SBI Life Launches Smart Wealth Assure an innovative ULIP

Smart Wealth Assure provides pre-determined NAV guarantee of Rs. 20

Mumbai: SBI Life Insurance has launched an innovative ULIP which guarantees at inception a pre-specified NAV applicable at the end of the ten-year term. The policyholder by opting Return Guarantee Fund can create long term investment corpus based on minimum pre-determined NAV or prevailing NAV at the maturity, whichever is higher.



Mr. M N Rao, MD & CEO, SBI Life Insurance said, "Our aim is to build a sizeable and attractive suite of "Simple and Smart" products so as to allow our customers to choose relevant solutions that best meet their needs, aligned to their income and risk profile."



Product Snapshot



Age at Entry Minimum: 8 years Maximum: 65 years

Age at Maturity 75 years

Policy Term 10 to 30 years (both inclusive)

Premium Payment Term Single Premium (SP)

Single Premium Amount Min: Rs 50,000

Max: No limit

Sum Assured Minimum:

For age below 45 yrs : 1.25 * SP

For age 45yrs & above: 1.10 * SP



Maximum:

For age below 45 yrs : 5 * SP

For age 45 yrs & above: 3 * SP

Fund Options 4 Funds:



1. Return Guarantee Fund

2. Bond Fund

3. Equity Fund

4. P/E Managed Fund



Besides the Return Guarantee Fund, the policyholder can opt from Equity Fund or P/E Managed Fund or Bond Fund. The Return Guarantee Fund aims to provide guaranteed fixed return by investing mostly in fixed income securities namely debt instruments, money market instruments and cash, with maturities close to the termination date of the fund. The equity fund has a higher equity exposure with at least eighty percent in equity and equity related instrument, thus targeting a potentially higher return in long term.



A single premium plan, SBI Life Smart Wealth Assure offers policyholders optional Accidental Death benefit and liquidity through convenient partial withdrawal facility from 6th policy year onwards.



As per the latest IRDA report, as of January 2011, SBI Life ranks first amongst private players in new business premium. The company has a market share of 18.9% among private life insurers and a total market share of 5.6 %.