ICICI Pru SmartKid Plan

Here is the list of the important features and benefits of the ICICI Pru SmartKid Plan:

1. Maturity Benefit

You will be eligible to receive the Fund Value upon policy maturity depending on the term you choose. You might choose the Settlement Options as an alternative. You are entitled to receive the Fund Value at the time of Maturity upon Maturity of This Policy. This will also cover the Fund Value for top-ups. Alternative options include settlement options.

2. Death benefit – The benefit payable upon the death of the life assured will be divided into two parts:

• A lump sum benefit that exceeds: Amount Assured, including the Top-up Amount Assured Lowest Death Benefit 105 percent of the total premiums paid, including top-up premiums, is the minimum death benefit (if any).
• Smart Benefit: For Regular Pay plans, units equal to the installment payment will be distributed by the insurer on the consecutive premium due dates for Regular Pay policies after the date of the life assured’s death. The One Pay option is not eligible for this benefit.

3. Automatic Transfer Strategy

Using this method, you can deposit your premium in our money market fund (Preserver) as a lump sum and transfer a predetermined amount into any of the following funds each month: R.I.C.H. II, Flexi 4 Growth II, and Multiplier II This service will be provided without charge.

4. Cover Continuance Option

If you choose this option, your life insurance coverage will continue even if you become unable to make premium payments after the first three years have passed. The units that are available in your fund will automatically be subtracted from all applicable fees. If you want to take advantage of this benefit, you must choose to cover continuance.

5. Settlement Option

You have the option to receive the Fund Value as a structured benefit when the policy matures. With this facility, you can choose to receive payments annually, biannually, quarterly, or monthly (through ECS) for a settlement period of six years, which can be 1, 2, 3, 4, or 5. You have the option to withdraw the entire Fund Value at any time during the settlement period.

6. Top-Up

At any time, you may choose to expand your investment by contributing funds in addition to your regular premiums. A top-up must be at least Rs. 2,000. If all due premiums have been paid, top-up payments may be paid at any point during the policy’s term. When a top-up is purchased, the Sum Assured is increased, and you have the choice of choosing an increase of either 125% or 500% of the top-up premium amount as the Sum Assured increases.

7. Money at Key Educational Stages

At significant points throughout your education, you can take partial withdrawals from your Fund Value. After five policy years have passed, partial withdrawals are permitted. You may withdraw a maximum of 25% of the Fund Value in one partial withdrawal per policy year, with a total of 5 withdrawals permitted over the course of the 7 policy’s term. A partial withdrawal must be at least Rs. 2,000.

8. Tax Benefits

Sections 80C, 80D, and 10D of the Income Tax Act of 1961 contain conditions that must be met to receive tax benefits under the policy. The applicable rates for service tax and the educational cess will be added on top of the price. There may occasionally be changes made to the tax laws.