Tata AIA Retirement Freedom Plan Review
The Tata AIA Life Insurance Freedom is a non-participating Endowment Plan. This plan may help you to enjoy your Life with early savings after Retirement. After Retirement, Life is not only about Medicine, Money and health but also to live their dreams. For those people, the Tata AIA Life Insurance proposed a Plan called Tata AIA Life Insurance Freedom. The People who want to spend their life after retirement with golfing, gardening, and going on trips can do it now very easily. So know the details of Tata AIA Retirement Freedom Plan given below.
Tata AIA Life Insurance Freedom Plan Benefits
The Tata Life Insurance Freedom Policy have the following benefits. They are
- Survival Benefit.
- Maturity Benefit.
- Bonus.
- Death Benefit.
Survival Benefit:
The accrued Guaranteed Additions equal to 10% pa of Annualised premium to the policy at the starting of each policy year till the premium payment term of the policy provided, and all the due payments are Paid then the Survival Benefit will be Payable at the time of beginning of last policy year or on early Death or Policy Surrender.
Maturity Benefit:
“Guaranteed Sum Assured on Maturity” is equal to Basic Sum Assured. The Guaranteed Sum Assured on Maturity x (No of premiums paid)/ (No of premiums payable, during the entire policy term) along with vested Compounded Reversionary Bonus plus Terminal Bonus, if any, shall be payable as Maturity Benefit.
Bonus:
- Compound Reversionary Bonus (CRB): The Compound Reversionary Bonus will accrue every year from the 1st policy anniversary provided the policy is in force. The accrued CRB will be payable on the death or maturity or surrender of the Policy.
- Terminal Bonus: The Terminal Bonus will be a percentage of the Basic Sum Assured of the Policy. And it will be payable to the Policyholder/ Nominee on the death or Surrender or maturity of the Policy provided at least 7 full annual premiums have been paid.
Death Benefit:
In case of Unfortunate Death of the Life Assured during the Policy term an Assured Death Benefit of 105% of Total Premiums Paid as on date of Death of Life Assured and 11 times annualised premiums.
Key Features of Tata AIA Life Retirement Freedom Policy
- Tata AIA Retirement Freedom Plan is a non-participating Endowment Plan.
- It provides Guaranteed Additions of 10% p.a. of annualised premiums throughout the premium payment term.
- Through compounded Reversionary Bonuses, Grow your Retirement corpus.
- The Tata AIA Freedom Plan can choose from two Retirement Plan Options as Option 1: 55 years and Option 2: 60 years.
- The Optional Rider for added protection.
- Lower premium rates for female insured.
- Boost your corpus with our Guaranteed Additions.
- Decide when you want to retire.
- Optional Rider to enhance your plan.
- The growth of your corpus through Bonuses.
- Guaranteed Additions and Bonuses will be Payable along with the Vesting & Death Benefits.
- The Grace Period of one month but not less than 30 days will be allowed for yearly, half-yearly, quarterly modes and 15 days for the monthly Mode of Premium Payment.
- The Policyholder can Surrender his Policy at any time during the Policy Term after acquiring a Surrendered Value.
Tata AIA Life Insurance Freedom Policy Eligibility Criteria
For Retirement Option 1: 45 years.
For Retirement Option 2: 50 years.
| Minimum entry age of Life Assured | 25 years (Last birthday) |
| Maximum entry age of Life Assured | |
| Maximum maturity age | For Retirement Option 1: 55 years.
For Retirement Option 2: 60 years. |
| Policy Term | Minimum: 10 years.
Maximum: For Retirement Option 1: 30 years For Retirement Option 2: 35 years |
| Premium Payment Term | For Policy Term 10 to 14 – 7/10 years.
For Policy Term 15 and above – 7/10/15 years. |
| Payment Mode | Annual, Semi-Annual, Monthly. |
| Minimum Basic Sum Assured | 2,00,000 (in multiples of 1,000). |
| Maximum Basic Sum Assured | Based on underwriting limit. |
| Minimum Premium | As per Minimum Sum Assured. |
Terms and Conditions/ Other Features of Tata Life Freedom Plan
Surrender Value:
The Policyholder can surrender the Tata AIA Freedom policy at any time during the term of the policy, provided at least first full year’s premium has been paid. The surrender value payable is higher of the Guaranteed Surrender Value (GSV) or Special Surrender Value (SSV).
1. Guaranteed Surrender Value:
The Guaranteed Surrender Value Factor varies according to the policy term and the Surrender policy year.
Guaranteed Surrender Value= (Total Premiums Paid x GSV factor for premium) + (vested Compound Reversionary Bonus, if any + accrued Guaranteed Additions) x GSV factor for Compounded Reversionary Bonus and Guaranteed Additions.
2. Special Surrender Value:
The Special Surrender Value will be calculated as follows
In case of In-force policies:
Special Surrender Value= Special Surrender Value Factor x (Basic Sum Assured x (No of premiums paid)/ (No of premiums payable, during the entire policy term) + Accrued Guaranteed Additions +Vested Compound Reversionary Bonuses, if any + Terminal Bonus, if any).
In case of Reduced paid up: Special Surrender Value Factor2 x (Reduced
Special Surrender Value Factor2 x (Reduced Paid-up Sum Assured + Accrued Guaranteed Additions+ Vested Compound Reversionary Bonuses + Terminal Bonus, if any).
Tata AIA Freedom Retirement Plan Premium Calculator
With the help of Tata AIA Life Insurance Premium Calculator, you can easily calculate the Premium amount, Death Benefit, Maturity Benefit, Survival Benefit, Rider and other factors of Tata Freedom Plan. To calculate the premium amount you need to enter some values such as Policy period, Age and Sum assured, etc.
Tata AIA Life Insurance Freedom Policy Buying Procedure
To buy this Tata AIA Life Insurance Freedom Plan, you need to visit the nearest Tata AIA Life Branch or the official website. Buying or paying premium through online is the easy way than doing it in offline. The documents required to buy a new Tata Life Insurance Retirement Freedom Plan are
- Application form/ Proposal form along with the photo.
- Address proof.
- Date of Birth certificate.
- Medical reports (if required).
Tata AIA Insurance Freedom Policy Claim Procedure
For claiming the Tata AIA Life Insurance Freedom Plan, you may visit the nearest Tata AIA Life Branch. And can also visit the Tata AIA Life official website. Claiming for a benefit through online is the easier way than doing it in offline. The documents required for the Claim Process given below
- NEFT Form.
- Discharge Form.
- Cancel check or Bank Passbook xerox.
- Policy bond.
- Death certificate.
Additional Information on Tata AIA Life Freedom Plan
Modal loading:
- Annual Premium Rate: No loading
- Semi-Annual Premium Rate: Multiply Annual Premium Rate by 0.51.
- Monthly Premium Rate: Multiply Annual Premium Rate by 0.0883.
- Increase / Decrease in Basic Sum Assured is not allowed.
Riders: Special Rider is available under this Policy.
- The Tata AIA Life Insurance Accidental Death and Dismemberment Rider (Long Scale) (ADDL) Rider (UIN: 110B028V01).
Policy Revival: If you have not paid any premiums within the grace period, then the policy will lapse. That lapsed policy may revive during the lifetime of the policyholder, but within a period of 2 consecutive years from the date of first unpaid premium and before the maturity date.
Grace Period: In case you have missed paying your premium by the deadline, the Grace Period will allow in one month but not less than 30 days for yearly, half-yearly, quarterly modes and 15 days for the Monthly Mode of Premium Payment.
In the case of Policyholder death during the Policy grace period, then your policy will be in force and will pay the Death Benefit as defined in the benefits section.
Cooling-Off Period (Free Look Period): You may return the policy to the corporation within 15 days from the date of the receipt of the policy in case of dissatisfaction with policy conditions and terms.
Get more information about Tata AIA Freedom Retirement Plan
Policy Loan:
In Tata AIA Life Insurance Freedom, the Policy Loan is available provided policy acquires Surrender Value. So you can apply for the policy loan for an amount within the extent of 65% of the Surrender Value.
Suicide Clause/ Exclusion:
If the life insured commits suicide at any time within 12 months from the commencement of risk, then the TATA AIA Life company will not allow any claim under this Tata AIA Life Insurance Freedom Plan. Instead, he/ she will return to 80% of premiums he paid excluding all taxes and extra premium if any.
Taxes: Taxes including Service Tax (if any) shall be applicable as per the Tax Laws.
Assignments/ Nominations: As per section 39 of Insurance Act, 1938, at the proposal stage a nomination can make in the policy. As per section 38 of Insurance Act, 1938, on a subsequent assignment, the notice of assignment or change of nomination should submit to the corporation for registration.
FAQs on Tata AIA Life Freedom Plan?
1. Can I have Loan Facility under this Tata AIA Life Insurance Freedom Plan?
Ans: Yes, Loan Facility is available under this Plan. You can apply for the policy loan for an amount within the extent of 65% of the Surrender Value.
2. Are any Riders available under the Tata Life Insurance Retirement Freedom Plan?
Ans: Yes, A Special Rider is available under this Plan, i.e., Accidental Death and Dismemberment Rider (Long Scale) (ADDL) Rider (UIN: 110B028V01).
3. What is Cooling-off Period/ Free Look Period of the Tata AIA Freedom Policy?
Ans: You have the 30 Days of Cooling-off Period to return the Tata AIA Life Freedom Retirement Policy. If you are not satisfied with the Terms and Conditions of this Policy, you can return your Plan within Free-look Period.