5. CHILDREN PLAN
• Children's Plans helps you save so that you can
fulfill your child's dreams and aspirations.
•These plans go a long way in securing your child's
future by financing the key milestones in their lives
even if you are no longer around to oversee them.
•For example, with the high and rising costs of
education, if you are not financially prepared, your
child may miss an opportunity of a lifetime.
6. TYPES OF CHILDREN PLAN
1 . JEEVAN ANURAG:
• This is a with-profits plan specifically designed to take
care of educational need of children
• The minimum age of the life assured under the basic
plan is 20 to 60 years. this plan also provides for an
immediate payment of basic sum assured amount on
death of the life assured during the term of the policy.
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2. MARRIAGE ENDOWMENT OR EDUCATION ANNUITY PLAN
• This is an endowment assurance plan that provides for
benefits on or from the selected maturity date to meet the
marriage educational expenses of the named child.
3. JEEVAN KISHORE:
• This is an endowment assurance plan available for children
of less than 12 years of age the policy may be purchased
by any of the parent grandparent.
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4. JEEVAN CHHAYA:
• This is an endowment assurance plan that provides
financial protection against death throughout the
term of the plan this is a with-profits plan and
participates in the profits of the corporation’s life
insurance business.
9. TERM INSURANCE
• Simplest and cheapest insurance policy.
• After maturity no eligibility of profits or allowances.
• Policy available for 5, 10, 15, 20 or 30 years.
• Only lump sum amount paid in case of death of
policyholder.
10. SOME TERM INSURANCE PLANS
1. TWO – YEAR TEMPORARY ASSURANCE POLICY
• Risk coverage for 2 years.
• Single premium
• No loan granted against plan
• Proposer has to pay examination fees, age proof
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2. ANMOL JEEVAN
• Category I & category II people are eligible
• Minimum age 18 yrs. & maximum 50 yrs.
• Maximum age at the time of maturity is 60 yrs.
• Minimum sum assured is 3 lacs & maximum 5 lacs.
12. LIFE INS. CO. OFFERING TERM INS. PLANS
Life Insurance Companies Policies
ICICI Prudential I-protect
HDFC Life Term assurance Plan
LIC Anmol Jeevan
13. ENDOWMENT ASSURANCE PLAN
• Best saving plan
• Moderate premium, high bonus , high liquidity
• After maturity added benefit like bonus and profits.
• Plan will have maturity of 10, 15 & 20 years.
14. JEEVAN SARAL ENDOWMENT PLAN
• Minimum for 10 yrs. & maximum for 55 yrs
• Sum Assured= Monthly Premium* 250 Time Risk
Coverage
• Risk Coverage= 250* Monthly Premium (natural)
• Accidental Coverage= 500* Monthly Premium
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• Loan granted against plan
• Swap of premium after 3 yrs
• Partial Withdrawal Benefit
After 3 yrs (80% of paid up premium)
After 4 yrs (90% of paid up premium)
After 5 yrs. to 9 yrs 11 months 29 days (100% of paid up
premium)
After 10 complete yrs (100% of paid up premium + Loyal
Addition)
16. DOCUMENTS
• Self Attested Photograph
• Residence Proof
• Photo- ID Proof
• Income Proof
17. COMPANIES PROVIDING ENDOWMENT PLANS
Life Insurance Companies Policies
Met Life Met Suvidha
SBI Life SBI Life Sudarshan
LIC Jeevan Saral
19. ULIP
ULIP stands for Unit Linked Insurance Plans.
As we know that insurance is for protecting our life from any
uncertain events like death or accident.
The purpose of the normal insurance plan is just protecting
the life but not ensuring any savings for the future.
Many people wanted plan which gives protection as well as
the returns for their investment.
So, insurance companies come up with the ULIP plan
where the premium amount is invested in the stock market.
20. CONTINUE….
In ULIPs, a part of the investment goes towards
providing you life cover.
The residual portion of the ULIP is invested in a
fund which in turn invests in stocks or bonds; the
value of investments alters with the performance of
the underlying fund opted by you.
21. TABLE OF INVESTMENT OPTIONS
General description Nature of investment Risk
category
Equity funds Primarily invested in company Medium to
stocks with general aim of High
capital appreciation
Income, fixed interest Invested in corporate bonds, Medium
& bonds funds Government securities & other
fixed income instruments
Cash funds Also known as money market Low
funds-
Invested in cash, bank
deposits and money market
instruments
Balanced funds Combining equity investment Medium
with fixed interest instruments
22. MUTUL V/S ULIP
In structure both ULIP and Mutual Funds looks similar.
But, in objective they are different. Because of the high first-year
charges, mutual funds are a better option if you have a five-year horizon.
But if you have a horizon of 10 years or more, then ULIPs have an edge.
To explain this further a ULIP has high first-year charges towards
acquisition (including agents’ commissions).
As a result, they find it difficult to outperform mutual funds in the first five
years. But in the long-term, ULIP managers have several advantages
over mutual fund managers.
Since policyholder premiums come at regular intervals, investments can
be planned out more evenly.
23. CONTINUE….
Mutual fund managers cannot take a similar long-term view
because they have bulk investors who can move money in and
out of schemes at short notice.
From October 2009, IRDA has set the maximum fees amount
to be levied against the ULIP policies. Which makes the ULIP
more compete against the mutual funds.
24. WHAT SHOULD I VERIFY BEFORE SIGNING THE
PROPOSAL?
All the charges deductible under the policy
Features and benefits
Limitations and exclusions
Lapsation and its consequences
Other disclosures
Illustration projecting benefits payable in two scenarios of 6%
and 10% returns as prescribed by the life insurance council.
What will my family receive if something happens to me?
Investment returns from ULIP may not be guaranteed.” In unit linked
products/policies, the investment risk in investment portfolio is borne by
the policy holder”. Depending upon the performance of the unit linked
fund(s) chosen; the policy holder may achieve gains or losses on his/her
investments. It should also be noted that the past returns of a fund are
not necessarily indicative of the future performance of the fund.
25. EXPENSES CHARGED IN A ULIP
Premium Allocation Charge:
A percentage of the premium is appropriated towards charges initial
and renewal expenses apart from commission expenses before
allocating the units under the policy.
Mortality Charges:
These are charges for the cost of insurance coverage and depend
on number of factors such as age, amount of coverage, state of
health etc.
Fund Management Fees:
Fees levied for management of the fund and is deducted before
arriving at the NAV.
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Administration Charges:
This is the charge for administration of the plan and is levied by
cancellation of units.
Surrender Charges:
Deducted for premature partial or full encashment of units.
Fund Switching Charge:
Usually a limited number of fund switches are allowed each year without
charge, with subsequent switches, subject to a charge.
Service Tax Deductions:
Service tax is deducted from the risk portion of the premium.
27. MONEY BACK POLICY
Plan is an excellent plan with good return on reinvestment, best suited
for businessmen and professionals.
Money is available at regular intervals in future to meet the specific
expenses such as children's education or marriage.
At the same time, the policy provides insurance protection for the family
as well as old age provision.
28. SALIENT FEATURES
A policy where lump sum amounts are paid to the life assured at periodic
intervals on survival.
In case of death of the life assured within the term, the total sum insured
is paid to the nominee, irrespective of earlier survival benefits.
Bonus is payable under this scheme.
Premiums are to be paid regularly to get survival benefits.
Premiums cease at death or on expiry of term whichever is earlier.
This plan can be availed of for terms 20 or 25 years .
29. ON DEATH
Full sum assured is payable at death of the life assured within
the term, without any deduction of earlier survival benefits.
(For example, suppose a person takes a Rs.1,00,000/- policy for
20 years. At the end of the 5th and 10th year he receives
Rs.20,000/- each as survival benefit. If he happens to die in the
12th year, the nominee of the life assured will receive full
Rs.1,00,000/-, irrespective of the earlier benefits of Rs.40,000/-)
30. ON SURVIVAL
Terms At the Amount of money back For example on
end rupees
1,00,000/- policy
For 5th 20% of sum assured 20,000/-
20 10th 20% of sum assured 20,000/-
years 15th 20% of sum assured 20,000/-
Plan 20th 40% of sum assured 40,000/- + Bonus
5th 15% of sum assured 15,000/-
For 10th 15% of sum assured 15,000/-
25 15th 15% of sum assured 15,000/-
years 20th 15% of sum assured 15,000/-
Plans 25th 40%of sum assured 40,000/- + Bonus
31. ADVANTAGES OF LIFE INSURANCE
Mental peace
Financial security
Loan in case of need
Cover for whole life
Tax free source of savings
Maintenance of living standard
Assured income through annuites
32. TAILOR MADE
Life Stage Primary Need Life Insurance Product
Young & Single Asset creation Wealth creation plans
Young & Just Wealth creation and mortgage
Asset creation & protection
married protection plans
Children's education, Asset Education insurance, mortgage
Married with kids
creation and protection protection & wealth creation plans
Middle aged with Planning for retirement & Retirement solutions & mortgage
grown up kids asset protection protection
Across all life- Health plans Health Insurance
stages
33. DISADVANTAGES OF LIFE INSURANCE
Expensive
Irrelevant in case of no family person
Increasing premium
No benefit in case of long life
36. QUESTIONNAIRE
How do you formulate the policies ?
Which policies are sold the most ?
How to apply for any policy(Eligibility criteria) ?
Documents required(taking policy) ?
Tax exemption ?
Criteria of settlement of claim ?
How you create awareness among customer ?
What are documents required for settlement of
claim ?
37. CONT…..
What are the penalties levied on non-payment
of premium ?
What are the target to be achieved ?
What is settlement done during emergencies ?
What are the challenged faced ?
Do you have any tie-up ?
How life ins is different from health ins ?
