Hi experts,
Recently I approached one of the leading ULIP provider asking clarifications on why my fund value is so low after 3+ years. Customer care came back with a long email with some terms which I could not understand. Terms are as below. Can you please help me understand same?
1.What is Investment Content Rate and Premium allocation Rate?
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Investment Content Rate:
| Premium Paid during year (Rs) / Premium Frequency | Premium allocation Rate |
| Regular Premium Year 1 | 34% |
| Regular Premium Year 2 | 87% |
| Regular Premium Year 3+ | 92% |
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2. What is Statutory Charge?
— snip from email —
Service Tax and Education Cess:
Statutory Charge – Currently 10.3% of risk benefit charges, (deducted monthly by cancellation of units)
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Looking forward for further communication,
Yogi