Following is the cost of education with the average fee structure - (yearly)
| Pre-school | Rs. 5,000 to Rs. 30,000 |
| Kinder Garten (KG) | Rs. 10,000 to Rs. 40,000 |
| Primary School | Rs. 15,000 to Rs. 50,000 |
| High School | Rs. 15,000 to Rs. 50,000 |
| College and Higher Education | Rs. 30,000 to Rs. 5,00,000 |
Following is what college education might cost in the next 15 years -
| Field of study | Average cost in 2010 (in Rs. ) | Average cost in 2025 (in Rs. ) |
| Engineering | 4.5 Lakh | 18.8 Lakh |
| Management | 5 Lakh | 20.9 Lakh |
| Medicine | 6 Lakh | 25.1 Lakh |
| Law | 4.8 Lakh | 20.1 Lakh |
| Fashion Designing | 4.1 Lakh | 17.1 Lakh |
Source: http://www.epravesh.com
So, start planning for your child's college education with Max Life College Plan - a traditional participating, money back life insurance plan.
Key features
Benefits
- Guaranteed payouts during college years (from age 18 to age 21) - 120% ofSum Assured
- Guarantees your child's college fund even in case of an eventuality
- Save extra during the school days to fund higher education with limitedpremium payment term
Boost your child's college education fund through compounding effect of bonusesKey Features:
Living and maturity benefit:
The total payout is 120% of Sum Assured. There are guaranteed cash backs every year from child's age 18 to 21.Child's age Money back (% of Sum Assured) 18 40% 19 20% 20 20% 21 40% + (Accrued Reversionary Bonus + TerminalBonus, if any) Therefore, total guaranteed money back/payout is 120% of Sum Assured.Bonus:
- Reversionary Bonus: Bonus option in this plan is compound reversionarybonus*. Reversionary bonus is declared from 2nd policy year onwards and once declared is guaranteed for the life of the contract. The bonus is a percentage of the base Sum Assured.
- Terminal Bonus: Terminal bonus may be declared after the 10th policy anniversary as a percentage of Reversionary Bonus and is payable only once during the policy lifetime.
*Compound Reversionary Bonus means that the previously declared bonuses will also participate in successive bonus declarations.
Payor Rider Benefit:
This benefit ensures that the policy continues in an event of Payor's death or permanent and total disability, with future premiums funded by us. Max Life College Plan comes with an inbuilt Payor Rider. Payor is the individual / policyholder who has purchased the policy on the life of a juvenile below 18 years of age.Payor Rider UIN – 104B013V02Limited Premium Payment Term:
The plan comes with limited premium payment term upto child's age 18. Thereafter, there are guaranteed payouts for child's college education from age 18 to 21 years.Death Benefit:
Upon death of Life Assured before attaining 7 years of age, total premiums paid (with interest @ 3.5% p.a. compounded annually) and accrued reversionary bonus, if any, is paid.Upon death of Life Assured after attaining 7 years of age, Sum Assured + Accrued Reversionary Bonuses + Terminal Bonus, (if any), is paid.Surrender Value:
The policy acquires a surrender value from end of 3rd policy year subject to payment of 3 full year's premiums.Reduced Paid-Up Value:
Once the policy acquires a surrender value, in case of premiumdiscontinuance the policy will offer reduced paid-up Sum Assured and will not lapse. Reduced Paid Up Sum Assured = Sum Assured * (Total Premiums Paid / Total Premiums Payable). Please note that reduced paid-up policies are also participating; however, will be entitled to only Terminal Bonus and not Reversionary Bonus.Vesting on Attaining Maturity:
The policy will be issued on the life of a minor and hence the policy will be automatically transferred in his/ her name on attaining majority (age 18). Thereafter, the Life Insured will be the policyholder.Are you eligible?
Minimum / Maximum Entry Age ofLife Assured (last birthday) 91 days to 8 years Life Insured Child
On child attaining the age of 18 years, the policy shall be vested to the childHow the plan works?
Example:
Mr. Mehta is 33 years old and has a 3-year old daughter. He takes Max Life College Plan with a Sum Assured of Rs. 3,00,000. The annual premium that he has to pay is Rs. 25,438 till his daughter turns 18.The following guaranteed benefits will be available for Mr. Mehta's daughter, when she turns 18.Age % of Sum Assured Cash Paid to Fund College Education 18 40 Rs. 1,20,000 19 20 Rs. 60,000 20 20 Rs. 60,000 21 40 Rs. 1,20,000 Total guaranteed benefit of Rs. 3,60,000 which is 120% of Sum Assured At age 21, Mr. Mehta's daughter will also be paid (non-guaranteed) Reversionary and Terminal bonus to fund her post college endeavors.- Total bonus payable @ 6% assumed rate of return - Rs. 1,85,615
- Total bonus payable @ 10% assumed rate of return - Rs. 4,61,836
Note – Please note that the bonuses are non-guaranteed and are declared at the sole discretion of the CompanyAbout premium payment
Policy Term 21 - Age at Entry of the Life Assured (child) Premium Payment Term 18 - Age at Entry of the Life Assured (child) Minimum Sum Assured Rs. 1,00,000
Maximum – No limit (subject to underwriting)Premium Modes -Mode Modal Factor Annual 1.000 Semi-annual 0.520 Quarterly 0.265 Monthly 0.090 Payor's Age (male) in years Child's Age (male) in years Premium Inclusive of PayorRider premium (in Rs. ) 30 0 34,412 (figure different in F and U) 33 3 41,777 (figure different in F and U) 35 5 47,793 (figure different in F and U) 38 8 63,409 (figure different in F and U) Riders
A rider is an attachment to a policy that modifies its conditions by expanding or restricting benefits or excluding certain conditions from coverage. The followingrider is available to you with Max Life College Plan:Max Life Payor Rider (UIN: 104B013V02)
Min Entry Age (Age Last Birthday) 20 years Max Entry Age (Age Last Birthday) 55 years Expiry Age (Age Last Birthday) 60 years Max Life College Plan comes with a Payor Rider, which ensures that the policy continues even in case of Payor meeting with:- Death or,
- Total and Permanent Disability
"Total and Permanent Disability" refers to the proposer becoming permanently and totally disabled as a result of injury or sickness and is thereby totally incapable of engaging in any gainful activity or carry out any work, occupation, or profession to earn or obtain any wages, compensation, remuneration, or profit.Suicide Exclusion for Payor Rider policy: The suicide exclusions for the Payor would be applicable as stated in the Payor Rider (UIN: 104B013V02) contract.
No comments:
Post a Comment