i) Auto-cover:

If the Policyholder has opted for risk cover, then charges for the same shall be taken by canceling an appropriate number of units out of the Policyholder’s Unit Account every month. This will continue to provide relevant risk covers even if premiums have not been paid as and when due under the policy.

During the period of Auto-cover any/ all unpaid Premiums that have fallen due may be paid at anytime without interest.

For Regular premium policies, where 3 or more years’ premiums have been paid, the Auto-cover facility will compulsorily be available throughout the term of the policy.

However, for Regular premium policies where less than 3 years’ premiums have been paid, the Auto-cover facility will compulsorily be available only for a period of 6 months from the due date of the First Unpaid Premium. Thereafter, the risk cover will cease i.e. the policy will lapse. In such cases, the Policyholder shall have the option of reviving the policy within a period of 5 years from the due date of the First Unpaid Premium, by paying all unpaid premiums without interest and on submission of proof of continued insurability to the satisfaction of the Corporation.

Notwithstanding what is stated above, the balance in the Policyholder’s Unit Account, at all times, should be sufficient to cover the relevant charges. However, for all Regular Premium policies where at least 3 years’ premiums have been paid, the Policyholder’s Unit Account, at all times, shall be subject to a minimum balance of one years’ annualized premium in the Policyholder’s Unit account. In case the Policyholder’s Unit Account falls below this limit, the policy shall compulsorily be terminated and the balance amount in the Policyholder’s Unit Account will be refunded to the Policyholder.


ii) Top-up (Additional Premium):

The policyholder can pay additional premium in multiples of Rs.1,000 without any limit at anytime during the term of the policy. In case of yearly or half-yearly mode of premium payment such Top-up can be paid only if all premiums have been paid under the policy.


iii) Switching:

The policyholder can switch between any fund types during the policy term. Within a given policy year 4 switches will be allowed free of charge. Subsequent switches in that policy year shall be subject to a switching charge of Rs.100 per switch.


iv) Increase / decrease of benefits:

No increase (except to the extent of Top-up stated above) of benefits will be allowed under the plan. The Policyholder can, however, decrease the risk cover once in a year during the Policy term, subject to the respective minimum limits, provided all due premiums under the Policy have been paid.


v) Conversion to annuity at Vesting date:

The rate at which the amount at vesting date will be converted to an annuity is not guaranteed and will be based on the prevailing immediate annuity rates under the relevant annuity option at the vesting date.


vi) Minimum Guaranteed Growth rate:

For the “Bond“ fund, the allocated premiums, net of all charges and deductions, will have a guaranteed minimum growth rate of 3% p.a. compounding yearly, provided the minimum policy term is 10 years and the policy is held till the vesting date without any switching to any other fund in between. The guarantee shall not apply to any Top-up premiums paid under the Policy. There will be no guarantee under other funds.


vii) Paid-up Value:

If premiums are payable either yearly or half-yearly and the same have not been duly paid under the Policy, the Policy shall become paid-up.