Insurance  
You are here: Home » Consumer Finance » Insurance
Indiabulls Insurance
 
Smart Invest TM Pension


Unit Linked Pension Plan that helps you build a secure and worry free future for the golden years of your life.

The SMART InvestTM Pension Plan is a comprehensive investment linked pension plan to meet your post retirement financial needs, ensuring you complete peace of mind. In this pension plan, you can invest your premium moneys in our various funds that offer investments of different types; with different combinations of debt and equity assets ranging from potentially high risk - high returns to potentially low risk - low returns to match your requirements. Also, as we understand that the portfolio risk should reduce as you near your retirement to conserve the corpus from any unnecessary erosion, hence SMART InvestTM Pension offers the “Dynamic Fund Allocation” feature at no extra cost. This feature enables your money to automatically get invested basis the years left for your retirement date as chosen by you and frees you from the worry of switching your money manually from one fund to another. . The unit linked plans are different from traditional plans and are subject to investment risk associated with capital markets and the NAVs of the units may go up or down depending upon the performance of fund.
 
HOW DOES THE PLAN WORK?

SMART InvestTM Pension Plan is the accumulation part of deferred annuity planning. Retirement planning primarily consists of two phases:

  • A Deferment period (during which you accumulate your savings) and
  • A Payout phase (during which you use these accumulations to buy an annuity from us or any other life insurance company of your choice).
    This product covers the accumulation part during deferment period, and at the time of vesting, option for Annuity product covers the payout phase. The Maturity Value of this plan can be used to subscribe to Annuity payout of your choice.

You can choose the accumulation period by selecting your age when you wish to retire, between the ages of 50 and 70 – period from Effective Date of Coverage till opted retirement age will be your Deferment Period.

During this Deferment period, you will be required to pay us an annual target premium (ATP) as chosen by you. After deducting applicable charges, the ATP will be allocated to your unit account to create units in the funds that you choose. You have the option to pay your ATP annually/semi-annually/ quarterly or monthly (in case of monthly mode of premium, we accept payment through direct debit only).

The policy will continue as long as the fund value is not below than one ATP. At any time the fund value of the policy is less than one ATP, policy will terminate and the surrender value (if any) will be paid.
 
ELIGIBILITY CRITERIAS

The under mentioned criteria’s need to be fulfilled by you to avail the benefits of SMART Steps™ & SMART Invest ™ Pension Plan:  

Criteria Eligibility
Entry Age (age as at last birthday) Between 18 to 60 years
Chosen Vesting (i.e. Retirement) Age Between 50 to 70 years
Deferment Period 10 years to 52 years
(Subject to minimum age on vesting of 50 years)
Minimum ATP Regular Pay - Rs. 10,000
Single Pay – Rs. 150,000

* Max New York Life Insurance Co Ltd is only the name of the insurance company and SMART InvestTM is only the name of the unit linked pension plan and does not in any way indicate the quality of the contract, its future prospects or returns.
 
KEY BENEFITS
 
  Attractive Returns
  Protection
  Liquidity
  Tax Benefits
  Flexible Investments
 

RETURNS-SMART InvestTM pension plan provides you competitive returns to secure the golden years of your life

 

 

On vesting, you can commute a maximum of 1/3rd of your maturity value, or such proportion of fund Value as permitted by the then prevailing laws, rules & regulations without attracting any tax.

The balance of the maturity value will be used to buy an Immediate Annuity either from us or from any other insurer approved by the IRDA. In case you decide to buy the annuity from us, under which, we will pay you a fixed periodic amount depending upon the option chosen by you – this amount is called the Annuity. The annuity options that you can choose from our: -

This annuity will be based on your age, the annuity option chosen by you and the applicable annuity rates prevalent at that time, and will be payable to you annually/ semi-annually/ quarterly/ monthly as per your choice.

  • Annuity for life
  • Annuity guaranteed for 5/10/15/20 years and for life thereafter
  • Life Annuity with Return of Annuity Purchase Price
 
PROTECTION- SMART InvestTM pension plan ensures that your hard earned funds are invested prudently effectively combating Inflation preserving your objective of a secure retirement

 

In case of your unfortunate death prior to vesting date, we will pay the value of units ( Fund Value) in your policy to your nominee(s).
   
LIQUIDITY- SMART InvestTM pension plan provides you easy liquidity for unforeseen expenses
 
   
Surrender: Incase of a Regular Pay you may surrender the whole (but not part) of this policy at any time after the completion of first policy anniversary, provided an amount equal to one ATP has been paid by you. In case of Single Pay the policy can be surrendered anytime. Upon Our receipt of Your signed request, this policy will immediately terminate, however, the surrender value if any shall be paid only after the completion of third policy anniversary.

{Please note that u/s 80CCC(2) of the Income Tax Act; surrenders are taxable as income in your hands}
Top
TAX BENEFITS- SMART InvestTM pension plan entitles you to tax benefits as under-
 
   

Tax benefit u/s 80CCC(1) of the Income Tax Act on an annual premium of up to Rs. 100,000/- available to you every year.
 
As per current tax laws, up to 1/3rd of your Fund Value on maturity, or such proportion of Fund Value as permitted by the then prevailing laws can be withdrawn in cash without attracting any tax.
Tax benefits are subject to change.
   
FLEXIBILITY- SMART InvestTM pension plan provides you flexible options for your changing needs
 
   
Invest more through Top-ups to match your cash flows: Subject to minimum of Rs 5000, You can invest unlimited money in your policy for your future through occasional top-ups at anytime post the policy commencement dates.
 
Flexibility to choose Premium Payment Option: In case the regular premium is opted for, the Annual Target Premium can be paid under any one of the following options:
 
 
  • Level Premium: Under this option, the Annual Target premium will remain unchanged, throughout the policy term.
  • Increasing Premium: Under this option, the Annual Target premium will increase by an amount equal to 5% of the initial ATP on each policy anniversary after the effective date of the policy to help you combat inflation & see your fund grow.
Flexibility to choose Deferment Period: You can choose your premium payment or deferment period based on your expected Retirement Age. Your deferment period will be the period from Effective Date of Coverage till opted retirement age and will be the period in which you build your Corpus for your post retirement needs. Except in the last policy year, you have the option to extend your deferment period by postponing your vesting age between 50 -70 years.

Flexible Investment: Depending on your risk appetite you have the flexibility to direct your investments in any one or more of the following five unit linked investment funds of the Company: SECURE, CONSERVATIVE, BALANCED, GROWTH and GROWTH SUPER. These funds invest in Fixed Income and equity assets as follows:
   
FUND SECURE FUND CONSERVATIVE FUND BALANCED FUND GROWTH FUND GROWTH SUPER
FUND
INVESTMENT TYPE

Government Securities

50-100% 50 - 80% 20 - 50% 0 - 30% 0-20%

Corporate Bonds (investment grade)

0-50% 0 - 50% 20 - 40% 0 - 30% 0-20%

Money Market Instruments / Cash

0-20% 0 - 20% 0 - 20% 0 - 20% 0-20%

Equities

NIL 0 – 10% 10 - 40% 10 - 70% 70-100%
 
   
Dynamic Fund Allocation: You may at the proposal stage opt for this feature, which ensures that your funds are managed in a predetermined manner suiting your risk profile. You may opt out this feature only once in the deferment period which will be effective from the next policy anniversary. Under this feature the fund percentages as specified in the table below will be maintained through automatic switching and rebalancing of funds as applicable, hence ensuring protection of your funds.
   
Years to Vesting Growth Super Fund Balanced Fund Secure Fund

0 - 10 years

20% 40% 40%

11 - 20 years

 40% 40% 20%

21 - 30 years

 60% 20% 20%

31 - 40 years

 80% 20% NIL

41 - 52 years

100% NIL NIL
   
Switch across funds: This plan allows you to switch between funds and allows you to change your risk return profile of your existing investments, safeguarding/increasing your investments for your retirement. The switch options we offer provide great flexibility such that money from one fund can be switched to multiple funds in a single switch. 6 Free switches are available to you in a Policy Year. Please note this facility is not available if you have opted for “Dynamic Fund Allocation”
   
Premium Re-Direction: This is the facility that allows you to modify the allocation of renewal premiums into a different investment pattern from the option exercised at the inception. 3 free re-directions are available to you in a policy year. Please note this facility is not available if you have opted for “Dynamic Fund Allocation”
   
 
For more details on risk factors, terms & conditions please refer to sales literature and policy document and read carefully before concluding a sale.
   
  In this policy the investment risk in investment portfolio is borne by the policyholder
Top

 Products
Life Partner PlusTM
Life Maker TM Premium
Life Maker TM Gold
Smart Invest TM Pension
Smart Steps TM & Smart Steps

TM Plus
Apply for Insurance