ING’s Prospering Life | Key Benefits | Features | Benefit Illustration

ING Prospering life is an excellent tool for wealth creation while enjoying control over your assets at all times. It offers multiple fund options and investment strategies that help you maximize returns as per your investment objective. The plan also provides the much needed life insurance protection in case of any unfortunate event.

Key Benefits

Life Insurance: Life cover up to 10 times the annual premium.
Multiple Funds: 5 funds with diversified mix of equity and debt to meet one’s risk appetite.
Automatic Asset Allocation Strategy: Automatic rebalancing of debt and equity mix to conserve the wealth generated.
Flexibility: Unlimited free switches and premium redirections, charge free withdrawals, top ups.
Limited pay option: Option to pay premium for half the number of policy term years.

Product Features:

Age at Entry	Minimum: 8 Years Maximum: 55 Years
Age at maturity	Minimum: 24 Years Maximum: 71 Years
Policy Term	16 or 20 years
Premium Paying Term (PPT)	Policy Term/2 or equal to Policy Term
Premium Payment Modes	Annual, Half-yearly, Quarterly, Monthly^*
Minimum Premium	Yearly – Rs. 48,000 Half-yearly – Rs. 24,000 Quarterly – Rs. 12,000 Monthly – Rs. 4,000
Maximum Premium	Yearly – Rs. 96,000 Half-yearly – Rs. 48,000 Quarterly – Rs. 24,000 Monthly – Rs. 8,000
Top Up Premium	Minimum of Rs. 5,000
Basic Sum Assured	For age at entry below 45 years: Fixed at 10 X annual premium For age at entry of 45 years or above: Fixed at 7 X annual premium
Additional Sum Assured	Fixed at 1.25 times of the Top-Up premium paid (if any)

^* For Monthly mode: Minimum 3 Monthly premiums to be collected at the time of issue

I. The Plan:

ING Prospering Life is a classic unit linked plan which provides you multiple fund options and strategies at no extra cost to help you maximize your wealth. This is an individual unit-linked plan that doesn’t participate in the profits of the Company. The premiums are credited to the Fund Value (“FV”) and are used to purchase units in one or more Unit Linked Funds, offered by the Company, based on the choice made by the Policyholder. The FV is represented by the number of Units multiplied by the respective Unit Price of the Units held from time to time under all the Unit Linked Funds held under the Policy.

II. Benefits:

Maturity Benefit: On the maturity date policyholder will have two options to choose from the below:

Take the Fund Value as on the date of maturity as a lump sum.
Take the Fund Value as on the date of maturity in equal annual installments of units over a period of 3 or 5 years (referred as Structured Payout Period) after the Maturity date.

Fund Value at maturity is the unit price at maturity times the units at maturity.

Death Benefit: In the unfortunate event of death of the life assured during the policy term, higher of the Sum Assured or 105% of the premiums paid, including top up premiums (if any), (reduced by partial withdrawals made during the 2 years immediately preceding the date of death) or Fund Value shall be payable to the eligible person. The Sum Assured payable is the Basic Sum Assured and the Additional Sum Assured on Top-up premium, if any.

Top-up Premium: You have an option to increase your savings, by paying top-up premiums to invest in your selected funds in the same policy without having to buy another policy.

• No Top-up premiums will be accepted where regular premiums are in arrears including in the grace period if any.

• The Minimum Top Up amount is Rs. 5,000/- at one time.

• Every Top-up premium shall have an Additional Sum Assured which will be 1.25 times of the Top-up premium paid. This Additional Sum Assured on Top-up will be in addition to the Basic Sum Assured.

• Top-ups will not be allowed during the last 5 years of the Policy Term.

• Top-up premium cannot be withdrawn in a period of five years from the date of payment of the respective Top-up premium.

• The maximum amount of Top-up premiums allowable shall be subject to applicable underwriting guidelines.

Partial Withdrawal Benefit: Any insurance plan should be flexible to allow you to use your fund for any interim financial goals or emergencies. Therefore, this Policy allows partial withdrawal from your fund at any point of time after completion of 5 Policy Years. The Partial Withdrawals are subject to the following conditions:

• The Partial Withdrawal Benefit is available for a minimum amount of Rs. 5,000 and a maximum amount equal to 25% of Fund Value, subject to Fund Value after each such withdrawal not being less than 1.5 times the one full years’ annualized regular premium.

• There is a 5 year period for withdrawal from Top-up premiums paid i.e., a policyholder will be allowed to make any partial withdrawals from the top-up contributions only after completion of 5 years from the date of remittance/realization of top-up contribution.

• Partial Withdrawal Benefit shall not be allowed in case where the Life Assured is a minor.

• The Partial Withdrawals made during the 24 months preceding the date of death, shall be reduced from the sum assured payable under the policy.

Surrender Benefit: At any point of time in the policy term, the Policyholder can opt to surrender the Policy. On surrendering the Policy the Policy stands terminated with the Surrender Benefits payable to the Policyholder. The Surrender Benefit payable is the Fund Value less Policy Discontinuance Charges, as applicable. In case the Policy is surrendered during the initial 5 years from the Policy Commencement the Surrender Benefits shall be payable to the Policyholder only after completion of 5 full Policy Years. However, such Surrender Benefits after deduction of Policy Discontinuance Charges will be transferred to the Discontinued Policy Fund till the completion of 5 full Policy Years and shall earn an interest of minimum 3.5% per annum compounded yearly or any other rate prescribed by IRDA. The balance in the Discontinued Policy Fund along with the earned interest shall be paid to the Policyholder on completion of 5 full policy years.

Expected Interest Rates: For the purpose of projecting benefits under this Policy, the Life Insurance Council has prescribed two rates of returns. Currently the prescribed higher rate is 10% p.a. and lower rate is 6% p.a.

Taxation: Policyholder will be eligible for tax benefits under section 80C and section 10(10D) of the Income Tax Act, 1961, subject to the provisions contained therein.

• Under section 80C, you can save upto Rs. 30,900/- from your tax each year (assumed at the highest tax bracket) as premiums upto Rs.100,000/- are allowed as deduction from your taxable income.

• Under section 10(10D), the benefits you receive from this policy are exempt from tax.

The aforesaid tax benefits are subject to change in tax laws. We therefore urge you to carefully analyze the tax benefits/tax implications, if any, that may arise on investing in this policy.

Other Tax Implications: If required by the Act, the Company may withhold taxes from the benefits payable under this Policy. The Company also reserves the right to recover from the Policyholder levies such as Service Tax or such other taxes as may be levied by the appropriate Authorities on insurance transactions by cancellation of units or from the unit fund.

III. Policy Charges

(i) Premium Allocation Charges:

The premium allocation charges are guaranteed during the contract period of the policy

(ii) Mortality Charges: In order to provide insurance cover, the Company will deduct the Mortality Charges monthly in advance from the Fund Value by cancellation of Units. The Mortality Charges will vary based on age, sex, level of life cover, etc. The mortality charges are guaranteed during the contract period of the policy.

(iii) Policy Administration Charges: These Policy administration charges are guaranteed & would be deducted at the beginning of each policy month by way of cancellation of units from the Fund Value.

(iv) Fund Management Charges: Fund Management Charges will be charged by adjustment to the daily unit prices. Currently, the Company offers 5 Unit Linked Funds. The Fund Management Charges vary with each Unit Linked Fund as follows:

The company can review the fund management charge after giving 30 days notice and with requisite approval from IRDA.

The maximum fund management charge cannot exceed the cap as allowed by IRDA from time to time.

(v) Switching Charges: There are no charges for switching between the Unit linked Funds.

(vi) Premium Redirection Charges: There are no charges for premium redirections.

(vii) Policy Discontinuation Charges: Premium Discontinuation charge is levied one time on the date of policy discontinuation. Policy can be discontinued any time in the policy term subject to the following premium discontinuation charges:

Policy Discontinuance Year Policy Discontinuance Charges

1 Lower of 6% of (AP* or FV*) subject to max Rs 6000

2 Lower of 4% of (AP* or FV*) subject to max Rs 5000

3 Lower of 3% of (AP* or FV*) subject to max Rs 4000

4 Lower of 2% of (AP* or FV*) subject to max Rs 2000

5 and onwards NIL

*AP-Annualized Premium, FV-Fund Value

The company can review the discontinuance charge after giving 30 days notice and with requisite approval from IRDA. The maximum discontinuance charge cannot exceed the cap as allowed by IRDA from time to time.

(viii) Partial Withdrawal Charges: There are no charges for Partial Withdrawals

IV Risk factors

a) ING Prospering Life is a Unit-Linked Life Insurance Product (ULIP). ULIP plans are different from the traditional insurance products and are subject to risk factors.

b) ING Vysya Life Insurance Company Limited is only the name of the Insurance Company and ING Prospering Life is only the name of the ULIP contract and does not in any way indicate the quality of the contract, its future prospects or returns.

c) The names of the Unit Linked Funds do not in any manner indicate the quality of the Unit Linked Fund or their future prospects or returns. In this Policy the investment risk in investment portfolio is borne by the Policyholder.

d) Investments in Units are subject to market and other risks and there can be no assurance that the objectives of the Unit Linked Funds will be achieved.

e) The premiums paid in ULIP policies are subject to investment risks associated with capital markets and the Unit Price of the Units may go up or down based on performance of fund and factors influencing the capital market and the insured is responsible for his/her decisions.

f) Past performance of the Unit Linked Fund and other Funds of the Company is not indicative of future performance of any of these Funds.

g) The Unit Linked Product does not offer a guaranteed return.

h) The premiums and the funds are subject to certain charges as specified related to the fund or the premium paid.

i) Please know the associated risks and the applicable charges, from your Insurance agent or the Intermediary or policy document of the insurer.

j) The above information is indicative of the terms, conditions, warranties and exceptions contained in the Policy. Please refer to the Policy Brochure, terms and conditions/rider terms and conditions to understand in detail the associated risks, benefits, charges etc about the Plan and rider.

Note: The objective of a life insurance is long-term financial security. In case you fail to pay your due premiums on time or during grace period you shall be given a period of 45 days from the end of grace period to restore the policy in accordance with the IRDA regulations, failing which the Policy shall stand terminated. Therefore we urge you to pay your premiums on time to achieve your long term-objectives for taking this policy.

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Tags: ING Life Insurance, ING Prospering Life, insurance plan, Life Insurance, ULIP