Aimed at the major earning members of families, AEGON Life iReturn Insurance Plan is a simple term insurance plan that provides the return of premiums. It is meant to be a favourable policy for those who have dependents and many financial liabilities. The plan can be applied for online, reducing the hassles associated with paperwork.
Awards and Recognition
AEGON Life Insurance has been awarded the E-Business Leader Award for four years consecutively in 2013, 2014, 2015 and 2016. The E-Business Leader Award is given to insurers who have effectively managed online channels for lead generation, sales and marketing.
Eligibility Criteria for AEGON Life iReturn Insurance Plan:
Age – The ages mentioned are as per the last birthday
- Age at Entry – The minimum age is 18 years and the maximum is 65 years
- Age at Maturity – The maximum allowed age limit is 75 years
Features of AEGON Life iReturn Insurance Plan:
The salient features of this term insurance plan can be mentioned as follows -
- Policy Term -
- Minimum - 5 years
- Maximum - 20 years
- Premium Payment Terms - The premium payment terms for this policy can be a single premium payment, limited premium payment of 5 years or regular payment for the entire period of the policy
- Premium Payment Frequency - The premiums for this policy can be in paid annually, semi-annually or monthly modes
- Sum Assured - The minimum sum assured is Rs. 30,00,000 and the maximum limit is Rs. 4 crores, based on the company’s discretion
Benefits offered by this policy are as follows -
- Life Insurance Benefit - In case of the death of the life insured, an amount equal to the sum assured will be paid to the nominee
- Return of Premiums - Upon survival of the life insured till the end of the policy maturity period, the total premiums paid till date will be returned to the policyholder. This can be termed as a Maturity Benefit too
- Rider Benefits - This policy can have four riders associated with it. These riders come with their own host of benefits -
- AEGON Life AD Rider - Covering accidental death, in case this rider is activated, the cover included under this rider will be paid
- AEGON Life WOP Rider on CI - Offering cover on 4 critical illnesses, Cancer, Open Chest CABG, first Heart Attack and Stroke, this rider can waive off future premiums on the basic policy and other riders
- AEGON Life iCI Rider - This rider also covers 4 critical illnesses, Cancer, Open Chest CABG, first Heart Attack and Stroke and on diagnosis of any of these, the sum assured under this rider will be paid
- AEGON Life Women CI Rider - Covering critical illnesses pertaining to women, on diagnosis of any of the specified illnesses, a certain portion of the sum assured on the base plan will be paid
- Surrender Benefit - Available on every payment mode in the following values -
- Single Premium - From first policy year
- 5 years - On payment of first 2 policy years’ premiums
- 10 years or more - On payments of first 3 policy years’ premiums
- Tax Benefits - As per the Income Tax Act of 1961, the premiums paid and the benefits from this term are acceptable terms for tax benefits
Example Scenario -
Sarmistha, aged 30 years, an advertising executive lives with her son Harman, aged 5 years and her husband, visualiser, Mayank. Knowing the nature of her husband’s unstable work, she has to look out for Harman’s secure future too. She applied for with a cover of Rs. 1 crore, in addition to AD Rider worth Rs. 25,00,000 and AEGON Life Women CI Rider. She needs to pay an amount of Rs. 12000 annually for the policy to be in force.
After a period of 10 years, Jyothika is diagnosed with uterine cancer, and as per the rider benefit, she gets paid Rs. 5,00,000 that helps in the treatment process. She survives the illness and the family recovers from the trauma. 10 years later, she receives Rs. 2.4 lakhs, her entire premium payment.
If in an unfortunate case Sarmistha had passed away due to an accident within 20 years of the policy initiation, her nominee Mayank would have received an amount of Rs. 1.25 crore as the life benefit and the rider benefit.
Frequently Asked Questions:
- What are the exclusions to the policy?
If the insured commits suicide within 12 months of the commencement or revival of the policy, the nominee shall receive a sum equal to 80% of all the premiums paid and no insured benefit will be provided.
- What happens if I do not pay the premiums on time or discontinue payment completely?
In case payments are not done within that time, the policy might acquire a paid up value or might lapse. In case at least 2-3 years’ worth premiums have been paid, the policy will acquire a paid up value and reduced benefits will be payable.
- Can the policy be revived?
The policy can be revived within 2 years from the date of the last paid premium after it has lapsed. All outstanding premiums along with the interest as applicable need to be paid for a successful policy revival. If the death of the insured happens within the reinstatement period, no Death Benefit will be paid.
- What if I decide not to go ahead with the plan?
A free look period of 30 days is allowed after the policy is availed, and the policy can be returned within the same time frame.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017