Edelweiss Tokio Life Insurance launches 'Active Income Plan' with guaranteed income, cash bonus benefits
CNBC TV18 : 22 July 2020
Edelweiss Tokio Life Insurance has recently launched ‘Active Income Plan’-- a comprehensive insurance plan that offers guaranteed income, flexibility and cash bonus.
“This plan allows customers to meet both short-term and long-term financial goals, especially under current economic conditions and volatility,” Edelweiss Tokio Life Insurance said in a statement.
‘Active Income Plan’ provides regular income to the insured and his family. Additionally, it provides life insurance cover to protect the family from any financial loss in case of an untimely death.
"Regular income is offered through guaranteed income and cash bonuses (if declared)," Edelweiss Tokio Life Insurance said. Users can customize the plan as per their requirements. Regular income can be availed till age 75/85/99 as per the choice.
‘Active Income Plan’ offers various income options to choose from, with and without family benefit. With this plan, investors can choose if they want pay-outs to start immediately or at a later date, according to Edelweiss Tokio Life.
How does the plan work?
Step 1: Choose the premium to be paid, maturity age, premium paying term and premium paying. Sum assured on death and sum assured on maturity will be determined based on these inputs, age and gender.
Step 2: Customers have the option to choose ‘Family Income Benefit’. At this point, they can also choose additional riders to enhance protection.
Step 3: Now, choose the option to receive income. The options available are early income or deferred income, guaranteed income type of level guaranteed income or increasing guaranteed income. Users can also choose to convert income benefit to paid-up additions benefit. They can also opt in for paid up additions benefit during the policy term in case they haven’t opted in at policy inception.
In case the life insured is a minor, the ownership of policy automatically vests on the life insured on attainment of majority.
"The relationship between the proposer and the life insured in such case should be such that there is a legally accepted insurable interest between the two as per the board approved underwriting policy," Edelweiss Tokio Life said.
In case of death of the life insured who is a minor, the death benefit will be paid to the proposer in the policy. In case the life assured is major, the policyholder and the life assured will be the same person.