HDFC Life Launches Click2Invest - ULIP

This pioneer plan is very cost effective as it invests 100% of the premium and only charges fund management fee (1.35%) and a risk premium for mortality cover. On this aspect, it gives tough competition to ELSS Mutual funds & at the same time keeps all the flexibilities offered by ULIPs. Click2Invest provides the option of eight funds for investment keeping in mind the market behavior, time horizon, and most importantly the needs of the customer.

IRDA brought up its customer focused regulatory changes by implementing Charge Cap regulations in 2010 making ULIPs cost efficient compared to earlier versions and now HDFC Life has taken a bigger leap by launching Click2Invest. After gaining leadership in the online term category, the company realized the need to launch a savings plan that will enhance the investment made by the customer. Click2Invest aims to pass on all advantages of investment and insurance to customers thereby allowing them to become informed and benefited customers.

This plan also offers the benefit of premium payment options of Single Pay, 5 Pay, 7 Pay, 10 Pay or Regular Pay. The important thing to remember is that the overall charge structure in this plan is such that 100% of your premium is invested in the funds chosen by you. There are no policy administration and discontinuance charges. Charges include only FMC @ 1.35% p.a of your fund value and mortality charge depending upon the age and level of cover which in the long run reduces as your fund grows and invariably help you in creating wealth.

Other key features of this plan include:

Premium Payment options of

Single

Limited: 5 years, 7 years, 10 years

Regular: same as your policy term

Minimal Charges

Premium allocation charge – Nil. 100% of your premiums are invested

Policy administration charge – Nil

Policy Discontinuance charge – Nil

Fund Management Charge – 1.35% p.a. of the fund value charged regularly

Mortality Charge – levied every month for offering you death benefit in your policy depending upon the age and level of cover. This charge will be taken by subtracting units proportionately from each of the fund(s) you have opted for

Choosing from a range of 8 fund options

Tax exemption under Sec 80C and Sec 10(10D) of IT Act, 1961, and offers the benefit of EEE structure wherein no tax is levied on the maturity amount