Tata AIA Wealth Plan
Tata AIA Wealth plan is a whole-life individual savings plan that efficiently maximizes your long-term financial security. Your investment in such a policy can assist you in achieving your medium- to long-term objectives, including planning for your children’s education, retirement, and leaving a legacy for future generations. With this plan, you can take advantage of market force multipliers to leave your loved ones with a lasting legacy. There are two variations of the Tata AIA Wealth plan: Tata AIA Wealth Maxima and Tata AIA Wealth Pro.
Read on to know more about both variants, their eligibility criteria, their common features and benefits, premium calculation, and more.
Here is the eligibility criteria for Tata AIA Weatlth Plan.
|Parameters||Tata AIA Wealth Maxima||Tata AIA Wealth Pro|
|Age||Minimum Age- 0 years (30 days), Maximum- 60 years|
|Maturity Age||Maximum- 100 Years||Minimum-18 Years, Maximum- 75 Years|
|Policy Term||100 minus Issue age||15 to 40 years|
|Premium Paying Term|
LimitedPay – 7/8/9/10/15 and 20 years
Limited Pay – 5 /7 and10 years
Regular /Limited Pay – 15 and 20 years
|Pay Mode||Single, Annual, Semi-Annual, Quarterly, Monthly|
Minimum Premium- Single Pay – Rs. 5,00,000
Limited Pay – Rs. 2,50,000 per annum
Maximum Premium- No Limit
Common Features & Benefits of Tata AIA Wealth Plan
Here is the list of the features and benefits of Tata AIA Wealth Plan variants (Tata AIA Wealth Maxima & Tata AIA Wealth Pro)
- Death Benefit
The nominee or legal heir will get the highest amount available if the life insured dies during the policy term and while the policy is still in effect.
(I) the Basic Sum Assured after deducting any “Deductible Partial Withdrawals” derived either from the Regular / Single Premium Fund Value
(ii) This Policy’s Regular / Single Premium Fund Value
(iii) 105 percent of all Regular/Single Premium payments made up until the date of death.
- Maturity Benefit
You will receive the Total Fund Value, which is the sum of the Regular/ Single Premium Fund Value and the Top-Up Premium Fund Value, valued at the applicable NAV on the date of Maturity if you live to the end of the policy term.
- Flexibility of Additional Coverage
The following optional riders provide you further freedom to alter your product. If these riders are chosen, units from the basic plan will be canceled to pay the associated fees. Only at the beginning of the policy can the riders be attached.
- Free Look Period
Suppose you are not satisfied with the terms & conditions/features of the policy. In that case, you have the right to cancel the policy by giving written notice to us specifying objections/reasons. you would then obtain the non-allocated premium plus charges levied by the termination of units plus fund value at the date of cancellation less (a) proportionate risk premium for the period of cover (b) medical examination costs, if any, (c) stamp duty,
- Tax Benefits
According to Section 80C of the Income Tax Act of 1961, premium payments made under this plan are tax-deductible. However, changes may be made from time to time. Moreover, according to Section 10(10D) of the aforementioned Act, life insurance proceeds are tax-favored.
- Settlement Option
You can choose to receive the maturity amount in a lump sum or over the course of several payments, provided that the policyholder is still alive on the date of maturity. The Settlement Period, as it is known, may be prolonged for a maximum of five years from the date of maturity. The initial payment under the settlement option is due on the day of maturity. When you exercise this option at maturity, you will choose the installment schedule and amount.
Common Exclusion Under Tata AIA Wealth Plan?
The nominee or beneficiary of the policyholder shall be entitled to fund value/policy account value, as available on the date of intimation of death, in the event of death by suicide within 12 months of the date of start of the policy or from the date of revival of the policy. Along with the death benefit, any charges other than Fund Management charges that are recovered after the date of death must be reimbursed to the nominee or beneficiary.
How Do Tata AIA Wealth Plan Work?
Let’s understand the working of both plans in detail.
Tata AIA Wealth Maxima
The Total Maturity Benefit for a 35-year-old, healthy individual is shown in the table below at standard age proof.
- The fund allocation is split equally between Whole Life Midcap Equity Fund and Large Cap Equity Fund.
- Rs. 5,00,000 in annualized regular premium
- Mode of payment: Annual / Single
|Age||Policy Term (Years)||Premium Paying Term (Years)||Annual Regular Premium||Premium Multiple Chosen||Guaranteed Benefits (Basic Sum Assured)||Net Yield @8%||Maturity Benefit|
|35||65||Single||Rs. 5,00,000||1.25||Rs. 6,25,000||6.76%|
Higher Rate Illustration (8%) Rs. 3,51,83,506
Lower Rate Illustration (4%) Rs. 25,67,022
Tata AIA Wealth Pro
|Age||Policy Term (Years)||Premium Paying Term (Years)||Annual Regular Premium||Premium Multiple chosen||Guaranteed Benefits|
(Basic Sum Assured)
|Net Yield @8%||Maturity Benefit|
|35||20||Single||Rs. 5,00,000||1.25||Rs. 6,25,000||6.25%|
Higher Rate Illustration (8%) Rs. 16,79,682
Lower Rate Illustration (4%) Rs. 7,54,648
Frequently Asked Questions
If you chose the Standing Instruction option, your bank receives the instruction seven days in advance, and the premium will be deducted on the due day.
This plan permits you to withdraw from your fund if you require cash for any emergency or other reason. After five policy anniversaries from the date of issue of your policy, providing the policy is in force, withdrawals from ordinary / Single Premium Funds are permitted.
Annual premium payments are the preferred frequency for premium payments. This will guarantee hassle-free annual policy renewals. Additionally, you pay lower premiums and continue to receive policy benefits.
Yes, you can adjust the frequency of your premium payments on all active policies to suit your needs. Changes to the frequency of premium payments are only effective as of the policy anniversary date and may be made up to 15 days beforehand.