Returns on paid up policy | Value Research We always ask our readers to buy term insurance plans for their life insurance needs and invest in equity mutual fund schemes to achieve their long-term financial goals
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Returns on paid up policy

We always ask our readers to buy term insurance plans for their life insurance needs and invest in equity mutual fund schemes to achieve their long-term financial goals

How good is ICICI Pru Guaranteed Savings Insurance Plan? What would be the difference in the returns between a paid up policy and if the premiums are paid for entire policy term?
- Rajesh

ICICI Pru Guaranteed Savings Insurance Plan is a non-linked limited payment endowment policy which assures a guaranteed maturity benefit. It will pay sum assured, regular additions and maturity addition at the time of maturity. Regular additions will be calculated as per a pre-stated formula. There is no disclosure on charges under this policy.

If you pay premiums for the entire premium payment term, you will receive the maturity benefit as stated earlier. However, if you stop paying premiums after a particular period, it will be converted into a paid up policy with reduced benefits in proportion to the premiums paid.

For more details on paid up policy, please read: What is paid-up value?

We believe in keeping insurance and investment separate. We always ask our readers to buy term insurance plans for their life insurance needs and invest in equity mutual fund schemes to achieve their long-term financial goals.


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