5 min read
Updated on Mar 07, 2023
Unit Linked Insurance Plans, popularly called ULIP, is one of the most effective and trustworthy investment instruments these days for saving tax. It comes with growth in wealth and life insurance protection. One of the advantages of ULIP that sets it apart from all the other investment tools is the tax-saving benefit option that is available due to flexibility. This is an investment plus insurance tool in which the policyholder gets life cover as part of the investment plan. This is a consistent option that helps in fulfilling the wealth creation goals in the longer run. One of the reasons for this is the combination of tax savings, returns, and insurance.
Although more popular for its short lock-in period and better returns, ULIP is also getting attention for saving taxes. Let us try to find some of the things that you should know about ULIP tax benefits.
Read More: Beginner’s Guide to ULIPs and Their Benefits
Now that we know the tax benefits that come along with ULIP, let us also discuss the features as well as benefits of ULIPs.
Also Know: 11 ULIP Charges You Should Be Aware Of
Mentioned herein below are some of the best ULIP plans that you can come across.
|Company name||Name of plans||Minimum age||Minimum premium|
|Life Insurance Corporation of India||LIC Endowment Plus||90 days – 50 years||INR 3,000|
|HDFC Life Insurance||HDFC Life ProGrowth Plus||14 – 65 years||INR 2,500|
|HDFC Life Insurance||HDFC Click 2 Wealth||30 days – 60 years||INR 3,000|
|SBI Life Insurance||SBI Life Wealth Assure||8 – 60 years||INR 4,166|
|ICICI Life Insurance||ICICI Pru Signature||30 days – 60 years||INR 5,000|
|Bajaj Allianz Life Insurance||Bajaj Allianz Future Gain||1 – 60 years||INR 2,500|
You can check out some other Unit Linked Insurance Policies online and make a selection basis your financial goals and financial cover sought.
Also Read: Unit-Linked Insurance Plans (ULIP): Top Benefits and Advantages of Investing in ULIP in 2023
Browse PayBima Blogs to read interesting posts related to Health Insurance, Car Insurance, Bike Insurance, Term Life Insurance, and Investment section. You can visit PayBima to Buy Insurance Online.
The full form of ULIP is Unit Linked Insurance Plan. A ULIP is an insurance plan that offers the dual benefit of investment to fulfil your long-term goals, and a life cover` to financially protect your family in case of an unfortunate event.
ULIPs provide the flexibility of premium payment. You have the option to move your money between equity and debt funds. ULIPs allow you to withdraw a part of your money whenever you need it. You can also choose where to invest, depending on your risk appetite.
ULIPs have a lock-in period of 5 years, before which you cannot withdraw your investments. Even if you surrender your ULIP within 5 years, withdrawal would have to wait until the lock-in period is over. Most insurers will offer you free switches of your funds up to a certain point.
Since SIPs help you invest in mutual funds or ELSS (Equity-Linked Saving Schemes) regularly, they allow you to grow your wealth steadily over a long period of time. In this regard, ULIPs offer an additional benefit. You can get life insurance cover, as well as enjoy the benefits of an investment.
PayBima is an Indian insurance aggregator on a mission to make insurance simple for people. PayBima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. PayBima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.
Senior Citizen Savings Scheme (SCSS) commonly known as SCSS is a government backed savings option for elderly citizens of India. Let us understand this well-designed.
Fixed deposit (FD) is an investment option that allows an investor to invest funds for a fixed tenure to earn good returns at fixed rate.
The best thing about investing in a Fixed Deposit is that it is a risk-free product that helps investors to earn good returns. You can.
Have you ever come across a situation where your family members started convincing you to open an RD account since you are financially independent now?.
Fixed Deposit (FD) is a secured investment option that allows the investor to gain guaranteed returns. However, there are occasions you may have to withdraw.
If you want to calculate the income tax to be paid on your salary, you have to understand the tax laws and tax jargon. This.
Old age is the time when people face greater challenges in life which get worse due to the financial crisis. Hence, saving in advance to.
Bank of India (BOI) is a reputed name in India’s banking sector and offers a wide range of products and services to its customers. In.
Goods and Services Tax was introduced in India in 2017 and it soon made headlines. The reform touched almost all sectors as well as the.
When it comes to securing your family monetarily after you are gone, you can trust life insurance policies by LIC for sure. In this post,.
Speak to our advisor
Corporate Office : Mahindra Insurance Brokers Ltd ( A Mahindra Group Company ) Sadhana House, Ground Floor, 570 P. B. Marg, Behind Mahindra Towers, Worli, Mumbai 400018.
Licenced by IRDAI License No. 261; License Validity : 17-05-2025; Category : Composite Broker; CIN : U65990MH1987PLCO42609 Member of Insurance Brokers Association of India (IBAI).
Insurance is the subject matter of solicitation.
For a seamless experience, use the latest version of Chrome/Firefox/Internet Explorer.
Copyright © 2023 Mahindra Insurance Brokers. All Right Reserved.