State-run insurer Life Insurance Corporation of India (LIC) will launch its maiden ULIP product across the country tomorrow.
Endowment Plus, a unit linked insurance plan (ULIP) will offer investment cum insurance during the term policy and provide due benefit of risk cover and benefits of investment markets, LIC Senior Divisional Manager, Nagpur, R Chander said today.
Policy holders will have options to choose from any of the four funds — bond fund, secured fund, balance fund and growth fund — and also with added conveniences of switching between these funds, he added.
Within a given policy year, four switches will be allowed free of charge, Chander said while addressing a press conference.
The NAV (net asset vaule) of all the segregated funds will be computed on daily basis and will be based on investment performance and fund management change of each fund type. On the launch, tomorrow, the NAV under all funds will be Rs 10.
The product will also offer double death benefit. On death before the commencement of risk, an amount equal to the policy holder’s fund value will be payable, while on death after date of commencement of risk, an amount equal to the higher of basis sum assured or policy holder’s fund value will be payable.
Further, it comes with an accident death benefit rider which provides for an additional amount equal to accident death benefit sum assured on death due to accident.
Option for partial withdrawal will also be available under the plan, he said.