Birla Sun Life’s ClassicLife Premier Plan

Tags:   Birla Sun Life’s Insurance,  Birla Sun Life’s ClassicLife Plan,  Birla Sun Life’s ClassicLife Premier Plan,

THIS PLAN FROM BIRLA SUN LIFE OFFERS A CHOICE OF 10 FUNDS. IT IS SUITABLE FOR INVESTORS WHO ARE MORE FOCUSSED ON THE CORPUS RATHER THAN DEATH BENEFITS

Birla Sun Life’s ClassicLife Premier Plan is a unit-linked %Plan with a whole life’ option to provide cover till 100 years of age. As Benefit Chart shows, the product is within the insurance guidelines on the capping of charges. The difference between the gross and net yield is 216 basis points in case of 10 per cent return. To comply with all parameters the company has to refile the product before 31 December 2009.
 
FEATURES
It offers a choice of 10 funds, with the flexibility to allocate varying percentages of premium to different funds. You benefit from additional units after the completion of 10 years and at the end of every five years thereafter. The guaranteed addition is 2 per cent of average fund value in the last 60 months.

 Death benefit. This is the higher of the fund value or sum assured reduced by withdrawals made earlier. Surrender benefit. For surrender after six years: there are no surrender charges paid and the entire fund value is paid to the policyholder. If surrender happens within three years: surrendered value is paid after completion of the third year.

Partial withdrawals. Withdrawals are allowed from the policy after the completion of three years or when the life insured attains maturity, whichever is later.
 
WHAT TO DO
The product is suitable for investors who are less worried about the death benefits and more about the corpus.