Birla Sun Life Empower Pension Plan

Recommendations :No

Name of the policy :
Birla Sun Life Empower Pension Plan

A brief desciption :

Birla Sun Life Empower Pension Plan is a ULIP catering to your retirement needs providing income at periodic intervals, and it also provides life cover with guaranteed additions. However returns are restricted due to high charges levied. Moreover Sum assured is miniscule which is not sufficient to cover an earning member of the family having dependents. So it is advisable to to go for a simple term plan and invest the extra money elsewhere and earn higher returns.

Type of policy :
Insurance cum Investment

Category :
ULIP

Insurance :
Death benefit is greater of (a) the Guaranteed Death Benefit or (b) Fund Value as on date of intimation of death. The Guaranteed Death Benefit is the greater of (a) 101% of all Premiums paid or(b) Accumulation of all Premiums paid till date at a compound

Returns expected :
8%-10% (The performance would be less than a performing equity diversified mutual fund)

Entry age :
25-70 Years

Surrender :
If the policy holder wants to surrender the policy before completing 5 years, then the insurance cover will cease and the fund value net of any discontinuance charge will be transferred to the Discontinued Policy Fund. The Discontinued Policy Fund will be credited with a minimum interest rate of 3.5% p.a. and the proceeds from this will be payable after the fifth policy anniversary. If the policyholder surrenders the policy after completion of 5 policy years, then the insurance cover will cease and your fund value shall be paid immediately and the policy would be terminated.

Minimum amount :
Min- 18,000 Max- No limit

Unique features :
It is a ULIP catering to your retirement needs and also providing life cover for your protection need.


Premium Allocation Charge Year 1 :0.06%
Premium Allocation Charge Year 2 :0.06%
Premium Allocation Charge Year 3 :0.06%
Premium Allocation Charge Year 4 :0.05%
Premium Allocation Charge Year 5 :0.05%
Premium Allocation Charge Year 6 :0.04%
Premium Allocation Charge Year 7 :0.04%
Premium Allocation Charge Year 8 :0.04%
Fund Management Charge :1.00% p.a. for Income Advantage and 1.35% p.a. for Maximiser
Surrender/ Premium Discontinuance Charge Year 1 :For AP less than 25,000- Lower of 20% of AP, 20% of FV, Rs. 3,000, For AP 25,000 and more- Lower of 6% of AP, 6% of FV, Rs. 6,000
Surrender/ Premium Discontinuance Charge Year 2 :For AP less than 25,000- Lower of 15% of AP, 15% of FV, Rs. 2,000, For AP 25,000 and more- Lower of 4% of AP, 4% of FV, Rs. 5,000
Surrender/ Premium Discontinuance Charge Year 3 :For AP less than 25,000- Lower of 10% of AP, 10% of FV, Rs. 1,500, For AP 25,000 and more- Lower of 3% of AP, 3% of FV, Rs. 4,000
Surrender/ Premium Discontinuance Charge Year 4 :For AP less than 25,000- Lower of 5% of AP, 5% of FV, Rs. 1,000, For AP 25,000 and more- Lower of 2% of AP, 2% of FV, Rs. 2,000
Surrender/ Premium Discontinuance Charge Year 5 and above :Nil

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