Individual, Non-Linked, Non-Participating, Life Insurance Savings Plan
Time never stands still and neither do our financial needs. As we move through various stages of life, our requirements and those of our families change consistently. Along with this we also carry the burden of any uncertainty happening. We do our best to take care of our family's needs and to ensure financial security of our family from uncertainties of life. Life Insurance is the best way to protect our family from financial crisis in case of an unfortunate event and help your money to grow so you can achieve your dreams.
The plan provides financial protection for your family and Guaranteed Regular Income that meets tomorrow's requirements, thus helping you plan towards your future needs and protection for your loved ones.
Key Features
-
Flexibility to choose Plan Option
- Regular Income or
- Regular Income with an inbuilt Critical Illness benefit
- Flexibility to choose Income Period from 20 to 45 years
- Get return of premium at the end of Income Period
- Choice to receive income – Monthly / Annually
- Option of Joint Life under Single Premium payment option
- Choice of Premium Payment Term
- Enhance your protection with optional Riders
- Tax benefits as per applicable Tax Laws
Eligibility Criteria
| Plan Options | ||
|---|---|---|
|
Option 1: Regular Income Option 2: Regular Income with an inbuilt Critical Illness benefit The options can be chosen only at the inception of the Policy. Only Option 1 is available for POS. |
||
| Plan Parameters | Minimum | Maximum |
| Age at Entry** |
Other than POS: Option 1: 1 year^ Option 2: 18 years For POS: Option 1: 1 year^ Option 2: Not Available |
Other than POS / For POS: 60 years^ |
| Age at Maturity** |
Other than POS: Option 1: 18 years^ Option 2: 23 years For POS: Option 1: 18 years^ Option 2: Not Available |
Other than POS: Option 1: 77 years^ Option 2: 70 years For POS: Option 1: 65 years Option 2: Not Available |
| Premium Payment Term (PPT) / Policy Term (PT) – (in Years) |
Option 1 Single Pay – PPT: 1 | PT: 5 / 5 & 10 Regular Pay – PPT: 5 to 12 | PT: Same as PPT Limited Pay – PPT: 5 to 12 | PT: 6 to 17 Option 2 – Regular Pay PPT: 5 and 10 PT: Same as PPT |
|
| Basic Sum Assured |
Single Pay (SA I): Single Life – ₹50,000 Joint Life – ₹6,250 for first death and ₹50,000 for second death Single Pay (SA II): Single Life – ₹10,000 Regular / Limited Pay: ₹24,000 × Death Benefit Multiple |
Other than POS: No limit, subject to Board Approved Underwriting Policy (BAUP) For POS: Corresponding to a maximum Death Benefit of ₹25 lakhs |
| Premium* (₹) (excluding discount) |
Single Pay (SA I): ₹5,000 Single Pay (SA II): As per Minimum Sum Assured and Death Benefit Multiple offered Limited Pay / Regular Pay: ₹24,000 p.a. |
Other than POS: Subject to the Board Approved Underwriting Policy (BAUP) For POS: Corresponding to a maximum Death Benefit of ₹25 lakhs |
| Premium Payment Mode | Single / Annual / Half-yearly / Quarterly / Monthly | |
| Income Period |
Option 1: 20 to 45 years (in multiples of 5 years). Policy Term + Income Period range: 25 to 50 years. Option 2: 30 years for 5 pay and 25 years for 10 pay. |
|
| Income Mode | Annual and Monthly | |
| Coverage |
Single Life (for Single SA / SA II / Limited / Regular Pay) or Joint Life (for Single Pay – SA I only) |
|
^ In case of joint life policy, the minimum age at entry / maturity age needs to be complied upon by the youngest of two lives and the maximum age at entry / maturity age needs to be complied upon by the oldest of two lives.
** All reference to age is as on last birthday.
* Premium excludes taxes, rider premiums, underwriting extra premiums, loading for modal premiums, if any.
Key benefits in detail
Maturity Benefits:
Provided the policy is in force and all due premiums have been paid, the Guaranteed Annual Income shall commence after maturity till the end of the Income Period, irrespective of survival of the life insured(s) during the Income Period. Income Booster will be added to this level income. The income shall be paid as per the chosen Income Frequency.
Return of Premium Benefit: Sum of Guaranteed Maturity Benefit plus Milestone Benefit will be payable at the end of the Income Period, irrespective of survival of the life insured(s) during the Income Period.
The policyholder or the nominee/legal heir(s) of the life insured(s), as the case may be, has the option to receive the commuted value of the future Guaranteed Annual Income (including applicable Income Booster, if any) plus the Return of Premium Benefit, in the form of a lump sum anytime during the Income Period, discounted at 8.25% per annum.
In case of commutation for a monthly income frequency policy, the commuted value will be post deduction of the monthly income payouts already made for the existing Income Year. This discounting rate is based on the interest rate prevailing at the time of commutation + 1%. The prevailing interest rate shall be based on the 30-year G-sec yield. However, any change in the methodology/formula shall be subject to IRDAI approval.
Death Benefit:
Death during policy term: In case of death of the life insured during the policy term for an in-force policy (all due premiums have been paid), the death benefit payable to the claimant is as outlined below:
Highest of:
- 1.10 × Single Premium (excluding discount) or 10 × Annualised Premium (excluding discount);
- 105% of Total Premiums Paid (excluding loading for modal premiums and discount) up to date of death; or
- Basic Sum Assured
The death benefit during policy term shall be subject to a minimum of the Surrender Value on the date of death.
For single life policies, the policy will terminate upon the death of the insured during the policy term and no other benefit under the policy shall be payable.
For joint life policies, the policy will continue after First Death after payment of the death benefit due, and the policy will terminate upon the Second Death during the policy term and no other benefit under the policy shall be payable.
In case of death of the life insured during the Grace Period but before the payment of the premium then due, the policy will still be valid and the benefits shall be paid after deductions of the said unpaid premium and also the balance premium(s), if any, falling due from the date of death and before the next policy anniversary.
Where,
“Total Premium Paid” means total of all the premium paid under the base product, excluding any extra premium and taxes, if collected separately.
“Annualised Premium” shall be the premium amount payable in a year under a non-single pay option chosen by the policyholder, excluding the taxes, rider premiums, underwriting extra premiums and loading for modal premiums.
“Single Premium” shall be the premium payable under a single pay option chosen by the policyholder, excluding taxes, rider premiums and underwriting extra premiums.
“Basic Sum Assured” shall be equal to the Death Benefit Multiple (DBM) multiplied by the Annualised Premium / Single Premium (excluding discount). The Death Benefit Multiple is set as:
-
Single Pay (SA I):
- Single Life – 10
- Joint Life – 1.25 in case of First death and 10 in case of Second death
-
Single Pay (SA II):
- Single Life – The DBM varies by the age (last birthday) of the life insured at inception.
| Age | DBM | Age | DBM | Age | DBM | Age | DBM |
|---|---|---|---|---|---|---|---|
| 1 | 1.73 | 16 | 1.58 | 31 | 1.43 | 46 | 1.28 |
| 2 | 1.72 | 17 | 1.57 | 32 | 1.42 | 47 | 1.27 |
| 3 | 1.71 | 18 | 1.56 | 33 | 1.41 | 48 | 1.26 |
| 4 | 1.70 | 19 | 1.55 | 34 | 1.40 | 49 | 1.25 |
| 5 | 1.69 | 20 | 1.54 | 35 | 1.39 | 50 | 1.24 |
| 6 | 1.68 | 21 | 1.53 | 36 | 1.38 | 51 | 1.22 |
| 7 | 1.67 | 22 | 1.52 | 37 | 1.37 | 52 | 1.21 |
| 8 | 1.66 | 23 | 1.51 | 38 | 1.36 | 53 | 1.19 |
| 9 | 1.65 | 24 | 1.50 | 39 | 1.35 | 54 | 1.18 |
| 10 | 1.64 | 25 | 1.49 | 40 | 1.34 | 55 | 1.16 |
| 11 | 1.63 | 26 | 1.48 | 41 | 1.33 | 56 | 1.15 |
| 12 | 1.62 | 27 | 1.47 | 42 | 1.32 | 57 | 1.13 |
| 13 | 1.61 | 28 | 1.46 | 43 | 1.31 | 58 | 1.12 |
| 14 | 1.60 | 29 | 1.45 | 44 | 1.30 | 59 | 1.11 |
| 15 | 1.59 | 30 | 1.44 | 45 | 1.29 | 60 | 1.10 |
Limited and Regular Pay
The DBM varies by the age (last birthday) of the life insured at inception:
| Age | DBM | Age | DBM | Age | DBM | Age | DBM |
|---|---|---|---|---|---|---|---|
| 1 | 15.4 | 16 | 13.9 | 31 | 12.4 | 46 | 10.9 |
| 2 | 15.3 | 17 | 13.8 | 32 | 12.3 | 47 | 10.8 |
| 3 | 15.2 | 18 | 13.7 | 33 | 12.2 | 48 | 10.7 |
| 4 | 15.1 | 19 | 13.6 | 34 | 12.1 | 49 | 10.6 |
| 5 | 15.0 | 20 | 13.5 | 35 | 12.0 | 50 | 10.5 |
| 6 | 14.9 | 21 | 13.4 | 36 | 11.9 | 51 | 10.5 |
| 7 | 14.8 | 22 | 13.3 | 37 | 11.8 | 52 | 10.4 |
| 8 | 14.7 | 23 | 13.2 | 38 | 11.7 | 53 | 10.4 |
| 9 | 14.6 | 24 | 13.1 | 39 | 11.6 | 54 | 10.3 |
| 10 | 14.5 | 25 | 13.0 | 40 | 11.5 | 55 | 10.3 |
| 11 | 14.4 | 26 | 12.9 | 41 | 11.4 | 56 | 10.2 |
| 12 | 14.3 | 27 | 12.8 | 42 | 11.3 | 57 | 10.2 |
| 13 | 14.2 | 28 | 12.7 | 43 | 11.2 | 58 | 10.1 |
| 14 | 14.1 | 29 | 12.6 | 44 | 11.1 | 59 | 10.1 |
| 15 | 14.0 | 30 | 12.5 | 45 | 11.0 | 60 | 10.0 |
Guaranteed Annual Income shall be a fixed percentage of the Annualised Premium / Single Premium (excluding discount) payable in a year. The Guaranteed Annual Income factor is derived as a sum of Base Income factor and a Large Premium Income Booster, if any.
Income Booster is an additional income benefit payout applicable under a non-single pay option to reward persisting policyholders over and above the Guaranteed Annual Income. Income Booster shall be defined as a percentage of Annualised Premium (excluding discount).
Guaranteed Maturity Benefit (GMB) shall be a percentage of Total Premiums Paid (excluding discount and excluding loading for modal premiums). Such Guaranteed Maturity Benefit shall be payable at the end of the Income Period.
Milestone Benefit is an additional lump sum benefit payout applicable under a non-single pay option over and above the Guaranteed Maturity Benefit payable at the end of the Income Period. The Milestone Benefit shall be defined as a percentage of Total Premiums Paid (excluding discounts and excluding loading for modal premiums).
Guaranteed Income Benefit shall be the discounted value at maturity of all the Guaranteed Annual Income payable at annual frequency post maturity, discounted at 8.25% p.a.
Discounted Income Booster Benefit shall be the discounted value at maturity of all the Income Booster payable at annual frequency post maturity, discounted at 8.25% p.a.
Return of Premium Benefit shall be the sum of Guaranteed Maturity Benefit plus Milestone Benefit and shall be payable at the end of the Income Period.
Guaranteed Total Premium Benefit shall be the discounted value at maturity of the Return of Premium Benefit, discounted at 8.25% p.a.
Income Period is the period measured in years following maturity, over which the Maturity Benefit is payable and is chosen at inception.
Income Frequency is periodicity of the Guaranteed Annual Income (including applicable Income Booster, if any) as payable under the policy. The default frequency of payment shall be annual.
| Frequency | Payout |
|---|---|
| Monthly | 96% × Annual Income × 1/12 |
In case monthly frequency is opted for, the income shall commence from the end of the policy month following maturity or from the end of the policy month following the date of diagnosis of critical illness (under Option 2 if chosen, whichever is earlier).The date of diagnosis of critical illness needs to be before maturity for any payout to happen under this contingency. The first monthly income installment post diagnosis of critical illness shall also include all the monthly income payouts in respect of the months elapsed in the current policy year prior to diagnosis of critical illness. This option to take income in monthly frequency must be exercised at inception and cannot be altered once chosen.
Sample Illustration
|
Entry Age: 35 years Gender: Male Premium Paying Term: 10 years Policy Term: 10 years Income Term: 25 years (From 11th Year to 35th Year) The Policy Maturity date is at the end of the Policy Term. |
Annualised Premium*: ₹1,00,000 Basic Sum Assured: ₹12,00,000 Premium Frequency: Annual Plan Option: Regular Income Income Mode: Annual |
| Policy Year | Age | Annualised Premium | Sum Assured on Death | Income Booster / Milestone Benefit | Guaranteed Benefits | |
|---|---|---|---|---|---|---|
| Guaranteed Annual Income | Return of Premium | |||||
| 0 | 35 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 1 | 36 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 2 | 37 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 3 | 38 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 4 | 39 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 5 | 40 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 10 | 45 | 0 | 0 | 40,490 | 40,490 | 0 |
| 11 | 46 | 0 | 0 | 40,490 | 40,490 | 0 |
| 18 to 33 | 53 to 68 | 0 | 0 | 40,490 | 40,490 | 0 |
| 34 | 69 | 0 | 0 | 40,490 | 40,490 | 10,00,000 |
| Total Benefit | 10,12,250 | 10,00,000 | ||||
| Grand Total | 30,24,500 | |||||
| Total Premium Paid | 10,00,000 | |||||
|
Entry Age: 35 years Gender: Male Premium Paying Term: 10 years Policy Term: 10 years Income Term: 25 years (From 11th Year to 35th year) |
Annualised Premium*: ₹1,00,000 Basic Sum Assured: ₹12,00,000 Premium Frequency: Annual Plan Option: Regular Income with an inbuilt Critical Illness benefit Income Mode: Annual |
The Policy Maturity date is at the end of the Policy Term.
Scenario I: No Critical Illness till Maturity.
| Policy Year | Age | Annualised Premium | Sum Assured on Death | Income Booster / Milestone Benefit |
Guaranteed Benefits | |
|---|---|---|---|---|---|---|
| Guaranteed Annual Income | Return of Premium | |||||
| 0 | 35 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 1 | 36 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 2 | 37 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 3 | 38 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 4 | 39 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 5 | 40 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 6 | 41 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 7 | 42 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 8 | 43 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 9 | 44 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 10 | 45 | 0 | 0 | 40,270 | 40,270 | 0 |
| 11 | 46 | 0 | 0 | 40,270 | 40,270 | 0 |
| 12 | 47 | 0 | 0 | 40,270 | 40,270 | 0 |
| 13 | 48 | 0 | 0 | 40,270 | 40,270 | 0 |
| 14 | 49 | 0 | 0 | 40,270 | 40,270 | 0 |
| 15 | 50 | 0 | 0 | 40,270 | 40,270 | 0 |
| 16 | 51 | 0 | 0 | 40,270 | 40,270 | 0 |
| 17 | 52 | 0 | 0 | 40,270 | 40,270 | 0 |
| 18 to 33 | 53 to 68 | 0 | 0 | 40,270 | 40,270 | 0 |
| 34 | 69 | 0 | 0 | 40,270 | 40,270 | 10,00,000 |
| Total Benefit | 10,06,750 | 10,06,750 | 10,00,000 | |||
| Grand Total | 30,13,500 | |||||
| Total Premium Paid | 10,00,000 | |||||
Scenario II: Diagnosis of Critical Illness in 3rd year.
- Premiums will get waived from 4th year.
- Guaranteed Annual Income shall commence from the end of Policy Year following diagnosis of Critical Illness on the life of the insured.
| Policy Year | Age | Annualised Premium | Sum Assured on Death | Income Booster / Milestone Benefit |
Guaranteed Benefits | |
|---|---|---|---|---|---|---|
| Guaranteed Annual Income | Return of Premium | |||||
| 0 | 35 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 1 | 36 | 1,00,000 | 12,00,000 | 0 | 0 | 0 |
| 2 | 37 | 1,00,000 | 12,00,000 | 40,270 | 40,270 | 0 |
| 3 | 38 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 4 | 39 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 5 | 40 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 6 | 41 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 7 | 42 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 8 | 43 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 9 | 44 | 0 | 12,00,000 | 40,270 | 40,270 | 0 |
| 10 | 45 | 0 | 0 | 40,270 | 40,270 | 0 |
| 11 | 46 | 0 | 0 | 40,270 | 40,270 | 0 |
| 12 | 47 | 0 | 0 | 40,270 | 40,270 | 0 |
| 13 | 48 | 0 | 0 | 40,270 | 40,270 | 0 |
| 14 | 49 | 0 | 0 | 40,270 | 40,270 | 0 |
| 15 | 50 | 0 | 0 | 40,270 | 40,270 | 0 |
| 16 | 51 | 0 | 0 | 40,270 | 40,270 | 0 |
| 17 | 52 | 0 | 0 | 40,270 | 40,270 | 0 |
| 18 to 33 | 53 to 68 | 0 | 0 | 40,270 | 40,270 | 0 |
| 34 | 69 | 0 | 0 | 40,270 | 40,270 | 3,00,000 |
| Total Benefit | 13,28,910 | 13,28,910 | 3,00,000 | |||
| Grand Total | 29,57,870 | |||||
| Total Premium Paid | 3,00,000 | |||||
* Premium excludes the taxes, rider premiums, underwriting extra premiums, loading for modal premiums if any
Premium will vary depending upon the Option chosen
Critical Illness Benefit:
Critical illness benefit is available in Option 2 only.
Provided the policy is in force and all due premiums have been paid, the Guaranteed Annual Income (including applicable Income Booster, if any) shall be payable from the end of the policy year (for annual income frequency) following diagnosis on the life of the Insured on any of the covered Major Critical Illness, Major Cardiac Conditions or Major Cancer as specified below till the earlier of end of Policy Term or death of the Life Insured during the Policy Term.
In case monthly income frequency is opted for, then the income shall commence from the end of the policy month, following Critical Illness diagnosis. The first monthly income instalment post diagnosis of critical illness shall also include all the monthly income payouts in respect of months elapsed in the current policy year prior to diagnosis of critical illness.
The date of diagnosis of critical illness needs to be before maturity for any payout to happen under this contingency. All future premiums will be waived off and the policy will continue as in-force.
In case of diagnosis of critical illness of the life insured during the Grace Period but before the payment of the premium then due, the policy will still be valid and the benefits shall be paid after deductions of the said unpaid premium.
The following two conditions must have been met before any benefit becomes payable:
- The life insured needs to have survived for a period of 30 days; and
- The diagnosis must be the first ever of that condition in the lifetime of the individual covered.
Following illnesses will be covered under the plan:
| No | Illness / Procedure |
|---|---|
| Cancer: | |
| 1 | Cancer of Specified Severity |
| Cardiac Conditions: | |
| 2 | Cardiomyopathy (of specified severity) |
| 3 | Heart Transplant |
| 4 | Major Surgery of Aorta |
| 5 | Myocardial Infarction (First Heart Attack of specified severity) |
| 6 | Open Chest CABG (Coronary Artery Bypass Graft) |
| 7 | Open Heart Replacement or Repair of Heart Valves |
| 8 | Primary (Idiopathic) Pulmonary Hypertension |
| 9 | Stroke resulting into permanent symptoms |
| Critical Illness: | |
| 10 | Alzheimer’s Disease |
| 11 | Aplastic Syndrome |
| 12 | Aplastic Anaemia |
| 13 | Bacterial Meningitis |
| 14 | Benign Brain Tumor |
| 15 | Blindness |
| 16 | Chronic Recurrent Pancreatitis |
| 17 | Coma of Specified Severity |
| 18 | Creutzfeldt-Jacob Disease |
| 19 | Deafness |
| 20 | Encephalitis |
| 21 | End Stage Liver Failure |
| 22 | End Stage Lung Failure |
| 23 | Fulminant Viral Hepatitis |
| 24 | Kidney Failure requiring Regular Dialysis |
| 25 | Loss of Independent Existence |
| 26 | Loss of Limbs |
| 27 | Loss of Speech |
| 28 | Major Head Trauma |
| 29 | Major Organ (less heart) / Bone Marrow Transplant |
| 30 | Medullary Cystic Kidney Disease |
| 31 | Motor Neuron Disease with Permanent Symptoms |
| 32 | Multiple Sclerosis with Persisting Symptoms |
| 33 | Muscular Dystrophy |
| 34 | Parkinson’s Disease |
| 35 | Permanent Paralysis of Limbs |
| 36 | Poliomyelitis |
| 37 | Progressive Scleroderma |
| 38 | Severe Rheumatoid Arthritis |
| 39 | SLE with Renal Involvement |
| 40 | Third Degree Burns |
Please refer to our website (www.tataaia.com) for “Definitions and Exclusions Annexure” for above illnesses.
Additional Benefits and Features
Flexible premium payment modes:
You have an option to pay the premiums either Single Premium, Annual, Half-yearly, Quarterly and Monthly modes.
Loading on premiums will be applicable as mentioned in the table below:
| Mode | Modal Loading |
|---|---|
| Single Premium | Multiply Single Premium by 1 |
| Annual | Multiply Annual Premium by 1 |
| Half-Yearly | Multiply Annual Premium by 0.51 |
| Quarterly | Multiply Annual Premium by 0.26 |
| Monthly | Multiply Annual Premium by 0.0883 |
Optional Riders:
You have the flexibility to enhance your cover by adding the following optional riders, by paying additional rider premium over and above your base policy premium.
- Tata AIA Life Insurance Non-Linked Comprehensive Protection Rider (UIN: 110B033V02 or any later version)
- Tata AIA Life Insurance Non-Linked Comprehensive Health Rider (UIN: 110B031V02 or any later version)
- Tata AIA Life Insurance Vitality Protect (UIN: 110B046V01 or any later version)
- Tata AIA Life Insurance Vitality Health (UIN: 110B045V01 or any later version)
- Tata AIA Benefit Protection Rider (UIN: 110B049V01 or any later version)
These riders can be attached effective policy inception or any policy anniversary of the base plan subject to the rider premium payment term and the policy term shall not be more than the outstanding premium payment term and outstanding policy term for the base plan. Such attachments will be as per the ‘Board approved underwriting policy’ (BAUP) of the Company. For policies purchased from POS channel, riders would not be available.
Grace Period:
A Grace Period of fifteen (15) days for monthly mode and thirty (30) days for all other modes, from the due date will be allowed for payment of each subsequent premium. The Policy will remain in force during this period. If any death claim occurs during the grace period, any due premium (without interest) of the policy for the policy year, in which the event has occurred will be deducted from the death claim payout.
Non-forfeiture provisions:
Lapse
When the full premium for at least one (1) year has not been paid within the Grace Period, the policy shall lapse from the due date of first unpaid premium and no benefits will be payable.
However, if full premium for at least one (1) year has been paid and the subsequent premium remains unpaid within the Grace Period, the Policy will be converted into a Reduced Paid-up Policy by default.
A lapsed policy can be revived as per revival explained in the Revival clause.
Reduced Paid-Up Benefit
The benefits to be paid in case of reduced paid-up policies are as follows.
RPU Death Benefit:
On death during the policy term, Death Benefit × RPU Factor shall be payable.
RPU Maturity Benefit:
- Guaranteed Annual Income multiplied by the RPU Factor + applicable Income Booster: Payable during the Income Period
- GMB multiplied by the RPU Factor + applicable Milestone Benefit: Payable at the end of the Income Period
RPU Critical Illness Benefit:
On diagnosis of critical illness during the policy term, the Guaranteed Annual Income (as defined earlier) multiplied by the RPU Factor + applicable Income Booster shall continue to be payable. No waiver of premium will be applicable in case of a reduced paid-up policy.
Surrender Benefit:
The surrender benefit as detailed below shall be payable.
The policy shall acquire a surrender value during the policy term basis the premium paying term as defined below.
| Premium Paying Mode | Surrender Value |
|---|---|
| Single Pay | Payable at any point during the policy term |
| Regular / Limited Premium | Payable on completion of one policy year, provided one full year’s premium has been paid or at any point after the future premiums waived post acceptance of critical illness claim (under option 2 only) |
The surrender value payable is higher of the Guaranteed Surrender Value (GSV) or Special Surrender Value (SSV).
- Guaranteed Surrender Value: GSV Factor × Total Premiums Paid (excluding loading for modal premiums and discount)
- Special Surrender Value: Special Surrender Value (SSV) is determined by the company from time to time based on changing economic scenario. The Company may revise SSV based on prevailing market conditions. Any change in the methodology/formula for calculating SSV shall be subject to IRDAI approval.
| Year of Surrender / Policy Term | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| 2 | 30% | 30% | 30% | 30% | 30% | 30% | 30% | 30% | 30% | 30% | 30% | 30% | 30% |
| 3 | 35% | 35% | 35% | 35% | 35% | 35% | 35% | 35% | 35% | 35% | 35% | 35% | 35% |
| 4 | 90% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% |
| 5 | 90% | 90% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% |
| 6 | 90% | 90% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | |
| 7 | 90% | 90% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | ||
| 8 | 90% | 90% | 70% | 63% | 60% | 58% | 57% | 56% | 55% | 54% | |||
| 9 | 90% | 90% | 77% | 70% | 66% | 63% | 61% | 60% | 59% | ||||
| 10 | 90% | 90% | 80% | 74% | 70% | 67% | 65% | 63% | |||||
| 11 | 90% | 90% | 82% | 77% | 73% | 70% | 68% | ||||||
| 12 | 90% | 90% | 83% | 79% | 75% | 72% | |||||||
| 13 | 90% | 90% | 84% | 80% | 77% | ||||||||
| 14 | 90% | 90% | 85% | 81% | |||||||||
| 15 | 90% | 90% | 86% | ||||||||||
| 16 | 90% | 90% | |||||||||||
| 17 | 90% |
| Year of Surrender / Policy Term | 5 |
|---|---|
| 1 | 100% |
| 2 | 100% |
| 3 | 100% |
| 4 | 100% |
| 5 | 100% |
Please refer www.tataaia.com for Special Surrender Value Factors – Limited Pay / Regular Pay.
Revival
If a premium is in default beyond the Grace Period and subject to the Policy not having been surrendered, it may be reinstated/revived, within five years after the due date of first unpaid premium and before the date of maturity, subject to:
(i) Policyholder’s written application for reinstatement/revival;
(ii) Production of Insured’s current health certificate and other evidence of insurability,
satisfactory to the Company; and
(iii) Payment of all overdue premiums with interest.
The evidences and any medical requirements called for are in line with the prevailing underwriting guidelines duly approved by the Board & the health declaration by the life insured(s).
“Reduced Paid-up (RPU) Factor” shall be a ratio calculated as the total period for which premiums have already been paid or waived post acceptance of critical illness claim (under option 2 only) divided by the maximum period for which premiums were originally payable.
Reinstatement/revival shall only cover loss or insured event which occurs after the reinstatement/revival date. Any evidence of insurability requested at the time of reinstatement/revival will be based on the prevailing underwriting guidelines duly approved by the Board. The reinstatement/revival will be based on the Board approved underwriting policy.
The applicable interest rate for revival is determined using the SBI domestic term deposit rate for ‘1 year to less than 2 years’, plus 2%. The rate of interest on revival with effect from 1st April 2025 is 8.98% simple p.a. (i.e. SBI interest rate of 6.98% + 2%) plus applicable taxes.
The interest rate applicable is reviewed every 6 months and gets updated as per the given formula. Any alteration in the formula will be subject to prior approval of IRDAI.
Terms and Conditions
1. Free Look Period
If you are not satisfied with the terms & conditions, you have the right to cancel the Policy by providing written notice to the Company and receive a refund of all premiums paid without interest after deducting:
a) Proportionate risk premium for the period on cover (including applicable taxes, cesses, and levies, if any); and
b) Stamp duty charges and medical examination costs which have been incurred for issuing the Policy.
Such notice must be signed by you and received directly by the Company within 30 days whether received electronically or otherwise after you receive the policy document.
2. Waiting Period
For POS:
If death of any of the life insureds occurs during the first 90 days from the Date of commencement of risk, we shall refund Total Premiums Paid and the policy will terminate with immediate effect.
Waiting period of 90 days is not applicable for death due to accident provided all due premiums have been paid. Death benefit and other benefits will continue to be payable as normal in case of such accidental death.
For other than POS:
Under option 2, a waiting period of 90 days is applicable on the first diagnosis of any of the illness covered under Critical Illness Benefit.
3. Policy Loan
Provided that the policy acquires Surrender Value, policyholders may apply for a policy loan for such an amount within the extent of 80% of Surrender Value. The Policy must be assigned to Tata AIA Life.
Loan Interest
Daily interest shall accrue on policy loan at a rate which the company shall determine. Interest shall be payable on each policy anniversary after the loan date and until the loan is repaid.
Any unpaid interest shall be added to the principal loan and bear interest at the same rate. At any time while the policy is in force, policyholder may repay the principal and accrued interest, on any part of the loan.
For in-force and fully paid-up policies, the policy will not be foreclosed if the outstanding loan amount including interest exceeds the surrender value. However, for other than in-force and fully paid-up policies, if the outstanding loan amount including interest exceeds the surrender value, the policy will be foreclosed after giving intimation and reasonable opportunity to the policyholder to continue the policy.
Interest rate applicable to policy loan will be equal to the prevailing SBI (State Bank of India) domestic term deposit interest rate for tenure ‘1 year to less than 2 years’ + 2%.
This formula will be reviewed annually and only altered subject to prior approval of IRDAI. The interest rates on loans are verified & updated on our company's systems every six months (on 1st April & 1st October every year).
The current interest rate on loans from 1st April 2025 is 8.98% p.a. (i.e. SBI interest rate of 6.98% + 2%) compounding annually.
4. Auto Vesting
Where the policy is issued on the life of a minor, the policy shall automatically vest in the life insured on his/her attaining age of majority. On vesting, the Company shall recognize the life insured to be the holder of the policy.
5. Exclusion
Single Life:
In case of death due to suicide within 12 months, from the date of commencement of risk under the policy or from the date of revival of the policy, as applicable, the nominee or beneficiary of the policyholder shall be entitled to at least 80% of the Total Premiums Paid till the date of death or the surrender value available as on the date of death whichever is higher, provided the policy is in force. The policy shall terminate and no further benefits shall be payable.
Joint Life:
In case of joint life policy, the above clause is applicable if any of the two lives commits suicide within 12 months from the commencement of risk under the policy.
The suicide claim provision is in line with Clause 21 of Master Circular on Life Insurance Products (IRDAI/ACTL/MSTCIR/MISC/89/6/2024) dated 12th June 2024.
6. Tax Benefits
Income Tax benefits may be available as per the Tax Laws, subject to fulfillment of conditions stipulated therein. Income Tax laws are subject to change from time to time.
Tata AIA Life Insurance Company Ltd. does not assume responsibility on tax implication mentioned anywhere in this document. Please consult your own tax consultant to know the tax benefits available to you.
7. Assignment
Assignment is allowed as per provisions of Section 38 of the Insurance Act 1938 as amended from time to time.
8. Nomination
Nomination is allowed as per provisions of Section 39 of the Insurance Act 1938 as amended from time to time.
9. Non-disclosure and Misstatement
Any non-disclosure or misstatement shall be dealt as per the provisions of Section 45 of the Insurance Act 1938 as amended from time to time.
10. Advance Premium
Collection of advance premium shall be allowed, only if the premium is collected within the same Financial Year.
However, where the premium due in one financial year is being collected in advance in earlier financial year, the Company may collect the same for a maximum period of three months in advance of the due date of the premium. The premium so collected in advance shall only be adjusted on the due date of the premium.
11. This product is also available for sales through Company’s web-site www.tataaia.com
12. Health Management Services:
Life Insureds, who are eligible for the Health Management Services, will be eligible to avail second opinion/personal medical case management services/medical consultation from the service provider’s affiliated to/registered with us. The services are expected to assist the Life Insured with an independent diagnosis of the medical condition, thus helping the Life Insured to take the required steps. These services are subject to:
- the availability of a suitable service provider/s;
- Primary diagnosis (wherever applicable) has been done by a registered medical practitioner as may be authorized by a competent statutory authority;
- Health Management Service is available to be utilized throughout the policy term, subject to prevailing eligibility conditions;
- The eligibility conditions of the Life Insured will be determined as per the Company’s extant Underwriting Policy;
- The eligibility will be reviewed periodically and changes shall apply without any discrimination to all existing and new customers of the product.
- In case of any change, the eligibility details will be displayed on our website (www.tataaia.com) or you may contact our helpline number 1-860-266-9966 (local charges apply), before using the services;
- Whenever the eligibility criteria changes or the service is withdrawn, the same shall be communicated to all the policyholders. Prior to effecting any changes, we shall inform the same to IRDAI; and
- The current eligibility is of a minimum total Sum Assured of ₹ 30 Lakhs (under base plan and rider/s, if any).
Note:
- These services are aimed at improving Policyholder engagement.
- These Value-added Services are completely optional for the eligible Life Insured to avail.
- For Life Insured availing such services, they are offered at no additional cost.
- The premiums charged shall not depend on whether such a service(s) is offered or availed.
- The Life Insured may exercise his/her own discretion to avail the services.
- These services shall be directly provided by the service provider(s).
- The services can be availed only where the Policy / rider is in-force.
- All the supporting medical records should be available to avail the service.
- We reserve the right to change the service provider(s) at any time.
- The services are being provided by third party service provider(s) and we will not be liable for any liability.
Prohibition of Rebates – Section 41 of the Insurance Act, 1938, as amended from time to time
- No person shall allow or offer to allow, either directly or indirectly, as an inducement to any person to take out or renew or continue an insurance in respect of any kind of risk relating to lives or property in India, any rebate of the whole or part of the commission payable or any rebate of the premium shown on the Policy, nor shall any person taking out or renewing or continuing a Policy accept any rebate, except such rebate as may be allowed in accordance with the published prospectuses or tables of the Insurer.
- Any person making default in complying with the provisions of this section shall be liable for a penalty which may extend to ten lakh rupees.
Section 45 of the Insurance Act, 1938
Any fraud, misstatement or suppression of a material fact under the policy shall be dealt as per the provisions of Section 45 of the Insurance Act 1938 as amended from time to time.
*For Annualised Premium between 1 lakh and 5 lakh, the income booster will be linearly interpolated between the above 2 columns.
About Tata AIA Life
Tata AIA Life Insurance Company Limited (Tata AIA Life) is a joint venture company, formed by Tata Sons Ltd. and AIA Group Ltd (AIA). Tata AIA Life combines Tata’s pre-eminent leadership position in India and AIA’s presence as the largest, independent listed pan-Asia Life Insurance Group in the world spanning 18 markets in Asia Pacific. Tata Sons holds a majority stake (51 per cent) in the Company and AIA holds 49 per cent through an AIA International Limited. Tata AIA Life Insurance Company Limited was licensed to operate in India on February 12, 2001 and started operations on April 1, 2001.
DISCLAIMER:
- This product is available for online sale. Please visit us at www.tataaia.com to buy this product online.
- This product is underwritten by Tata AIA Life Insurance Company Ltd.
- Insurance cover is available under this product.
- Policies sourced through POS Channel will not have any medical examination.
- This plan is not a guaranteed issuance plan and it will be subject to Company’s underwriting and acceptance.
- The brochure is not a contract of insurance. The precise terms and conditions of this plan are specified in the Policy contract available on Tata AIA Life website.
- This product brochure should be read along with Benefit Illustration.
- Risk cover commences along with policy commencement for all lives, including minor lives.
- Buying a Life Insurance Policy is a long-term commitment. An early termination of the Policy usually involves high costs and the Surrender Value payable may be less than the Premiums Paid.
- In case of non-standard lives and on submission of non-standard age proof, extra premiums will be charged as per our underwriting guidelines.
- All Premiums and interest payable under the policy are exclusive of the taxes, rider premiums, underwriting extra premiums, loading for modal premiums, if any which will be entirely borne / paid by the Policyholder, in addition to the payment of such Premium or interest. Tata AIA Life shall have the right to claim, deduct, adjust and recover the amount of any applicable tax or imposition, levied by any statutory or administrative body, from the benefits payable under the Policy.