FINVESTguru: We Care Your Money (Insurance)

Insurance: Should you buy from your banker or your agent?

noreply@blogger.com (FINVESTguru) — Thu, 17 Dec 2009 18:00:00 +0000

BELIEVE it or not, cream made me realise I might be being taken for a ride with my investments.

Here's what happened. I was at my local grocer's, buying cream to make Risotto, a traditional Italian rice dish. The grocer asked me not to buy packaged cream and that fresh cream was now available a short walk away. I was touched. This man had given up a sale at his shop in my best interest!

Back home, while relating the incident to my mother, I was given a small dose of reality. She said the new shop was, in fact, owned by the grocer's brother.

My lesson for the day: There is a vested interest in everything you are asked to buy. So when my relationship manager told me interest rates on deposits might fall and I should quickly shift to mutual funds, the new cynical me was suspicious.

Why was the relationship manager recommending another product in favour of his own?

Sure enough, I learnt that banks have now morphed into Jacks of all trades. When they sell products other than their own, they earn a fat commission. They make more money through commissions than on deposits.

So the next time your relationship manager praises a new insurance policy, you would best take it with a pinch of salt. But then, since your agent also earns commission on your purchase and there is no cost change for you, why not just buy from your bank?

We list some pros and cons if you want to buy insurance from your bank.

The downside
Service: Your banker will not pamper you with doorstep services like your agent. But if you are a priority customer for your bank, you can expect the works.

Trust: If you have a child, an agent is more likely than your banker to know about and advise you how to invest for the little one. Your agent and you are likely to share a closer relationship of trust.

Variety: Sometimes, your bank may not offer you all the policies that an insurance company has in its portfolio. Insurance expert Rajesh Relan says, "Some banks select a few products from the product basket, depending on the needs and suitability of their customer segments."

Decide whether the policy the bank offers fits your requirements. If it doesn't, you are better off with your agent.

The upside
Simplicity: A transactional relationship already exists between you and the bank, so paperwork and payment processing will be simple.

One-stop shop: Your bank can offer you the entire range of financial products instead of buying from multiple places. This gives you a single window view to your investments.

Specialised products: Some life insurance companies design a special product to be sold through a bank which does not involve too many formalities or medical tests. You can opt for this policy only through a bank, and not through other channels. (You will be asked for many medical declarations.)

Banks are slowly replacing agents worldwide because they are a one-stop destination in today's time-crunched world.

My lesson for the day: Even if recommendations are made with vested interests, they might not be totally wrong for you.

The fresh cream did, in fact, make all the difference to the Risotto I made!

Source: ttp://wealth.moneycontrol.com/features/planning/insurance-should-you-buy-from-your-banker-or-your-agent-/5833/0

Disclaimer: While we have made efforts to ensure the accuracy of our content (consisting of articles and information), neither this website nor the author shall be held responsible for any losses/ incidents suffered by people accessing, using or is supplied with the content.

Some advice on choosing money advisors

noreply@blogger.com (FINVESTguru) — Sat, 12 Dec 2009 17:19:00 +0000

Rajeswari Venkatesh, 26, a software professional, was looking to invest Rs 50,000. And while friends and colleagues suggested a plethora of stocks or mutual fund schemes, she wasn't feeling very confident about taking a decision on their advice.

While hunting for professional financial advisors on the Net, she came across several names. On approaching one, she was handed a big list of MF schemes and returns. "You can invest in any one of them," the advisor said.

Once she had selected a scheme, the advisor invested the entire Rs 50,000 in it. When she sought to divide the money between two-three schemes, the advice was that the money was too little to be split.

Three months later, the advisor called her to say there was a new fund offering (NFO), which was rather promising. And since Rs 50,000 had grown to Rs 60,000, she could invest some part of it in this scheme. "You will get more units, as the net asset value (NAV) is only Rs 10," the advisor said. Six months later, he again asked her to invest in another NFO.

At the end of the year, while Venkatesh's money was divided in three schemes, it had grown by only 25 per cent. In comparison, the stock market had risen more than 50 per cent during the year. On enquiring, she was told that she had to pay a short-term capital gains tax of 15 per cent twice, while moving money from one scheme to another.

Venkatesh's case is not isolated. Many financial advisors hurt your finances by misleading you. Making you move money several times during the year is one way. They do it because they are paid higher commissions for promoting these schemes.

"If the advisor asks you to exit an existing infrastructure scheme for a new one, it is clear that he is taking you for a ride, because the new scheme will also invest in the same companies," said Mukesh Dedhia, director, Ghalla Bhansali Stock Brokers.

Similarly, many sell unit-linked insurance plans when you are looking to buy a term plan or MF. The tell-tale signals are when a financial advisor offers to pay the first premium for an insurance plan or gives you money back for investing in a particular scheme.

"In such cases, be sure that he is getting an exorbitant commission, and it is from your investment only," said Kartik Varma, co-founder, iTrust Financial Advisor. In other words, the recommendations are being made to earn the commission, and your needs are not being addressed.

Also, if the stock or entire portfolio is being churned too often (three-four times a year) under the guise of 'rebalancing', it means your tax outgo is becoming higher. So, how does one select a financial advisor? "There is no clear answer," said Sandeep Shanbhag, director, Wonderland Investments.

But having basic knowledge before investing is important. At least, it helps to ask the right questions. To start, check the advisor's qualifications. The advisors should preferably be certified by Association of Mutual Fund Industry (Amfi) or Insurance Regulatory and Development Authority (Irda). "These certifications ensure the advisor knows about products and is in a position to meet the client's needs," said Shanbhag.

Also, rely on well-known advisory companies, compliant with regulatory norms. Advisors who have experienced at least two market cycles are likely to have reliable perspective.

Always question the advisor's recommendations, because it is important to know how a product will benefit you, based on your goals and risk profile. "A need-based analysis and risk profile are very important, because they are highly personalised. An advisor cannot recommend a one-size, all-fit product to each client," added Varma.

Check the fees of the product being sold and compare with others. Importantly, visit several advisors before zeroing on one.

Neha Pandey / Mumbai December 11, 2009, 0:22 IST

Source: http://www.business-standard.com/india/news/some-advicechoosing-money-advisors/379173/

Sebi asks MFs not to ask for NOCs

noreply@blogger.com (FINVESTguru) — Sat, 12 Dec 2009 16:45:00 +0000

Making it easier for mutual fund investors to switch distributors, market regulator Securities and Exchange Board of India (Sebi) today said it is doing away with the practice of obtaining a no objection certificate (NOC) from existing distributors.

In a circular to all mutual funds and asset management companies (AMCs) the market regulator said: "You are advised to ensure compliance with the instruction of the investor informing his desire to change his distributor and/or go direct without complleing that investor to obtain an NOC from the existing distributor."

Sebi said Association of Mutual Funds of India (AMFI), had in 2007, asked AMCs to act on instruction of the investors if they desire to change their distributor....

"It appears this mandate is not being followed by the mutual fund industry...Some AMCs are insisting on the investor procuring an NoC from the existing distribtuor for this switch over," Sebi said.

--- PTI

AEGON Religare Star Child Plan

noreply@blogger.com (FINVESTguru) — Sun, 06 Dec 2009 18:24:00 +0000

Your dream has always been to see your children outshine your dreams. To be able to meet their needs and aspirations is what you always strive towards. Life, if systematically managed, can keep changing for the better leading to a more secure future for your children. AEGON Religare Star Child Plan aims to help you in doing just that. It not only makes provisions for your children's future but also ensures that their future remains secured. With the help of our Life Agent, fill out the Life Planner that will help you take the steps to having your own plan.

Waiver of Premium

In the event of your unfortunate demise we assure a lump sum payment and waive off all future premiums till maturity.

Other Features and Benefits

Invest Protect Option

If you opt for Invest Protect option, it will not only help you gain from your investment but also minimize the risk of returns as your policy nears maturity. It aims to protect your money by systematically shifting the Fund from the Enhanced Equity Fund to the Secure Fund during the last 3 policy years.

Auto-rebalancing

At the end of every policy year, this feature automatically rebalances the allocation of your investments in various funds to the original proportions you had chosen.

Special Units

You will earn additional special units if your policy term is 15 years or more. The special units will be added to your account at the end of 10th year and every 3rd year thereafter. The value of special unit would be equal to 1.50% of the average fund value of the last 36 months before the allotment of special units.

Premium Re-direction

Premium Re-direction feature allows you to alter the premium allocation made by you in different funds.

Switch

This feature helps you shift your investments from one fund to another. Four switches are free in a policy year.

Maturity

On maturity, you receive the fund value existing on maturity. If you do not wish to take the entire maturity amount at one go, you can avail of the Settlement Option.

4 Fund Options

You have the option of choosing from 4 funds Secure, Debt, Balanced and Enhanced Equity Fund.

Partial Withdrawal

You or the nominee after death of the Life Assured can partially withdraw your money after first 3 policy years. The maximum amount of partial withdrawal in any policy year is 50% of the fund value at the beginning of that policy year. You can also avail of AEGON Religare Star Child Plan's Systematic Partial Withdrawal facility by which we redeem units periodically from your unit account and credit the money to your bank account. You can opt for systematic partial withdrawal frequency, say monthly or quarterly for the duration you choose.

Settlement Option

Under this option, you or the nominee after death of the Life Assured, receive maturity proceeds in instalments over a period you choose (not exceeding 5 years). Investment risk during the settlement period is borne by you.

Surrender

You can surrender the policy anytime after the first 3 policy years. Surrender value is fund value minus the surrender charges. The charges will depend up on the period for which you have paid your premiums. The policy can not be surrendered after death of the Life Assured.

Death

In case of your unfortunate demise during the term of the policy, the nominee will receive the Sum Assured. On payment of Sum Assured, the units in the policy account remains invested but, the base cover and other covers under all riders attached with the policy will stop. However, all future premiums due after death of the assured parent, will be waived and paid by the Company into the policy unit account on their respective due dates. For polices lapsed in first 3 years, the death benefit will be the fund value.

In case of child's or nominee's death: If the child or nominee die after the assured parent's death, the policy continues and the future premiums will be paid by the Company.

Tax Benefits

Section 80C, 10 (10D) of the Income Tax Act, 1961 would apply. Premiums paid for AEGON Religare CI Rider may qualify for a deduction under Section 80D of the Income Tax Act, 1961. Consult your tax advisor for confirmation.

AEGON Religare iTerm Plan

noreply@blogger.com (FINVESTguru) — Sun, 06 Dec 2009 18:23:00 +0000

No one has control over uncertainties of life. Will your loved ones be able to sustain the same lifestyle even in your absence? In order to ease some worries and give your family the best, we offer you AEGON Religare iTerm Plan, which ensures protection for your loved ones - at a fraction of the cost.

Benefits

Death - In case of your unfortunate demise, the Sum Assured is payable to your nominee.

Other Features

Free Look Cancellation - In case, you are not satisfied, you may choose to cancel the policy within 15 days of receiving the policy documents. Upon such cancellation, you will be paid back the premiums, minus the cost of stamp duty, medical reports and proportionate premium for the period for which the risk was covered.

Eligibility

Sum Assured	Minimum - Rs. 10,00,000 (in Multiple of Rs. 1,000) Maximum - No limit (subject to underwriting requirements)
Entry Age*	Minimum - 18 years Maximum - 60 years
Maturity Age	Maximum - 65 years
Policy Term	Minimum - 5 years; Maximum - 25 years
Premium Pay Term	Equal to the policy term
Premium Payment Frequency	Yearly

AEGON Religare Group Term Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 14:21:00 +0000

There is a well known saying 'People make the place'. No matter which industry you are in, the value that individuals bring to an organization cannot be underestimated. Most of the people at your work place have a family that financially depends on them. Hence, each one needs life insurance. Providing basic financial security for these employees would not go unnoticed.

AEGON Religare Group Term Plan provides the members of your group with a life insurance plan so that their families' needs are looked after.

How do you apply for AEGON Religare Group Term Plan?

Step 1: Decide on the number of people in your group (minimum 50 members)
Step 2: Choose the amount of protection your group members need
Step 3: Derive at the Sum Assured for every member on the basis of:
       a) Multiple of salary
       b) Flat / Fixed Cover for all members
       c) Grade wise cover

Benefits

Death - In case of any member's unfortunate demise, you will be paid the Sum Assured for the nominee.

Eligibility

Premium	Minimum - Depends upon the group Size & Sum Assured opted Maximum - No limit
Sum Assured	Minimum - Rs. 5,000 per member Maximum - Rs. 2,00,000 per member
Entry Age	Minimum - 18 years Maximum - 59 years
Maturity Age	Maximum - 60 years
Size of the Group	Minimum - 50 members Maximum - No limit
Premium Pay Term	Equal to the policy term
Policy Term	1 year (yearly renewable)
Premium Payment Frequency	Single,Half- yearly, Quarterly, Monthly (via ECS only)

AEGON Religare Decreasing Term Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 14:16:00 +0000

Loans or mortgages are riddled with worries and tension. You try to repay the amount and at the same time, ensure that your family is not affected and gets the best of everything. However, as time elapses, your liabilities reduce and hence the need for a plan which has a cover that declines and the premium you pay is low.

AEGON Religare Life Insurance offers AEGON Religare Decreasing Term Plan that ensures your liabilities don't give you stress.

How do you apply for AEGON Religare Decreasing Term Plan?

Step 1: Choose the amount of protection you need
Step 2: Decide on the term of your policy
Step 3: Our Life Agent will calculate the premium you will have to pay

Benefits

Death - In case of your unfortunate demise, the benefit payable is 100% of the Sum Assured in the 1st year, after which it will reduce by 5% on every policy anniversary.

Tax Benefits - Section 80C, 10 (10D) of the Income Tax Act, 1961 would apply. Please consult your tax advisor for confirmation.

Eligibility

Annualised Premium	Minimum - Rs. 2,000 p.a for regular premium - Rs. 10,000 for single premium
Sum Assured	Minimum - Rs. 5,00,000
Entry Age	Minimum - 18 years Maximum - 55 years
Maturity Age	Maximum - 75 years
Premium Pay Term	Single / 11 years (except for 10-year plan where premium pay term is equal to the policy term)
Policy Term	Minimum - 10 years; Maximum - 20 years
Premium Payment Frequency	Single, Yearly, Half- yearly, Quarterly, Monthly (via ECS only)

Other Features

Grace Period - You are allowed to pay premiums within 30 days from the due date. If a due premium is not received within the grace period of 30 days, your policy will lapse and the life insurance cover will be terminated.

Lapsed Policy Reinstatement - You can reinstate your lapsed policy any time (within 2 years from the due date of the first unpaid premium) by paying all the due premiums and undergoing underwriting requirements, if any.

Free Look Cancellation - In case, you are not satisfied, you may choose to cancel the policy within 15 days of receiving the policy documents. Upon such cancellation, you will be paid back the premiums minus the cost of stamp duty, medical reports and proportionate premium for the period for which the risk was covered.

Terms and Conditions

Maturity - The policy does not acquire any maturity value, therefore no amount is payable to the Policy Holder on maturity.

Surrender - The policy does not acquire any surrender value throughout the policy term and therefore there is no amount payable to the Policy Holder upon surrender.

Service Tax - Service tax or any other tax shall be levied as per the prevailing tax laws on premiums or benefits payable.

Exclusion - In case of death by suicide during the first policy year, or within one year from the date of reinstatement, no death benefit is payable.

AEGON Religare Increasing Term Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 14:15:00 +0000

Life is about moving forward, and as you scale new heights towards success, your income rises. Along with it, your lifestyle changes and so do the needs and expenses of your family.

AEGON Religare Life Insurance now offers AEGON Religare Increasing Term plan that grows with your increasing responsibilities.

How do you apply for AEGON Religare Increasing Term Plan?

Step 1: Choose the amount of protection you need
Step 2: Decide on the term of your policy
Step 3: Our Life Agent will calculate the premium you will have to pay

Benefits

Death - In case of your unfortunate demise, the benefit payable is 100% of the Sum Assured in the first year which increases by 5% on every policy anniversary thereafter, till the amount payable on death becomes twice the Sum Assured. After that, the benefit payable remains twice the Sum Assured.

Tax Benefits - Section 80C, 10 (10D) of the Income Tax Act, 1961 would apply. Premiums paid for AEGON Religare CI Rider may qualify for a deduction under Section 80D of the Income Tax Act, 1961. Please consult your tax advisor for confirmation.

Riders

Besides life cover, AEGON Religare Increasing Term Plan offers you additional cover through riders. If you opt for a rider, you or your nominee will receive the rider Sum Assured, in case any of the following event / illness listed under the rider occurs.

AEGON Religare ADDD Rider - This rider benefit is paid on occurrence of any of the following

· Death due to an accident

· Accidental dismemberment [loss of use of a limb(s) and / or eye(s)]

· Permanent total disability due to an accident

AEGON Religare CI Rider - This rider covers the following 9 critical illnesses

· Cancer (malignant) including Leukemia

· Coronary Artery Bypass Surgery

· Heart Attack

· Kidney Failure

· Stroke

· Major Organ Transplantation

· Paralysis

· Heart Valve Surgery

· Surgery for disease of the Aorta

In case of Critical Illness, the Sum Assured will be paid 30 days after diagnosis of the critical illness or undergoing surgical procedure as the case may be.

Eligibility

Annualised Premium	Minimum - Rs. 2,000 p.a for regular premium - Rs. 10,000 for single premium
Sum Assured	Minimum - Rs. 5,00,000
Entry Age	Minimum - 18 years Maximum - 55 years
Maturity Age	Maximum - 75 years
Premium Pay Term	Single / Equal to the policy term
Policy Term	Minimum - 10 years; Maximum - 30 years
Premium Payment Frequency	Single, Yearly, Half- yearly, Quarterly, Monthly (via ECS only)

Other Features

Grace Period - You are allowed to pay premiums within 30 days from the due date. If a due premium is not received within the grace period, your policy will lapse and the life insurance cover, including the rider cover, if any, will be terminated.

Free Look Cancellation - In case, you are not satisfied, you may choose to cancel the policy within 15 days of receiving the policy documents. Upon such cancellation, you will be paid back the premiums, minus the cost of stamp duty, medical reports and proportionate premium for the period for which the risk was covered.

Terms and Conditions

Maturity - The policy does not acquire any maturity value, therefore no amount is payable to the Policy Holder on maturity.

Surrender - The policy does not acquire any surrender value throughout the policy term and therefore there is no amount payable to the Policy Holder upon surrender.

Rider - The benefit payable will not increase along with the increase in the base plan death benefit.

Service Tax - Service tax or any other tax shall be levied as per the prevailing tax laws on premiums or benefits payable.

Exclusion - In case of death by suicide during the first policy year, or within one year from the date of reinstatement , no death benefit is payable.

AEGON Religare Level Term Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 14:14:00 +0000

Your family looks to you for support and strength. You have given them the best till now and you would want them to get the best even in the future. However, no one has control over uncertainties of life. Will they be able to sustain the same lifestyle even in your absence? To deal with your concern and give your family the best, we offer you AEGON Religare Level Term Plan, which ensures protection for your loved ones at a fraction of the cost. With the help of our Life Agent, fill out the Life Planner that will help you take the steps to having your own plan.

Features and Benefits

Enhanced Sum Assured

There are some special occasions in life such as your marriage or the birth of your child that need your support. On such occasions this policy gives you the option to increase your Sum Assured. This increase in the sum assured is subject to a maximum of 50% of the sum assured or Rs 10 lakh (whichever is lower), without the hassle of going through a medical examination or any other underwriting requirements.

Grace period

You are allowed to pay premiums within 30 days from the due date. If a due premium is not received within the grace period, your policy will lapse and the life insurance cover, including the rider cover, if any, will be terminated.

Lapsed Policy Reinstatement

You can reinstate your lapsed policy any time (within 2 years from the due date of the first unpaid premium) by paying all the due premiums.

Free Look Cancellation

In case, you are not satisfied, you may choose to cancel the policy within 15 days of receiving the policy documents. Upon such cancellation, you will be paid back the premiums minus the cost of stamp duty, medical reports and proportionate premium for the period for which the risk was covered.

Death: Incase of unfortunate demise, the benefit payable to nominee is sum assured and it does not change during the term of the contract.

Tax Benefits

AEGON Religare Pension Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 14:13:00 +0000

Today, you are living comfortably. There is a regular inflow of income and your bills are paid on time. In fact your necessities are taken care of, without you having to worry about them.

However, the future will be different. Rising inflation will affect the price of the smallest of items. Milk that costs Rs.20/ltr. today could cost around Rs.95 twenty years later. Which means, on retirement you may not be able to afford even the basic necessities like food, clothing, etc.

Therefore you need to plan your retirement today itself. Presenting the AEGON Religare Pension Plan. It provides you with a regular pension that will help you take care of the much needed basic necessities, post-retirement. Invest in AEGON Religare Pension Plan and be assured of a secure tomorrow.

How does the plan work?

Step 1: Choose your retirement age.
Step 2: Consult our Life Advisor to know what should be your retirement amount.
Step 3: Decide the amount of premium you wish to pay every year from the flexible options.
Step 4: Invest your premiums in the 'Lifestyle Fund' option, a Fund that systematically minimises the risk to your returns by reducing the equity exposure throughout the policy term. Alternatively, you can choose to invest your premiums in any of our 5 Funds.

Premium Options

Increasing Premium
The Increasing Premium Payment option is a feature that takes into consideration inflation. As inflation rises, the value of your money falls thereby reducing your purchasing power. Therefore, it becomes important that as time elapses, you should built a corpus that has the value and purchasing power that you have always wanted.
Under this variant, you can choose to pay regular premiums which increase by 5% or 8% of the first year premium every year.

Level Premium
If you choose Level Premium, the amount of regular premium that you pay every year remains fixed till you reach the vesting age.
E.g. The graph below shows you how opting for the Increasing Premium Option at 5% and 8% over a period of time will help you in increasing the amount you get at vesting.

The graph above shows that the returns are 47% more when 5% Increasing Premium is opted for and 75% more when the 8% Increasing Premium is opted for as compared to the Level Premium option.

Benefits

1. Vesting
On vesting, you have the option to take a part of fund value as tax free lump-sum (as per prevailing tax laws). The balance amount will be used to purchase an immediate annuity from us at then prevailing rates or from any other Life Insurance Company.

Option to Pre-pone or Postpone your vesting age:
Under this option, you can change your vesting date. The minimum vesting age is attaining 50 years of age and the maximum up to attaining 70 years of age.

2. Partial Withdrawal
You can partly withdraw your money after first 3 policy years. The minimum amount of partial withdrawal is Rs. 5,000 and the maximum amount allowed in any policy year is 20% of the fund value at the beginning of that policy year.

3. Surrender
You can surrender the policy any time after the first 3 policy years. Surrender value is fund value minus the surrender charges. There is no surrender charge on units from Top-up premium paid.

4. Death
In case of your unfortunate demise, your nominee will receive the existing Fund Value of the date when we receive such intimation. In case you have opted for a Term Rider, the Term Rider Sum Assured in addition to the Fund Value will be payable.

Key Features:

Increase and decrease in Premium
Under this feature, you have the flexibility to increase or decrease the level premium that you pay annually. You also have the flexibility to change from increasing premium to level premium within minimum and maximum premium limits.

Auto-rebalancing
This feature at the end of every policy year, automatically rebalances the allocation of investments in various funds as to the allocation proportions chosen by you.

Special Units
You earn additional Special units if your policy term is 10 years or more. The Special units are added to your account on the 10th Policy Anniversary and on every policy anniversary thereafter till the vesting of the policy or death.

Premium Re-direction
This feature allows you to alter the premium allocation to be applied to your future premiums.

Switch
This feature helps you to shift your investments from one fund to another. Four switches are free of charge in each policy year.

Riders
AEGON Religare Pension Plan offers you additional cover through riders.
1. AEGON Religare Term Rider
2. AEGON Religare Waiver of Premium Rider

These riders are only available with regular premium option.

Eligibility

Annualised Premium	Minimum - Rs. 12,000 p.a for regular premium - Rs. 1,00,000 for single premium
Premium Pay Term (Years)	Single / Equal to the policy term
Entry Age	Minimum - 20 years Maximum - 60 years
Vesting Age	Minimum - 50 years Maximum - 70 years
Policy Term	Minimum - For Level / Increasing Premium - 10 Years - Single Premium 5 Years Maximum - 50 years
Premium Payment Frequency	Monthly (via ECS only), Quarterly, Half- yearly, Yearly or Single Premium

Canara HSBC Oriental Bank of Commerce Life Unit Linked Pension Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 06:37:00 +0000

Finance your future today, to make sure you enjoy life tomorrow. Our retirement solutions have been created to ensure that you lead your life tension free.

The Canara HSBC Oriental Bank of Commerce Life Unit Linked Pension Plan gives you the freedom to plan your retirement so that you can enjoy it just the way you want.

Key Features of the Canara HSBC Oriental Bank of Commerce Life Unit Linked Pension Plan

Flexibility to choose your Plan - Option I- Pure Pension Plan or Option II- Pension With Life Cover
Flexibility to choose between Single or Regular Premium payment options depending on your investment preference
Choose between 5 Investment Funds depending on your attitude to market risks and returns.
Hassle free - No Medical tests
Maturity Switch Option As you grow older, and your Plan nears your Vesting Date, change your type of investment by moving from a more market influenced Equity Fund to a less market influenced Liquid Fund
Unlimited Top ups - Increase your Retirement Corpus by adding unlimited top ups over and above your regular contribution(s)
Flexibility of Switching/Redirection between the Investment Funds to take advantage of market movements
Loyalty Additions: Additional Units will be allocated every 5th year starting from end of the 10th Policy year ,at no extra charge up to end of Policy Term (if your Policy Term is 15 years or more)thus increasing the value of investment.
Save tax while investing under Sec 80C and Section 10(10A)(iii) of the Income Tax Act, 1961¹

We provide you a wide range of flexibilities to avail various plan options and combinations that suit your needs!!

Eligiblity Criteria

Particular	Minimum	Maximum
Entry Age²	18 years	65 years ( for Single Premium-under Option I) 60 years (for Regular Premium-under Option I) 60 years (under Option II)
Policy Term	Single Premium-5 years Regular Premium- 10 years	52 years (subject to maximum Vesting Age)
Vesting Age	45 years	70 years
Premium	Rs 12,000 p.a. (Regular) Rs 50,000 p.a. (Single)	No Limit
Top Ups	Rs 2000	Unlimited

Life Cover

Only under Option II: Pension with Life Cover

For Regular Premium payment:

Age²	Life Cover
18 to 35 years	5 or 10 times of the AP, with maximum SA of Rs. 10 lakhs
36 to 45 years	5 or 10 times of the AP, with maximum SA of Rs. 5 Lakhs
46 to 55 years	Fixed Rs. 1.5 lakhs
56 to 60 years	Fixed Rs. 1.0 lakh

For Single Premium (SP) payment:

Age²	Life Cover
18 to 35 years	125% of SP subject to maximum SA of Rs. 10 lakhs
36 to 45 years	125% of SP subject to maximum SA of Rs. 5 lakhs
46 to 55 years	125% of SP subject to maximum SA of Rs. 1.5 lakhs
56 to 60 years	Fixed Rs. 1.0 lakh

¹The tax benefits are as per the prevailing law and are subject to changes

²Age is based on last birthday

AP-Annualized Premium; SA- Sum Assured

How Does The Plan Work?

PHASE I- Accumulation of your savings for your retirement needs

Choose your Premium
Choose your Plan Option, Option I- Pure Pension(without Life cover) or Option II- Pension with Life Cover,
Choose your Payment Mode- Single or Regular
Choose your Vesting Age
Your Policy Term shall be equal to : Vesting Age Current Age
Choose your investment strategy by allocating your premiums into Funds that suit your risk appetite or take advantage of the Maturity Switch Option
Fill the form and submit it with your initial premium and the necessary documents.
You have the option to pay your Premium annually/semi-annually/ quarterly or monthly under Regular Premium mode.
On a periodic basis, the Company will provide you, your Unit Account summary.
No medical tests are required

PHASE II- Payout of your Corpus on reaching your Vesting Date

On the date your Policy matures (Vesting Date), you will have the following options available to you:

Taking 1/3rd of your Investments in a lump sum amount and
Opting for any of the Annuity options available with us at the time of Vesting Or
Opting for an Annuity option available with any other Annuity provider through the Open Market option

Protect and Safeguard your returns, earned during the policy term through Unit Linked Funds, at Vesting Date

We have an attractive solution for you in the form of the Maturity Switch Option.

Maturity Switch Option

When you are younger, you expect higher returns from your investments, so that they grow to a substantial amount of money at the time your Policy matures. However, as you grow older and get ready to retire (or your Policy nears its vesting date), you want to safeguard your savings. Recognizing this, we have created the Maturity Switch Option. In this option, your money is initially invested in our Equity Fund (providing potentially higher returns) and then moved progressively to our Liquid Fund (lower risk fund) starting 5 years before your vesting date. The way this option works is as follows:

If you opt for the Maturity Switch Option, 100% of your premiums will be invested in the Equity Fund till the 5th year preceding vesting date

From the 5th year preceding vesting date, your funds will be moved to the Liquid Fund as per the following table:

Years Left to Vesting*	Equity Fund Allocation	Liquid Fund Allocation
More than 5 years	100%	0%
4 - 5 years	80%	20%
3 - 4 years	60%	40%
2 - 3 years	40%	60%
1 - 2 years	20%	80%
0 - 1 year	0%	100%

*Allocation percentages are as on Beginning of Year

If you have opted for Maturity Switch Option you cannot opt for any other fund other than those provided in this Option. Your right to change allocation proportions from the pre-defined grid is suspended (cannot exercise redirection of premium option)
You can exit or opt to choose Maturity Switch Option at anytime during the Policy Term. The allocations will change immediately as desired by you if you exit or as per the table given above if you opt in to Maturity Switch Option.
Every entry into or exit from the Maturity Switch Option, will be treated as a switch. Rules and charges for switches will be applied as per the terms governing the same.

Prepone or Postpone your Vesting Date You can choose to prepone or postpone your Vesting Date within the boundary limits set for you up to two times through your Policy Term as per your changing Retirement Needs. You can prepone or postpone your Vesting Date, subject to the following conditions:

It should be within the maximum and minimum limit prescribed.
This can be done at any time from the 5th policy year onwards. This option is not available for Single Premium policies with Policy Term of 5 years.
This option is available only 2 times during the Policy Term and both options cannot be exercised together.
There will be no change in the regular premium as a result of change in Vesting Date.
Life Cover will cease at the earliest Vesting Date.

For details of this option please refer to the detailed product brochure.

Tax Benefit*:

The contributions towards investments in your policy will be eligible for Tax Deduction under Section 80C of the Income Tax Act, 1961¹ upto Rs. 1 Lakh

For specific details, please contact your tax consultant. The tax benefits are as per the prevailing law and are subject to changes

For detailed description of the product features, benefits, flexibilities and boundaries, kindly refer to the brochure by clicking on the hyperlink below

Canara HSBC Oriental Bank of Commerce Life Pure Term Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 06:36:00 +0000

Through the various stages in your life, you try to protect your loved ones emotionally and financially. But there are times when you ask yourself, what if I am not around to take care of my family? Have I secured my loved ones financially, in case I am not around? Can I plan for the financial security of my family while meeting my current goals?

At Canara HSBC Oriental Bank Of Commerce Life Insurance Company Limited, we understand this, and work tirelessly towards partnering with you in helping you protect your family financially.

We are proud to present to you a term insurance plan that will protect your family from financial uncertainties and help you secure their future.

Key Features of Canara HSBC Oriental Bank of Commerce Life Pure Term Plan

Economical life cover Sum Assured at affordable cost, across a wide range of coverage ages & Sum Assured
Wide range of Policy Terms to meet your needs accurately - choose a term from 5 to 30 years or choose coverage till age 60 years
Flexible Premium Paying Options The plan provides you Regular and Single Premium Paying options
Rebate on premium rates for female lives
Save tax while investing under section 80C and get tax-free benefits under section 10 (10 D) under the Income Tax Act, 1961¹

Eligiblity Criteria

Sum Assured	Minimum Rs 10 Lakhs for both Single Premium and Regular Premium Payment Options
Entry Age*	Minimum 18 Years Maximum 64 Years
Maturity Age*	Maximum - 74 Years
Premium Paying Term	Single/ Policy Term
Policy Term	Choose a term from 5 to 30 Years (Subject to maximum maturity age of 74 years) Or Coverage till Age* 60 Years (For entry ages less than or equal to 55 years)
Premium Payment Frequency	Single, Yearly, Half-yearly, Quarterly, Monthly

*Age is based on last birthday

¹The tax benefits are as per the laws prevailing on the date of issuance of this brochure, and are subject to changes

How Does The Plan Work?

Choose the amount of protection you need
Decide on the term of your Policy
Choose your premium paying option and premium paying mode
Complete your Application Form and submit it with the required premium and the necessary documents
We shall be notifying you on the requirement of medical examinations, if required. After assessment of your medical conditions and health standard by the Company on the basis of the information/ documents provided by you and basis which medical tests conducted if any, the Policy will be issued and sent to you
Your Policy's risk coverage shall commence on a date latter of underwriting acceptance or premium realization.

Benefits under the Plan

Death Benefit:

In case of the unfortunate death of the Life Assured during the policy term, the benefit payable to the nominee is the Sum Assured under the Policy.

Maturity Benefit:

There will be no survival benefits payable under this plan.

Tax Benefit¹:

Premiums paid under this policy will be eligible for tax benefit under Section 80C and
Any benefit amount paid to you will be eligible for tax benefits under Section 10(10D), as per prevailing Income Tax laws.

For specific details, please contact your tax consultant.

For detailed description of the product features, benefits, flexibilities & boundaries, kindly refer to the brochure by clicking on the hyperlink.

Canara HSBC Oriental Bank of Commerce Life Unit Linked Child Plan

noreply@blogger.com (FINVESTguru) — Thu, 03 Dec 2009 06:35:00 +0000

At Canara HSBC Oriental Bank of Commerce Life Insurance Company Limited, we believe that when it comes to your child's future, you should not settle for anything else but the best. Our Unit Linked Child Plan, with its thoughtfully designed features and options is just another way towards ensuring a safe and happy life for your child in the future. This product will not only help you fulfill your promise to your child, but more importantly help you take the first step towards ensuring a secure future for him/her.

Key Features/ Benefits of the Unit Linked Child Plan

Comprehensive Insurance Benefit: Safeguard the immediate and future needs of your child in
case of your unfortunate death with the following features:
* Immediate payment of the Sum Assured
* Funding of all future premiums, as and when due
* Payment of the Fund Value at maturity
Loyalty Additions at milestones in your child's life: Boost your investments through Loyalty Additions, twice during the policy term – at ages 18 and 25 of your child
Indexation: Protect the real value of your investments and policy benefits against inflation by opting for Indexation at inception, whereby your regular premium and sum assured will increase by 5% p.a.
Premium Holiday: Avail the option of a premium holiday up to 3 years and enjoy all the policy benefits without having to pay any premium for the holiday duration
Systematic Partial Withdrawal: Meet the planned needs of your child, such as his/her higher education, through structured payouts in the last 5 policy years. This apart, the Partial Withdrawal option is also available after the completion of 5 policy years for unplanned contingencies
Investment Funds: Choose from 5 investment funds – Equity, Growth, Balanced, Debt and Liquid, ranging from 0% to 100% equity exposure, to match your appetite towards investment risks and returns
Maturity Switch Option: Get the upside of high growth through the term of the plan while protecting your savings when your plan is closer to maturity by opting for Maturity Switch Option.
Tax benefits¹: Enjoy tax benefits under Section 80C and Section 10(10D), as per the Income Tax Act, 1961

Eligibility Criteria

Entry Age (Last birthday)	Life Assured (Parent): 18 – 60 years Beneficiary (Child): 0 – 15 years
Policy term	25 years – entry age of the beneficiary (i.e. 10 – 25 years, subject to maximum maturity age of 75 years)
Annual Premium	Minimum Rs 12,000; No maximum limit
Sum Assured	5 to 15 times Annualized Premium Equivalent for age 18 to 50 years 5 times Annualized Premium Equivalent for age 51 to 60 years
In-built Premium Funding Benefit	Funding of all future premiums, as and when due by the Company in case of the death of the Life Assured during the policy term
Death Benefit	Sum Assured is paid immediately & Inbuilt Premium Funding Benefit gets activated
Maturity Benefit	Fund Value
Fund Options	Equity Fund	Growth Fund	Balanced Fund	Debt Fund	Liquid Fund

How the Plan Works?

Choose the regular premium as per the amount you would like to invest for your child's future. Also, choose an adequate life cover
Your policy term will be 25 years minus your child's current age. E.g. if your child's current age is 3 years, the term of the plan will be 25-3=22 years. This is designed so that the policy matures when your child is 25 years old
You can choose to pay your premiums annually, half yearly, quarterly or monthly. You can opt to pay your premiums through cheque, demand draft, ECS, direct debit or standing instruction to your bank account.
You need to complete your proposal form and submit it with the initial premium and the necessary documents.
Once your proposal is accepted as per our underwriting requirements, the policy will be issued and sent to you
You can avail the flexibilities provided in the plan as per your need, after issuance of your Policy
You will be required to pay premiums regularly for the entire policy term

No one covers you the way we do!

Providing Customized Solutions for your Child's benefit through this plan!

♦ Indexation Option

At inception, you can opt for Indexation, wherein your regular premium as well as the sum assured will increase by 5% p.a. of the then existing Premium and Sum Assured at each policy anniversary. Indexation helps you effectively beat inflation eating into the value of your funds and make disciplined increased savings towards it. Also, in case of your unfortunate death, the benefits paid to your child are substantially insulated from inflation erosion.

♦ Partial Withdrawal/ Systematic Partial Withdrawal

In order to meet any sudden financial requirements for your child, you can make partial withdrawals from your policy without having to surrender it. Subject to all due premiums being paid, Partial withdrawals are allowed after the completion of 5 policy years. The first four partial withdrawals in a year are free of charge.
You also have the option of Systematic Partial Withdrawal, wherein 20% of the fund value (as on the beginning of each respective policy year) will be disbursed to you in the 5 policy years immediately preceding policy maturity. This will give you access to your investments, helping you take care of large expenses of your child such as his/her higher education.

♦ Loyalty Additions

Enjoy Loyalty Additions twice during the term of your policy, linked to two key milestone ages of your child i.e. a) when he/she attains age 18, and b) when he/she attains age 25. The Loyalty Additions are given in the form of free extra allocation of units. The Loyalty Additions are given as a percentage of the total fund value, built-up on regular premiums only as illustrated below:
- Loyalty Addition at the age of 18 = 0.2%* Fund Value* Total number of completed policy years
- Loyalty Additions at the age of 25 = 0.2%* Fund Value* Total number of completed policy years

♦ Premium Holiday

You can avail the Premium Holiday facility; provided the policy is in force and at least the first 8 policy years' premiums have been paid. You can opt not to pay your regular premiums for periods ranging from 1 to 3 years during which the policy will continue with all the benefits. Once the holiday period is over, you can resume premium payment without having to pay the premiums pertaining to the Premium Holiday period. This feature is available multiple times during the policy term and can be availed in case you face any financial constraints during the policy term. We will require a notice of at least 15 days, prior to the premium due date from which you wish to avail the premium holiday.

TAX BENEFIT¹:

Premiums paid under this policy will be eligible for tax benefit under Section 80C and
Any benefit amount paid to you will be eligible for tax benefits under Section 10(10D), as per prevailing Income Tax laws.

For specific details, please contact your tax consultant.
¹The tax benefits are as per the law prevailing on the date of issuance of this plan, and are subject to changes
For detailed description of the product features, benefits, flexibilities & boundaries, kindly refer to the brochure by clicking on the hyperlink below

Maximize your returns; take the highest return of 7 years Guaranteed!!

noreply@blogger.com (FINVESTguru) — Mon, 30 Nov 2009 14:42:00 +0000

Dear Customer,

Disclaimer -
IN THIS POLICY, THE INVESTMENT RISK IN THE INVESTMENT PORTFOLIO IS BORNE BY THE POLICY HOLDER. The period of 7 years starts from the date of launch of Pinnacle fund and will end on the completion of 7 years (from 24-Oct-2009 to 24-Oct-2016). © 2009, ICICI Prudential Life Insurance Co. Ltd. ICICI Prulife Tower, 1089 Appasaheb Marathe Marg, Prabhadevi, Mumbai-400025. Reg No: - 1056. Insurance is the subject matter of the solicitation. UIN - 105L095V01. For more details on the risk factors, terms and conditions, please read the sales brochure carefully before concluding the sale. Unlike traditional products, Unit linked insurance products are subject to market risk, which affect the Net Asset Values and the customer shall be responsible for his/her decision. The names of the Company, product names or fund options do not indicate their quality or future guidance on returns. Funds do not offer guaranteed or assured returns. Investments are subj! ect to market risk. You will not be able to reply to this mail. If you do not wish to receive this series of mail, click here to unsubscribe or enter your details here. Advt. No. E/II/641/2009-10. Helpline Number: 1800-22-2020.You will not be able to reply to this mail, if you do not wish to receive this series of mail, click here to unsubscribe.

Eight-step guide to financial planning

noreply@blogger.com (FINVESTguru) — Sun, 29 Nov 2009 09:51:00 +0000

Financial planning is a matter of discipline, as a set amount has to be saved: People on their first jobs don't do much with the salary credited to their account, except spending

When you start earning, there is this rush of power you get by seeing money accumulate in your account month-on-month. And this can be quite addictive. More often than not, most people, especially those in their early twenties on their first jobs don't do much with the salary credited to their account, besides spending it.

If any money is left after the splurging, it usually lies in the account idle. This happens for two reasons: One, you don't know how to go about investing and two, you haven't really thought about investing any money as you have no need for it at the moment.

Now the latter reason is more dangerous because there is no such thing as too early when it comes to investments. The sooner you start the better. As for the former reason, here's a step-by-step guide to assist you in sorting your investment priorities.

Life, Health and Medical: That investments are a must is a given, All you have to do now is to work out how you intend to invest your money, i.e. what are your priorities, where you will invest money and how much. Now, this needn't be compulsory, but for those unsure of where to start from, insuring life and health (mediclaims) is usually a good idea. This is the most basic investment. It's one way of ensuring you don't make your family liable in case something happens to you. A mediclaim even offers cover for family, so it's security during troubled times.

Save judiciously: This is a matter of discipline. Each month, there has to be a set amount of money from your salary that is saved. It could be any amount, Rs 1,000, Rs 5,000 or Rs 10,000. The point is, each month, this amount has to be saved no matter how many birthdays or anniversaries happen. As the saying goes, A penny saved is a penny earned so start saving!

What's your goal? You need to indentify this early. Each person has a financial goal. For some it is a three bedroom apartment in the suburbs, some others it's a car, or child's education or marriage, etc. The goals vary but these need to be identified quickly. First time earners may not really have an immediate goal, but this is where some thought is required. It's important as soon as you start earning to have some sort of an idea of what you intend to achieve with the money you make. This helps plan your finances immensely.

Prepare to invest: Once you know your financial goals, it helps to draw a basic sketch of the amount of money you will need to invest/save in order to achieve it. The investment options one chooses has a lot to do with a person's risk appetite. You need to gauge your risk-taking abilities. Some people prefer playing it safe, yet others like a bit of a gamble, if it means they can earn some quick bucks. The ideal approach is of course a balance of the two. But either way, investments are crucial. So be it, sedate and secure debt funds or aggressive and unpredictable equity funds, it's never too early to put in some money on these.

Repaying loans: It's unavoidable! At some point or the other, everyone finds themselves in some sort of debt. It could be your house, car, education or even your credit card. Whatever it is, your financial plan must include provision for paying off these debts. If you have more than one, then naturally, the priority will be the high-cost followed by the rest in that order. However, an early understanding of never spending more than you earn should ensure that you don't have to pay off bills and EMIs after the due date.

SOS provision: Emergencies don't call in before knocking on your doorstep. And while there's no guarantee of the degree of damage it brings, it is nevertheless important to have some provision for the same. Say an FD kept safe in the bank or shares of a popular stock or gold in the locker or any other investment that you can dig into if the situation calls for it. The important thing is to identify the funds you will use during emergencies.

Allocating assets: When you are making an investment plan, it's necessary to understand your money needs. Say, you will need money on hand in two years time to pay for your daughter's MBA, or money for down-payment of a car loan the next year. Identifying these needs will help you allocate your assets accordingly, such that you have liquid funds at the appropriate time. So, planning is not just about the end financial destination, it is also about accounting for the little stop-overs on the way. Your dream may be a duplex apartment, but on the way to getting there, you'll find yourself wanting a car, a vacation every year and perhaps some retirement provision as well. And your financial planning has to accordingly have assets distributed such that you can achieve those goals

Ask for help: This is the most important part of planning your own finances. You may have a good head for numbers, but it still doesn't mean you have to do it alone. Planning your finances, allocating assets and monitoring their performance constantly is a huge task and you will definitely need assistance. So, never shy away from looking for that help. And it's a lot easier now. All you need is a relationship manager from your bank who will supervise and monitor your investments. This person will also guide you on various investment options. You should listen closely to all the advice, but never take action on any until you've done your own research.
So, do save, make a plan and start investing now!

Author: Seema Hariharan

Source: http://www.bloombergutv.com/personalfinance/income-tax-india/13950/eight-step-guide-to-financial-planning.html

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Tata AIG Life launches child ULIP : InvestAssure Superstar

noreply@blogger.com (FINVESTguru) — Sun, 29 Nov 2009 08:49:00 +0000

Tata AIG Life on Wednesday launched a unit-linked life insurance plan (ULIP) for children's education, InvestAssure Superstar.

In the case of the parent's (proposer's) unfortunate demise, the sum assured would be paid to the nominee and further premiums would be paid by the company through the inbuilt Waiver of Premium (WOP), among other benefits.

The fund under the policy would also continue to grow till maturity, the company said in a statement in Mumbai.

Besides the WoP, the plan offers investors Systematic Money Allocation and Regular Transfer (SMART)- a solution for managing investment.

SMART enables simple switching of a part of the customer's investment from the accumulation to the target fund of his or her choice.

Tata AIG Life InvestAssure Superstar offers a flexible policy term between 10-25 years.

The policy can be bought by anyone between the ages of 18-55 years and the maximum maturity age is 65 years.

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ICICI Pru SmartKid ULRP

noreply@blogger.com (FINVESTguru) — Fri, 27 Nov 2009 17:58:00 +0000

ICICI Prudential's SmartKid is a fixed-term insurance plan that provides you with funds at regular intervals. The plan also keeps your family financially secure should an untoward event ever occur.

Features and benefits of SmartKid

SmartKid offers an exclusive choice of 3 education insurance plans: SmartKid New Unit-linked Regular Premium, SmartKid New Unit-linked Single Premium and SmartKid Regular Premium. Take a look at the features and benefits of each plan:

1.SmartKid New Unit-linked Regular Premium

UIN 105L058V01

SmartKid New Unit-linked Regular Premium is a unit-linked plan, which enables you and your child to accumulate wealth by virtue of the performance of the underlying market-linked instrument. Take a look at the features of the plan:

Premium: The minimum premium to be invested is Rs. 10,000 per annum. After deducting premium allocation charges from the premium, the remaining amount will be invested in a fund of your choice.

Sum Assured: The minimum Sum Assured is 5 times of Annual Premium, subject to a minimum of Rs 1 Lac

Policy term: The term of the policy will be calculated as the difference between your child's current age and the age of your child when the policy matures.

Mortality, Policy Administration charges: These and other charges will be deducted from the units in the fund.

2. SmartKid New Unit-linked Single Premium

UIN 105L059V01

SmartKid New Unit-linked Single Premium works in much the same way as SmartKid New Unit-linked Regular Premium policy mentioned above. The only different feature is the premium amount-you will be required to pay only a single premium, which starts at as low as Rs. 50,000.

Additional Features and Benefits Common to All 3 Plans

Regular payouts: As your child approaches key educational milestones such as 12th standard or graduation exams, he or she will receive regular payouts, guaranteeing he or she continues to study, no matter what the circumstance.

Death Benefit: Your child will receive the Sum Assured immediately, should something happen to you. ICICI Prudential will pay the remaining premiums, ensuring your child continues to receive policy benefits, as always.

Income Benefit Rider: You can choose to add the benefits of this rider to your child's education plan. Should you depart before your son's or daughter's education is complete, you child will receive 10% of Rider Sum Assured, for the balance term of the policy.

Add-on riders: 'Accidental Death and Disability Rider' and 'Waiver of Premium Rider' ensure your child stays doubly protected, at all times. You can choose to add these to your child's education policy.

Tax benefits: Premiums you pay for a SmartKid policy are eligible for tax savings [u/s 80(C)]. Maturity and death benefits are eligible for tax exemptions [u/s 10(10D)].

3. SmartKid Regular Premium

UIN 105N014V02

Flexible investment option: Choose the amount of premium with which you wish to safeguard your child's education.

Flexible policy tenure: The tenure of the plan will be calculated as the difference between your child's current age and his or her age at which the policy matures.

Flexible premium options: The premium will be calculated based on 3 factors: Sum Assured, policy tenure and your age.

Guaranteed bonus: A guaranteed bonus of 3.5% per annum is declared for the first 4 premium paying years plus an annual vested bonus declared in subsequent years.

Fund options available with ICICI Pru SmartKid ULRP

Maximiser II (This Fund shall not be available for investment to those policyholders whose application is received at the Company's office after February 22, 2008)

Objective: To provide long-term capital appreciation through investments primarily in equity and equity-related instruments.

Indicative Portfolio Allocation	Max (%)	Min (%)
Equity & equity related securities	100	75
Debt, Money market & Cash	25	0

Potential Risk- Reward profile of the Fund: High

Balancer II

Objective: To provide a balance between long-term capital appreciation and current income through investment in equity as well as fixed income instruments in appropriate proportions depending on market conditions prevalent from time to time.

Indicative Portfolio Allocation	Max (%)	Min (%)
Equity & equity related securities	40	0
Debt, Money market & Cash	100	60

Potential Risk- Reward profile of the Fund: Moderate

Protector II

Objective: To provide accumulation of income through investment in various fixed income securities. The Fund seeks to provide capital appreciation while maintaining a suitable balance between return, safety and liquidity.

Indicative Portfolio Allocation	Max (%)	Min (%)
Debt Instruments, Money Market & Cash	100	100

Potential Risk- Reward profile of the Fund: Low

Preserver

Objective: To provide suitable returns through low risk investments in debt and money market instruments while attempting to protect the capital deployed in the fund.

Indicative Portfolio Allocation	Max (%)	Min (%)
Debt, Money market & Cash	50	0
Equity & equity related securities	100	50

Potential Risk- Reward profile of the Fund: Capital Preservation

Flexi Growth II

Objective: To generate Superior long- term returns from a diversified portfolio of equity and equity related instruments of large, mid and small cap companies.

Indicative Portfolio Allocation	Max (%)	Min (%)
Equity & equity related securities	100	80
Debt, Money market & Cash	20	0

Potential Risk- Reward profile of the fund: High

Flexi Balanced II

Objective: To achieve a balance between capital appreciation and stable returns by investing in a mix of equity and equity related instrument of large, mid and small cap companies and debt and debt related instruments.

Indicative Portfolio Allocation	Max (%)	Min (%)
Equity & equity related securities	60	0
Debt, Money market & Cash	100	40

Potential Risk- Reward profile of the fund: Moderate

Multiplier II (This Fund shall be available for investment to those policyholders whose application is received at the Company's office on or after February 23, 2008)

Objective: To provide long-term capital appreciation from an equity portfolio predominantly invested in NIFTY scrips.

Indicative Portfolio Allocation	Max (%)	Min (%)
Equity & equity related securities	100	80
Debt, Money market & Cash	20	0

Potential Risk Reward profile of the fund: High

R.I.C.H. II (This fund shall be available for investment to those Policyholders whose application is received at the Company's office on or after March 15, 2008)

Objective: To generate superior long-term returns from a diversified portfolio of equity an equity related instruments of companies operating in four important types of industries viz., Resources, Investment-related, Consumption-related and Human capital leveraged industries.

Indicative Portfolio Allocation	Max (%)	Min (%)
Equity & equity related securities	100	80
Debt, Money market & Cash	20	0

Potential Risk-Reward profile of the fund: High

Return Guarantee Fund (RGF)

Objective: The fund seeks to provide guaranteed returns through investment in a diversified portfolio of high quality fixed income instruments.

Portfolio Allocation	Max (%)	Min (%)
Debt, Money market & Cash	100	100

Risk-Reward Profile of the Fund: Low

Disclaimer :
© 2009, ICICI Prudential Life Insurance Co. Ltd
Registered Address: - ICICI Prulife Tower, 1089 Appasaheb Marathe Marg, Prabhadevi, Mumbai-400025; Reg No: - 105
Insurance is the subject matter of the solicitation.
For more details on the risk factors, term and conditions please read sales brochure carefully before concluding the sale.
Unlike traditional products, Unit linked insurance products are subject to market risk, which affect the Net Asset Values and the customer shall be responsible for his/her decision. The names of the Company, Product names or fund options do not indicate their quality or future guidance on returns.
Funds apart from return guarantee fund do not offer guaranteed or assured returns.
Investments are subject to market risk.
In this policy, the investment risk in the investment portfolio is borne by the policy holder.
Tax benefits are as per the Income Tax Act, 1961, and are subject to any amendments made thereto from time to time.
Service tax & education cess will be charged extra as per applicable rates. Tax laws are subject to amendments from time to time.
Advt number: W/II/126/2008-09
Lifestage Pension: Form No U49: UIN 105L075V01, Lifetime Gold: Form No. U53, UIN: 105L077VO1; Lifetime Super Pension: No. U40, UIN: 105A019V01; Lifestage RP: No. U48, UIN: 105L073V01; LifeLink Super : UIN 105L053V01; ICICI Pru Health Saver UIN 105L087V01; LifeLink Super Pension UIN:105L057V01; Premier Life Pension UIN - 105L074V01

HDFC Term Assurance Plan

noreply@blogger.com (FINVESTguru) — Fri, 27 Nov 2009 15:09:00 +0000

This plan is designed to help secure your family's financial needs in case of uncertainties. The plan does this by providing a lump sum to the family of the life assured in case of death or critical illness (if option is chosen) of the life assured during the term of the contract. One can choose the lump sum that would replace the income lost to one's family in the unfortunate event of one's death. This helps your family to maintain their financial independence, even when you are not around.

Features

Please roll over your mouse over circles for explanation.

Advantages

High cover at a very nominal cost.
Flexibility to choose the Sum Assured.
Additional benefit options can be availed at marginal costs.
Premium amount remains the same over the term of the policy in case of regular premium
Option of paying single premium or regular premium.
Tax benefits under sections 80C, 80D and 10(10D) of Income Tax Act, 1961.

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

HDFC Unit Linked Pension Maximiser II

noreply@blogger.com (FINVESTguru) — Fri, 27 Nov 2009 15:07:00 +0000

Ideally, just how spending comes to you, so must saving and investing. You are able to finance your expenses and take care of your expenses in present times. However, to ensure that you are able to maintain the same standard of living post retirement, you need to make the right kind of investment today. HDFC Unit Linked Pension Maximiser II is a unique Single Premium unit linked plan, designed to provide a post-retirement income for life with the freedom to maximise your investment returns. This plan also gives Bumper Addition of 10% of initial single premium at vesting and on death.

Features

Please roll over your mouse over circles for explanation.

Advantages

This plan is designed to provide you a post retirement income for life You can choose your initial single premium, the investment strategy and retirement date. At the end of the policy term, you will receive the accumulated value of your funds including Bumper Additions, which will be used to provide your pension income in your golden years
This plan gives you Bumper Addition (for policies with term equal or greater than 15 years) to the fund value on Vesting. Your fund value will be augmented by addition of Bumper Addition to the extent of 10% of the initial single premium chosen at inception
On your chosen retirement (Vesting) date, you will get the value of the units in your policy. As per prevailing Government regulations;

o You can take up to 1/3rd of the total benefit at Vesting (fund value + Bumper Addition if any) as a tax-free cash lump sum

o The rest must be converted to annuity

o You can buy the annuity from us or any other insurer

In the long term, the key to building great maturity values is a low Fund Management Charge (FMC). We have a low FMC of only 1.25% per annum (of the fund's value)
You can change your investment fund choices through switching where you can move your accumulated funds from one fund to another anytime
Tax benefits under sections 80CCC of the Income Tax Act, 1961 subject to the provisions contained therein

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

HDFC Unit Linked Pension II

noreply@blogger.com (FINVESTguru) — Fri, 27 Nov 2009 15:05:00 +0000

Today, you are busy climbing the ladder of success and realizing your dreams. Today, time is with you. Just take a moment and think. Will your income be the same forever? Will you be able to live life on your own terms even after you retire? The HDFC Unit Linked Pension II is Unit Linked plan, designed to provide a post-retirement income for life with the freedom to choose your retirement date. This plan gives you with an outstanding investment opportunity to maximise your savings by providing you a choice of thoroughly researched and selected investments. This plan also gives Bumper Addition to the fund value at vesting.

Features

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Advantages

This plan is designed to provide you a post retirement income for life You can choose your premium, the Sum Assured and your retirement date. At the end of the policy term, you will receive the accumulated value of your funds, which will be used to provide your pension income in your golden years
This plan gives you Bumper Addition to the fund value on Vesting. Your fund value will be augmented by addition of Bumper Addition to the extent of 50% of your original annualised premium chosen at inception
On your chosen retirement (Vesting) date, you will get the value of the units in your policy. As per prevailing Government regulations;

o You can take up to 1/3rd of the total benefit at Vesting (fund value + Bumper Addition) as a tax-free cash lump sum

o The rest must be converted to annuity

o You can buy the annuity from us or any other insurer

In the long term, the key to building great maturity values is a low Fund Management Charge (FMC). We have a low FMC of only 1.25% per annum (of the fund's value)
If you have not opted for AAO (Asset Allocation Option), you can change your investment fund choices in two ways:

o Switching: You can move your accumulated funds from one fund to another anytime

o Premium Redirection: You can pay your future premiums into a different selection of funds, as per your need

You can choose to pay your premium as either Monthly (through Standing Instructions or ECS Mandate), Half yearly or Annually. You also have a range of convenient auto premium payment options
Tax benefits under sections 80CCC of the Income Tax Act, 1961 subject to the provisions contained therein

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

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HDFC Pension Super

noreply@blogger.com (FINVESTguru) — Fri, 27 Nov 2009 15:03:00 +0000

Today, you are busy climbing the ladder of success and realizing your dreams. Today, time is with you. Just take a moment and think. Will your income be the same forever? Will you be able to live life on your own terms even after you retire? The HDFC Pension Super is Unit Linked plan, designed to provide a post-retirement income for life with the freedom to choose your retirement date. This plan gives you with an outstanding investment opportunity to maximise your savings by providing you a choice of thoroughly researched and selected investments. This plan also gives Bumper Addition to the fund value at vesting.

Features

Please roll over your mouse over circles for explanation.

Advantages

This plan is designed to provide you a post retirement income for life You can choose your premium and your retirement date. You will receive the accumulated value of your funds, which will be used to provide you with the pension income in your golden years
On Maturity (Vesting) your fund value will be augmented by Bumper Addition. Bumper addition is a percentage of your original annualized premium and depends on your policy term chosen at inception
On your chosen retirement (Vesting) date, you will get the value of the units in your policy. As per prevailing Government regulations;

o You can take up to 1/3rd of the total benefit at Vesting (fund value + Bumper Addition) as a tax-free cash lump sum

o The rest must be converted to annuity

o You can buy the annuity from us or any other insurer

In the long term, the key to building great maturity values is a low Fund Management Charge (FMC). We have a low FMC of only 1.25% per annum (of the fund's value)
If you have not opted for AAO (Asset Allocation Option), you can change your investment fund choices in two ways:

o Switching: You can move your accumulated funds from one fund to another anytime

o Premium Redirection: You can pay your future premiums into a different selection of funds, as per your need

You can choose to pay your premium as either Monthly (through Standing Instructions or ECS Mandate), Half yearly or Annually. You also have a range of convenient auto premium payment options
Tax benefits under sections 80CCC of the Income Tax Act, 1961 subject to the provisions contained therein

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

HDFC Immediate Annuity

noreply@blogger.com (FINVESTguru) — Thu, 26 Nov 2009 17:19:00 +0000

The HDFC Immediate Annuity is a contract that uses your capital to provide you with a guaranteed gross income through out your lifetime or over a period of your choice. The income is guaranteed and is unaffected by the rise and fall of interest rates. This means you can plan your life the way you want it to be, safe in the knowledge that your gross income will not fall during the period you have selected. The HDFC Immediate Annuity offers a number of options to meet all your income needs.

Features

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Advantages

Income for Temporary Period Option: You can choose to limit the payment period of annuity if you only require an income for a specified time. The annuity is payable for your selected term provided you are still alive. No annuity is payable after the chosen term has expired. You can choose to limit the payment term to between 5 and 25 years. The term selected must be at least for one year greater than any guarantee period
Death Benefits: In addition to a regular income, you can choose an annuity that will pay out a benefit on your death or, if you have chosen to provide an annuity for a named individual, on the later of your and the named individual's death. You can choose the level of death benefit:

o Full purchase price, or a proportion of the purchase price

o Capital protection option the amount paid on death is equal to the purchase price less the gross annuity installments already paid under the annuity

o No death benefit is allowable where a guarantee period has been selected. No death benefit is allowable where a Joint Life annuity reducing on death of the first life has been selected

If you need to provide an income for someone after you die: The HDFC Immediate Annuity can also provide an annuity for a named individual specified in your application form. This annuity will be paid if you die before the named individual. The amount of their annuity can be the same as your annuity or a proportion of your annuity

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

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HDFC Home Loan Protection Plan

noreply@blogger.com (FINVESTguru) — Thu, 26 Nov 2009 16:42:00 +0000

This plan aims to protect your family from your loan liabilities in case of your unfortunate demise within the policy term. It ensures that your family does not lose the dream house that you have purchased for them, in case you are not around to repay the outstanding monthly installments on your housing loan. This provides you with the comfort of knowing that in your absence, a sum of money will be available towards repaying your housing loan, making sure that your family will be secure in your family home.

Features

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Advantages

A decreasing Sum Assured payable if you die during the term of the contract. This sum assured is intended to help pay-off your outstanding home loan
Policy can be availed by paying a single premium in advance
The premium amount can be included in the housing loan and repaid as part of the loan repayment installments
Decreasing Sum Assured makes sure that you do not pay for protection you don't need

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

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HDFC Single Premium Whole of Life Insurance Plan

noreply@blogger.com (FINVESTguru) — Thu, 26 Nov 2009 16:39:00 +0000

HDFC Single Premium Whole of Life Insurance Plan

Ideally, just how spending comes to you, so must saving and investing. You are able to finance your expenses and take care of your family's needs in present times. However, to ensure that family is able to maintain the same standard of living in the future, you need to make the right kind of investment today. HDFC Single Premium Whole of Life Plan is a tailor made plan well suited to meet your long-term investment needs and help you maintain your family's financial independence. This single premium investment plan is a Whole of Life plan aimed at providing long-term real growth of your money.

Features

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Advantages

This participating plan is a Whole of Life plan aimed at providing long-term real growth for your money
By nature, this is a whole life policy where the term extends for the life However, you can decide on the policy term by using a feature built into it. For a period of 4 weeks, after any one of the 10th, 15th, 20th and subsequent five-year anniversaries, you can choose to receive the Sum Assured plus any attaching bonuses, in full. Once money has been received, your policy will cease or you may also continue the policy for your whole life
You can terminate the policy any time, after it has been in force for at least 6 month and receive a surrender value. We will pay discretionary surrender value based on our experience. However, after completion of 3 years there will be a guaranteed surrender value of 50% of premium paid. In addition to the guaranteed surrender value, we may pay additional discretionary surrender value based on our experience. Contract ends on the payment of the same
Currently Section 80C benefit is available for the premium paid under the plan to the extent of 20% of the Sum Assured. In the event of a death claim the money paid is exempt as per Section 10(10D), of the Income Tax Act 1961

For more details on risk factors, terms and conditions, please read the Product Brochure carefully and/or consult Financial Consultant before taking a decision.

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SBI Life - Smart ULIP

noreply@blogger.com (FINVESTguru) — Thu, 26 Nov 2009 16:35:00 +0000

Generic Benefit Illustration of SBI Life - Smart ULIP

IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENT PORTFOLIO IS BORNE BY THE POLICYHOLDER

Introduction:

In the current volatile market scenario you need a plan which not only protects your investment, but also enables you to get market related returns. SBI Life - Smart ULIP is the perfect answer to your need, and will give you not only Guarantee on select NAVs during the first seven years, but also gives you the added attraction of participating in the market upside!

Key Features:

Guarantee of the highest of select NAVs, during the first seven years on Maturity

Investment cum Insurance plan giving market related returns.

Convenience through shorter premium paying term, giving you a choice between 2 premium paying terms (PPT).

'Power of more' - Guaranteed Maturity NAV, continues beyond the premium payment term

Innovative structured investment fund -'FlexiProtect Fund'.

Hassle free plan - we manage your investment, giving you maximum opportunity for growth while protecting your investments against adverse market conditions.

Attractive Tax benefits under the Income Tax Act, 1961

Product type:

This is a unit linked, non participating insurance plan.

For more details on risk factors, terms and conditions please read the sales brochure carefully before concluding a sale.

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