As a parent, the welfare of the child always weighs heavily on our minds and that is why an insurance policy that can ensure that your child is well taken care of can be really helpful. The child plans can either be Unit Linked Plans where the premiums paid are invested in the equity or debt markets or they can be endowment plans offering death, maturity and surrender benefits. The options of ULIP and endowment plans ensures that PNB MetLife can cater to the needs of most customers. Some of these plans also offer facilities like waiver of premiums where if the life insured passes away, future premiums need not be paid.
List of Child Plans Offered by PNB MetLife
There are two plans that are being offered by PNB MetLife at the moment. One is a ULIP while the other is an endowment plan for those who might prefer the option of a not market linked insurance plan.
MetLife College Plan
The College Plan is an endowment plan under which the maximum annual premium that can be paid ranges from Rs. 1 lakh to Rs. 2 lakhs. The sum assured under this policy can go as high as Rs. 5 crore and as low as Rs. 2.12 lakhs. It also offers a choice of payment modes that make paying the premiums really easy. This policy also offers reversionary and terminal bonuses and starts paying out the base sum assured when the policy is 3 years from maturity.
MetLife Smart Child
The Smart Child policy is a unit linked policy that can be taken for 10, 15 or 20 years. It is a regular pay policy where the premiums are paid for the entire tenure of the policy. The investments options under this policy are 6 funds that can either be high or low risk funds. If the policy term is 15 or 20 years, it offers policyholders loyalty additions that can be 2% or 3% of the average fund value. Other facilities offered by this plan include systematic transfer options and premium redirection that can be used to decide how much of the premium is invested where.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017