and
Accident Benet Charge. The modicaon in charges will be done with
prospecve eect with the prior approval of IRDAI and aer giving
the policyholders a noce of 3 months which shall be noed through
our website.
Although the charges are reviewable, they will be subject to the
maximum charges as declared by IRDAI from me to me. The current
cap on charges is as under:
- Premium Allocaon charges shall not exceed 12.5% of Annualized
Premium in any year
- Policy Administraon Charge shall not exceed ` 500 per month.
- The Fund Management charge shall not exceed the limit specied
by IRDAI which are currently same as Para 9.(D) above
- Paral withdrawal charge shall not exceed ` 500/- on each
withdrawal.
- Switching Charge shall not exceed ` 500/- per switch.
- Disconnuance charges shall not exceed the limits specied
b y I R D A I , w h i c h a r e c u r r e n t l y s a m e a s s p e c i  e d u n d e r
Para 9.(H) above
- Miscellaneous Charge shall not exceed ` 500/- each me when an
alteraon is requested.
In case you do not agree with the revision of charges you shall have the
opon to withdraw the Unit Fund Value. If such revision in charges is made
during the lock-in-period of 5 years, withdrawal shall be allowed only aer
the expiry of lock-in-period.
10. Surrender:
A policy can be surrendered anyme during the policy term. The
surrender value, if any, shall be payable as under:
If the policy is Surrendered during the 5 years’ lock-in-period:
If you apply for surrender of the policy during the 5 years’ lock-in-
period, then the Unit Fund Value aer deducng the applicable
Disconnuance Charge shall be transferred to the Disconnued Policy
Fund as specied in Para 12 below.
The policy shall connue to be invested in the Disconnued Policy Fund
ll the end of the lock-in period. Only Fund Management Charge (FMC)
as specied in Para 9.D shall be deducted from this fund and no risk
cover (including rider cover, if any) shall be available on such policy
during this period.
The Proceeds of the Disconnued Policy Fund in respect of Policy as on
the date of expiry of lock-in period, as specied in Para 12.B shall be
payable to the Policyholder at the end of 5 years’ lock-in-period and the
policy shall terminate.
However, in case of death of the Life Assured aer the date of surrender
but before the expiry of the 5 years’ lock-in-period, the Proceeds of the
Disconnued Policy Fund in respect of the Policy shall be payable to the
nominee/ Beneciary and the policy shall terminate.
If the policy is Surrendered aer the 5 years’ lock-in-period: If you
apply for surrender of the policy aer lock-in-period, then the Unit