ChatGPT
Claude
Perplexity
Introduction
Bandhan Life iInvest Ultima Plus (UIN: 138L099V01) is a unit-linked insurance plan (ULIP) from Bandhan Life Insurance Limited. It provides life cover and allows you to invest in market-linked funds for the long term. At maturity, you receive the Total Fund Value. If you die during the term, your family receives the higher of the fund value or the sum assured.
You bear investment risk in a ULIP, and fund values are not guaranteed. Read the details below before you decide.
Bandhan Life iInvest Ultima Plus at a Glance
| Feature | Details |
|---|---|
| Entry age | 3 months to 60 years (65 for Single Pay) |
| Maturity age | 18 to 75 years |
| Policy term | 10 to 40 years, in multiples of 5 |
| Premium payment | Single, Limited (5, 7, 10, 15 or 20 years) or Regular (same as policy term) |
| Minimum premium | ₹18,000 yearly, ₹9,000 half-yearly, ₹4,500 quarterly, ₹2,250 monthly, ₹50,000 single |
| Sum assured | 10 to 20 times annualized premium (1.25 times for Single Pay) |
| Top-up | From ₹5,000, with cover of 1.25 times the top-up |
| Lock-in | 5 years |
| Loan | Not available |
Who Should Consider This Plan?
This life insurance plan suits you if you want life cover and long-term investing in one policy, can pay premiums for 10 years or more, and are comfortable with market risk. It is not right if you may need the money within 5 years or want guaranteed returns.
Features and Benefits
Key Features
- Life cover with investment: Part of your premium provides life cover; the rest is invested in market-linked funds.
- Choice of funds: Pick from 10 funds yourself (Self-Managed) or let the Lifestyle strategy move you from equity to debt as maturity nears.
- Free fund switches: Switch between funds as often as you like at no charge. Switch between the two strategies once a year, free.
- Flexible premium and term: Policy term of 10 to 40 years, and single, limited, or regular premium payment.
- Top-ups: Add extra money anytime except the last 5 years. Each top-up has its own 5-year lock-in.
- Partial withdrawal: After year 5, minimum ₹5,000 and maximum 20% of Total Fund Value in a year. Keep at least 2 years of premium in the base fund.
- Premium reduction: After year 5, you can reduce premium by up to 50%. It cannot be raised again.
- Settlement option: Take maturity money in instalments over up to 5 years instead of a lump sum.
- Optional rider: The Linked Enhanced Accidental Death Benefit Rider (UIN: 138A031V01) pays up to 3 times the base sum assured on accidental death within 180 days of the incident. It costs extra.
Key Benefits
Death benefit: The claimant gets the higher of the Base Fund Value or the base sum assured on death, plus the top-up death benefit if any. The base sum assured on death is the higher of the sum assured and 105% of premiums paid.
Maturity benefit: You receive the Total Fund Value as a lump sum, or in instalments over up to 5 years using the settlement option.
Return of mortality charges: Mortality charges deducted from your fund are added back, starting at the end of the 15th policy year and every 5 years after. Any balance is returned at maturity.
Return of allocation charges: At the end of the 15th year, 2.5 times the allocation charges you paid are added back to your fund, where applicable. Top-up charges are not refunded.
Loyalty additions: Extra units are added at the end of year 10 and every 5 years till maturity. The amount is a percentage of your average fund value over the last 36 months.
| Policy year | 10 | 15 | 20 | 25 | 30 | 35 | 40 |
|---|---|---|---|---|---|---|---|
| Annualized premium below ₹2.5 lakh | 0.50% | 0.50% | 1.00% | 1.25% | 1.75% | 2.00% | 2.50% |
| ₹2.5 lakh or more | 1.00% | 1.00% | 1.75% | 2.50% | 3.25% | 4.00% | 4.75% |
Women's discount: Female lives get 0.50% off the premium allocation charge.
Example
Mr. Ravi, 35, pays ₹2,50,000 a year for 15 years with a 25-year policy term and ₹25 lakh sum assured, all in the Opportunity Fund. He pays ₹37.5 lakh in total.
| End of year | Fund value at 4% p.a. | Fund value at 8% p.a. |
|---|---|---|
| 10 | ₹27,53,034 | ₹34,26,447 |
| 20 | ₹53,83,405 | ₹89,38,580 |
| 25 | ₹62,66,500 | ₹1,25,49,433 |
Fund Options
You can choose between two strategies.
Self-managed: Spread your money across any of 10 funds and switch between them for free, as often as you like.
| Fund | Risk | Equity share | FMC p.a. |
|---|---|---|---|
| Blue Chip Equity, Accelerator, Opportunity | High | 80–100% | 1.35% |
| Flexi Cap | Very High | 65–100% | 1.35% |
| Mid Cap, Multi Cap | Very High | 80–100% | 1.35% |
| Stable | Moderate | 20–80% | 1.35% |
| Debt | Moderate | 0% | 1.10% |
| Secure | Low | 0% | 1.00% |
| Liquid | Low | 0% | 0.50% |
Charges in Bandhan Life iInvest Ultima Plus
| Charge | What you pay |
|---|---|
| Premium allocation (non-online) | Annual mode: 12%, 4.5%, 4.5%, 4%, 4% in years 1 to 5, then nil. Other modes: 9%, 4.5%, 4.5%, 3%, 3%, then nil. Online purchase: nil. |
| Fund management | 0.50% to 1.35% p.a., depending on the fund |
| Policy administration | 0.085% a month in years 1 to 5, 0.20% a month in years 6 to 20, then nil. Capped at ₹500 a month. |
| Mortality | Deducted monthly, based on age and sum at risk |
| Discontinuance | Only in years 1 to 4. Up to 20% of premium in year 1 for annualized premium up to ₹50,000, falling to nil from year 5. |
If You Stop Paying or Want to Exit
- Grace period: 15 days for monthly mode, 30 days for others. Cover continues.
- Before year 5: The fund moves to a Discontinuance Fund and cover stops. You receive the money after the lock-in ends. You can revive within 3 years.
- After year 5: The policy becomes reduced paid-up. You can revive it within 3 years or surrender.
- Free-look: You can cancel within 30 days of receiving the policy.
- Suicide: Within 12 months of start or revival, the nominee gets the Total Fund Value, not the full sum assured.
Conclusion
Bandhan Life iInvest Ultima Plus works best if you want life cover and long-term investing in one policy and can stay invested for 10 years or more. Most benefits, such as return of charges and loyalty additions, come in later years. It is not a fit if you need guaranteed returns, a loan, or access to your money within 5 years. Read the sales illustration and policy document before you buy, or talk to a PolicyX advisor.
