Frequently Asked Questions

ADITYA BIRLA SUN LIFE INSURANCE

Assured Income Plus
A non - linked non – participating individual life insurance
savings plan

UIN: 109N127V05 December, 2021| V05.1

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Contents
............................................................................................................................................................................................................ 4
ABSLI Assured Income Plus – Summary ...................................................................................................................................... 4
1. What is ABSLI Assured Income Plus? .......................................................................................... 4
2. What are the significant features of ABSLI Assured Income Plus? ....................................... 4
3. What is the age criteria for this Plan? ........................................................................................... 4
4. What is the maximum maturity age applicable for the policy? ............................................... 4
5. What is the maximum age of proposer applicable for the policy?.......................................... 4
Plan Structure .................................................................................................................................................................................. 4
6. Are there any plan options/benefit options available in this plan? ....................................... 4
7. What is the minimum Sum Assured under this plan? .............................................................. 5
8. What is the Policy Term under this plan? .................................................................................... 5
9. What is the Benefit Payout Period available under this plan? ................................................ 5
10. Can the Benefit Payout Period be changed during the Policy Term? .................................... 5
11. Can Income Benefits under this plan be received semi-annually, quarterly, monthly? .... 5
12. Can the Benefit Payout Frequency be changed during the Policy Term? ............................. 5
Premium ............................................................................................................................................................................................ 5
13. What is the minimum premium under the plan? ....................................................................... 5
14. What is the Premium Payment Term under this plan? ............................................................. 5
15. Is there any additional benefit for higher premiums? .............................................................. 5
17. What are the different modes of payment available and is there any loading applicable
on any mode? ............................................................................................................................................... 5
Benefits .............................................................................................................................................................................................. 6
18. What is the Survival Benefit available in the plan? .................................................................. 6
19. What is the total Survival Benefit (along with Loyalty Additions) under both Benefit
Options? ........................................................................................................................................................ 9
20. Can the Income Benefit be taken in any other mode besides annual mode? ..................... 10
21. Will the policyholder be eligible for Loyalty Additions if he/she has not paid the
premiums in full? ...................................................................................................................................... 11
22. Does the Loyalty Addition vary with the Annualized Premium? ........................................ 11
23. Is Income Benefit only enhanced by Loyalty Addition? When does the Loyalty Addition
get paid? ...................................................................................................................................................... 12
24. Can the policyholder take a commuted value of all future survival benefits in a lump-
sum anytime during the Policy Term or Benefit Payout Period? .................................................... 12
25. What is the Death Benefit during the policy term under this plan? .................................... 12
27. Is the Death Benefit applicable during the Benefit Payout Period?..................................... 14
28. In case of death during Benefit Payout Period, does the Nominee have the option to
choose the commutation option and take the discounted value of future Income Benefits? .... 14
29. What is the Maturity Benefit under this Plan? ......................................................................... 14
30. When does the Policy acquire a Surrender Value? .................................................................. 14
31. What is the Surrender Benefit under this plan? ....................................................................... 15
35. Is there any rider benefit in this plan? ....................................................................................... 16
36. Is loan facility available under this plan?.................................................................................. 16
Premium Discontinuance and Revival ....................................................................................................................................... 16
38. What happens if policyholder does not pay premiums on time? ......................................... 16
39. What happens if policyholder does not pay premium within the grace period? .............. 16
40. What is a Reduced Paid-up policy? ............................................................................................. 17

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41. What would be the death benefit for a Reduced Paid-up policy during the policy term?
17
42. What would be the Survival benefit for a reduced paid-up policy? .................................... 17
43. What is the Free-look Period applicable for this policy? ........................................................ 17
POS Sale ......................................................................................................................................................................................... 18
Termination .................................................................................................................................................................................... 19
50. When will this policy terminate? ................................................................................................ 19
Operational Guidelines ................................................................................................................................................................ 19
51. Is there any discount on this product for ABG employees?................................................... 19
52. What application form is required for ABSLI Assured Income Plus? ................................. 19
53. Can Life Insured and Policyholder be different under this plan? ........................................ 19
54. Does this plan also include auto-vesting functionality for minor lives? ............................ 20
55. What is the medical grid applicable for this plan? .................................................................. 20
56. NRI/ FINO allowed under this plan? ......................................................................................... 20
57. Is the plan allowed under Employer-employee, HUF, Keyman ,MWP ? ........................... 20
58. Does this plan cover death due to COVID19? .......................................................................... 20

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ABSLI Assured Income Plus – Summary

1. What is ABSLI Assured Income Plus?

ABSLI Assured Income Plus is a non-linked non-participating individual life insurance savings plan that provides
guaranteed income to ensure fulfilment of your family’s recurring financial needs and also provides a life insurance
cover thereby ensuring complete financial protection for your family. This is a limited pay plan which provides
guaranteed returns to the policyholder through incomes for 20, 25 or 30 years.

2. What are the significant features of ABSLI Assured Income Plus?

Key features of ABSLI Assured Income Plus are:
✓ Guaranteed Returns: Full guaranteed benefits offering complete financial security
✓ Long-Term Income: Regular Income paid for 20, 25 or 30 years to ensure fulfilment of your recurring needs in the
long term
✓ Two Benefit Options: Flexibility to choose from Two Benefit Options: Income only Benefit or Income Benefit with
Return of Premium (RoP)
✓ Loyalty Additions: Loyalty Additions added as an additional boost to your Income Benefits each year and Return
of Premium, if any.
✓ Commutation Option: Flexibility to receive a discounted value of future survival benefits as a lump sum based on
your needs.
✓ Customizable Benefits: Option to enhance your insurance with appropriate rider options by paying an additional
premium

3. What is the age criteria for this Plan?

Anyone meeting the following criteria is eligible for ABSLI Assured Income Plus:
Age at entry is dependent on Premium Paying Term chosen and is defined as follows:
11 years to 60 years for Premium Payment Term of 6 years
9 years to 60 years for Premium Payment Term of 7 years
5 years to 60 years for Premium Payment Term of 12 years

4. What is the maximum maturity age applicable for the policy?

ABSLI Assured Income Plus has a maximum maturity age of 73 years.

5. What is the maximum age of proposer applicable for the policy?

Proposer age at the end of premium paying Term cannot be more than 85 years

Plan Structure

At inception policyholder chooses –

• Premium payment Term
• Premium amount
• Benefit Payout Period
• Benefit Payout Frequency
• Riders (if any), for additional protection

6. Are there any plan options/benefit options available in this plan?

Yes, there are 2 Benefit Options available under this plan: Income only Benefit & Income Benefit with Return of
Premium (RoP) [where the Total Premiums paid is returned at the end of the Benefit Payout Period]

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7. What is the minimum Sum Assured under this plan?

The minimum Sum Assured is Rs. 5,50,000/-

8. What is the Policy Term under this plan?

Depending upon selection of Premium Paying Term, iChamp will auto calculate Policy Term (PPT + 1 year). For your
reference please find the Policy Terms as per each payout variation as below.

Premium Payment Term Policy Term

6 years 7 years
8 years 9 years
12 years 13 years

9. What is the Benefit Payout Period available under this plan?

The Benefit Payout Period commences after the end of the Policy Term and is as given below:
For 6 years Premium Payment Term - 20 years | 25 years | 30 years
For 8 years Premium Payment Term - 20 years | 25 years | 30 years
For 12 years Premium Payment Term - 20 years

10. Can the Benefit Payout Period be changed during the Policy Term?
The Benefit Payout Period is chosen at inception and cannot be changed anytime thereafter during the policy term.

11. Can Income Benefits under this plan be received semi-annually, quarterly, monthly?
Yes, the customer/policyholder can opt to receive the Benefit Payout Frequency in Annual or Semi-Annual or
Quarterly or Monthly instalments at inception

12. Can the Benefit Payout Frequency be changed during the Policy Term?
Yes, the chosen Benefit Payout Frequency can be changed during the policy term.

Premium

13. What is the minimum premium under the plan?

The minimum annualized premium is Rs. 50,000 for all PPTs.
The premium amount chosen will be payable every year for the premium paying term.

14. What is the Premium Payment Term under this plan?

The plan offers the following Premium Payment Terms:
6 years | 8 years | 12 years

15. Is there any additional benefit for higher premiums?

The Survival Benefit provided under this product is higher for premiums greater than equal to Rs. 1,00,000. Please see
Q.18 for details.

16. Is there a benefit for female lives?

The Sum Assured multiple for female lives is based on the multiple for male lives with a 3-year setback. Apart from
this, there is no other benefit for female lives.

17. What are the different modes of payment available and is there any loading applicable on any mode?
Annual, Semi Annual, Quarterly and Monthly modes are available. Modal Loading is applicable as below.

Mode Annual Semi-annual Quarterly Monthly

Modal Loading 0.0% 1.0% 1.5% 3.5%

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Benefits

18. What is the Survival Benefit available in the plan?

ABSLI Assured Income Plus offers Guaranteed Survival Benefits to the Policyholder.
On surviving till the end of Policy Term, Income Benefit is payable for 20, 25 or 30 years at the end of the period
(monthly, quarterly, half yearly or annually) as per the Benefit Payout Frequency chosen.
At policy inception, the policyholder will get to choose between the following Two Benefit options:
1) Income Only Benefit
2) Income Benefit with Return of Premium (RoP)
The Survival Benefit applicable for both the Benefit Options is explained in the tables below:

1. Income Only Benefit Option:

Under this option, Income Benefit, expressed as a percentage of Annualized Premium, will be paid which varies by
life insured’s age at entry, premium amount, Premium Payment term and Benefit Payout Period.
Income Benefit (as a percentage of Annualized Premium) paid annually has been given below:

Premium Payment Term

6 8 12
(PPT)

Benefit Payout Period 20 25 30 20 25 30 20 25

LI Age at
inception AP < Rs.
42.50% 38.75% 36.25% 62.50% 56.25% 53.75% 120.00% 108.75%
1,00,000
<=50 years

LI Age at
AP >=
inception
Rs. 44.375% 40.625% 38.125% 65.00% 58.75% 56.25% 125.00% 113.75%
1,00,000
<=50 years

LI Age at
inception AP < Rs.
38.75% 33.75% 31.25% 56.25% 50.00% 47.50% 108.75% 97.50%
1,00,000
> 50 years

LI Age at
AP >=
inception
Rs. 40.625% 35.625% 33.125% 58.75% 52.50% 50.00% 113.75% 102.50%
1,00,000
> 50 years

2. Income Benefit with Return of Premium (RoP):

Income Benefit, expressed as a percentage of Annualized Premium, will be paid to you which varies by your age at
entry, premium amount, Premium Payment term and Benefit Payout Period.
Additionally, under this option, the Total Premiums paid by you will also be returned at the end of the Benefit
Payout Period.
Income Benefit (as a percentage of Annualized Premium) paid annually has been given below:

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Premium Payment Term (PPT) 6 8 12

Benefit Payout Period 20 25 30 20 25 30 20 25

LI Age at
inception AP < Rs.
27.50% 28.75% 30.00% 42.50% 43.75% 45.00% 87.50% 88.75%
1,00,000
<=50 years

LI Age at
inception AP >= Rs.
29.375% 30.625% 32.25% 45.00% 46.25% 47.50% 93.75% 95.00%
1,00,000
<=50 years

LI Age at
inception AP < Rs.
22.50% 23.75% 25.00% 36.25% 37.50% 38.75% 78.75% 80.00%
1,00,000
> 50 years

LI Age at
inception AP >= Rs.
24.375% 25.625% 26.875% 38.75% 40.00% 41.25% 85.00% 86.25%
1,00,000
> 50 years

Loyalty Addition:
The income benefits applicable in each year of the Benefit Payout Period and the Return of Premium (RoP), if any, will
be enhanced by a certain percentage of loyalty addition, provided all premiums under the policy have been paid during
the Premium Paying Term.
Loyalty Addition is defined as a percentage of the Income Benefit or RoP based on the Premium Payment Term chosen,
as the case maybe as specified in the table below:
Loyalty Addition
Annualized Premium (AP) As a % of Income Benefit and RoP (if any)
6 Pay 8 Pay and 12 Pay
AP < Rs. 1.5 Lakhs 35.75% 30.50%
Rs. 1.5 lakhs to < Rs. 3 lakhs 36.50% 32.50%
Rs. 3 lakhs to < Rs. 5 lakhs 37.75% 33.40%
AP > = Rs. 5 lakhs 39.25% 34.85%

In case of death of the life insured during the Benefit Payout Period, provided all due premiums till date of death of the
life insured have been paid, the Income Benefit, RoP Benefit, if any, and Loyalty addition will continue to be paid to the
nominee.
Please Note, Loyalty Addition is applicable only for policies that have paid all the premiums under the policy.

Case Study: Case Study: Mr. Sharma, aged 35 years, invests Rs. 1,00,000 p.a. in ABSLI Assured Income Plus.
He opts for 8 years Premium Payment Term with 9 years Policy Term and 30 years of Benefit Payout Period. He
chooses “Income only Benefit" Option with Annual Benefit Payout frequency.

Scenario 1: Mr. Sharma survives through the Policy Term and receives Income Benefits throughout the Benefit Payout
Period.

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Scenario 2: Mr. Sharma dies in the 7th year of the policy during his Premium Payment Term, his nominee will receive
Death Benefit.

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Scenario 3: Mr. Sharma dies during the Benefit Payout Period in the 16th year, his nominee will continue to receive the
Income Benefits as opted till the end of the Benefit Payout Period.

Case Study ‘Income Benefit with RoP’ Option: Case Study: Mr. Sharma, aged 35 years, invests Rs. 1,00,000 p.a. in
ABSLI Assured Income Plus.
He opts for 8 years Premium Payment Term with 9 years Policy Term and 30 years of Benefit Payout Period: Income
Benefit with Return of Premium (RoP) Option and chooses to receive the Income Benefits annually.

Scenario 1: Mr. Sharma survives through the Policy Term and receives Income Benefits throughout the Benefit Payout
Period along with RoP at the end of the Benefit Payout Period.

19. What is the total Survival Benefit (along with Loyalty Additions) under both Benefit Options?
The Survival Benefit applicable for both the Benefit Options is explained in the tables below:

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1. Income only Benefit:

Income Dependent on LI Age, PPT, Benefit Payout Period, Annual Premium.
Premium Paying Term (PPT) 6 Years 8 years 12 years
Benefit Payout Term 20 25 30 20 25 30 20
Age at entry <=50 years
AP < Rs. 1 lakhs 57.69% 52.60% 49.21% 81.56% 73.41% 70.14% 156.60%
AP >= 1 lakhs To < Rs. 1.5 lakhs 60.24% 55.15% 51.75% 84.83% 76.67% 73.41% 163.13%
AP Rs.1.5 To < Rs.3 lakhs 60.57% 55.45% 52.04% 86.13% 77.84% 74.53% 165.63%
AP Rs. 3 To < Rs. 5 lakhs 61.13% 55.96% 52.52% 86.71% 78.37% 75.04% 166.75%
AP > = Rs. 5 lakhs 61.79% 56.57% 53.09% 87.65% 79.22% 75.85% 168.56%
Age at entry > 50 years
AP < Rs. 1 lakhs 52.60% 45.82% 42.42% 73.41% 65.25% 61.99% 141.92%
AP >= 1 lakhs To < Rs. 1.5 lakhs 55.15% 48.36% 44.97% 76.67% 68.51% 65.25% 148.44%
AP Rs.1.5 To < Rs.3 lakhs 55.45% 48.63% 45.22% 77.84% 69.56% 66.25% 150.72%
AP Rs. 3 To < Rs. 5 lakhs 55.96% 49.07% 45.63% 78.37% 70.04% 66.70% 151.74%
AP > = Rs. 5 lakhs 56.57% 49.61% 46.13% 79.22% 70.80% 67.43% 153.39%

2. Income Benefit with Return of Premium:

Income Dependent on LI Age, PPT, Benefit Payout Period, Annual Premium.
Premium Paying Term (PPT) 6 Years 8 years 12 years
Benefit Payout Term 20 25 30 20 25 30 20
Age at entry <=50 years
AP < Rs. 1 lakhs 37.33% 39.03% 40.73% 55.46% 57.09% 58.73% 114.19%
AP >= 1 lakhs To < Rs. 1.5 lakhs 39.88% 41.57% 43.78% 58.73% 60.36% 61.99% 122.34%
AP Rs.1.5 To < Rs.3 lakhs 40.10% 41.80% 44.02% 59.63% 61.28% 62.94% 124.22%
AP Rs. 3 To < Rs. 5 lakhs 40.46% 42.19% 44.42% 60.03% 61.70% 63.37% 125.06%
AP > = Rs. 5 lakhs 40.90% 42.65% 44.91% 60.68% 62.37% 64.05% 126.42%
Age at entry > 50 years
AP < Rs. 1 lakhs 30.54% 32.24% 33.94% 47.31% 48.94% 50.57% 102.77%
AP >= 1 lakhs To < Rs. 1.5 lakhs 33.09% 34.79% 36.48% 50.57% 52.20% 53.83% 110.93%
AP Rs.1.5 To < Rs.3 lakhs 33.27% 34.98% 36.68% 51.34% 53.00% 54.66% 112.63%
AP Rs. 3 To < Rs. 5 lakhs 33.58% 35.30% 37.02% 51.69% 53.36% 55.03% 113.39%
AP > = Rs. 5 lakhs 33.94% 35.68% 37.42% 52.25% 53.94% 55.63% 114.62%

Return of Premiums (RoP): Enhanced Value of Total Premiums paid is also returned at the end of the Benefit Payout
Period.

20. Can the Income Benefit be taken in any other mode besides annual mode?
Yes, at policy inception the Policyholder has the option to choose to receive the Income Benefit in Annual, Semi-
Annual, Quarterly or Monthly instalments and the Income Benefit is payable at the end of year or half-year or
quarter or month, as the case may be.
For annual frequency, Income Benefit is as explained in the tables above. For semi-annual, quarterly and monthly
frequency, the Income Benefit shall be based on the annual Income Benefit as given below:

Income (per frequency)

Benefit Payout Frequency as a % of Income Benefit for Annual Benefit
Payout Frequency
Semi – annual 49%

Quarterly 24.25%

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Monthly 8%

EXAMPLE:
Benefit Option: Income Only Benefit Option
Life Insured Age: 35 years
Policy Issue Date (Risk commencement Date): 01/01/2020
Policy Term: 7 years
Premium Paying Term: 6 years
Benefit Payout Period: 20 years
Annualized Premium: Rs. 1,00,000
Premium Frequency: Annual

Premiums Paid on: 01/01/2020, 01/01/2021, 01/01/2022, 01/01/2023, 01/01/2024, 01/01/2025

Policy Term Ends on: 31/12/2026
First Income Benefit payable: 31/12/2027

1st Year Income:

Income = (44.375% * Annualized Premium)
= (44.375% * 1,00,000)
= 44,375 (A)

Loyalty Additions as a % of Income

= (A) * 35.75%
= 44375 * 35.75%
= Rs. 15,864 (B)

Total Income with Loyalty Additions (1st Year) = (A) + (B)

= 44375 + 15,864
= Rs. 60,239

The policyholder will receive Rs. 60,239 on an annual basis throughout the Benefit Payout Period of 20 years.

The policyholder has the flexibility to receive the Income Benefits in annual, semi-annual, quarterly or monthly
mode.

Frequency No. of Instalments in a year Income Benefit

Annual 1 Rs. 60,239 paid annually

Semi-Annual 2 Rs. 29,517.14 paid semi annually
Quarterly 4 Rs. 14,607.97 paid quarterly
Monthly 12 Rs. 4819.13 paid monthly

21. Will the policyholder be eligible for Loyalty Additions if he/she has not paid the premiums in full?
No, Loyalty Addition is applicable only for policies that have paid all the due premiums under the policy.

22. Does the Loyalty Addition vary with the Annualized Premium?
Yes, the policyholder will receive higher Loyalty Addition in cases where annualized premium is greater than Rs. 1.5
lakhs. Refer Q. 18.

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23. Is Income Benefit only enhanced by Loyalty Addition? When does the Loyalty Addition get paid?
Not only Income Benefit is enhanced by Loyalty Additions but Return of Premium Benefit (if Income with RoP
Option is chosen) also is enhanced by Loyalty Addition. The Loyalty Addition is paid along with the Income Benefit
(or ROP if any).
24. Can the policyholder take a commuted value of all future survival benefits in a lump-sum anytime during the Policy
Term or Benefit Payout Period?
Yes, at the end of the Policy Term or anytime during the Benefit Payout Period, the Policyholder can opt to get a lump
sum instead of the Income Benefits (and RoP, if any), and a commuted/discounted value of the outstanding benefits
shall be paid as a lump sum. The lump sum benefit is calculated using factors determined by a discount rate of 8.70%.
The Company may revise the factors based on the then prevailing market conditions subject to prior IRDAI approval.
Any change in the methodology/formula for calculating the factors shall also be subject to IRDAI approval.
This lump sum will be at least equal to the Total Premiums Paid less any survival benefit already paid.

25. What is the Death Benefit during the policy term under this plan?
In the unfortunate event of Death of the Life Insured anytime during the Policy Term, provided the policy is in-force,
Sum Assured on Death shall be payable as a lump-sum to the nominee.
Sum Assured on Death is defined as higher of:
a) 10 times of Annualized Premium
b) 150% of Total Premiums paid till the date of death
c) Sum Assured
Where,
- ‘Annualized Premium’ means Premium amount payable during a Policy Year, excluding underwriting extra
premiums, loadings for modal premiums, rider premiums and applicable taxes, cesses and levies, if any.
- ‘Total Premiums paid’ means total of all the premiums received, excluding underwriting extra premium, rider
premiums and applicable taxes, cesses and levies, if any.
- ‘Sum Assured’ is equal to a multiple (depending upon Life Insured’s entry age at inception of the policy and gender)
of the Annualized Premium given below for male lives:
Sum Assured multiple for male lives is as mentioned in the table below. Sum Assured multiple for female lives is based on the
multiple for male lives with a 3-year setback.
Age at Age at Age at Age at Age at
entry Multiple entry Multiple entry Multiple entry Multiple entry Multiple

2 15.8 14 14.6 26 13.4 38 12.2 50 11

3 15.7 15 14.5 27 13.3 39 12.1 51 11.9
4 15.6 16 14.4 28 13.2 40 12 52 11.8
5 15.5 17 14.3 29 13.1 41 11.9 53 11.7
6 15.4 18 14.2 30 13 42 11.8 54 11.6
7 15.3 19 14.1 31 12.9 43 11.7 55 11.5
8 15.2 20 14 32 12.8 44 11.6 56 11.4
9 15.1 21 13.9 33 12.7 45 11.5 57 11.3
10 15 22 13.8 34 12.6 46 11.4 58 11.2
11 14.9 23 13.7 35 12.5 47 11.3 59 11.1
12 14.8 24 13.6 36 12.4 48 11.2 60 11
13 14.7 25 13.5 37 12.3 49 11.1

26. Can the Death benefit be taken in instalments?

Yes, this plan offers Staggered Death Benefit Option to the nominee.
The Nominee will have an option to receive the amount of Death Benefit in Annual/ Monthly instalments instead of a
lump-sum, over a period of 10 years as per the percentages given below:

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Instalments Frequency Annual Monthly

Instalment
12.190% 1.037%
(as % of Death Benefit)
Total payments
121.90% 124.44%
(as % of Death Benefit)

We may revise the instalment based on the then prevailing market conditions and subject to prior IRDAI approval.
Also, any change in the methodology/formula for calculating the instalment shall be subject to IRDAI approval.
Once the Instalment mode has been opted by the Nominee, it cannot be changed later on. However, if the nominee
would subsequently like to get a lump sum instead of the regular pay-outs; a discounted value of the outstanding
benefits shall be paid as a lump sum.
This lump sum will be at least equal to the Sum Assured on Death less instalments already paid, if any.

EXAMPLE:
Life Insured Age: 35 years
Policy Issue Date (Risk commencement Date): 01/01/2020
Premium Paying Term: 12 years
Policy Term: 13 years
Policy Maturity Date: 01/01/2033
Premium Payment Mode: Annual
Annualized Premium: Rs. 100,000
Sum Assured: Rs. 12,50,000
Benefit Payout Period: 20 years

Scenario 1: Death during Premium Paying Term

Date of Death: 15/03/2024 (during 5th Policy Year)
Premiums Paid till Date of Death: 5 – (A)
Following shall be payable to nominee:
On death of the life insured, Sum Assured on Death shall be payable, where Sum Assured on Death is higher of:
a) 10 times Annualized Premium – 100,000 * 10 = 10,00,000
b) 150% of Total Premiums Paid till date of death = 150% * 5,00,000 = 7,50,000
c) Sum Assured = 12,50,000
i.e.
higher of:
a) 10 x Rs. 100,000 = Rs. 10,00,000
b) 150% x (Rs. 100,000 x (A)) = 150% x 500,000 = Rs. 750,000
c) Rs. 12,50,000 → Highest

Therefore, Sum Assured on Death i.e. Rs. 12,50,000 shall be payable to nominee.

The nominee will then have the option to take this amount in a lump-sum or staggered instalments on an annual or
monthly basis.

Assuming nominee opts for annual payouts of death benefit for 10 years –
Amount payable at the end of every year
= 12.190% x Rs. 12,50,000
= Rs. 1,52,375 The first installment amount will be payable on date of acceptance of death claim and subsequently
every policy death anniversary thereafter for 10 years. Anytime during these 10 years, the nominee can also opt to
take a discounted value of the remaining payouts in a lump-sum.

Scenario 2: Death after Premium Paying Term but during Policy Term
Date of Death: 15/03/2032 (during 13th Policy Year)
Number of Premiums Paid as on date of death: 12 Premiums (A)

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The following will be paid:

1. On death of the life insured, Sum Assured on Death shall be payable, where Sum Assured on Death is higher of:
a) 10 times Annualized Premium
b) 150% of Total Premiums Paid till date of death
c) Sum Assured
i.e.
Higher of:
a) 10 x Rs. 100,000 = Rs. 10,00,000
b) 150% x (PPT * 1,00,000) = 150% x (12 * 1,00,000) = 150% * 12,00,000 = Rs. 18,00,000 → Highest
c) 12,50,000

Therefore, Sum Assured on Death i.e. Rs. 18,00,000 shall be payable to nominee.
Policy will terminate on payment of death benefit.

The nominee will then have the option to take this amount in a lump-sum or staggered instalments on an annual or
monthly basis.

Assuming nominee opts for monthly payouts of death benefit for 10 years–
Amount payable on every policy death monthiversary
= 1.037% x Rs. 18,00,000
= Rs. 18,666

The first installment amount will be payable on date of acceptance of death claim and subsequently every policy
death monthiversary thereafter for 10 years. Anytime during these 10 years, the nominee can also opt to take a
discounted value of the remaining payouts in a lump-sum.

Scenario 3: Death during Benefit Payout Period

Date of Death: 15/03/2035 (during 3rd year of the Benefit Payout Period)
The nominee will continue to receive the Income Benefit during the Benefit Payout Period as per the plan option
chosen at the inception of the policy.
No additional benefit is payable to the nominee.

27. Is the Death Benefit applicable during the Benefit Payout Period?
No, the Death Benefit is only applicable till the end of the Policy Term. In case of death during the Benefit Payout
Period, which commences after the Policy Term, the nominee will continue to receive the Income Benefit during the
Benefit Payout Period.

28. In case of death during Benefit Payout Period, does the Nominee have the option to choose the commutation option
and take the discounted value of future Income Benefits?
Yes, the nominee will have the option to use the commutation option anytime during the Benefit Payout Period.

29. What is the Maturity Benefit under this Plan?

There is no amount payable on maturity. However, at the end of the Policy Term, policyholder will have the flexibility
to use the commutation option wherein, at any time on or after end of the Policy Term, if he/she would like to get a
lump sum instead of the Income Benefits (and RoP, if any), the commuted value of the outstanding benefits shall be
paid as a lump sum. This lump sum will be at least equal to the Total Premiums Paid less any Survival Benefit already
paid.

30. When does the Policy acquire a Surrender Value?

Policy acquires a Surrender Value once premiums for at least two full policy years have been paid.

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31. What is the Surrender Benefit under this plan?

The surrender value payable to policyholder will be higher of
• Guaranteed Surrender Value or
• Special Surrender Value

The policy shall be terminated once the Surrender Value is paid.

Guaranteed Surrender Value (GSV) shall be a percentage of Total Premiums paid.

The GSV Factors are given in the table section below:

Policy Term
Year of Surrender
7 9 13
1 0% 0% 0%
2 30% 30% 30%
3 35% 35% 35%
4 50% 50% 50%
5 50% 50% 50%
6 90% 50% 50%
7 90% 50% 50%
8 90% 57%
9 90% 63%
10 70%
11 77%
12 90%
13 90%

Policy shall also be eligible for a Special Surrender Value; this Special Surrender Value is not guaranteed and can be
reviewed by ABSLI from time to time.

32. What are the terms and conditions applicable for revival of this policy?
Policyholder will have the option to revive the Lapsed/Reduced Paid up policy for its full coverage within five years
from the due date of the first unpaid premium by paying all outstanding premiums together with interest and/or late
fees as declared by ABSLI from time to time and by providing a satisfactory evidence of insurability, expenses of which
shall be borne by the policyholder. The monthly interest rate charged on unpaid premiums will be declared by ABSLI
on June 1st of each calendar year and is determined as (x+1%)/12 rounded to the next 0.5%, where x is the base rate of
the State Bank of India. The current interest rate, as declared on June 1st, 2021, is 1% per month.
Upon revival, all benefits, shall be restored to their full value.

33. What happens if a policy is not revived within the revival period?
In case the policy is not revived within the revival period, the policy cannot be revived thereafter and the Lapsed Policy
shall stand terminated with no benefits payable thereafter.
However, a Reduced Paid Up policy shall continue under the Reduced Paid-up mode till the end of the policy term.

34. What happens in case of death of the Life Insured by suicide?

In case the Life Insured, minor or major, dies due to suicide within 12 months from the Risk Commencement Date or
date of revival of the policy, the policy shall immediately terminate, and Company shall pay the following to the
Nominee:

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- Where the Policy has acquired the Surrender Value, higher of Surrender Value or (Total Premiums paid plus
underwriting extra premiums paid plus loadings for modal premiums paid excluding applicable taxes) till date of
death.
- Where the Policy hasn’t acquired the surrender value, Total Premiums paid plus underwriting extra premiums
plus loadings for modal premiums paid excluding applicable taxes) till date of death.

35. Is there any rider benefit in this plan?

Yes, policyholder can enhance insurance coverage during the policy term by adding one or more of the following
riders for a nominal extra cost.
ABSLI Critical Illness Rider (UIN: 109B019V03)
ABSLI Surgical Care Rider (UIN: 109B015V03)
ABSLI Hospital Care Rider (UIN: 109B016V03)
ABSLI Waiver of Premium Rider (UIN: 109B017V03)
ABSLI Accidental Death Benefit Rider Plus (UIN: 109B023V02)

WOP rider will not be available when the Life Insured and Proposer are different and Life Insured is a major (above
18 years of age). Please refer to detailed brochures on riders or visit our website for further details.

36. Is loan facility available under this plan?

Yes, policy loan is allowed once the policy acquires a surrender value. The minimum loan amount is Rs.5,000 and the
maximum is up to 85% of surrender value.
We shall charge an interest on the outstanding loan balance at a rate declared by us on June 1 st of every calendar year
which is 1% plus the base rate of the State Bank of India. The interest rate applicable as on June 1st 2021 is 8.40% p.a.
Any change in basis of determination of interest rate for policy loan can be done only after prior approval of the
Authority.
Any outstanding loan balance (including unpaid interest) will be recovered by us from policy proceeds due for
payment and will be deducted before any benefit is paid under the policy.
If the policy is in RPU and loan balance equal or exceeds the then prevailing surrender value, policy will terminate
immediately. For inforce policies, ABSLI shall send a notice 90 days prior to give an opportunity to the policyholder
to repay all or part of outstanding loan balance in order to continue policy uninterrupted. If he/she do not repay the
loan or fail to respond to the notice, ABSLI shall have the right to foreclose the policy.

37. Can policyholder avail of tax benefits under this plan?

As per extant tax laws, this plan offers tax benefits under Section 80C, 80D (for specific rider premium) and Section
10(10D) of the Income Tax Act, 1961, subject to fulfillment of the other conditions of the respective sections
prescribed therein. Please note that all the tax benefits are subject to tax laws prevailing at the time of payment of
premium or receipt of benefits by policyholder. It is advisable to seek an independent tax advice.

Premium Discontinuance and Revival

38. What happens if policyholder does not pay premiums on time?

If policyholder is unable to pay premium by the due date, he / she will be given a grace period of 30 days (15 days for
monthly mode policies) and during this grace period all coverage under this policy will continue.

39. What happens if policyholder does not pay premium within the grace period?
If policyholder does not pay premium within the grace period, the following will be applicable:
(a) In case policyholder has not paid premiums for two full policy years then policy will lapse and all benefits under
this policy will cease immediately.

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(b) In case policyholder has paid premiums for at least two full policy years then policy will continue on a Reduced
Paid-Up basis.

40. What is a Reduced Paid-up policy?

If policyholder discontinues paying premiums, after having paid premiums for at least two full years, policy will not
lapse but will continue on a Reduced Paid-Up basis. After the policy has entered RPU mode, the benefits payable will
be amended as follows:
The RPU Sum Assured and RPU Income Benefit shall be equal to the Sum Assured and Income Benefit respectively,
multiplied by the RPU Factor,

where the RPU Factor is the ratio of:

- The number of premium instalments paid to date; over
- The total number of premium instalments originally due for the Policy Term.

41. What would be the death benefit for a Reduced Paid-up policy during the policy term?
If the Life Insured dies during the Policy Term, the RPU Death Benefit will be RPU Sum Assured on Death under the
policy.
The “RPU Sum Assured on Death” during the entire Policy Term is the Sum Assured on Death multiplied by the RPU
factor subject to minimum 150% of Total Premiums Paid up to date of death.

42. What would be the Survival benefit for a reduced paid-up policy?
1. In the event the Life Insured survives till the end of the Policy Term, RPU Income Benefit (Income Benefit * RPU
Factor) shall be paid at the end of each year during the Benefit Payout Period. In case the Policyholder has chosen the
“Income plus Return of Premium (RoP) Benefit” option, the Total Premiums Paid shall be payable at the end of the
Benefit Payout Period.
2. In case of death of the life insured during the Benefit Payout Period, the RPU Income Benefit and RoP Benefit, if
any, will continue to be paid to the nominee . No additional benefit is payable to the nominee.
3. At any time on or after the completion of the Policy Term, if policyholder would like to get a lump sum instead of
the RPU Income Benefits and RoP Benefit, if any , the commuted value of the outstanding benefits shall be paid in lump
sum. The lumpsum shall be calculated as mentioned in Maturity Benefit section. This lumpsum will be at least equal to
the Total Premiums Paid less any survival benefit already paid.
Please Note: No loyalty addition and rider benefits will be payable for policies under Reduced Paid-up mode.

43. What is the Free-look Period applicable for this policy?

You will have the right to return Your Policy to us within 15 days (30 days in case of electronic policies (1) and the
policies issued under the provisions of IRDAI Guidelines on Distance Marketing (21) of Insurance products) from the
date of receipt of the Policy, in case You are not satisfied with the terms & conditions of Your Policy. We will refund
the premium paid once we receive Your written notice of cancellation (along with reasons thereof) together with the
original Policy document. We may reduce the amount of the refund by proportionate risk premium for the period of
cover and expenses incurred by us on medical examination and stamp duty charges while issuing Your Policy in
accordance to IRDAI (Protection of Policyholders Interest) Regulations, 2017.
(1) In case of electronic issuance of policies, the date of receipt or date of credit of electronic policies shall be determined
as below.
a) For New Electronic Insurance Account (EIA): Date of receipt of the "Welcome Kit" from the Insurance
Repository with the credentials to log into the EIA or delivery date of the E-Mail confirming credit of the
Insurance Policy by the Insurance Repository into the EIA, whichever is later.
b) For existing EIA: Delivery date of the E-Mail confirming credit of the Insurance Policy by the Insurance
Repository into the EIA.
(2) Distance Marketing includes every activity of solicitation (including lead generation) and sale of insurance products

through voice mode, SMS electronic mode, physical mode (like postal mail) or any other means of communication other
than in person.

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POS Sale

44. Will all parameters of this product be offered for POS Sale?
No, this product will be offered through POS Sale with the following eligibility criterion:
ABSLI Assured Income Plus for sale through Point of Sales Person (POSP) – Validations and Eligibility
Criteria
# Description Details
Policy Term Min Entry Age Max Entry Age
7 years 11* years 58 years
9 years 9* years 56 years
Available issue ages (Age last 13 years 5* years 52 years
1
birthday on the effective date) *In case the Life Insured is a minor, the Policy will automatically vest
once the life insured attains the age of majority. The risk coverage for
the minors will start from the Date of Commencement of Risk.

Premium Payment Policy Term (PT) Benefit Payout

Term (PPT) Period
6 years 7 years 20, 25, 30 years
8 years 9 years 20, 25, 30 years
Premium Payment Term (PPT),
12 years 13 years 20years
2 Policy Term (PT) and Benefit
Payout Period
The Benefit Payout Period commences after the end of the Policy
Term, during which the Survival Benefit is payable to the
Policyholder. It is chosen at policy inception and cannot be changed
thereafter.

Maximum cover ceasing age

3 65 years
(Age last birthday)

Minimum Annualized
4 Rs. 50,000
Premium
5 Maximum Annualized premium No Limit (subject to Board Approved Underwriting Policy)
6 Minimum sum assured Rs. 5,50,000
Maximum sum assured
7 Rs. 25,00,000
applicable
Annual | Semi-Annual | Quarterly | Monthly

8 Premium Payment Modes

Mode Annual Semi-annual Quarterly Monthly
Modal Loading 0.0% 1.0% 1.5% 3.5%
9 Customisable Benefits Nil
10 Waiting Period Nil
11 Underwriting Non-Medical

The other benefits will remain the same.

45. Will any riders be offered for POS Sale?

No, no riders will be offered for POS Sale.

46. Will there be a different UIN for this product for POS?
No, the UIN will remain the same for POS and Non POS sale.

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47. Is the common application form for the base product going to be also used for POS Sale?
No, POS Application Form – Major and Minor will be separate for POS sale.

48. If the policyholder has already bought a policy of Assured Income Plus through a POS channel with Rs. 5,50,000
Sum Assured, what is the Sum Assured at which he/she can buy another policy of this product through POS
channel?
The Sum Assured cap of Rs. 25,00,000 for POS channel is at a client/policyholder level. Therefore, if a policyholder
already has a policy with Sum Assured Rs. 5,50,000, he/she can only buy another POS policy up to a Sum Assured of
Rs.19,50,000.

49. Is there any medical underwriting for Assured Income Plus sold through POS?
No, there will be no medical underwriting for this product sold through POS. There is a restriction on Sum Assured at
Rs. 25,00,000.

Termination

50. When will this policy terminate?

Policy will get terminated on any of the following events:
(a) The date of payment of surrender value; or
(b) The date of settlement of Death Benefit; or
(c) End of the Benefit Payout Period; or
(d) The date on which the Revival Period ends after your policy has lapsed if fewer than two full years of premiums have
been paid; or
(e) The date on which the outstanding loan amount exceeds the surrender value in case of Reduced Paid Up (RPU)
policies;
(f) The date on which we receive a free-look cancellation request

Operational Guidelines

51. Is there any discount on this product for ABG employees?

Yes, for employees of Aditya Birla Group companies, agents of Aditya Birla Sun Life Insurance and employees of
Corporate Agents and Brokers, an additional Income Benefit, as below, is payable if they buy their policies directly
from ABSLI. No commission is payable on these policies.

PPT (in years) 6 8 12

Additional Income Benefit
2% 3% 4%
(as % of Annualized Premium)

52. What application form is required for ABSLI Assured Income Plus?
The “Common Application Form MAJOR” and “Common Application Form MINOR” would be used for this plan. The
form will be duly uploaded in BSMS from where the same can be downloaded.

53. Can Life Insured and Policyholder be different under this plan?
Yes, the Life Insured and Policyholder can be different under this plan. In case Policyholder and the Life Insured are
different then all the proceeds for the policy will be paid to the Policyholder. Where the Life Insured (whether major or
minor) and Proposer/Policyholder is different, on the death of the Proposer/Policyholder, his legal heirs, in accordance
with the existing succession laws, will be considered as new Proposer/Policyholder. As there is no death benefit

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payable on the death of the Proposer/Policyholder, the policy status does not change, and the policy continues.
However, if the premiums are not paid before the expiry of the grace period the policy would be subject to the
provisions mentioned in the ‘Premium Discontinuance Section’.

54. Does this plan also include auto-vesting functionality for minor lives?
Yes, where a policy is issued on a minor life, the policy will vest after attainment of majority (age 18 years) of the Life
Insured.

55. What is the medical grid applicable for this plan?

Medical grid of investment plans is applicable for this plan.

56. NRI/ FINO allowed under this plan?

NRI is allowed.
FNIO allowed (however client has to be in India)

57. Is the plan allowed under Employer-employee, HUF, Keyman ,MWP ?

The plan can be issued under Employer-employee ,HUF and MWP. It cannot be issued under Partnership or Keyman.

58. Does this plan cover death due to COVID19?

Yes, provided there is no nondisclosure on the COVID Q. Please ensure that the COVID questionnaire is filled.

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Registered Office: One World Centre Tower 1, 16th Floor, Jupiter Mill Compound, 841, Senapati Bapat Marg,
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