Tax Savings

 

Bajaj Allianz – New Family Gain Pure Stock Fund Plan

Fund Name: Pure Stock

Plan Group: New Family Gain

Product Type: Individual

Plan Objective: Investment

Investment Objective

The Bajaj Allianz New FamilyGain comes with a host of features to allow you to have the best of all worlds – Protection and Investments. It enables every participant to create a solid financial protection and savings plan for himself and his family. In this way, as a participant in the Bajaj Allianz New FamilyGain Plan, you can secure your well-being and accumulate savings towards financial independence and a comfortable retirement.
Pure Stock Fund – Risk profile – Very High:
The investment objective of this fund is to specifically exclude companies dealing in gambling, contests, liquor, entertainment (films, TV etc.), hotels, banks and financial institutions.
Indicative Portfolio Allocation:
Equity: 60% – 100%
Government treasury bills (Non-interest bearing): 0%- 40%
The exposure to Government treasury bills (Non-interest bearing) may be increased to 100%, keeping in view market conditions, market opportunities, and political, economic and other factors, depending on the perception of the Investment Manager. All changes in the asset allocation will be with the intention of protecting the interests of the Policy holders.

Explore The Plan

Features

The Key Features of the New FamilyGain Plan are:
1. It is a unit linked Endowment type plan with a minimum term of 10 years and maximum maturity age 70 years.
2. Guaranteed death benefit: Sum Assured Plus Fund Value of Units.
3. You have the option to choose a host of additional rider benefits: UL Accidental Death Benefit, UL Accidental Permanent Total/Partial Disability Benefit.
4. It provides you with an easy, regular contribution mechanism to assist you in accumulating funds.
5. You can select an investment strategy to grow the funds contributed.
6. Choice of 7 investment funds today with flexible investment management: you can change funds at any time and also invest in the newer funds that would be introduced from time to time.

Benefits

Benefits under the plan
Death Benefit:
The death benefit will be:
1) On death before attaining the age of 7 year : The death benefit will be the NAV of the units in the policyholder’s account (Fund Value) as on date of receipt of intimation of death at the office. The policy terminates on the death of the life assured.
2) On death on or after attaining the age of 7 years : The death benefit will be the sum assured plus the NAV of the units in the policyholder’s account (Fund value) as on date of receipt of intimation of death at the office.
Maturity Benefit:
On maturity, the NAV of units in the fund will be paid out and the policy will terminate.
Additional Rider Benefits Available with New FamilyGain:
You have the option to add the following additional rider benefits, providing total protection against uncertainties.
1. UL Accidental Death Benefit
2. UL Accidental Permanent Total & Partial Disability Benefit
(Please refer to the brochure on additional rider benefits for more details.)
Assured Protection even if you miss payment of your premiums:
Bajaj Allianz New FamilyGain provides you with the unique feature of continued protection even if you forget to pay your premiums. After payment of 3 full years’ premiums, when premiums due are not paid the policy will be kept in-force, with full insurance benefits by way of deducting units for the Cost of Insurance and all other charges, provided the Fund Value less surrender charge, if any does not falls to an amount equivalent to one annual premium under the policy.
Tax Benefits:
Premiums paid and benefits received will be eligible for tax benefits as per applicable tax laws.
As per the current tax laws:
Premiums payable are eligible for tax benefits as per Section 80C of the Income Tax Act .
Partial Withdrawals, Surrender Value, Death Benefit and Maturity Benefit are eligible for tax benefits as per Section 10(10D) of the Income Tax Act.
In case of change in any tax laws relevant to the policyholder or the fund performance, the same will be applied as per regulations prevailing at that point of time

Sum Assured Details

Sum Assured :
You can choose a Sum Assured (Level of Protection) that you want in the New FamilyGain Plan.
Minimum Sum Assured = 5 times of Annualised Premium
Maximum Sum Assured = Policy Term times of Annualised Premium

Entry Age Details

Minimum Age at Entry: 0 years(Risk commences at age 7)
Maximum Age at Entry: 60 years
Minimum Age at Maturity: 18 years
Maximum Age at Maturity: 70 years
The minimum age at entry for all additional rider benefits is 18 years.
The maximum age at entry for all additional rider benefits is 50 years.

Investment Details of the Plan

Investment Options:,br>

Bajaj Allianz New FamilyGain offers you a choice of 7 funds. You can choose to invest fully in any one fund or allocate your premiums into the various funds in a proportion that suits your investment needs.

The seven funds offered are as under:

1. Pure Stock Fund – Risk profile – Very High:

The investment objective of this fund is to specifically exclude companies dealing in gambling, contests, liquor, entertainment (films, TV etc.), hotels, banks and financial institutions.

Indicative Portfolio Allocation:

Equity: 60% – 100%
Government treasury bills (Non-interest bearing): 0%- 40%

The exposure to Government treasury bills (Non-interest bearing) may be increased to 100%, keeping in view market conditions, market opportunities, and political, economic and other factors, depending on the perception of the Investment Manager. All changes in the asset allocation will be with the intention of protecting the interests of the Policy holders.

2. Equity Index Fund II – Risk profile – High:

The investment objective of this Fund is to provide capital appreciation through investment in equities forming part of National Stock Exchange NIFTY.

Indicative Portfolio Allocation:

Equity: 60- 100%
Bank deposits and money market instruments: 0% – 40%

The exposure to money market securities may be increased to 100%, keeping in view market conditions, market opportunities, and political, economic and other factors, depending on the perception of the Investment Manager. All changes in the asset allocation will be with the intention of protecting the interests of the Policy holders.

3. Bond Fund – Risk profile – Moderate:

The investment objective of this Fund is to provide accumulation of income through investment in high quality fixed income securities like G-Secs, and corporate debt rated AA and above.

Indicative Portfolio Allocation:

Debt and money market instruments:                        100%

4. Liquid Fund – Risk profile – Low

The investment objective of this Fund is to have a Fund that protects the invested capital through investments in liquid money market and short-term instruments like commercial papers, certificate of deposits, money market mutual funds, and bank FDs etc.

Indicative Portfolio Allocation:

Bank deposits and money Market Instruments:            100%

5.Asset Allocation Fund Risk Profile High:

The investment objective of this Fund will be to realize a level of total income, including current income and capital appreciation, which is consistent with reasonable investment risk. The investment strategy will involve a flexible policy for allocating assets among equities, bonds and cash. The fund strategy will be to adjust the mix between these asset classes to capitalize on the changing financial markets and economic conditions. The Fund will adjust its weights in equity, debt and cash depending on the relative attractiveness of each asset class.

Indicative Portfolio Allocation:

Equity: 0% – 100%
Debt and Money market instruments: 0% – 100%

The exposure to money market securities may be increased to 100%, keeping in view market conditions, market opportunities, and political, economic and other factors, depending on the perception of the Investment Manager. All changes in the asset allocation will be with the intention of protecting the interests of the policy holders.

6. Accelerator Mid-Cap Fund – Risk profile – Very High:

The investment objective of this Fund is to achieve capital appreciation by investing in a diversified basket of mid cap stocks and large cap stocks.

Indicative Portfolio Allocation:

Equity: 60%- 100%
Bank deposits and money market instruments: 0% – 40%

Out of the Equity investment Not less than 50% will be in mid cap stocks The exposure to money market securities may be increased to 100%, keeping in view market conditions, market opportunities, and political, economic and other factors, depending on the perception of the Investment Manager. All changes in the asset allocation will be with the intention of protecting the interests of the policy holders.

7. Equity Growth Fund – Risk profile – Very High:

The investment objective of this Fund is to provide capital appreciation through investment in select equity stocks that have the potential for capital appreciation.

Indicative Portfolio Allocation:

Equity: 60% – 100%
Bank deposits and money market instruments: 0% – 40%
Top-up Premium

Flexibility – to pay top ups:
You may have received a bonus or some lumpsum money. You can use that to increase your investments in your policy. The minimum Top up premium is Rs. 5000 and the maximum total top up premium is 25% of the total regular premium paid till date. Top Up premium can be accepted provided the regular premium has been paid.

Withdrawal

Partial withdrawal option:
Anytime after the third policy anniversary provided premiums for 3 full years’ premiums have been paid, you may withdraw money, depending on your requirements, through partial or complete surrender of units. In case of partialwithdrawals, each top-up will have a 3-year lock-in period.For the purpose of full withdrawal by way of surrender, the lock-in period on the Top-up units does not apply.
Also, this condition will not apply to top-ups paid in the last 3 years of the contract. In case of partial withdrawal, a minimum balance of two annual premium across all funds must be maintained, and the minimum withdrawal amount is Rs. 1000).
In case the policy is taken on the life of a minor, the partial withdrawals shall not be allowed until the minor (life insured) attains majority (ie. On or after attainment of age 18).
All partial withdrawals made shall be allowed from the eligible top up account (fund built up on account of top-up premiums) as long as top-up account supports the partial withdrawal.

Premium Payment Term

Premium Payment Mode
For your convenience, we have provided 3 premium payment modes that can be Yearly, Half-Yearly, and Quarterly. We also offer a Monthly premium payment mode with salary deduction schemes or ECS. The minimum premium is Rs. 5000 for the Yearly Mode, Rs. 2,500 for Half Yearly, Rs. 1,250 for Quarterly, and Rs. 500 for the Monthly Mode. In addition, you also have the option to pay topups to increase your investments. The minimum top-up premium is Rs. 1,000.
Minimum Term: 10 years. For minor lives: 18 minus age at entry of minor life subject to minimum of 10 years.

Policy Administration Charges

Policy Administration Charge:
Rs. 30 per month per policy (charged monthly through cancellation of units) escalating at 5% every 1st of April.

Fund Management Charges

Fund Management Charge:
1.75% p.a. for Pure Stock Fund, Equity Growth Fund and Accelerator Mid-Cap Fund, 1.25% p.a. for the Equity Index Fund and Asset Allocation Fund, and 0.95% p.a. for Bond Fund and Liquid Fund.

Mortality Charges

Mortality Charges:

The mortality charge would vary according to the attained age of the life assured at the time of deduction of the monthly cost of insurance as per the table below. Sample standard rates are given in the table below.

Age 20 30 40 50 60
Mortality Charge per annum per thousand of sum at risk 1.57 1.74 2.82 6.53 15.56
Rider Premium Charges

Charges for additional Rider benefits:
These are charged through cancellation of units on a monthly basis if the policyholder opts for the additional rider benefits.

Premium allocation Charges

Premium Allocation Charge :

Policy Year 1 2 & 3 4+
Premium Allocation Charge (Annualised Premium) 50% 3% 2%
Surrender Charges

Surrender Charge:

The Surrender Charge as percentage of First Year’s Annualized Premium would be as follows:

Policy Duration ( in months)
1-59 60-71 72-83 84 +
50% 15% 10% 0.0%

No surrender charge will be applied on units in respect of Top Up premium.

Switching Charges

Switching Charges:
Unlimited free switches in a policy year.