UTI-ULIP is an open-end tax saving cum insurance scheme. The investment objective of the scheme is primarily to provide returns through growth in NAV or through income distribution and reinvestment thereof. It is a unique product, which provides multiple benefits to its investors viz. Life Insurance Cover without any medical examination, Accident Cover up to Rs 50,000, tax benefits under Sec 80C of Income Tax Act, 1961, easy liquidity and ability to time investments for payment of renewal contribution.
To provide additional benefits to investors, UTI Mutual Fund has further enhanced the features of UTI-ULIP namely:
- Target amount increased from Rs 5 lakh to Rs 15 lakh.
- Flexibility to invest higher than the maximum target amount.
- Higher Insurance cover upto Rs 15 lakh.
- Fixed Term Cover introduced under the scheme.
- Choice given to investors for Fixed or Declining Term Cover.
Membership to continue even in the event of non-receipt of installment. Premium will be paid to Life Insurance Corporation of India by redeeming existing units.
To provide greater flexibility and easy convenience to investors, UTI Mutual Fund has introduced Monthly Systematic Investment Plan (SIP) under UTI ULIP.
The features of ULIP-SIP are as under:
Minimum SIP Installment :Rs 500 and in multiples of Rs 100
Minimum Target amount under 10 year Plan
Rs 60,000 and in multiples of Rs 12000
Minimum Target amount under 15 year Plan
Rs 90,000 and in multiple of Rs 18000
a. Under 10 year Plan: Between the age group 12 years-48½ years
b. Under 15 year Plan:Between the age group 12 years-42½ years
Entry Load : 2.25% ; Exit Load : 2% for premature withdrawal