Aditya Birla Sun Life Insurance Wealth Aspire Plan is a unit-linked life insurance plan that ensures us that we fulfill our responsibilities without any trouble by empowering us with a personalized wealth creation plan. It helps us accumulate substantial financial corpus using its wealth features and allows you to fulfill your duties by securing the future of your loved ones.
a) Smart Option –
The proportion invested in Maximiser (an equity fund) will be according to the schedule given below – the remaining amount will be invested in Income Advantage (a debt fund) –
b) Systematic Transfer Option –
c) Return Optimiser Option –
d) Self-Managed Option –
a) Death Benefit –
i) Classic Option –
In the unfortunate event the life insured dies while the policy is in effect, we will pay to the nominee/policyholder the greater of –
- Basic Fund Value as on date of intimation of death; or
- Basic Sum Assured
In addition, the company will also pay the greater of –
- Top-up Fund Value as on date of intimation of death, if any; or
- Top-up Sum Assured The Basic Sum Assured will be reduced to the extent of partial withdrawals made during the two-year period immediately preceding the death of the life insured from the Basic Fund Value.
However, the death benefit after partial withdrawals shall never be less than Annualized Premium multiplied by 10. At all times, if the policy has not been discontinued, the Death benefit shall never be less than 105% of total basic premiums and top-up premiums paid up to the date of death reduced to the extent of partial withdrawals made both from the basic fund value and top-up fund values, during the two year period immediately preceding the death of the life assured.
In the case where the death of the Life Insured takes place prior to the risk commencement date, only the basic premiums paid (excluding GST, if any) shall be payable as the Death Benefit. Where a policy is issued on a minor life, the policy will vest in the life insured after attainment of majority of the life assured.
ii) Assured Option –
In the unfortunate event, the life insured dies while the policy is in force, the company shall pay immediately to the nominee the Basic Sum Assured plus Top-up Sum Assured if any. The death benefit shall never be less than 105% of total premiums paid to date. The policy will not terminate once this death benefit is paid to the nominee and it continues till the policy maturity date. On the continuation of the policy –
- Risk cover ceases immediately.
- Future installment premiums shall be paid by us when due to be paid.
- Policy Fund Value will remain invested in the segregated funds and as per investment option existing at the time of death of the Life Insured
- Guaranteed Additions, when applicable shall be added to the Policy Fund Value as and when due.
- All policy charges shall be deducted as and when due, except mortality charge.
- Top-up premiums, partial withdrawals, surrenders, switch between investment options, segregated fund switch, or any premium redirection by the nominee is not allowed.
Maturity benefits shall be paid to the nominee. The Death Benefit shall always be determined as of the date we receive intimation of death of the Life Insured. For a paid-up policy no future installment premium s shall be paid by the Company on death of the Life Insured
b) Maturity Benefit –
At the end of the policy term, and provided the policy is still in force, the company shall pay you the Maturity Benefit. The Maturity Benefit shall be the Basic Fund Value plus the Top-up Fund Value as of that date.
c) Surrender Benefit –
In case of emergencies, the insured can surrender their policy to us anytime during the policy term. Any such surrender will be treated according to the Policy Discontinuance section.
d) Guaranteed Additions –
The company shall add the following Guaranteed Additions to their Policy Fund Value while the policy is still in force –
a) On 6thPolicy Anniversary (11thPolicy Anniversary for Band 1) and every Policy Anniversary thereafter, Guaranteed Addition as a percentage of the average Fund Value in the last 12 months is as follows :
b) On 10th Policy Anniversary and on every 5thPolicy Anniversary thereafter, Guaranteed Addition is
e) Rider Benefit –
For added protection, ABSLI Wealth Aspire Plan can be enhanced by the following riders for a nominal extra cost –
i) ABSLI Accidental Death Benefit Rider Plus –
In the unfortunate event of the death of the life insured due to an accident within 180 days of the occurrence of the accident, we will pay 100% of the rider sum assured to the nominee. Also, the company will refund the premiums collected after the date of Accident till the date of death, with interest as declared by us from time to time, along with death benefit payable.
ii) ABSLI Waiver of Premium Rider –
In case of the following conditions –
The company will fund all the future due to premiums and all the other benefits will remain unaffected. This benefit is applicable only once during the entire premium paying term.
Is there any grace period in the policy?
If you are unable to pay the installment premium by the due date, you will be given a grace period of 30 days (15 days in case the premium is paid monthly) to make the payment of due installment premium without incurring any penalty, during which time all the benefits will continue inclusive of the risk cover and deduction of charges.
If the company does not receive the entire due installment premium by the end of the grace period, the provisions explained in Policy Discontinuance will apply.
Is partial withdrawal allowed in this policy?
You are allowed to make unlimited partial withdrawals any time after –
The partial withdrawals shall first be adjusted from Top-up Fund Value (except any top-up premiums paid in the previous five years immediately preceding the date of withdrawal); if any. Once the Top-up Fund Value is exhausted, partial withdrawals would be adjusted from Basic Fund Value. The top-up sum assured will remain unchanged after any withdrawal from the top-up fund value. The minimum amount of partial withdrawal is Rs. 5,000.
You are required to maintain a minimum Basic Fund Value of one basic premium chosen plus any top-up premiums paid in the previous five years immediately preceding the date of withdrawal. The total amount of partial withdrawal during a policy year shall not exceed 25% of the total Policy fund value at the beginning of the policy year.
Can I cancel the policy if I didn’t like its terms and conditions?
The insured will have the right to return their policy to the company within 15 days (30 days in case the policy issued under Distance Marketing) from the date of receipt of the policy, in case you are not satisfied with the terms & conditions of your policy. This period is known as the Free Look Period.
The company will pay the Policy Fund Value plus non allocated premiums plus all Charges levied by the cancellation of Units once the company receives your written notice of cancellation (along with reasons thereof) together with the original policy documents. The company will reduce the amount of the refund by the proportionate risk premium and expenses incurred by us on medical examination of the Life Insured and stamp duty charges.
Is there any revival period in the policy?
You can revive your policy within the revival period of three years from the discontinuance date. To revive the policy, you must pay all due and unpaid basic premiums till date and provide us with evidence of insurability satisfactory to us with respect to the Life Insured.
The effective date of the revival is when these requirements are met and approved by us. On the effective date of the revival, the company shall follow the approach as mentioned in the Policy Discontinuance Section.
What is policy paid-up in the policy?
Under the paid-up status, the policy will continue until the end of the revival period with the following modification –
Basic Sum Assured shall be reduced in proportion to the installment premiums actually paid to the total installment premiums payable during the premium paying term. Mortality charges will be deducted for the reduced sum at risk and other policy charges will remain unchanged.
Under Assured Option, future installment premiums, if any, shall not be paid by the company, in event of the death of the Life Insured. If the policy is not revived before the end of the revival period, the policy shall terminate as per the Policy Discontinuance Provision
When can my policy terminate?
Your policy will terminate at the earliest of the following –
Can I take a loan against this policy?
No loan is allowed to be taken against this policy.
Is there any tax benefit under this policy?
Tax benefits on premium paid under Section 80C and Section 10(10D) of the Income Tax Act, 1961, subject to fulfillment of the other conditions of the respective sections prescribed therein.
Policy Charges –
a) Premium Allocation Charge –
Premium Allocation Charge (as a percentage of the premium paid) is deducted from the Basic Premium and top-up premium when paid and before it is allocated to the segregated fund/s. This charge is guaranteed to never increase. A premium allocation charge of 2% is levied on any top-up premium when paid. The premium allocation charge on –
b) Fund Management Charges –
Fund Management Charge (as a percentage of the Net Asset Value) is deducted by adjusting the daily Net Asset Value of each segregated fund. The company reserves the right to change this charge for any segregated fund at any time subject to a maximum of 1.35% per annum and prior IRDAIapproval.
The current fund management charge on –
c) Policy Administration Charges –
The policy administration charge is deducted at the start of eve policy month by canceling units proportionately from each segregated fund you have at that time. The charge as per premium bands is as shown below, subject to a maximum of Rs 6,000 p.a.
d) Switching Charges –
This charge is deducted from your Basic Fund Value in case you request for switching between investment options or Segregated FundSwitch. The company currently charge Rs. 50 per request and reserve the right to increase this charge at any time in the future, subject to a maximum of Rs. 500 per request and prior IRDAIapproval.
e) Partial Withdrawal Charge –
This charge is deducted from your Basic Fund Value in case you request for a partial withdrawal. The company currently charges Rs. 50 per partial withdrawal and reserve the right to increase this charge at any time in the future, subject to a maximum of Rs. 500 per request and prior IRDAIapproval.
f) Miscellaneous Charge –
This charge is deducted from your Basic Fund Value in case you request for a premium redirection. Currently, the company charge Rs.50 for each request. They reserve the right to change this charge at any time subject to a maximum of Rs.500 per request and prior IRDAIapproval.
Suicide Exclusion –
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, as applicable, the nominee or the beneficiary of the policyholder shall be entitled to the Policy fund value, as available on the date of intimation of death.
So, by now you know each and every important detail about this policy. Do let me know if I have missed any important points in the comment section. Please feel free to ask any doubts regarding this policy.
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