Tata Aia Mahalife Magic Plan

Saving is something that most individuals practice as this has been ingrained into our minds right from childhood. The Tata AIA Life Insurance MahaLife Magic Plan helps us to save, ensuring that we are ready to face any unexpected trials and tribulations that we could face in the future. This is a non-linked, limited premium paying endowment plan which offers wealth creation apart from providing financial security to you and your family. This plan helps you provide and take care of your family’s needs and requirements, be it a marriage in your house, a child’s education, medical emergency, etc. Some of the important features of this plan are as follows:

• Lump sum of money is offered at the time of maturity which can be paid to the life assured by making premium payments for a period of 9 years
• Bonuses are offered at the time of maturity
• Assignment if allowed
• Premiums paid towards the Tata AIA Life Insurance MahaLife Magic Plan are eligible for tax benefits
• There is no cap on the basic sum that is assured
• Premiums are paid out monthly, half-yearly, and yearly
• Revival and reinstatement of policies
• Option to surrender of a policy is also provided

Eligibility - Who is the Tata AIA Life Insurance MahaLife Magic Plan for?

An individual will have to meet the eligibility criteria listed below to avail the Tata AIA Life Insurance MahaLife Magic Plan:

Parameters	Details
Minimum Age of Entry	12 years
Maximum Age of Entry	55 years
Maximum Maturity Age	73 years

 

Sum Assured and Premium Range – What you get and what is costs

Sum Assured

The sum assured is based completely on the premiums that you will be required to pay to avail the benefits of the policy. The sum assured for Tata AIA Life Insurance MahaLife Magic Plan is listed below:

Parameters	Details
Minimum Basic Sum Assured	Rs.2 lakhs
Maximum Basic Sum Assured	There is no limit

 

Premiums*

Premiums are paid to the insurer to purchase a policy from them so that the individual can come under the umbrella of benefits and coverage that this plan has to offer. The premiums that a policyholder will have to pay towards a Tata AIA Life Insurance MahaLife Magic Plan are listed below:

Parameters	Details
Term of the Policy	18 years
Premium Payment Mode	Monthly Half-Yearly Yearly
Premium Payment Term	9 years

*Premiums paid vary based on age, location, plan term and other factors

Premiums for a Tata AIA Life Insurance MahaLife Magic Plan can be made using any of the following ways:

• Through the use of debit or credit cards
• Using payment gateways or internet banking
• With a cheque or demand draft
• Payment in cash at the insurer’s branch office
• ECS/Direct Debit/Salary Deduction Scheme

 

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Mode	Modal Loading
Monthly	(Annual Premium Rate)x0.0883
Half-Yearly	(Annual Premium Rate)x0.51
Yearly	No Loading

 

Plan coverage – What the Tata AIA Life Insurance MahaLife Magic Plan covers

The Tata AIA Life Insurance MahaLife Magic Plan offers a number of different benefits and these are listed in the table below:

 

Parameters	Details
Death Benefit	If the policyholder dies during the policy period, the higher of the following shall be payable to the nominee or beneficiary of the policy: Sum Assured 10 times the amount of Annualised Premiums 105% of the total premiums that have been paid
Tax Benefits	As per prevailing tax laws of the Income Tax Department
Maturity Benefit	A policyholder will receive a Minimum Guaranteed Sum Assured at the time of maturity along with the Compound Reversionary Bonus and Terminal Bonus provided that the policy is still in force and that all premiums have been duly paid.

 

Riders/Add-Ons

There are no additional riders that are available for purchase along with the Tata AIA Life Insurance MahaLife Magic Plan.

Exclusions – What the Tata AIA Life Insurance MahaLife Magic Plan covers

If the life insured commits suicide within a year from the date of the inception of the policy, the policy will become void and the “Total Premiums Paid” shall be payable to the nominee or beneficiary of the policy.

If the policyholder commits suicide within a year from the date of revival, the policy will become void and the higher value between the acquired Surrender Value and “Total Premiums Paid” would be payable to the nominee.

Other Key Benefits

Parameters	Details
Free Look Period	In case the policyholder is not satisfied with the “Terms and Conditions” of the policy, a 15 day (30 days in the case of distance marketing) period is provided where the insured can return the policy back to the insurer. The company will return the Fund Value after deducting any expenses incurred by the insurer such as stamp duty charges, medical expenses, etc.
Grace Period	A grace period of 15 days is provided for monthly mode from the due date of making a premium payment so that the policyholder can clear his/her dues. A time period of 30 days is provided for other modes of premium payment which is for semi-annually and annually. If the policyholder fails to make the premium payments within the grace period, the policy will lapse.
Nomination	Nomination is allowed as per the existing tax laws under Section 39 of the Insurance Act, 1938.
Assignment	Assignment is allowed as per the prevailing tax laws under Section 38 of the Insurance Act, 1938.
Surrender	A policy can be surrendered by a policyholder at anytime after making a full years premium payments. Surrender Value that is payable shall be the higher value between the Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV).
Reinstatement/ Revival	A 2 year revival period is offered where no benefits shall be payable during this period. This policy can be revived by paying the outstanding premiums that are due along with the interest that has accumulated from the date of the first unpaid premium. This can be done within 2 years from the date of the first unpaid premium.
Loan Facility	Loan facility is provided by Tata AIA Life Insurance MahaLife Magic.

 

Tax Benefits – How you can save with Tata AIA Life Insurance MahaLife Magic Plan

A policyholder can enjoy tax benefits on any premium that is paid towards Tata AIA Life Insurance MahaLife Magic Plan under the prevailing tax laws under Section 80C and for withdrawals or maturity amount under 10(10D) of the Income Tax Act, 1961. Tax benefits are subject to changes without prior notice so it is important that the policyholder consults a Tax Advisor to stay informed about any changes made.

Why you should buy the MahaLife Magic Plan offered by Tata AIA Life Insurance

Tata AIA Life Insurance Company is the result of a joint venture between Andhra Bank, Legal and General (UK), and Bank of Baroda. The insurance company was incorporated in the year 2009 and has rolled out a plethora of options related to various insurance products. Tata AIA Life Insurance Company Life draws on its team’s experience in wealth management and banking to provide some of the best products which addresses a number of concerns such as savings, retirement, health and protection. It is hard to come by an investment option that offers great benefits and helps in wealth creation. The customer service facility is also available to address any problems or queries that you may have. The MahaLife Magic Plan is a great option for people who are looking for ways to save money for future endeavours.