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Difference between revisions of "Unit Linked Insurance Plans"
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A bit of study will usually allow you to pick a good [[Term Insurance]] and a good [[Mutual Funds]] scheme at a cost less than that of a ULIP. | A bit of study will usually allow you to pick a good [[Term Insurance]] and a good [[Mutual Funds]] scheme at a cost less than that of a ULIP. | ||
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| + | ==Surrender ULIP after 5 years? or in between?== | ||
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| + | Better to stop after completing of 5 years so that you do not lose anything. | ||
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| + | Before stopping an insurance policy, ensure you apply and get accepted with a pure life cover policy. | ||
| + | ==Examples of ULIP products== | ||
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| + | *Bajaj Allianz Life Future Wealth Gain | ||
| + | *HDFC Life Click 2 Invest | ||
| + | |||
==Related Topics== | ==Related Topics== | ||
*[[Introduction to Insurance]] | *[[Introduction to Insurance]] | ||
Latest revision as of 20:52, 11 September 2018
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Unit Linked Insurance Plans (ULIP) offers a mix of insurance and investment in a single policy.
Hence, by paying a single premium, you will get both insurance cover and also invest in the underlying schemes which help you create wealth.
Unfortunately, this might not be the right tool for everyone.
Studies have shown that when insurance and investments are mixed, the investor will not be that successful with either of the domain.
Either the insurance cover would be low, or returns would be poor or in worse scenarios, both.
Hence, in general, it is better not mix both.
A bit of study will usually allow you to pick a good Term Insurance and a good Mutual Funds scheme at a cost less than that of a ULIP.
Surrender ULIP after 5 years? or in between?
Better to stop after completing of 5 years so that you do not lose anything.
Before stopping an insurance policy, ensure you apply and get accepted with a pure life cover policy.
Examples of ULIP products
- Bajaj Allianz Life Future Wealth Gain
- HDFC Life Click 2 Invest
Related Topics
- Insurance