You can choose from four premium payment tenures -five, seven, ten and twelve years. The plan has five policy term options ranging from 10 years to 30 years.
The sum assured for 5 year and 7 year premium payment options is ten times the annual premium. For the 10 year pay option, the sum assured is 11 times the annual premium and for the 12 year pay option, the sum assured is 13 times the annual premium.
On the death of the policyholder, the insurer will pay the nominee the sum assured plus accrued loyalty additions.
The plan guarantees to pay the sum of all the premiums on maturity. In addition to this, there will also be loyalty additions that will begin to accrue after some time. For instance, for a 10 year policy term, the loyalty additions would accrue in the ninth and the tenth year and for a 30 year term, the accrual will happen in the last 15 years.
These guaranteed loyalty additions will vary depending on the amount of premium, policy term and premium payment term chosen. It will also depend on the entry age and gender of the policyholder.
If you choose to pay Rs 60,000 or more as annual premium, you will get additional benefits on maturity. For instance, for a policy term of 10 years, the policyholder will get Rs 5,000 extra for every Rs 20,000 of premium over and above Rs 40,000. For a policy term of 30 years, it will be Rs 20,000.
A 35 year old male, paying a premium of Rs 1 lakh for a premium payment term of 12 years and policy term of 30 years will get around Rs 45.20 lakh at the end of 30 years. This is a net return of 5.49%.