Max Life Guaranteed Income Plan

What is the Max Life Guaranteed Income Plan?

The Max Life Guaranteed Income Plan is a non-linked, non-participating individual life insurance savings plan designed to provide financial security. This investment plan offers a guaranteed income benefit, ensuring that you or your beneficiaries receive a specified sum of money, either upon your survival to the end of the policy term or in the event of your unfortunate demise. With this plan, you can rest assured that your loved ones will be financially protected, even in unforeseen circumstances.

Features of Max Life Guaranteed Income Plan

Below are the features of the Max Life Guaranteed Income Plan

• Immediate Income: Once the policy term ends and all premiums are paid, you'll start receiving a guaranteed monthly income immediately.

• 10-Year Payout Period: This income will continue for 10 years, ensuring a stable financial flow.

• Doubled Income: After 5 years, your monthly income will double, providing a significant boost to your financial resources.

• Life Cover: The plan offers life cover for the entire policy term, providing a guaranteed death benefit.

• Choice of Payout Options: In case of death during the policy term, your nominee can choose between a lump sum death benefit or continued monthly income for 10 years.

• Commutation Option: If you prefer a lump sum payment instead of monthly instalments, you can avail of the commutation option at any time after the income starts.

Eligibility Criteria for Max Life Guaranteed Income Plan

Benefits of Max Life Guaranteed Income Plan

 Below are the benefits of the Max Life Guaranteed Income Plan: 

• Income Benefit: Receive a fixed monthly income for 10 years after the policy term ends. The specific amount will be detailed in the plan prospectus.

• Terminal Benefit: Get a lump sum payout at the end of the 10-year payout period. This amount varies based on your chosen policy term:

  • 6-year term: 125% of your annualized premium.

  • 12-year term: 200% of your annualized premium.

1. Flexibility in Receiving Income:

   • Lump Sum Option: You can choose to receive the entire Survival Benefit (Income Benefit + Terminal Benefit) as a lump sum at the end of the policy term, before the payout period begins.

   • Commutation Option: Even during the payout period, you have the option to convert the remaining monthly payouts into a lump sum amount.

2. Death Benefit Protection:

   • In case of the policyholder's death during the policy term, a guaranteed lump sum death benefit will be paid to the nominee. The benefit amount depends on the chosen policy term:

     • 6-year term: 12.75 times your annualized premium.

     • 12-year term: 18.50 times your annualized premium.

   • Flexible Death Benefit Payout: The nominee can receive the death benefit as a lump sum or opt for monthly installments spread over 10 years. The installment amounts are:

     • 6-year term: (162% / 12) times your annualized premium per month.

     • 12-year term: (236% / 12) times your annualized premium per month.

   • Commutation Option for Death Benefit Installments: The beneficiary can further choose to convert the remaining monthly death benefit installments into a lump sum at any point.

3. Additional Features:

   • Surrender Value: The policy acquires a surrender value after paying premiums for 2 full years. You can surrender the policy and receive this surrender value.

   • Potential Tax Benefits: You may be eligible for tax benefits on premiums paid and policy benefits received. However, tax laws are subject to change, so seeking independent tax advice is recommended.

Policy Details of Max Life Guaranteed Income Plan

1. Free Look Period

   The Max Life Guaranteed Income Plan offers a free look period to give you time to review the policy terms and conditions. This period lasts for:

   • 15 days from the date you receive the policy document.

   • 30 days if you purchased the policy through a distance marketing channel (e.g., online or phone).

   During the free look period, you can cancel the policy if you disagree with any of the terms and conditions. To cancel, simply return the policy document stating your reasons for objection.

2. Grace Period

   The Max Life Guaranteed Income Plan also offers a Grace Period for premium payments. This period lasts for:

   • 30 days from the due date of each premium payment.

   During the Grace Period, you can still pay your premium without any late fees. However, it's important to note that:

   • Your coverage remains active during the Grace Period.

   • In case of death during the Grace Period: Max Life will deduct the unpaid premium from the benefits payable to your beneficiary.