Aviva Live Smart Plan, a Unit Linked Endowment Plan by Aviva India Life, is a plan that is specifically designed to help you cope with your future expenses and to reach your financial goals. It is a flexible plan that lets you take risks according to your capacity. In case you survive till the end of the policy term, the plan offers you a maturity benefit, which includes the sum assured, fund value and a loyalty addition. The loyalty addition is 1% of the fund value that is paid to you if you continue with the policy till the end of its term. You also do not have to worry about your family’s financial security if you are no longer in their lives when you purchase this policy, as the plan includes a death benefit too.
Insurance providers generally have a set of eligibility criteria for the different plans they have to offer. You can purchase the Aviva Live Smart Retirement Plan and be protected by it if you meet the following criteria:
|Parameters||Criteria for eligibility|
|Minimum age at entry||2 years|
|Maximum age at entry||50 years|
|Minimum age at maturity||18 years|
|Maximum age at maturity||
The Sum Assured is a fixed sum of money that will be paid to the policyholder at the end of the policy term or to the nominees of the policyholder in case of the policyholder’s demise. The Sum Assured for Aviva Live Smart Plan depends on the policy term and the total premiums paid by the policyholder.
|Minimum Sum Assured||Maximum Sum Assured|
|For ages 45 years and below: 10 times the yearly premium or 0.5*yearly premium*plan term (whichever is higher) For ages 4 years and above: 10*yearly premium||Yearly premium*Plan term|
The Premium is a sum of money a policyholder pays the insurance provider at specified intervals in order to keep the policy active. Here are some features of premium payment for Aviva Live Smart Plan:
|Premium Paying Term||Same as the policy tenure chosen by you|
|Premium Payment Frequency||Yearly|
|Premium Amount||Minimum: Rs.50,000 Maximum: No limit|
*Premiums vary based on age, location, plan term and other factors
Under this plan, policyholders are entitled to the following benefits:
|Maturity Benefit||At the end of the policy term, the policyholder will receive the fund value, which includes any top-up fund value, as maturity benefit.|
|Death Benefit||In an event of the policyholder’s death, while he/she is still covered by the plan, the nominees of the policyholder will receive death benefit.
You cannot purchase additional riders along with this plan.
|Loyalty Addition||If you continue the policy till the end of its term, you will receive a loyal addition, which is a percentage of the fund value, at the end of the policy term. 1% of the fund value will be paid to you by the end of the 20th and the 25th policy year and 1.5% of the fund value will be paid at the end of the 30th year.|
|Top-up Premium||You can pay additional premium to increase the value of Sum assured at any time during the policy term, except the last 5 years. Rs.5,000 is the minimum top-up premium that is allowed.|
|Grace Period||30 days are given to the policyholder to pay the premiums.|
|Free Look Period||A period of 15 days is given to the policyholder to go through the terms and conditions of the policy. The policy can be returned within this period if the policyholder is not satisfied with it. A period of 30 days is given if the policy is sold through distance marketing.|
|Revival||A policyholder can revive the policy within 2 years of the first unpaid premium. He/she will be required to pay the outstanding premium along with interest.|
|Partial Withdrawals||The policyholder has an option of making partial withdrawals after the completion of 5 years. The withdrawn amount will first be deducted from the top-up fund value, then the Fund Value.|
|Premium Redirections||Under this plan, there are 8 funds a policyholder can choose from, which are Bond Fund II, Balanced Fund II, Enhancer Fund II, Infrastructure Fund, Growth Fund II, Protector Fund, Discontinuance Policy Fund, and PSU Fund. The policyholder can choose which funds to pay the subsequent premiums.|
|Switching||The policyholder has an option of switching between funds 12 times a year for free, after which he/she will be charged 0.5% of the amount switched.|
|Surrender Value||If you do not pay the premiums in the within the first 5 years of policy commencement, Discontinuation charges will be deducted and the funds present in the Fund Value will be transferred to the Discontinuance Policy Fund. The fund will remain in the Discontinuation Policy Fund till 5 years are completed and will receive an interest of 4% each year. If the policyholder dies within this period, the Fund Value will be paid to the nominees on the date of death. If the plan is discontinued after a period of 5 years, the Fund Value that is available will be pad and without any charge.|
The premiums paid under this plan are eligible for tax exemption under section 80C (up to Rs.1.5 lakh). The maturity or death benefits are eligible for tax exemption under Section 10(10D) of the governing Income Tax Act.
Customer Service: Aviva Life has an adept customer care department you can reach out to in case of any queries.
Premium Payment: You have the option of paying the premiums from the comfort of your home by visiting the company’s website.
Product Range: Aviva Life has a wide range of insurance products you can choose from according to your requirements. You can simply visit their website to read about these plans in detail.
Aviva Life Insurance Company is a reputed insurance company in India. It is one of the first companies that helped introduce the concept of unit-linked policies in India. It has a wide selection of Insurance products that are catered to meet all your financial needs. It has over 107 branches that are spread throughout the nation and has over 15,000 financial planning advisors to help you get the best insurance product suited to you. With this company, you can be sure that all your insurance needs will be taken care of.
Since the wellbeing of your family is predominantly on your mind, you can be at peace when you purchase the Aviva Live Smart Retirement Plan. Your family’s financial needs will be taken care of whether you are present in their lives or not. This is a very special plan that not only lets you enjoy market-linked returns but also gives you life insurance protection.
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