Bajaj Allianz Cash Assure Plan
Bajaj Allianz Cash Assure, a traditional money-back insurance plan, can help the insured person to make more memories, as it offers money-back savings at regular intervals. It helps to save in a disciplined manner over a period and then offers money back at pre-determined intervals to take care of any experience or memory one wants to create without dipping into his/her existing savings. From shorter premium paying terms to bonuses and riders, Bajaj Allianz Cash Assure, a life insurance savings plan, can be that key, which helps to fulfill the desired life goals. It also offers a life cover to provide financial support to the loved ones in case something was to happen to the insured person. To know more about this policy, have a look at the following mentions.
|Age at entry|
Minimum – 0 years
Maximum – 54 years
|Age at maturity|
Minimum – 18 years
Maximum – 70 years
|Policy term||16, 20, 24, and 28 years|
|Premium paying term||Policy term minus 5 years|
|Maximum premium||As per the sum assured chosen|
Minimum – Rs. 1 lakh
Maximum – No upper limit
|Premium payment frequency||Yearly, half-yearly, quarterly, and monthly|
Key Highlights of The Bajaj Allianz Cash Assure Plan
This plan has come up with a sack full of benefits and facilities. Some of the important mentions are as follows.
Survival And Maturity Benefit:
If one has paid all due premiums under the policy, he/she will receive the Survival Benefit as Money Backs on each due date and the Maturity Benefit on the maturity date. Money Backs are paid to you at the end of the policy years as mentioned in the below table:
|Money back||Policy term 16 years||PT 20 years||PT 24 years||PT 28 years|
The Maturity Benefit will be paid on the maturity date (end of the policy term). The Survival Benefit and Maturity Benefit are payable as mentioned in the table below:
|Policy term||16 years||20 years||24 years||28 years|
|Money back (%)||15% of the Sum Assured||20% of the Sum Assured||25% of the Sum Assured||30% of the Sum Assured|
|Maturity benefit||60% of Sum Assured + Vested Bonus (if any), if any + Terminal Bonus (if any)|
If all due premiums are paid, then, in case of unfortunate death of the Life Assured during the policy term, the Sum Assured on Death plus Vested Bonus (if any), plus Interim Bonus (if any), plus Terminal Bonus (if any), subject to a minimum of 105% of the total premiums paid will be paid as the Death Benefit.
This death benefit will be paid even after Survival Benefit has commenced during the policy term.
Additional Rider Benefits:
One can enjoy extra coverage by choosing the optional additional rider benefits at a nominal extra cost. The riders available with Bajaj Allianz Cash Assure are:
- Bajaj Allianz Accidental Death Benefit Rider
- Bajaj Allianz Accidental Permanent Total/ Partial Disability Benefit Rider
- Bajaj Allianz Critical Illness Benefit Rider
- Bajaj Allianz Family Income Benefit Rider
- Bajaj Allianz Waiver of Premium Benefit Rider
High Sum Assured Rebate:
The plan offers a premium discount structure, where one can have a discount of Rs. 4.50 for each complete additional Rs. 1,000. Sum Assured purchased over and above the minimum Sum Assured of Rs. 1,00,000.
Option To Change Premium Payment Frequency:
At any policy anniversary, one can opt to alter the premium payment frequency to any other frequency (i.e., yearly, half-yearly, quarterly, or monthly), subject to availability of the frequency and minimum modal premium criteria. The modal premium for frequencies other than annual mode is arrived at by multiplying the annual premium by the premium payment frequency factors given below:
Policy Loan Facility:
One can avail loan under your policy provided it has acquired a surrender value. The loan amount shall be up to 60% of the Surrender Value. The outstanding loan and interest on such loan will be adjusted from Survival Benefit to the extent possible. Further, in the event of maturity, surrender (to the extent possible), or death, the outstanding loan and interest on such loan will be deducted from the maturity benefit, survival benefit, surrender (to the extent possible), and death benefit as applicable.
What Is The Revival Procedure of the Bajaj Allianz Cash Assure Plan?
If the policy is lapsed or has become paid-up due to non-payment of premium, you may revive the policy subject to the following conditions:
- The application for revival is made within 5 years from the due date of the first unpaid premium but before the maturity date
- All the due premiums, together with interest at such rate as the Company may decide from time to time, is paid. The current applicable revival interest is 9.0% p.a. compounded half-yearly.
- One will have to furnish satisfactory evidence of your good health at your own expense and continuity of insurability
- The revival of the policy may be on terms different from those applicable to the policy before it got lapsed/ became paid up depending upon the prevailing Board approved underwriting norms of the Company
- The revival will take effect only on it being specifically communicated to you by the Company
- The Company may refuse to revive the policy based on the prevailing Board approved underwriting guidelines
What are the exclusions of the Bajaj Allianz Cash Assure Plan?
Each policy comes up with certain exclusions for which it does not offer any benefits. Therefore, to avoid future complications and claim denial, the exclusions of the Bajaj Allianz Cash Assure plan are:
- If there is any fraud, misinterpretation, or breach of law, that will be permanently excluded from the policy.
- Anything that does not satisfy the terms and conditions of the policy will fall under the category of exclusions as well.
- In case of death of the life assured due to suicide within 12 months from the date of commencement of risk or the date of the latest revival of the policy, whichever is later, then the Nominee or the beneficiary of the Policyholder shall be entitled to receive, the higher of 80% of the Total premiums paid or the surrender benefit as on the date of death, provided the policy is in force.
Illustration Of Bajaj Allianz Cash Assure Plan
Mr. Bose, a 30-year-old businessman, purchased Bajaj Allianz Cash Assure Plan. Now, let us find out what benefits he will reap from the given data under this policy.
|Policy term||28 years|
|Sum assured||Rs. 4 lakhs|
|Annual premium amount||Rs. 25,186|
|3 money-back installments from the end of every 7th year||Rs. 1,20,000|
@8% – Rs. 5,85,818
@4% – 2,99,949
|Death during the 15th policy year|
@8% – Rs. 5,58,483
@4% – Rs. 4,31,073
How To Buy Bajaj Allianz Cash Assure Plan?
This policy can be purchased offline. For that, one has to visit one of the official branches of the company. Their customer executives are experienced and knowledgeable enough to guide you through the buying process smoothly without any hassles. In that case, one has to carry certain documents such as valid ID proof, address proof bank details, and any other required document as requested by the company.
Frequently Asked Questions
Risk cover will commence immediately on the date of commencement of risk of the policy and, in the case of a minor life, the policy will vest on the life assured on the earlier of attainment of majority (i.e., 18 years age last birthday) or on the maturity date.
Sum Assured on Death is the higher of (a) 10 times of annualized premium OR (b) Sum Assured.
Premium paid, Survival Benefit, Maturity Benefit, Death Benefit, and Surrender Benefit may be eligible for tax benefits as per the extant Income Tax Act, subject to the provision stated therein.
The scenarios are:
- If you have not paid at least the first 2 full years’ premiums, then your policy will immediately lapse at the expiry of the grace period and no benefits under the plan will be paid. If the death of the life assured occurs during the grace period, the death benefit shall be paid under the policy as if the policy was in force for the full Sum Assured after deduction of the outstanding premium (including extra premium, rider premium, GST/ any other applicable tax levied, subject to changes in tax laws.
- If at least the first 2 full years’ premiums have been paid and subsequent premiums are not paid, the policy will be converted to a paid-up policy at the expiry of the grace period.
- All originally specified benefits will cease. The Sum Assured and the Sum Assured on Death under the policy will be reduced to the paid-up sum assured and the paid-up sum assured on death.
- The vested Bonuses (if any) as on the paid-up date shall remain attached to the policy. A paid-up policy will not accrue any further bonus.
- The Death Benefit under a paid-up policy will be the paid-up Sum Assured on Death plus Vested Bonus (if any). The Maturity Benefit will be the paid-up Sum Assured plus Vested Bonus (if any).
- You may revive a lapsed/paid-up policy during the revival period of 5 years from the due date of the first unpaid premium, subject to the revival conditions mentioned under the plan
This policy shall automatically terminate on the earlier occurrence of either of the following events:
- on payment of surrender value
- on the expiry of the revival period of 5 years from the date of the first unpaid regular premium in case of lapsed policy
- on receipt of intimation of death of the life assured at the Company’s office and payment of the claim amount
- on the date of foreclosure of the policy, if the loan is taken under the policy which is paid up
- on the maturity date
- On free look cancellation