Bajaj Allianz Guarantee Assure Plan is a non-participating, non-linked, individual limited premium endowment policy that has a fixed premium payment term of 5 years. The customer can choose from three options for the policy term, i.e., 7, 8, or 9 years. The plan provides Guaranteed Additions that can be up to 63% of the Sum Assured at Maturity. Customers can avail a high sum assured rebate when choosing larger coverage. The plan also provides premium rebates to female customers. The policyholder can choose to take the payouts in the form of monthly installments throughout a period of 5 or 10 years.
In order to be able to purchase the Bajaj Allianz Guarantee Assure Plan, a customer needs to fulfill certain eligibility criteria defined by the insurance company. These factors are largely dependent on the age of the customer and the amount of coverage he/she expects to avail from the policy. These eligibility conditions are detailed in the table below:
|Minimum Entry Age||9 years|
|Maximum Entry Age||60 years|
|Minimum Maturity Age||18 years|
|Maximum Maturity Age||69 years|
|Policy Term||Choice of 7, 8, and 9 years|
|Premium Payment Term||5 years|
The Bajaj Allianz Guarantee Assure Plan offers various benefits, such as Maturity Benefit, Death Benefit, Surrender Benefit, etc. The minimum sum assured under the policy is Rs.1 lakh, and there is no limit on the maximum sum assured.
For the insurance coverage, the policyholder has to pay premiums at specific intervals throughout the premium payment term. The details of the same are listed below:
|Minimum Premium (Rs.)||23,839||12,158||6,198||2,145|
|Maximum Premium (Rs.)||No limit|
The Bajaj Allianz Guarantee Assure Plan works in the following manner:
|Maturity Benefit||On the date of policy maturity, if all due premiums have been paid, the life assured receives the sum assured and the accumulated Guaranteed Additions as maturity benefit.|
|Death Benefit||If all the premiums have been paid, in the event of death of the life assured during the policy tenure, the death benefit is payable. The death benefit is equal to the Sum Assured at Death plus the accrued Guaranteed Additions.|
Irrespective of whether the life assured is sane or not, if he/she commits suicide within the policy tenure, the company’s liability is limited to the following:
The salient features of the Bajaj Allianz Guarantee Assure Plan are described below:
|Policy Loan||A customer can take a loan under the policy if it has acquired surrender value. The loan amount can be up to 90% of the surrender value.|
|Policy benefits as monthly installments||
The policyholder/nominee has the choice of taking the policy benefits in the form of equal monthly installments. These installments will be provided for 5 or 10 years from the policy maturity date or the date of death. The insurer should be informed about the choice in writing before the policy matures or at the time of raising the death claim.
The installment paid each month is equal to the following:
|High Sum Assured Rebate (HSAR)||The Bajaj Allianz Guarantee Assure Plan offers premium discounts to customers who opt for high sum assured. The discount offered is Rs.7.5 on the annual premium for each additional Rs.1,000 sum assured bought above the minimum sum assured of Rs.1 lakh.|
|Change in premium payment frequency||The customer has the choice to change the premium payment frequency at any policy anniversary. This is, however, subject to minimum premium limits under the policy.|
|Surrender value||The policyholder can surrender the policy, provided the premiums for 2 years have been paid. The surrender value is the highest amount among the Guaranteed Surrender Value (GSV) and the Special Surrender Value (SSV). The GSV is determined by the premiums that have already been paid by the policyholder and the Guaranteed Additions accrued under the plan.|
|Early Termination Value||If the policyholder has paid the premiums for at least one year but the premiums for two full years have not been paid, then an Early Termination Value will be available. If the policyholder chooses to terminate the policy early, the following amount will be paid as Early Termination Value: Early Termination Value = 10% * (Premiums paid till date) + 10% * (Guaranteed Additions accrued)|
|Discontinuance of premiums||
If the policyholder fails to pay the premiums and the policy moves into lapsed status, it can be revived in the following situations:
|Foreclosure of policy||If the policyholder has taken a loan under the policy and the loan amount plus interest is equal to the surrender value, the insurance company will inform the customer of the same. If the policy is in-force, it will continue in that status. If the policy is in paid-up status, it will be foreclosed and no further benefits will be paid.|
The policy terminates in any of the following situations:
|Grace Period||If the policyholder has not paid the premium within the due date, a grace period of 30 days will be allowed for policies with premium payment frequencies other than monthly. For monthly frequency policies, the grace period is 15 days. In the event of demise of the life assured during the grace period, the death benefit under the policy will be payable. This benefit is the sum assured minus the outstanding premiums.|
|Free-Look Period||If the policyholder does not agree to the terms and conditions set by the insurer, he/she can return the policy back to the insurance company within 15 days of receipt of the policy documentation. This is known as the free-look period. The free-look period for policies that were purchased through distance marketing is 30 days. The customer should return the policy stating reasons for the objection. He/she is then liable to receive a refund of the paid premiums minus the costs incurred by Bajaj Allianz for medical examination and stamp duty.|
Since tax rules may change from time to time, it is advisable that you consult a tax advisor to understand the latest provisions.
Bajaj Allianz Life Insurance Company Ltd. has a dedicated online customer portal that can be used by customers who would like to have online access to their policy details. The website of the insurer also enables customers to renew their policies online. The payments for the same can be done through the following channels:
|Debit Cards||Payments through Visa, MasterCard, Maestro, and RuPay cards|
|Credit Cards||Payments through Visa, MasterCard, Maestro, Diners Club cards, and American Express|
|Bill Junction||Customers can register at Bill Junction and authorise their premium payments online|
|Netbanking||Customers can utilise the Netbanking facility offered by their banks to pay premiums|
|e-Wallets||It is possible to pay premiums through e-Wallets like iCashCard, Jio Money, Airtel Money, ITZCash, PayCash, Oxigen, and Idea Money|
The Bajaj Allianz website enables customers to start a conversation through online chat with a customer service representative. They can get clarifications to queries and resolve issues through this conversation. The SMS Support facility offered by the insurer can be used to receive a callback from the customer service team. A callback can also be requested for through the insurer’s website.
Bajaj Allianz is a prominent insurance provider in India, and is a collaboration between Bajaj Finserv Limited and Allianz SE. The company boasts of global exposure and experience in the local market. The insurance solutions offered by Bajaj Allianz cover a vast range of needs, such as Unit Linked Insurance Plans, child plans, health insurance, group policies, etc. The products are competitively priced and the insurer observes a quick turnaround time to resolve customer issues. The insurer has recently been focussing on insurance penetration into the rural regions of the country.
The company observed a competitive claim settlement ratio of 98.07% for the financial year 2015-16. The ratio for the individual product range is 91.3%, while that for group solutions is 98.87%. Bajaj Allianz has risen to the position of one of the top insurance companies in India within a short duration.
The insurer has been conferred with several awards and recognitions in the recent past. This highlights the efforts of the insurer in leveraging innovative marketing initiatives, great customer service, and the adoption of technological innovations.
Although unlikely, if Bajaj Allianz delays the settlement of a claim beyond 30 days, the claimant will be paid an interest of 10.5% for the delay experienced each day. The insurer is known to settle majority of the registered claims through direct electronic transfer, thereby ensuring that the payouts are made in a timely manner.