Financial planning is a necessity that ensures that your family is well-protected in the face of unprecedented eventualities. Life insurance is an essential element of financial planning that assures financial security to your spouse, dependent parents, and children. A life insurance policy that is chosen and executed in a prudent manner can prepare you for the uncertainties of life. Moreover, you will have complete peace of mind, as you are guaranteed that the future of your dependents is secure.
Bharti Axa Life Super Series is a life insurance scheme that helps you realise your family’s lifestyle needs in the future. The plan provides a lump sum payout when the premium payment term ends. This is followed by incremental payouts that are guaranteed until maturity of the scheme, when a lump sum amount in paid again.
There are two options available under this scheme, i.e., the Super 6 and the Super 10 plans.
Bharti Axa Life Super 6 Plan:
Eligibility Conditions for Bharti AXA Super 6 Plan:
Minimum Entry Age 6 years (age closer to birthday) Maximum Entry Age 63 years (age closer to birthday) Policy Term 12 years
Premium Payments Offered by Bharti AXA Super 6 Plan:
Premium Payment Term 6 years Minimum Annualized Premium (excluding underwriting charges) Rs.18,000 Minimum Sum Assured at Maturity Varies based on minimum premium Premium Payment Modes Annually, Semi-annually, Monthly (only through Auto Pay), Quarterly (only through Auto Pay)
Bharti Axa Life Super 10 Plan:
Eligibility Conditions for Bharti AXA Super 10 Plan:
Minimum Entry Age 0 years (age closer to birthday) Maximum Entry Age 60 years (age closer to birthday) Policy Term 20 years
Premium Payments Offered by Bharti AXA Super 10 Plan:
Premium Payment Term 10 years Minimum Annualized Premium (excluding underwriting charges) Rs.15,000 Minimum Sum Assured at Maturity Varies based on minimum premium Premium Payment Modes Annually, Semi-annually, Monthly (only through Auto Pay), Quarterly (only through Auto Pay)
What you need to know about Bharti Axa Life Super Series Life Insurance Plans:
- With the Super 6 plan, premiums are paid up to 6 years, whereas premiums for the Super 10 plan need to be paid for 10 years.
- For the Super 6 and Super 10 plans, the Guaranteed Money Back Benefits are available for 6 and 10 years, respectively.
- For the Super 6 option, you can avail 270% of the sum assured at maturity. For the Super 10 plan, you can avail 396% of the sum assured at maturity.
- The Bharti Axa Life Super Series Life Insurance Plans offer you payouts starting from the end of premium payment to the maturity of the policy.
- When you have completed the payment of premium, you will receive a lump sum amount of 50% of the sum assured at maturity of the policy. Following this, a cash payout of 12% of the sum assured is offered the following year, and this percentage increases by 3% for subsequent payouts annually.
- The sum assured at maturity can be used for making important payments, such as future education costs, wedding funds, etc. This is available if the policy is still in force at the time of maturity.
- The Bharti AXA Life Insurance policyholder is liable to receive an additional 30% of sum assured at maturity as Guaranteed Maturity Addition benefit for investing in the policy for the entire term.
- You can also enjoy tax rebates on the premiums that were paid and benefits you received.
Advantages and Benefits of Bharti Axa Life Super Series Life Insurance Plans:
The Bharti Axa Life Super Series Plans provide you the following key benefits:
- Guaranteed Money Back
If the policy is active and all due premiums have been paid, a percentage of the sum assured at maturity will be paid to the policyholder. The payouts will continue for subsequent years following the sum assured percentages listed below:
Sum Assured for the Super 6 Plan:
End of Policy Year Percentage of Sum Assured on Maturity 6 50% 7 12% 8 15% 9 18% 10 21% 11 24%
Sum Assured for the Super 10 Plan:
End of Policy Year Percentage of Sum Assured on Maturity 10 50% 11 12% 12 15% 13 18% 14 21% 15 24% 16 27% 17 30% 18 33% 19 36%
If the policyholder was a minor when the policy was issued, he will own the policy at the attainment of 18 years of age.
- Maturity Benefit
If the policy is in force on the date of maturity, the sum assured will be paid to the policyholder.
- Guaranteed Maturity Addition
If the policy is in force on the date of maturity, a lump sum of 30% of the sum assured on maturity is paid to the policyholder as Guaranteed Maturity Addition.
- Death Benefit
If the policyholder succumbs to death while the policy is in force, he is eligible for a death benefit equal to the sum assured on death. This value is the highest of the following amounts:
- 11 times the annualized premium (not including modal factors and underwriting) for the Super 6 plan, and 15 times the annualized premium (not including modal factors and underwriting) for the Super 10 plan.
- 105% of the total premiums (not including underwriting) paid up to the time of death.
- Sum assured at maturity.
At the death of the policyholder,
- During the grace period for due premium payment - the death benefit amount shall be payable after deducting the unpaid due premium. Following this, the policy will be terminated.
- After the policy has lapsed - no benefit shall be paid, and the policy will be terminated.
- When the policy is in paid up status - the sum assured on death will be paid to the beneficiaries.
- Tax Benefits
Under Section 80C and Section 10 (10D) of the Income Tax Act, 1961, you can avail tax benefits on paid premiums and benefits received, respectively. These tax benefits may vary according to changes in tax laws.
- Loans - This scheme allows the policyholder to take a loan from the company. This is allowed only if all due premiums are paid and the policy has been able to acquire surrender value. The maximum amount that can be taken as loan shall not be in excess of 70% of the acquired surrender value.
- Grace Period - This is the time interval provided to the policyholder starting from the premium due date, within which the premium should be paid to not impact the policy benefits. For all modes, this interval is 30 days.
- Lapsation - Surrender value of the policy is acquired after the payment of two annualized premiums for the Super 6 plan and three annualized premiums for the Super 10 plan.
- If the surrender value has not been acquired - If your premiums are not paid within the grace period, your policy will lapse and the insurance coverage will not exist any more. You can revive the policy within the revival period, failing which the policy will be terminated and benefits will not be payable.
- If the surrender value has been acquired - If your premiums are not paid within the grace period, your policy will become paid-up. You can revive the policy within the revival period, failing which the policy will continue to be in paid-up status and the paid-up value will be provided to you.
Revival of Bharti AXA Super Series Policy
You can revive all the benefits that you are eligible for within two years after the defaulted premium due date. However, you would have to furnish the following information for the revival:
- A written application
- Evidence of your insurability
- Payment of a specific amount calculated as the sum of all the unpaid premiums along with the interests that are charged by the insurer.
- Fulfillment of terms and conditions that are specified by the insurer.
Surrender of policy
If you are unable to pay all premiums and choose to exit the policy, then only the surrender value amount will be paid to you by the insurer. The guaranteed surrender value factors as percentages of paid cumulative premiums (not inclusive of underwriting) are as shown below:
|Policy Year||Premium Payment Term|
|6 years||10 years|
On policy surrender, an amount that is equal to or higher of the Guaranteed Surrender Value or Special Surrender Value will be paid to the policyholder. However, if any survival benefits have already been paid till date, these will be deducted from this amount.
Enhance Your Protection
The following riders will enhance your plan:
- Bharti AXA Life Hospi Cash Rider : This rider provides you a specific amount of money for each day of your hospitalisation. In case you are admitted to an Intensive Care Unit or are scheduled to undergo surgery, you can avail a fixed lump sum benefit.
- Premium Waiver Rider : This rider allows the waiver of all future premiums at the death, total permanent disability or critical illness of the proposer, based on the option selected. These premiums are then paid by the insurance company.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017