Overview
Life is full of uncertainties. One day, you could be taking care of your family and providing for them financially with your excellent job and income, and the next, you could be the victim of an accident that leaves you unable to earn, or worse, dead. If the worst should come to pass, and you are rendered incapable of earning an income, your family will suffer financially. To avoid the crippling effects that a sudden unforeseen event can have on your family’s finances, you can and should opt for a good AEGON Life insurance plan. The AEGON Life Future Protect Insurance Plan not only provides you with the you need but also links your investment to the stock market to grow your money.
Eligibility Criteria for AEGON Life Future Protect Insurance Plan:
Minimum entry age |
7 years on the last birthday |
Maximum entry age |
50 years on the last birthday |
Maximum Maturity Age |
65 years on the last birthday |
Key Features of the AEGON Life Future Protect Insurance Plan
Plan type |
Unit Linked Insurance Policy |
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Plan basis |
Individual |
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Premium paying terms |
Equal to the policy term |
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Minimum Annualized Premium |
Annual – Rs.20,000 p.a. Semi-annual – Rs.30,000 p.a. Monthly – Rs.36,000 p.a. |
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Policy term |
15 years, 20 years, 25 years, 30 years, 35 years |
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Premium payment frequency |
Monthly, half yearly and yearly. |
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Grace period |
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Free Look Period |
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Policy revival |
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Nomination |
Nomination facility is available under section 39 of the Insurance Act, 1938 |
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Sum Assured |
Maximum sum assured s 20 times the annualized premium. |
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Policy coverage |
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Surrender of Policy |
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Charges Applicable |
AP – Annualised Premium FV – Fund Value.
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Name of Fund |
Management Charges |
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Secure Fund |
1.00% p.a. |
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Debt Fund |
1.10% p.a. |
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Stable Fund |
1.35% p.a. |
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Accelerator Fund |
1.35% p.a. |
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Discontinuance Policy Fund |
0.50% p.a. |
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Policy Administration Charges:
This charge is levied by cancelling units for the equivalent amount at the start of every policy month. It’s represented as a percentage of the annualized premium. This charge also escalates at 5% per annum at the start of every policy year from the second policy year onwards. This charge is also subject to a maximum of Rs.500 per month.
- Miscellaneous Charges:
Option |
Allowance |
Charges |
Auto-rebalancing |
No charges |
Rs.200 for addition or removal |
Switching |
Four free switches allowed per policy year |
0.1% of the amount switched or Rs.500 per extra switch, minimum switchable amount is Rs.100 |
Premium redirection |
Twice free per policy year |
Minimum Rs.200 or maximum Rs.500 per extra request |
Partial Withdrawal |
Four times free every policy year, no charge for systematic partial withdrawal |
Rs.200 extra per withdrawal |
Advantages of the AEGON Life Future Protect Insurance Plan
- Helps systematically create wealth.
- Protect your investment with the Invest Protect option.
- Multiple Fund choices.
- Flexibility to choose the amount of life insurance cover..
- Liquidity options through partial withdrawals.
- Can stay invested in the fund/s for up to 5 years after maturity.
- Tax benefits as per prevailing tax laws.
How does the AEGON Life Future Protect Insurance Plan Work?
Fund Name |
Objective |
Asset Allocation |
Accelerator Fund |
To invest in the equities of various sectors for a diversified investment portfolio that generates attractive returns in the long term. Also invests in fixed interest assets and money market instruments. |
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Stable Fund |
To invest with a view to maintain a balanced exposure to equity and debt to facilitate long term returns. Allocations will also be shifted between debt and equity to benefit from asset price movements between medium to long term. |
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Secure Fund |
To invest in a diversified portfolio of money market instruments and other fixed income securities that will mature in the short to medium term. The objective here is to generate returns with low valuation risks. |
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Debt Fund |
This fund invests in government debt, corporate debt, money market instruments and other fixed income securities. |
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Mr. Babu, a 30 year old engineer opted for the and is covered for an amount of Rs.10,00,000. His policy term is 30 years, as is his premium paying term. He pays an annual premium of Rs.50,000. He has also chosen the Invest Protect Option, and has the added benefit of minimized risk on returns. Towards the end of the policy, his money is protected as it is systematically shifted from equity funds to debt funds in the last 3 years.
If he survives the entire policy term, he will be eligible for a payout of Rs.20,45,495 (at 4%) or Rs.41,37,781 (at 8%).
If he dies after 3 years, his nominees will be eligible for the death benefit of Rs.10,00,000.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017