| The main features of the product are as follows: |
| Marketing Name |
Tata AIA Life Insurance Sampoorna Raksha Supreme |
| Product Code |
To be coded |
| Plan Type |
Non-Linked, Non-Participating, Life Insurance Product |
| Minimum Sum Assured |
INR 50,00,000 |
| Maximum Basic Sum Assured |
No Limit (Subject to BAUP) |
| Payment Mode |
Single / Annual/Semi Annual/Quarterly/Monthly where Annual premium multiplied by loading factors: Semi Annual – 0.51, Quarterly – 0.26, Monthly – 0.0883
|
| Discount on Female Lives |
Different Rates for female lives
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| Non Smokers |
Different Rates for Non Smokers
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| Features |
Two options - Option I and Option II
Life option- This is a pure risk variant wherein the policyholder chooses the Base SA at the time of purchase subject to underwriting eligibility. In case the life assured dies during the policy term, the stipulated death benefit less any payout under Payor Accelerated Benefit will be paid out to the nominee (as per the payout plan chosen) and the policy will terminate.
This plan has an inbuilt benefit called “Payor Accelerator Benefit” wherein the benefit amount equal to 50% of the Base SA is paid out as lump sum on acceptance of Terminal Illness (TI) claim by us. Upon payment of the TI claim, the policy continues and any due premiums continue to remain payable.
In case the life assured survives till maturity, no additional benefit is payable and the policy terminates.
Life Plus Option - This is a protection oriented variant wherein the policyholder chooses the Base SA at the time of purchase subject to underwriting eligibility. In case the life assured dies during the policy term, the stipulated death benefit(based on Effective Sum Assured as applicable on the date of death) less any payout under Payor Accelerated Benefit will be paid out to the nominee (as per the payout plan chosen) and the policy will terminate. The death benefit shall be based on Effective Sum Assured as applicable on the date of death.
This plan has an inbuilt benefit called “Payor Accelerator Benefit” wherein the benefit amount equal to 50% of the Base SA is paid out as lump sum on acceptance of Terminal Illness (TI) claim by us. Upon payment of the TI claim, the policy continues and any due premiums continue to remain payable.
In case the life assured survives till maturity, an amount equal to the 105% of the Total Premiums Paid (excluding loading for modal premiums) towards the benefit option shall be payable at the end of the Policy Term, provided the policy is not terminated earlier.
“The Effective Sum Assured applicable for computation of Death Benefit would include any additional SA purchased by exercising either the Life Stage or the Top-Up SA option as described above along with Base SA.”
Payout Plan-Death benefit is payable as lumpsum
Life stage Option-The policyholder can opt to increase the Sum Assured in case of certain specific situations, subject to the Board approved underwriting policy (BAUP) of the Company.
This is called Life Stage option and is further explained below.
Under Life Stage option, the policyholder can increase the coverage amount on happening of any one of the following events, subject to the BAUP and the option to increase the SA is exercised within 180 days of the happening/incidence of the following event(s):
| Event |
Additional Sum Assured as % of Base SA |
| Marriage (One Marriage Only) |
50% |
| Birth/Adoption of 1st Child |
25% |
| Birth/Adoption of 2nd Child |
25% |
| Home Loan disbursal |
100%, subject to home loan amount sanctioned |
The Additional SA can only be taken in the form of (up to) 4 tranches as mentioned in the above table, where we will charge additional premium for each tranche. The premium amount for the Base SA remains unaltered. Any increase in the SA shall be effective from the policy anniversary succeeding the option exercise date.
For each tranche, the additional premium will be determined using additional SA and the premium rate which will be derived basis the following:
- Attained age as of the policy anniversary succeeding the option exercise date.
- Outstanding policy term (in complete months) as of the policy anniversary succeeding the option exercise date, subject to the minimum policy term stipulated in the product.
- Outstanding premium paying term (in complete months) as of the policy anniversary succeeding the option exercise date, subject to the minimum premium paying term stipulated in the product.
- Aggregate sum assured (up to and including the additional sum assured requested) opted for under the contract.
- Underwriting classification as applicable on the option exercise date.
The additional premium payable shall be calculated as:
(Premium Rate for Aggregate SA/1000) * Additional SA * Modal Loading as applicable Where, premium rates are per 1000 Sum Assured
The policyholder will have an option to surrender the additional sum assured tranches after payment of premiums for first five completed policy years. The tranches shall be terminated after payment of any applicable value on surrender. The tranches will be surrendered in reverse order to which they were availed, i.e. the latest tranche will be surrendered first, followed by the penultimate tranche, and so on. This shall be allowed till all incremental tranches are removed. Once reduced, the premium or sum assured cannot be subsequently increased.
The policy shall continue with the Effective Sum Assured as applicable at the time of termination for rest of the policy term.
Note: Life stage option is not available if product bought under PoS |
| Benefit Period |
For the entire term of Policy.
|
| Death Benefit |
In case of death of the life assured for an in-force policy (all due premiums have been paid), the death benefit payable to the nominee is as outlined below:
Highest of:
- 1.25 x Single Premium or DB multiple(1) x Annualised Premium(2) (Excluding discount);
- 105% of Total Premiums Paid (excluding loading for modal premiums and discount) up to date of death; or
- An absolute amount assured to be paid on death(3)
(1) DB multiple is 7 in case of Life Option and 11 in case of Life Plus option
(2) in aggregate for Base SA and all tranches of Additional Sum Assured
(3) The absolute amount assured to be paid on death is the Effective Sum Assured applicable (as defined earlier) as on the date of death. |
| Increase / Decrease in Basic Sum Assured |
Allowed at Life stage options (if opted) |
| Maturity Benefit |
Under Life Option, no benefit is payable if the life assured survives till maturity.
Under Life Plus Option, an amount equal to the 105% of the Total Premiums Paid (excluding loading for modal premiums) shall be payable at the end of the Policy Term, provided the life assured survives till maturity and the policy is not terminated earlier. |
| Terminal Illness Benefit |
This amount payable under this “Payor Accelerator Benefit” is equal to 50% of Base SA.
This is an acceleration of the death benefit wherein the amount stipulated above is payable post acceptance of claim. Upon payment of the terminal illness benefit, the policy continues and any due premiums continue to remain payable |
| Grace Period |
A Grace Period of fifteen days for monthly mode and thirty days for all other modes, from the due date will be allowed for payment of each subsequent Regular Premium. The Policy will remain in force during the period. If any Regular Premium remains unpaid at the end of its Grace Period, the Policy shall lapse from the due date of the first unpaid premium.
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| Revival |
The Policy can be revived within 5 years from the date of first unpaid premium subject to underwriting & reinstatement rules of the company.
If a premium is in default beyond the Grace Period and subject to the Policy not having been surrendered, it may be revived, within five years after the due date of the first unpaid premium and before the date of maturity, subject to: (i) Policyholder’s written application for revival; (ii) production of Insured’s current health certificate and other evidence of insurability, satisfactory to the insurance company; and (iii) payment of all overdue premiums with interest.
The applicable interest rate for revival is determined using the SBI domestic term deposit rate for ‘1 year to less than 2 years’, plus 2%. The rate of interest on revival with effect from 1st October 2020 is 6.90% simple p.a. (i.e. SBI interest rate of 4.90% + 2%) plus applicable taxes. The interest rate applicable is reviewed every 6 months and gets updated as per the given formula. Any alteration in the formula will be subject to prior approval of IRDAI.
It will be ensured that the evidences and any medical requirements called for are in line with the prevailing underwriting rules/ practices & the health declaration by the life assured.
Any evidence of insurability requested at the time of revival will be based on the prevailing underwriting guidelines duly approved by the board.
Any revival shall only cover loss or Insured event, which occurs after the revival or Commencement Date.
|
| Paid up value |
| Premium Paying options |
Life Coverage |
Size of benefits/policy monies |
| Before 2 years’ premium paid |
After 2 years’ premium paid |
| Life Option |
Regular Pay |
Cover cease to exist |
Cover cease to exist |
No amount is payable |
| Limited Pay |
Cover cease to exist |
Cover cease to exist |
Lapse Value is paid out on the earlier of the following events after which the policy terminates:
- Policyholder surrenders voluntarily
- Death of the Life Assured
- Expiry of Revival Period
- Maturity
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| Life Plus Option |
Regular or Limited Pay |
Cover cease to exist |
Cover continues with Reduced Paid-Up Sum Assured |
- Death Benefit as defined below is payable on death
- Payor Accelerator Benefit as defined in section 8.2 is payable on confirmed diagnosis of Terminal Illness
- Surrender Value as defined below is payable
- Maturity Value as defined in section 8.2 is payable at maturity
|
Here,
- Reduced Paid-Up Sum Assured is defined as the sum of Reduced Paid-Up Factor X Sum Assured, determined separately for the Base SA and for each tranche of Additional Sum Assured.
- Reduced Paid-Up Factor in respect of each tranche = (total period for which premiums have already been paid / the maximum period for which premiums were originally payable).
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| Surrender benefit |
The surrender benefit available under the product varies by the Option chosen. The policy will terminate upon payment of this benefit.
Under Life Option, we will pay Lapse Value on surrender which is as follows:
- Regular Pay: Lapse Value will be zero.
- Limited Pay: Lapse Value will be equal to Lapse Value Factor (LVF) * Total Premiums paid (excluding loading for modal premiums), provided at least 2 years of premiums have been paid. At other points, Lapse Value payable on surrender will be zero. For a fully paid-up policy, a positive Lapse Value is payable on surrender any time after the payment of last due premium. The Lapse Value Factor applicable at time (t) of surrender will depend on the premium paying term (PPT) and the policy term (PT), and is given by the following formula:
LVF=0.5*[Min(1,PPT/t)-PPT/PT]
- Single Pay: Lapse Value will be equal to Lapse Value Factor (LVF) * Single Premium paid, A positive Lapse Value is payable on surrender any time after the premium is paid. The Lapse Value Factor applicable at time (t) of surrender will depend on the policy term (PT) and is given by the following formula:
LVF=0.5*[1-t/PT]
Such Lapse Value for a policy is determined separately for the Base Sum Assured and each tranche of Additional Sum Assured and all conditions are applicable for each tranche separately. The total Lapse Value payable will be sum of such computed Lapse Value for each tranche.
Under Life Plus Option, a policy shall acquire a Surrender Value on payment of at least two years’ premium in full for non-single pay policies. For Single Pay policies, the policy shall acquire a Surrender Value immediately after it is issued.
The surrender value shall be equal to the higher of the Guaranteed Surrender Value (GSV) and the Special Surrender Value (SSV).
Guaranteed Surrender Value (GSV):
The company guarantees a minimum non-negative surrender value which is equal to GSV factor x Total Premiums paid (excluding loading for modal premiums and discount).
The GSV factor (expressed as a percentage of the total premiums paid) to be looked up in the table will depend on the year of surrender and the policy term. In case of non-annual policy term expressed as PT + f (in years) where PT is integer and 0 < f < 1, the GSV factors for each policy year shall correspond to those applicable for a policy with policy term PT (in years) and that for the last fractional policy year shall be 90%.
Special Surrender Value (SSV):
The company may declare Special Surrender Values (SSV). Given that the underlying interest rate used reflects the prevailing market conditions, the Company may revise the SSV factors from time to time subject to the Asset and Liability committee’s (ALCO) approval. However, any change in the methodology/formula for calculating SSV factors shall be subject to IRDAI approval. Any change in SSV factors shall be filed with the Authority.
The SSV will be equal to SSV factor x 105% of Total Premiums paid (excluding loading for modal premiums and discount).
The SSV factor to be looked up in the table will depend on the year of surrender and the policy term. In case of non-annual policy term expressed as PT + f (in years) where PT is integer and 0 < f < 1, the SSV factors for each policy year shall correspond to those applicable for a policy with policy term PT + 1 (in years) and that at the maturity date shall be 100%.
The SSV factors provided are applicable at the end of the year and shall be interpolated, on a daily basis, to arrive at the factors applicable at the time of surrender.
GSV and SSV and hence the Surrender Value shall be determined separately for the Base Sum Assured and each tranche of Additional Sum Assured, wherever applicable. The total Surrender Value payable will be sum of such computed Surrender Value for each tranche.
Basis for calculating Special Surrender values:
Ax:n factors based on an average age of 35 years determined on the following basis:
Mortality: 30% of Indian Assured Lives Mortality (12-14) Ult. Table
Interest Rate: 7.5%
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| Automatic Premium loan |
Not Available
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| Policy Loan |
Not Available
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| Nomination & Assignment |
As per Section 39 of the Insurance Act, 1938, you may nominate a person as the Nominee and where the nominee is a minor, you are required to appoint an Appointee by giving a written notice in prescribed format to the Company. Such nomination is valid only if recorded by the Company and endorsed on this Policy. As per Section 38 of the Insurance Act, 1938 you may also assign this Policy by giving a written notice in prescribed format to the company, before the maturity of the Policy.
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| Backdating |
Not allowed.
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| Underwriting rules |
Fully Underwritten
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| KYC/AML Applicable |
Applicable
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| Riders |
- Tata AIA Life Insurance Comprehensive Health rider (UIN: UIN: 110B031V01 or any other later version)
- Tata AIA Life Insurance Comprehensive Protection Rider (UIN: 110B033V01 or any other later version)
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| Free Look Period |
If you are not satisfied with the terms & conditions/ features of the Policy, you have the right to cancel the Policy by providing written notice to the Company stating reasons and objections and receive a refund of all premiums paid without interest after deducting a) Proportionate risk premium for the period on cover, b) Stamp duty and medical examination costs which have been incurred for issuing the Policy. Such notice must be signed by you and received directly by the Company within 15 days after you receive the Policy Document. The said period of 15 days shall stand extended to 30 days, if the Policy is sourced through distance marketing mode which includes solicitation through any means of communication other than in person.
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| Suicide Exclusion |
In case of death due to suicide within 12 months:
- From the date of commencement of risk under the policy or from the date of revival of the policy, as applicable, the nominee or beneficiary of the policyholder shall be entitled to at least 80% of the Total Premiums Paid till the date of death or the surrender value available as on the date of death whichever is higher, provided the policy is in force; or
- From the date of exercising the Life Stage Option, the nominee or beneficiary of the policyholder shall be entitled to 80% of the premiums paid (excluding any extra premium, any rider premium and taxes) for the increased tranche(s). The original death benefit (based on the sum assured chosen at the time of purchase) and any increased death benefit purchased by exercising the Life Stage Option subsequently but prior to 12 months from the date of death (due to suicide) will remain payable in full.
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