Flexibility

ULIPs offer flexibility in the following ways

It allows the investor to switch between funds and match his risk needs. It allows the investor to make partial withdrawals; however, it may attract charges and is subject to certain terms and conditions. It allows the investor to make single lump-sum additions to their premiums and increase their investments at any point of time, through the facility of top-ups.

Market Linked Returns

ULIPs offer more than 6-7 types of investment funds to select from. Some of these funds are equity based which offer good market linked returns and increase the overall returns derived from a ULIP.

Investment with Life Protection

A ULIP offers the dual advantage of life cover and investment. Not only are you secured, but you also have the option to gain higher returns and build wealth.

Funds for Crucial Milestones in Life

Being an investment cum insurance plan with a long term investment horizon, a ULIP can be bought for meeting the expenses arising out of important milestones in life such as marriage, college education, etc. So, if you have a long term goal for yourself or your family, a ULIP is a good investment plan.

Protecting your Child’s Future

In case of an unforeseen event which leads to your demise, the ULIP will provide guaranteed death benefit to your wife and child. Thus, your child’s future will not get affected in your absence.

Financial Security Post Retirement

Retirement is an essential stage of every individual’s life. Over the period of investment, a ULIP scheme will gather enough corpus which can be utilised to live a stress-free life post retirement

Transparent Structure

ULIPs allow you to keep track of your investment portfolio. They also intimate you of the percentage of premium that is invested along with the charges levied regularly. As an investor, you are also kept informed about the value and number of fund units that you hold.

Choose your Investment Mix

When choosing a Unit Linked Insurance Plan, one can decide the various fund options, based on the risk taking appetite. In case you wish to gain higher returns and have the capacity to take higher risks for the same, you can choose to invest in an equity fund. Hence, if you win, you earn big. However, if you wish to take lesser risk and are satisfied with medium to low returns, you can choose to invest in a debt fund. ULIPs also provide hybrid funds which suit an individual investor's needs.

Rider Options for Additional Coverage

Along with investment benefits, ULIPs also provide rider options for additional coverage to take care of your loved ones. With rider options such as accidental death rider, critical illness rider and term rider, you can rest assured that ULIPs not only take care of your insurance needs but are also beneficial for your family.

Tax Benefit/Deductions

As ULIPs are life insurance products, they offer tax benefit in the form of deductions of premium amount up to Rs. 1.5 Lakh from ones taxable income and tax-free maturity or death benefit paid.