Na 2.docx

Index Chapter no. 1 Introduction Chapter no. 2 Research methodolody Chapter no. 3 literature review Chapter no. 4 Data interpretation Chapter no. 5 Annexure

A Comparative analysis of Bharti Axa and Edelweiss tokio Life Insurance company A Project Submitted to University of Mumbai For partial completion of the degree of Bachelor in Commerce (Banking and Insurance ) Under the faculty of Commerce By Nandini Arunagiri kounder Under the Guidance of Prof. Ronak Malini Kishor sanghvi College of Commerce and Economics Nirmaladevi Arunkumar Ahuja Marg, J. V. P. D. scheme, vileparle (w), Mumbai – 400049.

March 2019

A Comparative analysis of Bharti Axa and Edelweiss tokio Life Insurance company A Project Submitted to University of Mumbai For partial completion of the degree of Bachelor in Commerce (Banking and Insurance ) Under the faculty of Commerce By Nandini Arunagiri kounder Under the Guidance of Prof. Ronak kanada Malini Kishor sanghvi College of Commerce and Economics Nirmaladevi Arunkumar Ahuja Marg, J. V. P. D. scheme, vileparle (w), Mumbai – 400049.

March 2019

Malini Kishor College of Commerce and Economics Nirmaladevi Arunkumar Ahuja Marg, J. V. P. D. scheme, vileparle(w), Mumbai – 400049.

Certificate

This is to certify that Ms Nandini Arunagiri gounder has worked and duly completed her project work for the degree of Bachelor of commerce (Banking and Insurance) under the faculty of Commerce in the project work in Banking and Insurance and her project is entitled, “A Comparative Analysis of Bharti Axa and Edelweiss life insurance company” under my Supervision. I further certify the entire work has been done by the learner under my guidance and that no part of it has been submitted previously in any Degree or Diploma of any University. It is her own work and facts reported by her personal findings and investigations.

Name and signature of the learner

Certified by Name and signature of the guiding teacher

Acknowledgement To list who all have helped me in the difficulty because they are so numerous and the depth is so enormous. I would like to acknowledge the following as being idealistic channels and fresh dimensions in the project. I take this opportunity to thank the University of Mumbai for giving me chance to do this project I would like to thank my Principle, Dr.(Mrs). Krushna Gandhi for providing the necessary facilities required for completion of this project. I take this opportunity to thank the Coordinator Prof. Ronak Canada for her moral support and guidance I would also like to express my sincere gratitude towards my project guide Prof. Ronak Canada whose guidance and care make the project successful. I would like to thank my College Library, for having provided various reference books and magazines related to my project. Lastly, would like to thank each and every person who directly or indirectly helped me in the completion of the project especially my Parents and peers who supported me throughout my project.

Chapter 1 1.1 Introduction Bharti AXA is a joint venture between Bharti enterprises, a trusted brand name and AXA world leader in financial protection and wealth management. Bharti AXA Life Insurance is a joint venture between Bharti, one of India’s leading business groups with interests in telecom, agri. business and retail, and AXA, world leader in financial protection and wealth management. The joint venture company has a 74% stake from Bharti and 26% stake of AXA. The company launched national operations in December 2006. Today, it has over 5200 employees across over 12 states in the country. Our business philosophy is built around the promise of making people "Life Confident".

According to Maslow’s need hierarchy, security needs are second only to basic needs. Man’s desire to feel safe and protected from future disasters or undesirable events led to the concept of insurance. A thriving Insurance sector is of vital importance to every type of economy whether developed or developing or under developed, as it encourages the savings habit and provide a safety net to rural/urban enterprises and productive individuals. By saving, people help the nation. The amount paid as premium is the most important tool for development and growth of a nation as it generates long term investible funds. Worldwide, Insurance is used as a risk cover instrument whereas Indian consumer perceives it as a tax-saving and investment option. The vast potential of the 250 million strong middle class population of India, can be unleashed by repositioning it as a risk cover instrument. The factors which could lead to a larger market penetration are▪

Greater market awareness

▪

Increase tax base

▪

Education

▪

Changing socio-economic trends.

All this can be achieved by giving business opportunity to quality people as an agent advisor in insurance sector and thus expanding the distribution channel. Product and prices in an insurance industry are easily duplicated and thus are more or less same. So the difference lies in the services provided by the companies which give competitive edge in the long run. So

the channel through which a company can achieve market penetration by providing efficient services should be that of recruiting more and more advisors in its distribution channel. The advisor’s role is very important in an insurance sector as they are able to accomplish the following important services-: ● Assessing and analysing the client’s risk profile. ● Finding the best possible solution for the customer. ● Designing product according to the need of the customer ● Negotiating the best deal available ● Continuity of the service throughout the period of Insurance claims advisory services. The reason why this channel distribution system is lagging in India is because of high cost of recruiting but low revenue due to lower penetration of the market. Channel decisions are now elevated to a strategic level. The overriding concept is to become customer-centric and to focus channels on improving the customer experience. But it is not advisable to use all channels to serve all customers. Some customer segments may prefer certain channels, but if these segments are not profitable, it may be prohibitively expensive to serve them using their preferred channels. Consequently, insurance companies need to tailor their channels to appeal to the largest number of profitable customers to maximize earnings.

Background By any yardstick, India, with about 200 million middle class households, presents a huge untapped potential for players in the insurance industry. Saturation of markets in many developed economies has made the Indian market even more attractive for global insurance majors. Graphs and statistics reflect the low percentage of per capita penetration of insurance in India compared to other developed and developing countries. The Insurance sector in India is one and half centuries old. Pre-liberalization, the Insurance market was monopolized by LIC, GIC and its four subsidiaries. The opening up of the Insurance sector has seen a surge not only in the number of foreign players entering the market but also in the variety of products being offered. The total premium in India is approximately 2% of our GDP, which is far below the world average of 7.8% the insurance penetration in India is only 2% Per capita income of the India is expected to grow at over 6% for the next 10 years, In a similar way, with the increasing awareness levels among Indian citizens;

The demand for insurance is expected to grow at an attractive rate of interest. An independent consulting company, The Monitor Group, has estimated that the Life insurance market will grow from Rs.218 billion in 1998 to Rs.1003 billion By 2008 (a compounded annual growth of 16.5%).

What is Life Insurance?

Life insurance ensures that your family will receive financial support in your absence. Put simply, life insurance provides your family with a sum of money should something happen to you. It protects yours family from financial crises.

Life Insurance: In 1818 the British established the first insurance company in India in Calcutta, the Oriental Life Insurance Company. First attempts at regulation of the industry were made with the introduction of the Indian Life Assurance Companies Act in 1912. A number of amendments to this Act were made until the Insurance Act was drawn up in 1938. Noteworthy features in the Act were the power given to the Government to collect statistical information about the insured and the high level of protection the Act gave to the public through regulation and control. When the Act was changed in 1950, this meant far reaching changes in the industry. The extra requirements included a statutory requirement of a certain level of equity capital, a ceiling on share holdings in such companies to prevent dominant control (to protect the public from any adversarial policies from one single party), stricter control on investments and, generally, much tighter control. In 1956, the market contained 154 Indian and 16 foreign life insurance companies. Business was heavily concentrated in urban areas and targeted the higher echelons of society. “Unethical practices adopted by some of the players against the interests of the consumers” then led the Indian government to nationalize the industry. In September 1956, nationalization was completed, merging all these companies into the so-

called Life Insurance Corporation (LIC). It was felt that “nationalization has lent the industry fairness, solidity, growth and reach.”

1.3 Purpose and need of insurance:The business of insurance is related to the protection of the economic value of assets. Every asset has value. The asset would have been created through the efforts of the owner, in the expectation that, either through the income generated there from or some other output, some of his needs would be met. In the case of a factory or a cow, the production is sold and income generated. In the case of a motorcar, it provides comfort and convenience in transportation. There is no direct income. There is normally expected life time for the asset during which time it is expected to perform. The owner, aware of this, can so manage his affairs that by the end of that life time, a substitute is made available to ensure that the value or income is not lost. However, if the assert gets lost earlier, being destroyed or made non functional, through an accident or other unfortunate event, the owner and those deriving benefits there from suffer. Insurance is mechanism that helps to reduce such adverse consequences.

Insurance for insurance companies:Even when the pool comes close to emptying, there is another pool from which insurance companies can draw to pay claims. Some of your premiums are used by your insurance company to buy reinsurance – insurance for insurance companies. Sometimes losses are so big – like those resulting from an earthquake – that there is no way that an insurance company can cover the costs. Reinsurance is an extra layer of protection against large losses.

Annual replenishing:Your insurance is an annual contract, so the pool operates for only one year at a time. Your premiums and the premiums of others are based on how much money the insurance

companies think they will need to pay the coming year’s claims. Your premiums do not build up over the years – unlike the premiums for some types of life insurance.

The Business of Insurance:Insurance companies are called insurers. The business of insurance is to (a) brings together persons with common interests (sharing some risks), (b) collect the share or contribution (called premiums) from all of them, and (c) pay out compensations (called claims) to those who suffer from the risks. In India, insurance business is classified primarily as life and nonlife insurance or general insurance.

Reinsurance:Reinsurance is a means by which an insurance company can protect itself with other insurance companies against the risk of losses. Individuals and corporations obtain insurance policies to provide protection for various risks (hurricanes, earthquakes, lawsuits, collisions, sickness and death, etc.). Reinsurers, in turn, provide insurance to insurance companies. There are many reasons why an insurance company would choose to reinsure as part of its responsibility to manage a portfolio of risks for the benefit of its policyholders and investors. The main use of any insurer that might practice reinsurance is to allow the company to assume greater individual risks than its size would otherwise allow, and to protect a company against losses. Reinsurance allows an insurance company to offer higher limits of protection to a policyholder than its own assets would allow.

Role of Insurance in Economic Development:For economic development, investments are necessary. Investments are made out of savings. A life insurance company is a major instrument for the mobilization of savings of people, particularly from the middle and lower income groups. These savings are channeled into investments for economic growth.

Key Benefits of Life Insurance Life insurance, especially tailored to meet your financial needs

Principles of Life Insurance:Indemnity A contract of insurance contained in a fire, marine, burglary or any other policy (excepting life assurance and personal accident and sickness insurance) is a contract of indemnity.

Utmost good faith Since insurance shifts risk from one party to another, it is essential that there must be utmost good faith and mutual confidence between the insured and the insurer. In a contract of insurance the insured knows more about the subject matter of the contract than the insurer. Consequently, he is duty bound to disclose accurately all material facts and nothing should be withheld or concealed. Any fact is material, which goes to the root of the contract of insurance and has a bearing on the risk involved. It is only when the insurer knows the whole truth that he is in a position to judge.

Insurable interest

-A contract of insurance affected without insurable interest is void. It means that the insured must have an actual pecuniary interest and not a mere anxiety or sentimental interest in the subject matter of the insurance. The insured must be so situated with regard to the thing insured that he would have benefit by its existence and loss from its destruction.

Cause proxima The rule of cause proxima means that the cause of the loss must be proximate or immediate and not remote.

Risk In a contract of insurance the insurer undertakes to protect the insured from a specified loss and the insurer receive a premium for running the risk of such loss. Thus, risk must attach to a policy.

Mitigation of loss In the event of some mishap to the insured property, the insured must take all necessary steps to mitigate or minimize the loss, just as any prudent person would do in those circumstances. If he does not do so, the insurer can avoid the payment of loss attributable to his negligence.

Subrogation

The doctrine of subrogation is a corollary to the principle of indemnity and applies only to fire and marine insurance. According to it, when an insured has received full indemnity in respect of his loss, all rights and remedies which he has against third person will pass on to the insurer and will be exercised for his benefit until he (the insurer) recoups the amount he has paid under the policy. It must be clarified here that the insurer's right of subrogation arises.

Contribution Where there are two or more insurance on one risk, the principle of contribution comes into play. The aim of contribution is to distribute the actual amount of loss among the different insurers who are liable for the same risk under different policies in respect of the same subject matter. Any one insurer may pay to the insured the full amount of the loss covered by the policy and then become entitled to contribution from his co-insurers in proportion to the amount which each has undertaken to pay in case of loss of the same subject-matter.

Life Insurance Contracts A life insurance policy is contract, in terms of the Indian Contract Act, 1872. A contract is an agreement between two or more parties to do, or not to do, so as to create a legally binding relationship.

Essentials of a Contract (a) Offer and acceptance (b) Consideration (c) Free consent are consensus ‘ad idem’ (d) Capacity to contract (e) Legally binding relationship (f) Legality of object or purpose (g) Capability of performance Insurance is a specialized type of contract. Apart from the usual essentials of a valid contract, insurance contracts are subject to two additional principles viz. Principle of Utmost Good Faith & Principle of Insurable Interest. These apply to both life and non-life Insurance.

Need for Life Insurance

Today, there is no shortage of investment options for a person to choose from. Modern day investments include gold, property, fixed income instruments, mutual funds and of course, life insurance. Given the plethora of choices, it becomes imperative to make the right choice when investing your hard-earned money. Life insurance is a unique investment that helps you to meet your dual needs - saving for life's important goals, and protecting your assets. Let us look at these unique benefits of life insurance in detail.

Asset Protection From an investor's point of view, an investment can play two roles - asset appreciation or asset protection. While most financial instruments have the underlying benefit of asset appreciation, life insurance is unique in that it gives the customer the reassurance of asset protection, along with a strong element of asset appreciation. The core benefit of life insurance is that the financial interests of one’s family remain protected from circumstances such as loss of income due to critical illness or death of the policyholder. Simultaneously, insurance products also have a strong inbuilt wealth creation proposition. The customer therefore benefits on two counts and life insurance occupies a unique space in the landscape of investment options available to a customer.

Goal based saving Each of us has some goals in life for which we need to save. For a young, newly married couple, it could be buying a house. Once, they decide to start a family, the goal changes to planning for the education or marriage of their children. As one grows older, planning for one's retirement will begin to take precedence. Clearly, as your life stage and therefore your financial goals change, the instrument in which you invest should offer corresponding benefits pertinent to the new life stage. Life insurance is the only investment option that offers specific products tailor-made for different life stages. It thus ensures that the benefits offered to the customer reflect the needs of the customer at that particular life stage, and hence ensures that the financial goals of that life stage are met. The table below gives a general guide to the plans that are appropriate for different life stages.

Life Stage

Young & Single

Primary Need

Asset creation

Young & Just married Asset creation & protection

Married with kids

Life Insurance Product

Wealth creation plans Wealth creation and mortgage protection plans

Children's education, Asset Education insurance, mortgage creation and protection

protection & wealth creation plans

Middle aged with

Planning for retirement &

Retirement solutions & mortgage

grown up kids

asset protection

protection

Across all life-stages

Health plans

Health Insurance

Sec. 45 of Insurance Act 1938 Insurer’s right to declare the policy void is however, restricted by sec. 45 of Insurance Act 1938 which says that if a policy has run for 2 years or more no insurance company can call it to question on the ground of any false or inaccurate statements unless such misrepresentation is material to the risk and fraudulently made

Facts which need not be disclosed: (a) Facts which which are common knowledge (b) Facts of law (c) Facts which a survey can reveal (d) Facts about with insurance company has waived further information (Principle of waiver) (b)To start with, you must have an insurable interest in the item you want covered. In other words, any untoward happening related to the insured item should result in a financial loss to you. For instance, you have a financial interest in insuring a house you own. However, if you have rented a house, it’s your responsibility to get it insured only if it is explicitly stated so in the lease agreement. If it is not stated but you still insure it, and subsequently raise a claim, it is likely to be rejected by the insurer on the grounds that you don’t have any insurable interest in the property, the owner of the house does. By the same principle, good belonging to others that might be lying in your house are not covered as part of your home insurance policy. If these are stolen or damaged, your insurer is likely to reject any claim made by you.

Different Risks The life ins. Business deals with risks relating to life of human beings. The circumstances (perils) that create the loss of damage (risks) are mainly two, death and old age. Ins. Does not prevent either. Human beings also run the risk of sickness, accidents and unemployment these risks are insured by general insurance co. However supplementary benefits are riders. Risk can be managed by. ●

Prevention is avoidance

●

Retention

●

Transfer

Needs and Insurance Risks arise because there are needs to be fulfilled. The risks attached to early death arise because of the need to maintain the family that is left behind. If there were not needs, there would be no risks. Insurance is, therefore, related to the needs of individuals. Different plans are designed with different benefits, so that they may cater to the different needs of people. While selling life insurance, therefore, it is necessary to be aware of the needs of people.

History The Company was originally founded in 1816 as Mutuelle de L'assurance contre L'incendie (the Ancienne Mutuelle). It acquired Compagnie Parisienne de Garantie in 1978 and became Mutuelles Unies.It went on to buy the Drouot Group in 1982 at which time it adopted the AXA name. The takeover of The Equitable, a well known American insurer, came in 1991.It bought Union des Assurances De Paris (UAP), France's largest insurer, in 1996 becoming AXA-UAP for a while before reverting to the name AXA in 1999. Then in February 1999 AXA acquired Guardian Royal Exchange. In May 2000 AXA acquired all shares it did not already own in Sun Life & Provincial Holdings. On 14 June 2006 AXA acquired the leading Swiss insurance company Winterthur Group from Credit Suisse for approximately €9 billion.

VISION of Bharti AXA Our vision is to be a leader and the preferred company for financial protection and wealth management in India.

OUR VALUES ● Professionalism ● Innovation ● Team Spirit ● Pragmatism ● Integrity

Ambition 2012, earning preference Becoming the preferred company in the industry is the founding objective of ambition 2012. It gives meaning to the initiatives undertaken by axa people around the world, and mobilizes axa people in the workplace.

Our Strategy ● To achieve a top 5 market position in India through a multi-distribution, multi-product platform. ● To adapt AXA’s best practice blueprints as a sound platform for profitable growth. ● To leverage Bhartis local knowledge, infrastructure and customer base. ● To deliver high levels of shareholder return. ● To build long term value with our business partners by enhancing the proposition for their customers.

● To be thee employer of choice to attract and retain the best talent in India. ●

To be recognized as being close and qualified by our customers

Life Insurance Plans Life insurance products assure your family will receive financial support, even in your absence. Put simply, when you buy insurance you provide your family with a sum of money, should something happen to you. It thus permanently protects your family from financial crises. In addition to serving as a protective cover, when you buy insurance you create a flexible money-saving scheme, which empowers you to accumulate wealth to buy a new car, get your children educational solutions, and even retire comfortably. Today, there is no shortage of investment options for a person to choose from. Given the plethora of choices, it becomes imperative to make the right choice when investing your hard-earned money, and online insurance is an ideal choice in today’s technology driven world. Buying Life insurance online is a way to make a unique investment that helps you to meet your dual needs - saving for life's important goals, and protecting your assets. From an investor's point of view, an investment can play two roles - asset appreciation or asset protection. While most financial instruments have the underlying benefit of asset appreciation, buying life insurance online gets you the unique reassurance of asset protection, along with a strong element of asset appreciation. When you buy life insurance online the core benefit is that the financial interests of one’s family remain protected from circumstances such as loss of income due to critical illness or death of the policyholder. Simultaneously, buying life insurance online gives a strong inbuilt wealth creation proposition. The customer therefore benefits on two counts and online insurance products occupy a unique space in the landscape of investment options available to a customer. As your life stage and therefore your financial goals change, the instrument in which you invest should offer corresponding benefits pertinent to the new life stage. Online insurance products are the only investment option that offer specific products tailor-made for different

life stages. You are thus ensured that the benefits offered to the customer reflect the needs of the customer at that particular life stage, and hence ensures that the financial goals of that life stage are met. On the basis of which life stage you are in and the corresponding insurance needs, Bharti AXA plans can be categorized into the following three types: ● Wealth Confident plans ● Guarantee Builder plans

● Dream Life Pension plans Human Life Value What is your Human Life Value? Beyond all doubt, your life is invaluable. Yet, there is a certain worth that can be attributed to the financial support you offer your parents, spouse or children. This worth is referred to as Human Life Value (HLV). In the future, if your family does not have the protective blanket of your presence, they will no longer be able to enjoy the benefits of the income you earned. Put simply, Human Life Value is the present value of your future earnings. Why should you calculate your Human Life Value? You should calculate your Human Life Value so you can accordingly invest in insurance plans that provide your family with adequate finances and hence security even in your absence. How do you determine your Human Life Value? Your Human Life Value is determined by 3 factors: 1. Your age 2. Current and future expenses 3. Current and future income As a thumb rule, if you are 30 years of age, you should insure yourself for an amount approximately 8 times your annual income. At 35, your investment should be close to 6 times your income. Of course, the exact amount of your investment should be determined by the number of people who depend on you, you’re existing investments and your life stage. For example, if you are 30 years of age and have two children and

parents to provide for, the amount you invest should be reflective of your

requirement.

What is linked policy? Most importantly, what are ULIPs? Here, you will find all the information you need to set your mind at ease about how to invest in ULIPs, and which ULIP is right for you.

ULIPs are a category of goal-based financial solutions that combine the safety of insurance protection with wealth creation opportunities. In ULIPs, a part of the investment goes towards providing you life cover. The residual portion of the ULIP is invested in a fund which in turn invests in stocks or bonds; the value of investments alters with the performance of the underlying fund opted by you.

Simply put, ULIPs are structured in such that the protection element and the savings element are distinguishable, and hence managed according to your specific needs. In this way, the ULIP plan offers unprecedented flexibility and transparency. Working of ULIPs It is critical that you understand how your money gets invested once you purchase a ULIP:

When you decide the amount of premium to be paid and the amount of life cover you want from the ULIP, the insurer deducts some portion of the ULIP premium upfront. This portion is known as the Premium Allocation charge, and varies from product to product. The rest of the premium is invested in the fund or mixture of funds chosen by you. Mortality charges and ULIP administration charges are thereafter deducted on a periodic (mostly monthly) basis by cancellation of units, whereas the ULIP fund management charges are adjusted from NAV on a daily basis. Since the fund of your choice has an underlying investment – either in equity or debt or a combination of the two – your fund value will reflect the performance of the underlying asset classes. At the time of maturity of your plan, you are entitled to receive the fund value as at the time of maturity. The pie-chart below illustrates the split of your ULIP premium:

Broadly, insurance plans can be distinctly divided into ULIP (Unit Linked Insurance Plans) and traditional plans. A brief detail of both segments:

(a) ULIPs (Unit Linked Insurance Plans) ULIPs, or Unit Linked Insurance Plans, have gained high acceptance due to the attractive features they offer. Benefits include flexibility, Transparency, Liquidity, and Fund Options. ●

Flexibility

● Flexibility to change your life cover: ULIPs give you the flexibility to choose your sum assured (insurance cover) at the time of policy inception. Moreover, some ULIPs allow you to increase your sum assured over the term of the plan. This is crucial as your protection needs keep on changing with time .Typically, greater the financial liabilities you have such as repayment of a home loan, greater will be your need for protection. ● Flexibility to change premium amount: With ULIPs you can easily change premium amount as most ULIPs provide you the option to increase or reduce premiums after a certain period of time to match your premium paying capability. Another distinguishing feature of ULIP is Top up which is an additional contribution over & above regular premium so that if you receive extra money today you can invest the amount in your policy & maximize your investment gains. ● Flexibility to opt for a rider: ULIPs also enable you to customize the policy with optional riders to enjoy additional protection. Riders are additional or supplementary benefits that are bought along with the main insurance policy. Some of the commonly offered riders by most insurance companies are critical illness benefit rider, accident & disability benefit rider, waiver of premium rider etc. For ex. a critical illness rider cover major critical illnesses like heart attack etc. In case of contracting any of the above illness, the insurance company pays the insured amount.

● Flexibility to choose your fund option: Most of the ULIPs come with an in - built range of fund options to choose from –ranging from aggressive funds to conservative funds so that you can decide to invest your money in line with your investment preferences and needs. What’s more, ULIPs even come with the option of switching

between different fund options so that you are able to reap maximum benefits from your investments.

●

Transparency

● ULIPS offer a high degree of transparency, where all charges in the plan as well as the entire net amount invested is made known to the customer. ULIPs also offer the convenience of tracking your investment performance on a day to day basis, so you can decide instantly where you want your assets allocated. ●

Liquidity

●

A ULIP offers you the option of withdrawing money a few years into the plan, allowing for the exigencies of life. Alternatively, a ULIP will also allow for partial/systematic withdrawal should the need arise.

●

Fund Options

●

A ULIP will offer you a wide choice of funds, ranging through equity, debt, cash, or a combination of the three. The customer is also afforded the option of choosing your fund mix based on your desired asset allocation.

●

Equity Funds: In this type of fund, sometimes also called growth funds, there would be more investments in equities which are shares/stocks traded in the stock market.

● Debt Funds: In this type of fund, also called Bond funds, the investments are primarily in Government and Government guaranteed securities and such safe debts and other high investment grade corporate bonds. ● Money market funds: In this type of fund, sometimes also called liquid funds, the investment may be more in short term money market instruments such as treasury bills, commercial papers, etc. ● Balanced Funds: In this type of funds, the investments are in both equity as well as debts.

(b) Traditional Plans These are the oldest types of insurance plans available. These plans cater to customers with a low risk appetite. Some of the common features of traditional plans are: 1. Steady Investment 1. Major chunk of investible funds are in debt instruments. 2. Steady and almost assured returns over the long term. 2. Features 1. Death benefit is Sum Assured + guaranteed & vested bonus. 2. Helps in asset creation as they are for a long tenure. 3. Premium to Sum Assured ratios are fixed for each plan and age. 4. Generally withdrawals are not allowed before maturity

Bharti Axa life In this Policy, the investment risk in the investment portfolio is borne by the Policyholder. As a caring parent, you want only the best for your child. As your child grows, his aspirations will grow too and so will your responsibilities. Whether it’s higher studies abroad, a grand wedding or a comfortable home … you can now ensure that your child is always one step ahead – financially. Bharti AXA Life Bright Stars with Jumpstart Benefit is a unique child plan designed to give your child the right launch pad into a promising future. At maturity, this plan offers an additional lump sum amount to take care of the finances at the key stages of your child’s life. What’s more, the plan also provides you with a life protection cover – so should anything unfortunate happen to you, Bharti AXA Life Bright Stars ensures that your dreams for your child still live on. The plan also offers the flexibility to make modifications, depending on the changing needs of your child. As his dreams grow, the plan will grow too… so financial hurdles will never come in the way of his growing dreams! With Bharti AXA Life Bright Stars, you can fulfill all the dreams you have for your child, and give him what he deserves. A bright future!

What is Bharti Axa Life Bright Stars PLUS?

This is a regular premium unit-linked Insurance Policy, which offers you the twin, benefits of protecting your loved ones & creating wealth for them over the desired period. You can plan & invest in a systematic manner through this product for certain important events (financial goals) in your life like your child’s higher education / marriage or buying a house! Bharti AXA Life Bright Stars plus offers you the twin benefits of protecting your loved ones & creating wealth for them over the desired period.

What are your advantages with Bharti Axa Life Bright Stars plus: Smart financial solution for protecting your family- in unfortunate event of death•

The sum assured gets paid out to your nominee immediately PLUS

•

Bharti AXA Life will pay ALL your future premium into the investment funds to ensure that the ambitions of your loved ones are achevied PLUS

•

Jumpstart benefits during the policy term

•

Jumpstart benefit (7% or 5% of average fund value depending on term chosen ) is credited to your investment fund irrespective of whether the life is alive or not

•

You can in any of 6 market – linked investment funds

•

A number of flexibilities to take care of your changing needs- switches, premium redirection, Top- ups, Partial withdrawals, Decrease of premium, Cover continuance etc

•

The death benefit is payable even if you have opted for the cover continuance option

•

You can enchance your protection in this product by adding riders

•

Tax benefits for premiums paid and benefits received, as per the prevailing tax laws

Enjoy the benefits of high returns along with a life cover. Also, receive an additional amount through Jumpstart Benefit at Policy maturity.

Benefits of Bharti AXA Life Bright Stars plus 1. Life Insurance Benefit:

The Sum Assured under the Policy is based on the Policy benefit period chosen by you.

Policy Benefit Period

Sum Assured

7 years

5 times Annualized Regular Premium

10 years

5 times Annualized Regular Premium

15 years

8 times Annualized Regular Premium

20 years

10 times Annualized Regular Premium

25 years

10 times Annualized Regular Premium

In the unfortunate event of death of the Life insured during the Policy benefit period, the following benefits are available: ● Payment of Sum Assured immediately ● All the future premiums payable till maturities are waived off and ● The Policy continues until maturity with the nominee having the right to exercise all the applicable benefits under the Policy

Maturity Benefit: On maturity of the Policy, you or your nominee will get the Policy Fund Value PLUS Jumpstart Benefit. The Jumpstart Benefit gives you financial freedom, so your child is not constrained when it comes to taking advantage of various career opportunities. Life Insurance Benefit: With built-in life insurance plus critical illness cover (optional), it provides complete, all-round protection for your child.

2. Critical Illness Benefit Rider:

In addition to your life insurance benefit, you can also enhance your protection by adding Critical Illness Benefit Rider by paying a nominal amount. This rider will pay the chosen Rider Sum Assured in case you are diagnosed with any of the below mentioned critical illnesses and subject to the terms and conditions Contained in the Critical Illness Benefit Rider – Policy Bond: ● Cancer ● Coronary Artery Bypass Surgery ● Heart Attack ● Kidney Failure ● Major Organ Transplant ● Stroke

You can use this Rider Sum Assured to meet various expenses that are generally incurred in treatment of critical illnesses like hospitalization expenses, surgery, cost of medicines, diagnosis, possible loss of pay etc. Please ask your advisor to show you the separate rider brochure for details of applicable terms and conditions of this rider.

Top-up Premiums: You can invest a bonus received from your employer or profits earned from your business or any other surplus in your existing investments to achieve your financial goals faster. With the top-up option, you can boost your contribution any time after the first Policy year. The minimum amount of a single top-up is Rs. 1000. The total amount of top-up in a Policy year cannot be more than 25% of total regular premiums paid till that date. Top-up premium has no effect on your Sum Assured.

Liquidity Benefit with Partial Withdrawal: We all need money during our lifetime to full fill certain goals. From time to time, you may need money to pay for your child’s education, going on a long vacation, pay off an existing loan etc. You can withdraw money from your Policy Fund Value any time after completion of three Policy years. Each partial withdrawal should be a minimum of Rs. 1000 and after withdrawal

the Policy Fund Value should not be less than 120% of the Annualized Regular Premium. Two partial withdrawals are free of charge in a Policy year and each subsequent partial withdrawal will be subject to a charge of Rs. 100.

Decrease in Premium: While we recommend that you pay the agreed amount of annual premium for the entire term of the Policy, we also understand that sometimes you may face financial constraints which might make it difficult for you to pay the agreed premium throughout the term. Therefore, in this product, we allow you to decrease the premium amount any time after completion of two Policy years. Decrease in premium will decrease your Sum Assured in the same proportion. Annualized Regular Premium can be reduced subject to the following condition: During 3rd policy year, the Annualized Regular Premium can be reduced such that the revised premium is at least higher of ● 75% of first year Annualized Regular Premium ● Minimum Annualized Regular Premium From 4th policy year onwards, the Annualized Regular Premium can be reduced to the minimum Annualized Regular Premium.

Cover Continuance Option: While we recommend that all your regular premiums be paid on the respective due dates, we also understand that due to sudden changes in lifestyle like increased responsibilities or unexpected increase in household expenses may affect your future ability to pay premiums. Now you need not worry if you are unable to pay premiums into your Policy. The cover continuance option entitles you to continue your Policy with all benefits if you are unable to pay premiums (as per the table below). Once you have opted for this option, you cannot pay any further premiums or top-ups under the Policy. Policy Benefit Period 7 years

10 years

15 years

20 years

25 years

Cover continuance

3 annualized 3 annualized 5 annualized 5 annualized 5 annualized

available

regular

regular

regular

regular

regular

after

premiums

premiums

premiums

premiums

premiums

payment of

A flexible plan that adapts to the changing needs of your child over time.

11. Extended Maturity Benefit with Settlement Option: You may want to take advantage of Bharti AXA Life’s fund management expertise even after maturity of your Policy. You can avail any of the following options at maturity: ● Take entire maturity proceeds (Policy Fund Value + Jumpstart Benefit) as lump sum payment on maturity; or ● Take the maturity proceeds (Policy Fund Value + Jumpstart Benefit) at regular intervals in installments over 5 years after the maturity ● A combination of the above mentioned two options date (extended maturity period). The value payable at such intervals will be calculated at the unit price as on the relevant date At any time during the extended maturity period, you have an option to withdraw the balance available Policy Fund Value as on that date. However, you will not be entitled to life insurance benefit or partial withdrawals / switches between investment funds or top-ups during this period.

(f) What are the tax benefits under this product? You can avail of the tax benefits on the premiums paid and the benefits received as per the prevailing tax laws under Section 80C and Section 10 (10D) of the Income Tax Act, 1961. The tax benefits are subject to change as per change in Tax laws from time to time.

Section 41 Of Insurance Act 1938 “No person shall allow or offer to allow, either directly or indirectly, as an inducement to any person to take out or renew or continue an insurance in respect of any kind of risk relating to lives in India, any rebate of the whole or part of the commission payable or any rebate of the premium shown on the Policy nor shall any person taking out or renewing or continuing a Policy accept any rebate except such rebate as may be allowed in accordance with the published prospectus or tables of the Insurer.”

Section 45 Of Insurance Act 1938 “No Policy of life insurance shall after the expiry of two years from the date on which it was effected, be called in question by an insurer on the ground that statement made in the proposal for insurance or in any report of a medical officer, or referee, or friend of the insured, or in any other document leading to the issue of the Policy, was inaccurate or false, unless the insurer shows that such statement was on a material matter or suppressed facts which it was material to disclose and that it was fraudulently made by the Policyholder and that the Policyholder knew at the time of making it that the statement was false or that it suppressed facts which it was material to disclose. Provided that nothing in this section shall prevent the insurer from calling for proof of age at any time if he is entitled to do so, and no Policy shall be deemed to be called in question merely because the terms of the Policy are adjusted on subsequent proof that the age of the Life insured was incorrectly stated in the proposal.”

(g) Terms and Conditions 1. If any regular premium due within the first three years of the Policy remains unpaid even after the grace period of 30 days, the Policy lapses and all the benefits under the Policy cease to exist. You can however, revive the Policy by paying all the unpaid premiums within a period of two years from the due date of the last unpaid premium. If the Policy is not reinstated during the Reinstatement Period, the Policy will stand terminated and the Policy Fund Value as at the expiry of Reinstatement Period net of

Surrender Charge as on the lapse date shall be payable at the completion of the third Policy year or at the end of the Reinstatement Period, whichever is later.

2. If the due premiums have been paid for at least three consecutive Policy years from the Policy Date and subsequent premiums are unpaid, you may reinstate the Policy within two years from the date of first unpaid premium by resuming premium payment by paying all the unpaid premiums and the appropriate Premium Allocation Charge shall be deducted from the above mentioned payment. During the period allowed for reinstatement, the Policy shall continue to be in effect by levying applicable Policy Charges. At the end of the allowed period for reinstatement, if you have not opted for cover continuance option, only the Policy Fund Value, after deducting applicable surrender charges will be paid and the Policy will terminate. In an event of death during the Reinstatement Period, the death benefit shall be paid out.

At any time during the Policy benefit period, after completion of 3 Policy years, if the Policy Fund Value falls below 120% of the Annualized Regular Premium, then the Policy will be terminated & the surrender value will be paid out. In case of death of the Life insured during the Policy benefit period a. Where the Life insured and Policyholder are same, the Policy will continue till maturity of the Policy (provided that the nominee gives an undertaking-cumindemnity bond) and nominee is entitled to all the applicable benefits under the Policy, viz. partial withdrawals, switches, surrender, premium redirection & extended maturity benefit. Top-ups & change in annualized regular premium is not allowed. Also, nomination is mandatory where the life insured & policyholder are same.

b. Where the Life insured and Policyholder are different, the Policy will continue till maturity of the Policy and the Policyholder is entitled to all the benefits available under the Policy.

Top-up benefit is not available after the death of the Life insured.

Free-look option: If you disagree with any of the terms and conditions of the Policy, you have the option to return the original Policy Bond along with a letter stating reasons for the objection within 15 days of receipt of the Policy Bond (“the free-look period”). The Policy will accordingly be cancelled and an amount equal to the sum of (Premium Allocation Charge, Policy Administration Charge, Risk Benefit Charge, deducted from the Policy Fund Value) and (the Policy Fund Value less stamp duty and underwriting expenses incurred by the Company), will be refunded to the Policyholder. If the Life insured under the Policy, whether medically sane or insane, commits suicide, within one year of the Issue Date or the date of reinstatement of the Policy, the Policy shall be void and the Company will only be liable to pay the Policy Fund Value as on the date of intimation of death and all the benefits under the Policy shall cease to exist including future payment of premiums by the Company. This is a non-participating Unit Linked Insurance Policy

(h) Computation of Unit Price

The unit pricing shall be computed based on whether the Company is purchasing (appropriation price) or selling (expropriation price) the assets in order to meet the day to day transactions of unit allocations and unit redemptions i.e. the life insurer shall be required to sell / purchase the assets if unit redemptions / allocations exceed unit allocations/redemptions at the valuation date. The appropriation price shall apply in a situation when the Company is required to purchase the assets to allocate the units at the valuation date. This shall be the amount of money that the Company should put into the fund in respect of each unit it allocates in order to preserve the interests of the existing Policyholders. The unit price will be computed as follows: Market value of investment held by the fund plus the expenses incurred in the purchase of the assets plus the value of any current assets plus any accrued income net of fund management charges less the value of any current liabilities less provisions, if any. This gives the net asset value of the fund. Dividing by the number of units existing at the valuation date (before any new units are allocated), gives the unit price of the fund under consideration. and do not in any manner indicate the quality of the Investment Funds The expropriation price shall apply in a situation when the Company is required to sell assets to redeem the units at the valuation date. This shall be the amount of money that the Company should take out of the fund in respect of each

unit it cancels in order to preserve the interests of the continuing Policyholders. The unit price will be computed as follows: Market value of investment held by the fund less the expenses incurred in the sale of the assets plus the value of any current assets plus any accrued income net of fund management charges less the value of any current liabilities less provisions, if any. This gives the net asset value of the fund. Dividing by the number of units existing at the valuation date (before any units are redeemed), gives the unit price of the fund under consideration.

(i) Risks of investment in unit-linked Policies:

● Bharti AXA Life Bright Stars is a unit-linked insurance Policy and is different from traditional insurance Policies.

● The premium in unit-linked insurance Policy are subject to investment risk associated with capital market and the NAV of the units may go up or own based on the performance of the investment funds and the factors influencing the capital markets and the insured is responsible for his / her decisions.

● Bharti AXA Life Insurance Company Ltd. is only the name of the insurance company and Bharti AXA Life Bright Stars is only the name of the unit-linked insurance Policy and does not in any way represent or indicate the quality of the Policy, its future prospects and performance or the returns.

● Bharti AXA Life Bright Stars does not provide for participation in the distribution of surplus or profits that may be declared by the Company.

● Growth Opportunities Fund, Grow Money Fund, Steady Money Fund and Save‘n’grow Money Fund are the names of the Investment Funds, their future prospects or returns.

BHARTI IS THE “FIRST”

I. II.

To launches India’s first private sector National Long Distance service. Mobile services to cross the three million customer mark and to cross

1,

00,000 in Himachal. III.

To launch world’s first Flexi – Recharge pre-paid Coupon for its customer.

IV.

To announce innovative outsourcing to enhancing Quality of Customer services.

V. VI.

To launch talk-time transfer service for its pre-paid customers in Delhi. To win the prestigious ‘MIS Asia IT Excell

Edelweiss Tokio life insurance Introduction on Life Insurance Life insurance industry is becoming healthier Edelweiss Tokio Life Insurance expects to grow its premium income by 40-50 per cent this year, Deepak Mittal, Managing Director and CEO of the company. Edelweiss Tokio reported 53 per cent growth last year, with premium income touching ₹123 crore. Private sector players in the life insurance industry grew 16 per cent last year even as the entire industry contracted a tad because of the decline in LIC’s premium. While the outlook for premium growth this fiscal is not very different from last year, the industry is becoming healthier, notes Deepak. Edelweiss Tokio, which began operations in 2011, expects to break-even on ‘embedded value’ basis in 2018-19, Embedded value is a measure of the value of the business in the books and takes into account future profits of existing life policies. About 50 per cent of the insurer’s income comes through the agency channel, 10 per cent via direct sales (mainly online), and the balance through other partners.

The company has fine-tuned its ‘needs-based selling process’ to achieve right balance and ease of delivery. That this approach was necessary because insurance is often sold to consumers by known people — family or friends — and there are sensitivities involved when sharing financial information with them. The needs broadly encompass children’s education, wealth accumulation and enhancement, health expenses, term insurance (income replacement), and retirement plans. The products are sold depending on the manner in which the customers prioritise these needs.

Productivity of agents Edelweiss Tokio is focussing on improving the productivity of its agency force of about 11,000 by using technology through mobile platforms, Deepak said. This can range from how to do a better pitch to managing their calendar better. ● Some pilots are being done to help increase the number of meetings that the average agent conducts in a month, which typically ranged between 30 and 40. Comparative figures in the developed markets were over 80 and the aim was to get closer to this number. ● Edelweiss Tokio Life Insurance Company Limited, a joint venture between the Edelweiss Group and Tokio Marine has been registered by Insurance Regulatory & Development Authority (Irda) to carry on the business as a life insurer. Tokio Marine is one of the world’s leading insurance group headquartered in Japan. ● According to a company release, Edelweiss Tokio Life plans to commence sales later this year, depending on product approvals. ● Speaking at the occasion Rashesh Shah, chairman and CEO, Edelweiss Group said: “At 4.5%, Life Insurance penetration in India continues to be low. We see an opportunity there. With a global leader as a partner and a country wide distribution network Edelweiss Tokio Life is well placed to benefit from this opportunity. ● Established in the year 2011, Edelweiss Tokio Life Insurance Company Ltd is a new age life Insurance company in India. It is a joint venture between Edelweiss, a

diversified financial services conglomerate in India, and Tokio Marine, one of the oldest life insurance companies in Japan. ● Currently, Tokio Marine owns 26% stake in the joint venture, but it received approval in January 2016 from the Insurance Regulatory Authority of India(IRDAI) to increase its stake to 49%.

History Edelweiss Tokio Life Insurance began operations in July 2011 after receiving its registration certificate from IRDAI in May 2011 and one out of 24 life insurance companies in India. Today, it has a PAN India presence with more than 60 branches and 1,500 employees and looking consistent growth. Edelweiss Tokio Life offered life insurance cover of Rs 1 crore for all the athletes representing India at the Rio Olympics 2016

Awards Morningstar, a global leader in rating fund performance across mutual funds and ULIP’s, rated all of Edelweiss Tokio Life Insurance Funds as 5 stars.

Products Edelweiss Tokio Life Insurance offers more than 20 products to cater to retirement, education, critical illness and income replacement needs. It offers products in both the digital as well as offline space. It's product portfolio includes endowment plans, term plans, ULIP's and critical illness plans. Apart from individual plans, it also offers group protection plans. · MyLife+ is the online term plan · Wealth Builder is the online endowment plan · Wealth Accumulation(Accelerated Cover) is a Unit Linked Insurance Plan(ULIP) offered online · CritiCare+ is the critical illness plan offered online · Edusave is the children’s education plan · Retirement plans – Pension plans, annuity plans designed for financial security postretirement

· Group protection plans – For group protection of corporates, small and medium-sized organizations MUMBAI: The rate war in term insurance has intensified with Edelweiss Tokio Life Insurance (ETLI) - one of the later entrants into the life business - obtaining permission from the regulator to sell a 30-year Rs 1-crore term cover for as low as Rs 6,045 to a 25-year old. The term life cover, which is paid out only in the event of death irrespective of cause, is higher than the cost of personal accident cover sold by some of the non-life insurance companies. Private life insurance companies had already brought down the premium on term insurance policies to a fraction of what they were a few years ago. For instance, for a 25-year-old, a Rs 1-crore term insurance cover for 30 years is currently available for Rs 6,421 from Reliance Life, or for Rs 6,967 from Max Life. ETLI's Mylife+ term cover also enables the benefits to be collected over a period of time, thereby providing the advantage of an annuity plan without the tax implication. "We are definitely among the cheapest, although we have not done a comparison with every insurer for every age group," said Deepak Mittal, CEO, Edelweiss Tokio Life Insurance. "We are also probably the only company that is offering term life cover up to 80 years of age," he added. Explaining rationale for drop in prices, Mittal said that the company's experience was that the quality of data and disclosures when it was filled in by the insured himself was much better. The online term policy has been designed with zero commission. There are also no assisted sales. The online purchases reduce the company's costs of acquisition and administrative costs as health reports are electronically sent to the underwriting department.

Life insurance simple protect Edelweiss Tokio Life Simply Protect Edelweiss Tokio Life – Simply Protect is a non-participating, non-linked individual term assurance plan that covers your life and provides security to your family at a very competitive price.

Key Features of Edelweiss Tokio Life Simply Protect  Low cost Term Assurance Plan  Flexibility to choose from four (4) death benefit options  Flexibility to choose the premium paying term as per your need  Get discounts for higher Sum Assured  Lower premium rates for female lives  Option to choose cover up to age 80  Get tax benefits for premium and claim amount

Benefits of Edelweiss Tokio Life Simply Protect The product offers four (4) death benefit options as follows: • Life Cover • Life Cover with inbuilt Accidental Death Benefit • Life Cover with inbuilt Waiver of Future Premiums payable on Accidental Total and Permanent.

Disability

Life Cover with inbuilt Waiver of Future Premiums payable on Critical Illness

Customer can choose any one option. The option has to be chosen at the proposal/application stage

and once chosen cannot be changed during the term of the policy.

Customer can choose any one of the following Sum Assured payout option at the proposal/ application stage:

Lumpsum Option: Under this option, sum assured will be paid in lumpsum.

Income Benefit Option: Under this option, 1% of sum assured will be payable every month for the next 130 months starting from next policy month anniversary from the date of death. During the payout period, if the nominee wants lump-sum instead of staggered benefit then the remaining future monthly payouts, discounted at the rate of 5.25% per annum, will be paid as lump-sum immediately.

● Maturity Benefit

Since this is a pure protection plan, there is no maturity benefit.

Death Benefit On Death of Life Insured during the policy term, when the policy is inforce, Life Cover: Sum Assured will be payable either in Lumpsum or in the form of income benefit, as per the payout option chosen and the policy will terminate.

Life Cover with inbuilt Accidental Death Benefit: Sum Assured will be payable either as Lump sum or in the form of income benefit, as per the payout option chosen and the policy will terminate. If death happens due to accident then an additional sum assured equal to the accidental death benefit Sum assured shall be payable as Lump sum.

Inbuilt Accidental Death Benefit will be equal to the Life Cover Sum Assured subject

to maximum of Rs 1 crore and maximum maturity age of 70 years.

Life Cover with inbuilt Waiver of Future Premiums payable on Accidental Total and Permanent

Disability: On confirmed diagnosis of total and permanent disability due to accident on the assured’s life, all future premiums under the base plan will be waived till the premium paying term of the policy or death of life assured, whichever is earlier, Sum Assured will be payable either as Lump sum or in the form of income benefit, as per the payout option chosen, on death of the life assured. Claim will be triggered only once on the first diagnosis of accidental total and permanent disability during the premium paying term.

Edelweiss Tokio Life – MyLife+ Why Edelweiss Tokio Life - MyLife+ Edelweiss Tokio Life – MyLife+ is a non-participating, non-linked term assurance plan thatcovers your life and provides security to your family. It is a great opportunity to secure yourfamily at a very competitive price. The key benefits offered by the product are ●

Option to choose life cover up to the age of 80 years so that your family has protection over a longer period

●

Option to get benefit as lump sum or as a monthly benefit or both so that it is easier for your family to manage the benefit amount

●

Enhanced protection through addition of accidental death, disability and waiver of premium riders which makes this plan truly comprehensive

●

Attractive premiums for higher Sum Assured amounts

Highlights of Edelweiss Tokio Life – MyLife ●

Edelweiss Tokio Life – MyLife+ is an online insurance term plan that covers your life and provides security to your family. It is a great opportunity to secure your family at a very competitive price. With cover upto 80 years of age & a flexible payout option,

we offer you a value-for-money online insurance term plan.

maximum protection Cover up to 80 years of age with a flexible payout option

multiple payout options Provides the flexibility to choose the death benefit payout as lumpsum or monthly payout or a combination of both

online product This product is being offered online. You can choose to protect your family from the comfort of your home.

Key Benefits for Edelweiss Tokio Life MyLife+

Death Benefit: On death of the life assured during the policy term, the payout options: 1) Under lump sum option, a lump sum amount equal to the sum assured will be paid. 2) Under Income benefit option, 1% of sum assured will be paid every month for the next 130 months starting from month after the date of death. 3) Combination of above two as per choice exercised by policyholder.

Tax Benefits:

You can avail tax benefits under Section 80C and Section 10 (10D) of Income Tax Act, 1961. Tax benefit are subject to change in the law.

Edelweiss Tokio Life EduSave Edelweiss Tokio Life – EduSave is a participating, endowment assurance plan, so that you can plan to accumulate wealth for meeting those special plans in your life. What makes our offering special is that we understand that for different plans you may need the maturity amount in a different manner and hence we provide multiple convenient options to receive your maturity proceeds in tranches

Key features Get double protection against unforeseen events a. Lump sum amount on pre-mature death provides a readjustment cushion to the family b. Maturity benefit protected even when the life insured is no more. 1. Get additional benefits through Bonus which continues to accrue till maturity even in case of death of life insured during the term 2. Various payout plans on maturity to allow you to plan the benefits as per your requirements. Flexibility is provided to change the plan in case the requirements undergo a change in future. 3. Multiple options of policy term and premium paying term to suit your requirements 4. Get discount on premium for large sum assured 5. Loan facility to meet any urgent / unforeseen liquidity requirements 6. Option to make your cover more comprehensive through riders. Benefits: Maturity Benefit On maturity of the policy, you will receive the paid-up value Where paid-up value is: Paidup sum assured plus • Accrued bonuses declared till the policy gets paid-up Death Benefit On death after the policy getting paid-up, following benefit will be payable: • 100% of the paid-up sum assured as lump-sum and • Paid-up value on maturity Hence, 100% of the paid-up sum assured is payable immediately on death and at the end of the policy term, 100% of paid up sum assured plus bonuses accrued till paid-up (paid-up value) is payable. Surrender Benefit The policy acquires surrender value if all the premiums have been paid in full for at least first three policy years. On surrender, the surrender value, if any, will be immediately paid and policy will be terminated. (i) Guaranteed Surrender Value: The Guaranteed Surrender Value is sum of i. Surrender value of premiums AND ii. Surrender value of bonuses i. Surrender value of premiums is a specific percentage (as given in the

Annexure I) of total premiums (excluding rider premium and extra mortality premium, if any) received till date. ii. Surrender value of bonuses accrued till the date of Surrender = Accrued bonuses * Guaranteed Surrender Value Factor. Paid-up Sum Assured Paid-up Sum Assured will be calculated as given below: Paid-up Sum Assured = (Number of premiums paid/ Number of premiums payable) *Sum Assured. On the policy being reduced paid-up, the following benefits are payable. Bonus The bonuses that have been declared till policy acquires paid-up status will be protected and paid on maturity. No further bonus will be declared for your policy after it gets paidup.

Edelweiss tokio life criticare+ plan Edelweiss Tokio Life CritiCare+ is a health product which supports health care expenses and covers 17 major Illnesses, the critical illnesses are divided in 4 groups, (Group 1, 2, 3, and 4). The plan offers multiclaim option, where an insured can also Critical Illness from different group.

How does the plan work ? The product offers two variants, under which an insured can claim the benefit: - 1) Single Claim Option 2) Multi Claim Option. The 17 critical Illnesses are divided in 4 groups,(Group A,B,C,D) as below:

Group one ●

Open Chest CABG

●

First Heart Attack - of Specified Severity

●

Open Heart Replacement OR Repair of Heart Valves

●

Kidney Failure Requiring Regular Dialysis

●

Major Organ Transplant (Heart, Kidney)

●

Stroke Resulting in Permanent Symptoms

●

Aorta Surgery

Group two ●

Permanent Paralysis of Limbs

●

Coma of Specified Severity

●

Major Burns

●

Total Blindness

Group three ●

Aplastic Anaemia

●

Cancer of Specified Severity

●

Benign Brain Tumour

●

Major Organ Transplant (Bone Marrow, Liver, Lung, Pancreas)

Group four ●

Motor Neurone Disease with Permanent Symptoms

●

Multiple Sclerosis with Persisting Symptoms

Key features of Edelweiss tokio life criticare+ plus ●

Maximum Maturity 70 years of age

●

Tax benefits under Section 80D and Section 10 (10D) of Income Tax Act

●

Benefits you get in Edelweiss Tokio Life Criti Care+ Plan The critical illness benefits are paid under the 2 plan options as below:Single Claim option: Under this option, a lump-sum benefit equal to the Sum Assured will be payable on the survival of life insured for 28 days following the date of confirmed diagnosis of Critical Illness and the policy will get terminated. Multi Claim option: Under this option, the life insured can get benefit for up to 3 claims. Life insured can claim for Critical Illness only once from one group. Subsequent to a claim, the Life insured will still be eligible for benefit for critical illness falling under the other groups.

The benefits on each claim are as below and are payable on survival of life insured for 28 days following the date of confirmed diagnosis

Eligibility condition and criteria in Edelweiss tokio life criticare +plus

Minimum

Maximum

Entry Age (in years)

18

65

Maturity Age (in years)

-

70

Policy Term (in years)

5

30

Sum Assured

5 lacs

10 lacs

Premium Paying Term (in years)

Regular

Premium (in Rs.)

2,000

Initial waiting period

90 days

Survival period

28 days

Waiting Period between claims

365 days

- Initial Waiting Period: Claim for critical illness will only be accepted if the illness has occurred after the expiry of 90 days from the date of issue/date of revival of policy. - Survival Period: The Life Insured should survive for 28 days from the date of confirmed diagnosis of the Critical Illness. The diagnosis is confirmed once it is established through medical tests or is certified by a medical practitioner. - Waiting Period between claims: The waiting period between claims is the minimum required time between two critical illness incidences for Multiclaim option.

Additional Features in Edelweiss Tokio Life CritiCare+

●

Discounts on higher sum assured

●

Multiclaim options: Insured can claim 3 times during the policy term

●

Free look Period: A period of 15 days from the receipt of the policy document is available to review the terms and conditions of this policy. Insured can choose to cancel the policy by stating the reason for cancellation. What is Not Covered in Edelweiss Tokio Life CritiCare+?

●

Critical illness within 90 days of policy issue date or policy revival date

●

Pre-existing illness will be covered after 48 months of policy issue date or reinstatement date

●

Unreasonable failure to seek or follow medical advice

●

AIDS, HIV, STD (Sexually Transmitted Disease)

●

Self-inflicted injuries, attempted suicide, insanity, and immorality, and deliberate participation of the life insured in an illegal or criminal act.

●

Use of intoxicating drugs / alcohol / solvent, taking of drugs except under the direction of a qualified medical practitioner.

●

War – whether declared or not, civil commotion, breach of law, invasion, hostilities (whether war is declared or not), rebellion, revolution, military or usurped power or willful participation in acts of violence.

●

Radioactive contamination due to nuclear accident engaging in hazardous activities e.g. boxing, caving, climbing, horse racing, jet skiing, martial arts, mountaineering, off pastel skiing, pot holing, power boat racing, underwater diving, yacht racing or any race, trial or timed motor sport, bungee jumping, hand gliding etc. or Any injury, sickness or disease received as a result of aviation (including parachuting or skydiving), gliding or any form of aerial flight other than as a fare-paying passenger on regular routes and on a scheduled timetable unless agreed by special endorsement.

Edelweiss tokio life – easy pension plan Edelweiss Tokio Life - Easy Pension is a Linked Non-Participating Pension Plan that helps you ensure that you have adequate financial resources to enjoy your post retirement life. ●

Key features

●

Low Premium Allocation Charge

●

Guaranteed Loyalty Additions to enhance your return

●

Choice of terms up to 85 years and full flexibility with Premium Paying Terms

●

Premiums paying options of single pay, limited pay and regular pay

●

Simple and easy to buy with minimal process

●

Option to choose your risk strategy for allocation between funds

●

Automatic re-allocation of your money to optimize retirement needs

Benefits Death Benefit On Death of Life Insured Death benefit during and after PPT: Higher of 1. Fund Value 2. Assured Benefit 3. 105% of total premiums paid till date of death where Assured Benefit is 101% of total premiums paid till death

Vesting Benefit Higher of 1. Fund Value at maturity 2. Assured Benefit where Assured Benefit is 101% of total premiums paid till maturity

Eligibility and other conditions Minimum

Maximum

Entry Age

18

75

Maturity Age

45

85

Policy Term

10

67

Premium Paying Term (PPT)

Single Pay, Limited Pay [5 Pay to (Policy Term-5)], Regular Pay

Premium Payment Frequency

Single Pay, Annual, Semi-annual, Quarterly, Monthly Single Pay: Rs. 45,000 Limited/Regular Pay:

Minimum Premium

Annual: Rs 15,000 Semi-Annual: Rs 8,000 Quarterly: Rs 4,000 Monthly: Rs 1,500

Other benefits Surrender Benefit a) If the surrender request is received before the completion of first 5 policy years, the fund value net of discontinuance charge shall be credited to the discontinued policy fund and the proceeds will be available only at the end of lock in period. At the end of lock in period, the policyholder can exercise any one of the options as mentioned below to utilize the proceeds from surrender. b) If the surrender request is received after the completion of first 5 policy years, the policyholder shall be entitled to the fund value. The policyholder can utilize the proceeds as per the options as mentioned below.

Policy Loan No policy loan is available

Riders No Riders are available under this product

Life pension plan Edelwiess tokio life – pension plan review

Edelweiss Tokio Life – Pension Plan is a retirement solution, suited to meet your needs to plan for a financially stable and happy retirement life.

Key features ●

Accumulate your wealth for retirement

●

Guaranteed addition of 5% p.a. of cumulative premium for first five policy years

●

Additional benefits through compounded reversionary bonus

●

Choose your vesting age as per your retirement needs

●

Choice of various premium paying terms and premium paying frequencies are made available to suit your needs

●

Get discounts for higher Sum Assured

●

Option to enhance your benefits by adding riders

Plan benefits Guaranteed Addition – The benefit is accrued to the policy on each policy anniversary during the first five policy year and is payable on death or vesting, whichever is earlier. The amount will be calculated as 5% of cumulative premium (excluding rider premium) paid till that policy anniversary. Proportionate amount of guaranteed addition will be available on death for policies terminated during the policy year. Proportionate amount will be calculated based on the policy month of the policies terminated and total premium paid till date of death. Compound Reversionary Bonus – Compound reversionary bonus (as a % of sum assured plus accrued bonuses) will accrue from sixth policy year which will be payable either on death or vesting, whichever is earlier.

Death Benefit On Death of Life Assured Higher of: • Total premiums paid (excluding rider premium) compounded monthly at 1% per annum interest plus accrued guaranteed additions plus the accrued bonuses till date of death OR • 105% of premiums paid (excluding rider premium)

Maturity Benefit -

On Maturity Sum Assured plus accrued guaranteed additions plus accrued bonuses

Surrender Benefits Single Pay: The policy can be surrendered at any point of time from first policy year. Other Pay: The Policy can be surrendered provided that at least premium for two policy years has been paid in full by the policyholder.

On Surrender the surrender value, if any, will be available immediately and policy will be terminated. The surrender value payable is higher of the Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV).

Single pay: The Guaranteed Surrender Value is sum of I. A specific percentage (as given below) of single premiums paid till date. ●

During 1st policy year: The Guaranteed Surrender Value is 70% of single premium paid.

●

During 2nd and 3rd policy year: The Guaranteed Surrender Value is 80% of single premium paid.

●

From 4th policy year till (Policy Term -2): The Guaranteed Surrender Value is 90% of single premium paid.

●

During last two policy year: The Guaranteed Surrender Value is 100% of single premium paid.

ii. A specified percentage of ‘guaranteed addition plus bonuses’ accrued till date

Other pay : The Guaranteed Surrender Value is sum of I. A specific percentage of total premiums paid till date. ii. A specified percentage of ‘guaranteed addition plus bonuses’ accrued till date

Any amount paid towards riders is not available on surrender of the policy.

Special Surrender Value = (Paid-up Sum Assured plus Guaranteed Addition plus Accrued

bonuses) * (Special Surrender Value Factor) The Special Surrender Value Factor is given in the table below which varies with the policy year of surrender. The Special Surrender Value Factor will be reviewed from time to time based on the experience and will be subject to prior approval of IRDA

Eligibility and other conditions a) Entry Age of Life Insured (last birthday): 18 to 65 years(age last birthday) b) Minimum Maturity Age (last birthday): 45 years c) Maximum Maturity Age (last birthday): 75 years d) Premium Paying Term (PPT): Single Pay, 5 Pay, 10 Pay, Regular Pay e) Policy Term: Single Pay, 5 Pay, Regular Pay: 10 to 40 years, 10 Pay: 11 to 40 years f) Premium Payment Frequency: Single, Annual, Semi-annual, Quarterly and Monthly g) Minimum Premium: Single Pay: Rs 108,125; Other Pay - Annual: Rs 4,898.50; Semiannual: Rs 3,000; Quarterly: Rs 1,500; Monthly: Rs 500 h) Minimum Sum Assured (SA) Single pay: Rs 125,000; Other pay: Rs 2,00,000 i) Maximum Sum Assured: No Limit

Loan Facility Policy loan will not be available under the plan.

Money back plan Edelweiss tokio life income replacement plan Edelweiss Tokio Life Income Replacement is a Monthly Income Plan. In this plan, the nominee would get the chosen Monthly Income Benefit every month till the end of the term or 5 years, whichever is later. The Monthly Benefit would keep increasing every year by 5% so as to combat inflation. Being a pure protection plan, there is no maturity benefit.

Key features of Edelweiss tokio life income replacement plan ●

It is a pure Term Insurance Policy with Death Benefit only and no Maturity Benefit

●

The chosen Monthly Income Benefit every month if the life insured dies

●

The Monthly Benefit would keep increasing every year by 5% so as to combat inflation

●

Large Sum Assured rebate is available.

●

Limited Premium paying Options available

●

Discount for non-smokers for a sum assured of Rs 25 lacs and more.

Triple advance plan Edelweiss tokio plan – Triple advance plan Edelweiss Tokio Life – Triple Advantage Plan is a non-linked, participating life insurance plan. You can plan your life stage needs fulfillment as you earn a guaranteed lump sum benefit which is an amount equal to Sum Assured on Maturity payable twice during the policy term. The first payout will be paid at the end of premium payment term and the second payout at the end of policy year when Life Insured attains age of 75. In addition to this you will also receive Sum Assured on Maturity i.e when you attain age of 100 years. Also, your loved ones have total peace of mind as you have protection till 100 years of age.

Key Features 1.Limited payment periods allow you to pay from your present income for your future needs 2 Get first lump-sum payout at the end of premium payment term 3 Get second lump-sum payout when you reach age 75 4 Get third lump-sum payout on maturity i.e. when you reach age 100 5 Get discounts for higher Sum Assured on Maturity 6 Loan facility to meet any urgent / unforeseen liquidity requirements 7 Option to make your cover more comprehensive through riders

Benefits Death Benefit

Higher of:

11 times of the Annualized Premium* OR Sum Assured on Maturity

Maturity Benefit

Minimum: Rs 2,00,000 Maximum: No Limit, Subject to Underwriting

Tax Benefit on Premiums

Yes - under section 80c

Tax benefit on Death Benefit

Yes - under section 10(10D)

Eligibility

MInimum/Maximum Minimum* : 91 days Maximum : 55 years

entry age (last birthday)

*for entry age below 5 years, risk commences after 1 Year and 11 mon from the date of commencement of the policy. *for entry age of 5 years and above, risk commences immediately.

maximum maturity age (last birthday)

100 years

policy term

100 Years less age at entry of the life insured

premium paying term

10, 15, 20 and 25 years Sum Assured on death higher of: 11 times of the Annualized Premium* OR Sum Assured on maturity

sum assured on death

annualized premium is the premium payable in a year chosen by the policyholder excluding the underwriting extra premiums and loadings modal premiums, if any.

sum assured on maturity

premium payment frequency

Minimum: 2 lakhs Maximum: no limit Annual, semi-annual, quarterly, monthly

Eligibility and conditions

Riders The customer has an option of availing the following Rider benefits: • Edelweiss Tokio Life - Accidental Death Benefit Rider (UIN: 147B002V02) • Edelweiss Tokio Life - Accidental Total and Permanent Disability Rider (UIN: 147B001V02) • Edelweiss Tokio Life - Term Rider (UIN: 147B004V02) • Edelweiss Tokio Life - Critical Illness Rider (UIN: 147B005V02) • Edelweiss Tokio Life - Waiver of Premium Rider (UIN: 147B003V02) • Edelweiss Tokio Life - Payor Waiver Benefit Rider (UIN: 147B014V02) • Edelweiss Tokio Life - Income Benefit Rider (147B015V01) Rider Sum Assured cannot exceed the Sum Assured on Death. Total rider premium cannot exceed 30% of the base product’s premium. For more details on any of the riders mentioned above, please consult your Edelweiss Tokio Life Insurance Personal Financial Advisor or refer to the rider brochure.

Other benefits and details Reduced Paid-up Benefits If all the premiums have been paid for at least first three consecutive years then the policy will not lapse and continue as a ‘Reduced Paid-up’ policy and all the benefits shall be reduced proportionately. All the benefits will be multiplied by a paid up factor, where paid-up factor is as below: Paid-up factor = (Number of premiums paid/ Number of premiums payable) Paid-up Sum Assured on Maturity= Paid-up factor *Sum Assured on Maturity. On the policy being paid-up, the benefits are as follows:

Reversionary Bonus No further bonus will be declared for the Reduced Paid-up policy. The reversionary

bonuses that have been declared so far, and if not paid earlier, will be protected and paid on death or at the end of premium paying term, whichever is earlier.

Paid-up Guaranteed lump sum Benefit (GLB) Paid-up GLB will be equal to GLB multiplied by paid-up factor. • First paid-up GLB payout: At the end of the PPT • Second paid-up GLB payout: At the end of policy year when Life Insured attains age 75.

Death Benefit On death of the Life Insured, after the policy getting paid-up, the beneficiary will receive: Till the end of premium paying term: • 100% of Paid-up Sum Assured on Death PLUS • Accrued bonuses declared till the policy gets paid-up After the end of premium paying term when the accrued reversionary bonus (RB1) has been paid: • 100% of Paid-up Sum Assured on Death Paid-up Sum Assured on Death = Sum Assured on Death * Paid-up factor

Survival Benefit Reversionary bonus (RB1) that has been declared before the policy gets paid-up will be protected and paid at the end of PPT. Paid-up GLB shall be payable on survival of Life Insured at the end of PPT and end of policy year when Life Insured attains age 75. It will not be a part of death benefit. The total survival benefit payable during the policy term is as follows: At the end of PPT: Paid-up GLB plus RB1 At the end of policy year when Life Insured attains age 75: Paid-up GLB

Maturity Benefit On maturity of the policy, the paid-up sum assured on maturity will be payable.

Further, the benefit payable on maturity shall never be less than 105% of total premiums paid to date.

Surrender Benefit The Policy will acquire Surrender Value if all the premiums have been paid in full and received by Us for at least first three policy years. On surrender, the Policy shall be terminated, the Surrender Value, if any, as calculated will be immediately paid and all the Benefits under the Policy shall cease to apply. On surrender, the higher of the Guaranteed Surrender Value .or the Special Surrender Value will be payable. The Guaranteed Surrender Value is a sum of surrender value of premiums and surrender value of accrued reversionay bonuses, if not already paid. Surrender Value of premium is a specific percentage of total premiums received by the Company (excluding any premiums paid towards rider benefits, and underwriting extra) less Survival Benefits already paid till the date of surrender. The Guaranteed Surrender Value will vary depending on the premium paying term and the year the policy is surrendered. The policy is also eligible for Special Surrender Value. (Note - After attaining age 75 years and on payment of accrued Reversionary Bonuses (RB2), the Surrender Value of bonuses will not be available and only Surrender Value of premiums will be made available

Immediate Immunity plan – edelweiss tokio life An immediate pension plan that caters to the need of retirement funding. Make sure that you earn an annual income long after you quit working. A plan in which you pay once and you start getting lifelong pension immediately.

Key features 1. Plan your retirement with guaranteed annuity benefit 2. Choice of multiple options as per your requirements 3. Pay only once and avail immediate annuity benefits for lifetime 4. Avail extra annuity benefits for higher premium amounts 5. Option to avail annuity during your lifetime and leave lump-sum thereafter for your loved ones 6. Option of annuity benefits for both - you and your spouse 7. Option to receive annuity benefits in yearly, half-yearly, quarterly or monthly installments

Additional benefits for higher purchase price 1.On purchase of annuity on death/vesting of pension policies of Edelweiss Tokio Life Insurance Company Limited, an additional 3% of base annuity amount will be payable. 2. For all annuity options, additional rate will be added for higher Premium / Purchase price. The additional rate is given below: 100,000 – 299,999 Nil 300,000 – 499,999 0.05% 500,000 and above 0.10%

Eligibility Eligibility

Minimum/Maximum Minimum : 18 years*

entry age (last birthday)

Maximum : 85 years *Minimum entry age will be 0 years for annuity purchase from the proceeds of the death benefit of the pension policies of Edelweiss Tokio Life Insurane Co Ltd.

premium paying term

Single pay

minimum premium/purchase price

minimum premium/purchase price is Rs.1,00,000/-

Cash income ● ●

Assured monthly money-back from 21 policy year till 40th policy year A guaranteed lump-sum benefit at the end of 40 policy year

●

Loan facility is available to meet unforeseen needs

●

Enhance your benefits by adding various riders available with the product

Plan benefits Survival Benefit: Survival Benefit has three components as given below: Cashback: From the 21 policy year the plan provides a regular payout (cash back) increasing at a simple rate of 6% per annum. The payout will be made on monthly basis wherein the payout amount would be equally distributed over the 12 months of each policy year. Thus the payout in the 21 policy year would be equal to one annualized premium (i.e. 8.33% of annualized premium at nd the end of each month), in 22 policy year it will be 106% of annualized premium, it will be 112% of annualized premium in 23 policy year and so on with the payout in 40 policy year being 214% of annualized premium. Cashback will stop after the 40 policy year. Lump-sum Benefit:On survival of the life assured till the end policy year 40, a lump-sum amount as % of sum assured is payable as given in the table below:

Entry age of the life assured

Lump-sum at the end of Policy Year 40

Age 91 days – 20 years

150% of sum assured

Age 21 days – 40 years

120% of sum assured

Age 41 days – 50 years

100% of sum assured

Maturity Benefit: Further lump-sum equal to 100% Sum Assured is payable on survival of life assured till maturity i.e.100 years of age last birthday.

Death Benefit

For life assured with entry age above 5 years: The death sum assured, irrespective of survival benefit already paid, at any time during the policy term is either equal to or higher than of: ●

10 times of annualized premium OR

●

105% of premiums paid till date of death OR

●

Minimum guaranteed sum assured on maturity OR

●

Absolute amount assured to be paid on death

For life assured with entry age below 5 years: For the minor where entry age is below 5 years the risk cover will start one month prior to the second policy anniversary. In case of death during the 1 year and 11 months from the date of commencement of the policy for minor lives where entry age was below 5 years, the company will pay 105% of total premiums paid till date of death. Once the risk cover starts the death benefit would be as per the benefit offered for Entry Age above 5 years. For Eg: If the age at entry of life assured is 2 years then the risk cover will start after 1 year and 11 months from the date of commencement of the policy and absolute amount assured to be paid on death would start at 106% of sum assured. After one month i.e. completion of second policy anniversary absolute amount assured to be paid on death would increase to 112% of sum assured and so on.

Surrender Benefits

The policy acquires surrender value if all the premiums have been paid for at least three consecutive years. On surrender anytime thereafter, the surrender value will be immediately paid and policy will be terminated.

The surrender value payable is higher of the Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV).

Eligibility and other conditions Loan Facility Policy loan is available once it acquires surrender value. Maximum loan amount available is 90% of surrender value offered by the Company. Interest will be charged on the outstanding loan amount at a rate declared by the Company from time to time based on then prevailing market conditions

Riders Edelweiss Tokio Life – Accidental Total and Permanent Disability Rider Edelweiss Tokio Life – Accidental Death Benefit Rider Edelweiss Tokio Life – Waiver of Premium Rider Edelweiss Tokio Life – Term Rider Edelweiss Tokio Life – Critical Illness Rider Edelweiss Tokio Life – Payor Waiver Benefit Rider

Cashflow protection plus Minimum

Maximum

Entry Age of Life Insured (last birthday)

91 days

50 years

Maximum Maturity Age (last birthday)

100 years

Policy Term

(100 – Age at entry)

Premium Paying Term (PPT)

20 years

Premium Payment Frequency

Monthly, Semi-annual, Annual

Minimum Premium

Rs 25,000

No Limit

Minimum Sum Assured

Rs 2,65,000

No Limit, subject to underwriting

Edelweiss tokio life cash flow protection plus plan Edelweiss Tokio Life Cashflow Protection Plan is a non-linked, participating savings insurance plan which provides protection till the age of 100 years of age.

Key Features of Edelweiss Tokio Life Cashflow Protection Plus Plan  Get guaranteed income and avail protection till age of 100 years  Get a lump-sum at the end of premium payment term through reversionary bonus  Earn higher returns through additional cash bonus  Get discounts for higher Sum Assured on Maturity  Loan facility to meet any urgent / unforeseen liquidity requirements  Option to make your cover more comprehensive through riders

Benefits you get from edelweiss tokio life cash flow protection plus plan. Under this plan apart from Death and Maturity benefit, three different benefits are payable and aredescribed below:

Reversionary Bonus (RB): It is a non-guaranteed accrual benefit. It will accrue from the first policy year till the end of premium paying term of the policy and will be based on the performance of the par fund.

The benefit payable either on death or at the end of premium paying term, whichever is earlier.

Money Back: It is a guaranteed benefit equal to 5.5% of the Sum Assured on Maturity, payable annually at the end of each policy year and the payout starts one year after the premium paying term and continues to be paid till maturity or death whichever is earlier. For e.g. the money back will start from 16 policy year for premium paying term of 15 years.

Cash Bonus (CB): It is a non-guaranteed benefit payable every year at each policy anniversary after the premium paying term along with the Money Back benefit. Cash Bonus will be based on the performance of the par fund and will be payable till maturity or death, whichever is earlier.

Death Benefit

For Life Assured with entry age below 5 years For minor lives, where the entry age is below 5 years, in case of death during the 1 year and 11 months from the date of commencement of the policy, the company will pay 105% of total premiums paid till date of death. After completion of 1 year and 11 months from the commencement of the policy, the death benefit would be as per the benefit offered for Entry Age of 5 years and above. For Life Assured with entry age of 5 years and above

Before end of PPT: Sum Assured on Death Plus accrued reversionary bonuses After end of PPT: Sum Assured on Death

Where, the Sum Assured on Death at any time during the policy term is higher of the following: • 11 times of the Annualized Premium • Minimum guaranteed Sum Assured on Maturity

Eligibility and other condition restrictions in edelweiss tokio life cash flow.

Protection Plus Plan Minimum Maximum Sum Assured (in Rs.) 200,000 No Limit Annual Premium (in Rs.) 9,835 No Limit Policy Term (in years) 100 years less age at entry of the life insured Premium Payment Term (in years) 10/15/20 25 Entry Age of Life Insured (in years) 91 days 55 Age at Maturity (in years) 100 Payment modes Annual, Semi-Annual and Monthly

Others benefits of edelweiss tokio life cash flow protection plus Reduce paidup benefits

If all the premiums have been paid for at least three consecutive years then the policy will not lapse and continue as a ‘Reduced Paid-up’ policy and all the benefits shall be reduced proportionately.

All the benefits will be multiplied by a paid up factor, where paid- up factor is as below:

Paid-up factor = (Number of premiums paid/ Number of premiums payable)

On the policy being paid-up, the benefits are as follows:

1) Reversionary and Cash Bonus No further bonus (reversionary and cash) will be declared for that policy. The reversionary bonuses that have been declared so far, and if not paid earlier, will be protected and paid on death or at the end of premium paying term, whichever is earlier.

2) Money Back

Money back will continue to be paid as in-force policy. However, the amount of money back will be based on Paid-up Sum Assured on Maturity where Paid-up Sum Assured on Maturity = Sum Assured on Maturity * Paid-up factor

3) Death Benefit

On death of a life assured, after the policy getting paid-up, the beneficiary will receive:

Before the end of premium paying term: • 100% of Paid-up Sum Assured on Death PLUS • Accrued bonuses declared till the policy gets paid-up

After the end of premium paying term: • 100% of Paid-up Sum Assured on Death

Paid-up Sum Assured on Death = Sum Assured on Death * Paid-up factor

Life insurance ultima Edelweiss tokio life wealth ultima  It is a Unit Linked Insurance Plan  Plan comes with a unique investment strategy to accumulate, preserve and utilize wealth  Life Cover: This product provides life cover which gives a lump sum amount to the beneficiary

in case of unfortunate demise of the Life Insured.  Little Champ Benefit: In case of unfortunate demise of the Policyholder, the policy shall

continue and the child receives the Policy benefits as planned

Benefits you get from edelweiss tokio life wealth ultima Maturity Benefit Fund value is payable on survival of life insured till the end of policy term. Policyholder also has the option to receive the maturity proceeds in lumpsum or in instalments through Settlement Option.

Death Benefit

For entry age of Life Insured is 1 year or more, death Benefit payable is the sum of: Highest of: 1. Fund Value; or 2. Sum Assured less relevant Partial Withdrawals #; or 3. 105% of total premiums paid

AND

Highest of: 1. Top-up Fund Value; or 2. Top-up Sum Assured; or 3. 105% of total Top-up Premiums paid

Enhancing your fund value This plan has 3 types of additions in the fund which enhance your fund value and reduce the total cost:

a. Loyalty Additions: Rewards you for continuously paying your premiums b. Guaranteed Additions: Rewards you for staying invested c. Booster Additions: Ensures effective growth of your fund value Longer your policy term, higher will be the additions to your fund Eligibility conditions and other restrictions in edelweiss tokio life wealth ultima

Policy Term Minimum

10 Years 5-6 PPT: 70 minus age at entry (Only Option 1 is available)

Maximum

7 PPT and above: 100 minus age at entry (Both Option 1 & Option 2 are available)

Addition under edelweiss tokio life wealth ultima

Additions in the Fund: These additions help in enhancing your fund value and thereby reducing the total cost under the plan. This plan has three kind of additions in the fund as mentioned below:

a) Guaranteed Additions: Guaranteed Additions will be added to the Fund Value at the end of every Policy Year, starting from the end of sixth Policy Year till the Maturity Date of the policy. Each Guaranteed Addition will be 0.25% of average of daily Fund Value of last 12 months. Guaranteed Additions will be added even if the policy is reduced paid-up, is in revival period but not in Discontinued Fund. In case of revival of policies from Discontinuance Fund no additions will made in respect of past policy anniversaries.

b) Loyalty Additions: Loyalty Additions will be added to the Fund Value at the end of every Policy Year, starting from the end of sixth Policy Year till the end of the Premium Paying Term, provided all the Premiums which have fallen due for that Policy Year have been paid. Each Loyalty Addition will be 0.15% of average of daily Fund Value of last 12 months. No Loyalty Additions will

be added for policies with 5 year PPT. Loyalty Additions will be added in the sixth policy year for one year (i.e. sixth policy year) for policies with 6 year PPT, provided all the premiums which have fallen due have been paid for that policy year. For a Policy which is Reduced Paid-up, is in revival period or is in Discontinuance Fund, Loyalty Additions will not be added. In case of revival of policies no additions will made in respect of past policy anniversaries.

c) Booster Additions: Booster Additions will be added to the Fund Value at the end of every fifth Policy Year starting from end of 10th Policy Year till the Maturity Date of the Policy. Each Booster Addition will be a percentage of average of daily Fund Value of last 60 months

Other benefits and details under edelweiss tokio life wealth ultima 1. Unlimited free switches between funds: If you have chosen Self-Managed Strategy, you can move money between the funds depending on your financial priorities and investment outlook. This facility is called switching and is available free of cost. Minimum amount per switch is Rs. 5,000. In case your current Investment Option is any of the STPs, switching facility is not available.

2. Premium Redirection: If you have chosen Self-Managed Strategy, you can choose to allocate future premiums including Top-up Premiums in fund(s) different from that/those selected at policy inception or previous premium redirection request. This facility is called premium redirection and is available free of cost. The premium redirection notice should be given to the Company in writing at least two weeks’ prior to the receipt of relevant premium.

3. Partial Withdrawals: You may withdraw a part of your fund value as per your liquidity requirements at any time after the completion of the fifth Policy Anniversary Year, subject to following conditions:

a) Provided the Life Insured has attained an age of 18 years. b) Partial Withdrawals will be first adjusted from the Top-Up Fund Value (which excludes the Top-Up Premium locked in for 5 years), if available and then from the Policy Fund Value. There is a lock-in period of five years for each top up premium from the date of payment of that top up

premium for the purpose of partial withdrawals. c) Minimum amount that can be withdrawn is Rs. 500 per withdrawal. d) You can make unlimited number of partial withdrawals as long as the resultant Fund Value after payment of such partial withdrawal is greater than or equal to 105% of total premiums paid (Including Top-up Premiums). e) The partial withdrawals will not be allowed which would result in termination of a contract. f) The partial withdrawals are free of cost.

4. Top-up premiums: You can invest your surplus money as Top-up Premium over and above the Premium subject to following conditions: 1. Top-up premiums are allowed at any time during the policy term, except in the five years prior to the maturity date and only if all the due premiums have been paid at the time of making the top-up premiums. 2. Each Top-up premium will be invested in separate Top-up account with a 60 months’ lockin period from the payment date. 3. At any point of time during the Policy Term, the total top-up premiums paid shall not exceed the sum total of the base premiums paid to date. 4. The Sum Assured on Top-up Premium shall be based on the age at payment of Top-up premium but not on the age at entry of the Life Insured. 5. Surrender Benefit: At any time during the Policy Term, you can choose to surrender the Policy • If the surrender request is received before the completion of first 5 policy years, the fund value net of discontinuance charge shall be credited to the discontinued policy fund. Thereafter the treatment will be as mentioned under ‘Treatment of Policy while in Discontinuance Policy Fund’ and ‘Policy Revival’ section. If the policy is not revived the Discontinued Policy fund value shall be payable at the end of 5th Policy year. • If the surrender request is received after the completion of first 5 policy years, the policyholder shall be entitled to the fund value and policy will terminate.

Chapter 2 Research methodology Research always starts with a question or a problem. Its purpose is to question through the application of the scientific method. It is a systematic and intensive study directed towards a more complete knowledge of the subject studied. Marketing research is the function which links the consumer, customer and public to the marketer through information- information used to identify and define marketing opportunities and problems generate, refine, and evaluate marketing actions, monitor marketing actions, monitor marketing performance and improve understanding of market as a process. Marketing research specifies the information required to address these issues, designs, and the method for collecting information, manage and implemented the data collection process, analyses the results and communicate the findings and their implication. I have prepared our project as descriptive type, as the objective of the study demands the answers of the question related to find the customers perception about life insurance product and popularity of ULIP in present scenario.

SAMPLING METHOD AND SAMPLE SIZE:Introduction:To get final conclusion of my research study and to know customer perception about life insurance product I need to conduct a survey. To full fill my objective I made questionnaires to collect primary data. I have gathered secondary data and primary data and collected information from the combination of these two data.

Primary data: I have taken great care while collecting primary data to answer that it is relevant, accurate, current and unbiased. I have taken a sample of 100 people. I have visited them personally to get data.

Secondary data: -

Secondary data consist of information that already exists somewhere, having been collected for another purpose. I have gathered secondary data from website of different operators, different magazines, newspapers and libraries.

Sample size: I have taken sample size of 100 respondents. Because the population is too large so it is difficult to survey. The Marketing Research Process: As marketing research is a systemic and formalized process, it follows a certain sequence of research action. The marketing process has the following steps: ● Formulating the problems ● Developing objectives of the research ● Designing an effective research plan ● Data collection techniques ● Evaluating the data and preparing a research report In order to accomplish this project successfully following steps have been takenStep-1 Preparation 1. Introduction: the research process 2. Approaches to research 3. Planning and designing research projects 4. Using the literature 5. Secondary data sources. Step-2 Approaches to Data collection 6. Observation 7. Qualitative methods 8. Questionnaire surveys 9. Experimental methods 10. Sampling and its implications

Step-3 Analysis 11. Analyzing secondary data 12. Survey analysis 13. Statistical analysis 14. Qualitative analysis Step-4 Reporting 15. Reporting research results

OBJECTIVE OF THE PROJECT ● To know customer perception about benefits of life insurance plus+ plan ● To know reasons from customer for purchase of life insurance products. ● To know the popularity of ULIP in present scenario. ● To know investment concern of investors. ● To know investment portfolio of investors. ● To know which product of Bharti Axa Life or Edelweiss tokio life insurance will customer like most. ● To know satisfaction level of customer. ● To know market share of Bharti Axa Life Insurance Company Ltd and Edelweiss tokio life insurance

SCOPE The scope of the study lies in finding out the perception of customers about the BENEFITS OF BRIGHT STARS PLUS highlighting the key areas which acquire some concern of the BHARTI AXA LIFE INSURANCE COMPANY LIMITED and improving upon which company may strengthen its customer base. The present study, analysis, findings and suggestions proposed by the present researcher will be of immense use for future researcher with similar studies in insurance market and only 50% of people are aware about the EDELWEISS TOKIO LIFE INSURANCE AND EVEN ABOUT THE PLUS PLAN

Hypothesis H (I)

H (II)

Chapter 3 Literature review Today maximum number of people have the knowledge of insurance and its benefit as a result the urban population got more attention and it led to good insurance penetration in urban area as well as rural area also. Maximum policy holders have cordial relationship with agents and policy holders are interested to recommend the policy for their friends & relatives. find in their present study researcher believe that for enhanced customer satisfaction and better services quality, the customer centric delivery mechanism of insurance services supported by eCRM technologies play a significant role in customer delight movement .And also believed that the service providers positive frame of mind and respect for their clients would delight the customers of life insurance sector of India. Arjun stated that protection is the main purpose of buying an insurance policy. Only 6.3% of the respondent faced problems. And 56%of the respondents are ready to buy new insurance plans from the same company. Laxshmi rajaram observe that proper implementation would not only ensure increased customer satisfaction but also help in acquiring new customers at same time retaining the old customer. Improved customer satisfaction would also result in positive world of mouth and consequently better customer acquisition and retention. A large number of respondent have got inured themselves for life coverage and for future contingencies. LIC has got the maximum 93% market share among various life insurance players. Most of the respondents were found to be satisfied with performance of the insurance companies. People stressed that the importance of adaptation measures to attract insurance companies towards offer in catastrophic risk insurance and disaster insurance at affordable prices. The article entitled managing insurance managing agent pointed out that only quality agent can sale insurance product in market.

people stated that, the art of building a relationship stressed that only post sale service help in capturing more customers. People find that life insurance advertisement on TV will be more effective if they have emotional appeals has better influence. It is more socially oriented. Ravi kumar Sharma he observed that LIC has higher brand awareness. LIC agents are more effective than other private insurance agents. Rural people have less faith in private players. Dobhal stated that media had traditionally played little part in influencing decisions, but today there is a growth and shift from print to television. Matienzo peter stated that selling of insurance is more effective when a blend of personal involvement is added to it. Value added practices such as ringing the clients telephone on his birthday or sending a gift. Also providing some value added service to client such as providing information and expert comments on other areas not related to the profession helps. Tandonet reported that majority of the respondents have a positive attitude towards advertisement in general. They have clearly indicated that advertisement has a useful role to play in the society. B.K.S.Parkesh Rao and B.H.Venkateswara Rao stated that the establishment of microbranches and the appointment of specialized insurance agents in rural areas help policy holders to market different insurance product.

Chapter 4 Data Interpretation Q.1 Occupation