HDFC Life Click 2 Wealth Plan
A unit-linked non-participating life assurance plan called HDFC Life Click 2 Wealth provides financial security for both the policyholder and his or her family. This plan is an excellent investment for protecting a kid, building money after retirement, and providing security for one’s immediate family members because it aids in achieving goals and offers the possibility of profiting from market-linked returns.
You will have a variety of minimum premium payment options with the plan, ranging from Rs. 1,000 per month to Rs. 24,000 (Single). The board-approved underwriting policy is subject to the maximum premium, which has no upper limit (BAUP).
The plan comes with three options, including
- Invest Plus Option for Insurance cum Investment
- Premium Waiver Option to protect milestones for dependents
- Golden Years Benefit Option for retirement planning with whole life cover
Here is the eligibility criteria for HDFC Life Click 2 Wealth.
|Age at Entry||Life Assured: 0 years (30 days) to 60 years Proposer: 18 years to 65 years|
|Age at Maturity||18 years to 75 years|
Single: Rs. 24,000
Annual: Rs. 12,000
Half-yearly: Rs. 6,000
Quarterly: Rs. 3,000
Monthly: Rs. 1,000
|Maximum Premiums||No Limit, subject to Board Approved Underwriting Policy (BAUP)|
|Policy Term||10 to 40 years|
|Premium Payment Term|
Limited: 5, 7, and 10 years
Regular: 10 to 40 years
Features & Benefits of HDFC Life Click 2 Wealth
Here is the list of the features and benefits of HDFC Life Click 2 wealth.
- Death Benefit
A death benefit is offered by the HDFC Life Click 2 Wealth plan in the event of your untimely passing within the policy term. In challenging circumstances, such as your untimely death during the policy’s term, this plan provides financial help to your family. You can make sure that your family can satisfy their daily financial needs even without you by using the death benefit.
- Maturity Benefit:
It alludes to the benefits you will receive once your policy’s term has expired. You will receive your Fund Value upon maturity. The fund value will be determined by dividing the remaining units in your fund by the current unit price. After the policy period you have selected, your insurance matures. After the policy term, all risk coverage expires. The settlement option allows you to receive your fund value at maturity in regular payments. For further information, please see the Terms & Conditions section.
- Golden Years Benefit
This strategy combines leaving a legacy for loved ones with having financial security in retirement in an ideal way. One can increase the fund’s worthiness by maintaining a lifetime life insurance policy (until the age of 99 years). This benefit includes a facility for systematic withdrawals as well.
- Invest Plus Option
This is an option that one can select since it offers life insurance and satisfies one’s need for investments by paying out the value of the accumulated fund at maturity.
- Tax Benefits
On premium payments, maturity proceeds, and premium payments on riders, tax advantages may be obtained.
- Premium Waiver Option
If the policy’s proposer dies before the policy’s expiration date, all upcoming premium payments are forfeited. This will enable the fund to continue expanding and fulfill the commitment made while purchasing an HDFC Life Click 2 Wealth policy to take care of the future financial corpus.
- Special Addition
For the first five policy years of Regular and Limited Pay Policies, 1% of your Annualized premium will be contributed to the Fund Value at the time of premium allocation. When allocating your single premium for single pay policies, 1% of your single premium will be added. All three of the plan’s options—Invest Plus, Premium Waiver Option, and Golden Years Benefit Option—will offer Special Addition.
- Settlement Option
You can choose to take the maturity benefits in installments over a period of a maximum of 5 years. Keep in mind that, during this period the investment risk is borne by you – that means, if there is a drop in the value of your funds, you will have to bear that yourself.
HDFC Life Click 2 Wealth Plan Covers:
The following are the major details covered under HDFC Life Click 2 Wealth.
- Top-up Premiums
The Policyholder may choose to pay Top-up premiums, provided that they meet the requirements listed below:
- Throughout the final five years of the contract, top-up premiums are not allowed.
- Complete Top-up The total amount of regular/limited premiums paid up to that moment, or the first single payment paid, as applicable, cannot be exceeded by premiums.
- The Top-Up Premium will have a Sum Assured that is 125% of the Top-Up Premium’s value.
- Grace Period:
You have a grace period under this plan from the due date for your premium payments to pay them. For the monthly mode of this plan, the grace period is 15 days; for the other modes, it is 30 days. The insurance is deemed to be in effect during the grace period, and the risk is continuously covered.
- HDFC Life’s Accidental Disability Income Benefit Rider
A benefit in the event of an accidental total permanent disability equivalent to 1% of the Rider Sum Assured per month for the following ten years. Under this rider, there is no maturity benefit offered.
- HDFC Life Critical Illness Plus Rider
If you are diagnosed with any of the 19 Critical Illnesses and live for 30 days after the diagnosis, a lump sum benefit equal to the Rider Sum Assured will be paid. Under this rider, there is no maturity benefit available.
What is Not Included Under HDFC Life Click 2 Wealth?
The nominee or beneficiary of the policyholder shall be entitled to the fund value, as available on the date of intimation of death, in the event of death by suicide within 12 months of the date of commencement of the policy or from the date of revival of the policy, as applicable. In addition, all charges other than Fund Management Charges (FMC) and Guarantee Charges that are recovered after the death date must be added back to the fund value that was in effect on the date of the death notification.
If the proposer commits suicide within a year of their death, and the proposer is not the life assured,, the policy will still be in effect without the benefit of future premiums being waived.
Premium Illustration- How Does it Work?
Mr. Pramod Kumar, a 35-year-old software engineer at Cognizant in Gurgaon, is looking to purchase a plan that offers maximum financial benefit to his family. He wants to protect his family’s financial future because he works for a private company. He then came across HDFC Life Click 2 Wealth while looking for the best retirement plan. He even sought his friends, family, and relatives for advice, and several in his circle advised him to purchase HDFC Life Click 2 Wealth for the best possible financial security after retirement.
Let’s take an example to understand!
|Annual Premium (INR)||Sum Insured (INR)||Policy Term (Years)||Premium Payment Term (years)||Maturity value at an Assumed Investment return – 8% p.a.|
Maturity value at an Assumed
Investment return – 4% p.a
|50,000||5,00,000||20||20||Rs. 21,23,700||Rs. 13,43,799|
Frequently Asked Questions
The Systematic Transfer Plan (STP), which offers the advantages of rupee cost averaging, is an option you have. Twelve equal payments will be made to complete the transfer. You may choose a transfer date between the first and the fifteenth of each month.
In this policy, you have the choice to pay Top-up Premium(s). The sum of the regular/limited premiums paid at that time or the original Single Premium paid shall not be exceeded by the total top-up. During the final five years of the contract, top-up premiums are not allowed. A 125% of Top-Up Premium amount Sum Assured will be included with Top-Up Premium.
The Fund Value will be paid to LA as a lump sum payout if the Life Assured survives until the end of the Policy Term (maturity) under all alternatives.
To cover any potential monetary emergencies in the future, you can take money out of your Funds. If the Life Assured is at least 18 years old and the policy has been in force for five full years, lump sum partial withdrawals may be made from your assets.