tata aia life insurance
TATA AIA Life Guaranteed Monthly Income Policy

Tata AIA Guaranteed Monthly Income Plan

Guaranteed Monthly Income Plan from Tata AIA Life helps you prepare for your future needs and provides financial security for your family by providing a monthly income that will satisfy those demands. In addition to providing for your family’s needs at every stage of life, you can rely on a stream of steady income to cover your needs in the future.

The plan offers life insurance coverage for the duration of the policy term for the financial security of your family and a monthly income that satisfies today’s needs, assisting you in making future goal-related plans. The plan also offers tax advantages and the choice to choose riders to increase your protection.

Keep reading to know more Tata AIA Guaranteed Monthly Income plan’s eligibility criteria, key features & benefits, exclusions, and more.

Eligibility Criteria

Here is the eligibility criteria for Tata AIA Guaranteed Monthly Income Plan.

Minimum Entry Age

For Policy Term 5 years: 13

For Policy Term 8 years: 10

For Policy Term 12 years: 6

Maximum Entry Age

For Policy Term 5 years: 60

For Policy Term 8 years: 60

For Policy Term 12 years: 55

Max Maturity Age

For Policy Term 5 years: 65

For Policy Term 8 years: 68

For Policy Term 12 years: 67

Policy Term (In Years)5, 8, 12
Minimum Annualized

For Policy Term 5 years: Rs. 75,000/- per annum

For Policy Term 8 years: Rs. 50,000/- per annum

For Policy Term 12 years: Rs. 36,000/- per annum

Maximum AnnualizedNo limit, subject to board-approved underwriting policy
Premium Payment modeAnnual/ Half Yearly/, Quarterly/ Monthly

Features & Benefits of Tata AIA Guaranteed Income Plan

Here is the list of the key features and benefits of Tata AIA Guaranteed Income Plan.

  1. Maturity Bene­fit

A Guaranteed Monthly Income is payable in arrears during the Income Term, beginning at the end of the first month following the conclusion of the Policy Term, provided the policy is in force and all required premiums have been paid.

  1. Surrender Benefi­t

The policy may be surrendered at any time throughout the policy term, but only if the first two (two) full years’ worth of premiums have been paid.

  1. Death Bene­fit

Death during Policy Term: If the Life Assured passes away while the Policy is in effect, the Company shall pay the Claimant the “Sum Assured on Death.”

b) “Sum Assured on Death” refers to the largest amount that can be:

  • 11 times the premium’s annualized rate;
  • 105% of all premium payments made up to the date of death
  • the guaranteed amount assured at maturity;
  • Amount guaranteed in full to be paid upon death
  1. Grace Period

Each additional premium may be paid during a Grace Period of fifteen (15) days for monthly modes and thirty (30) days for all other modes following the due date. The Policy will continue to be in effect throughout this time. The Policy will expire starting on the due date of the first unpaid Premium if the Premium is not paid during the Grace Period and the Policy has not achieved Surrender Value. No benefits will be provided. If a death claim is filed within the Grace Period, the reimbursement for the death claim will be reduced by any unpaid premiums (without interest) for the entire policy year.

  1. Revival

If a premium is past due after the Grace Period has passed and the policy hasn’t been surrendered, you may reinstate it within five years of the first unpaid premium’s due date and before the policy’s maturity date, provided that the Company’s underwriting policy has been approved by the board. However, the Company would need a) Your written application for revival; b) your most recent health certificate and other proof of your ability to be insured; and c) payment of all past-due premiums plus interest.

  1. Tax Bene­fits

According to Section 80C of the Income Tax Act of 1961, premium payments made under this plan may be eligible for tax benefits. However, changes may be made from time to time. Furthermore, according to Section 10(10D) of the aforementioned Act, life insurance proceeds are tax-beneficial.

  1. Free Look Period

If the terms and conditions or features of the policy do not satisfy you, you have the right to return the policy for cancellation by giving written notice to the company outlining your concerns or reasons. You will then receive a refund of all premium payments made without interest, less (a) the proportionate risk premium for the period of the cover, (b) the cost of stamp duty and a medical examination, and (c) any applicable taxes, cesses, and levies that have been incurred.

What are the Exclusions Under Tata AIA Guaranteed Monthly Income Plan?

If the insured person commits suicide within a year of the risk under the policy beginning, or if the insured person purchases coverage across 18 markets in the Asia Pacific, whichever comes first. Tata Sons owns the majority (51 percent) of the company, and AIA, through AIA International Limited, owns the remaining 49 percent. On February 12, 2001, Tata AIA Life Insurance Company Limited received a license to conduct business in India. On April 1, 2001, it began operations.

How Does the Tata AIA Guaranteed Monthly Income Plan Work?

Rahul, a 45-year-old civil engineer, wants to make sure he is financially secure and plans to retire soon. He selects the Tata AIA Life Insurance Guaranteed Monthly Income Plan and makes the following selections:

Policy Term/ Premium Payment TermIncome TermAnnualized PremiumSum AssuredGuaranteed Monthly Income
12 years24 yearsRs. 1,00,000Rs. 11,00,000Rs. 9, 170/-

Frequently Asked Questions

You have the option to arrange your monthly income for 10, 16, or 24 years under Tata AIA Life Insurance’s Guaranteed Monthly Income Plan.

Yes, the claim would be allowed since the original policy contract is not required for claim submission. The claimant must make a written declaration regarding the disappearance of the original policy document.

The life insured will distribute the claim settlement money according to the information provided on the application form. For the nominee who has passed away, the legal heir may submit a claim.