Canara HSBC Oriental Bank of Commerce Life Unit Linked Pension Plan

Finance your future today, to make sure you enjoy life tomorrow.  Our retirement solutions have been created to ensure that you lead your life tension free.

The Canara HSBC Oriental Bank of Commerce Life Unit Linked Pension Plan gives you the freedom to plan your retirement so that you can enjoy it just the way you want. 

Key Features of the Canara HSBC Oriental Bank of Commerce Life Unit Linked Pension Plan

• Flexibility to choose your Plan - Option I- Pure Pension Plan  or Option II- Pension With Life Cover
• Flexibility to choose between Single or Regular Premium payment options depending on  your investment preference
• Choose between 5 Investment Funds depending on your attitude to market risks and returns.
• Hassle free -  No Medical tests
• Maturity Switch Option  As you grow older, and your Plan nears your Vesting Date, change your type of investment by moving from a more market influenced Equity Fund to a less market influenced Liquid Fund
• Unlimited Top ups - Increase your Retirement Corpus by adding unlimited top ups over and above your regular contribution(s)
• Flexibility of Switching/Redirection between the Investment Funds to take advantage of market movements
• Loyalty Additions:  Additional Units will be allocated every 5th year starting from end of the 10th Policy year ,at no extra charge  up to end of  Policy Term (if your Policy Term is 15 years or more)thus increasing the value of investment.
• Save tax while investing under Sec 80C and Section 10(10A)(iii) of the Income Tax Act, 1961¹

We provide you a wide range of flexibilities to avail various plan options and combinations that suit your needs!!

Eligiblity Criteria

Particular	Minimum	Maximum
Entry Age²	18 years	65 years ( for Single Premium-under Option I) 60 years (for Regular Premium-under Option I) 60 years (under Option II)
Policy Term	Single Premium-5  years Regular Premium- 10 years	52  years (subject to maximum Vesting Age)
Vesting Age	45  years	70  years
Premium	Rs 12,000 p.a. (Regular) Rs 50,000 p.a. (Single)	No Limit
Top Ups	Rs 2000	Unlimited

 

Life Cover	Only under Option II: Pension with Life Cover
	For Regular Premium payment:
	Age² Life Cover 18 to 35 years 5 or 10 times of the AP, with maximum SA of Rs. 10 lakhs 36 to 45 years 5 or 10 times of the AP, with maximum SA of Rs. 5 Lakhs 46 to 55 years Fixed Rs. 1.5 lakhs 56 to 60 years Fixed Rs. 1.0 lakh
	For Single Premium (SP) payment:
	Age² Life Cover 18 to 35 years 125% of SP subject to maximum SA of Rs. 10 lakhs 36 to 45 years 125% of SP subject to maximum SA of Rs. 5 lakhs 46 to 55 years 125% of SP subject to maximum SA  of Rs. 1.5 lakhs 56 to 60 years Fixed Rs. 1.0 lakh

¹The tax benefits are as per the prevailing law and are subject to changes

²Age is based on last birthday

AP-Annualized Premium; SA- Sum Assured

How Does The Plan Work?

PHASE I- Accumulation of your savings for your retirement needs

• Choose your Premium
• Choose your Plan Option, Option I- Pure Pension(without Life cover)  or Option II- Pension with Life Cover,
• Choose your Payment Mode- Single or Regular
• Choose your Vesting Age
• Your Policy Term shall be equal to : Vesting Age – Current Age
• Choose your investment strategy by allocating your premiums into Funds that suit your risk appetite or take advantage of the Maturity Switch Option
• Fill the form and submit it with your initial premium and the necessary documents.
• You have the option to pay your Premium annually/semi-annually/ quarterly or monthly under Regular Premium mode.
• On a periodic basis, the Company will provide you, your Unit Account summary.
• No medical tests are required

PHASE II- Payout of your Corpus on reaching your Vesting Date

On the date your Policy matures (Vesting Date), you will have the following options  available to you:

• Taking 1/3rd of your Investments in a lump sum amount  and
• Opting for any of the Annuity options available with us at the time of Vesting Or
• Opting for an Annuity option available with any other Annuity provider through the Open Market option

Protect and Safeguard your returns, earned during the policy term through Unit Linked Funds, at Vesting Date

We have an attractive solution for you in the form of the Maturity Switch Option.

Maturity Switch Option

When you are younger, you expect higher returns from your investments, so that they grow to a substantial amount of money at the time your Policy matures. However, as you grow older and get ready to retire (or your Policy nears its vesting date), you want to safeguard your savings. Recognizing this, we have created the Maturity Switch Option. In this option, your money is initially invested in our Equity Fund (providing potentially higher returns) and then moved progressively to our Liquid Fund (lower risk fund) starting 5 years before your vesting date. The way this option works is as follows:

• If you opt for the Maturity Switch Option, 100% of your premiums will be invested in the Equity Fund till the 5th  year preceding vesting date

From the 5th year preceding vesting date, your funds will be moved to the Liquid Fund as per the following table:

Years Left to Vesting*	Equity Fund Allocation	Liquid Fund Allocation
More than 5 years	100%	0%
4 - 5 years	80%	20%
3 - 4 years	60%	40%
2 - 3 years	40%	60%
1 - 2 years	20%	80%
0 - 1 year	0%	100%

*Allocation percentages are as on Beginning of Year

• If you have opted for Maturity Switch Option you cannot opt for any other fund other than those provided in this Option. Your right to change allocation proportions from the pre-defined grid is suspended (cannot exercise redirection of premium option)
• You can exit or opt to choose Maturity Switch Option at anytime during the Policy Term. The allocations will change immediately as desired by you if you exit or as per the table given above if you opt in to Maturity Switch Option.
• Every entry into or exit from the Maturity Switch Option, will be treated as a switch. Rules and charges for switches will be applied as per the terms governing the same.

Prepone or Postpone your Vesting Date – You can choose to prepone or postpone your Vesting Date within the boundary limits set for you up to two times through your Policy Term as per your changing Retirement Needs. You can prepone or postpone your Vesting Date, subject to the following conditions:

• It should be within the maximum and minimum limit prescribed.
• This can be done at any time from the 5th policy year onwards. This option is not available for Single Premium policies with Policy Term of 5 years.
• This option is available only 2 times during the Policy Term and both options cannot be exercised together.
• There will be no change in the regular premium as a result of change in Vesting Date.
• Life Cover will cease at the earliest Vesting Date.

For details of this option please refer to the detailed product brochure.

Tax Benefit*:

The contributions towards investments in your policy will be eligible for Tax Deduction under Section 80C of the Income Tax Act, 1961¹ upto Rs. 1 Lakh

For specific details, please contact your tax consultant. The tax benefits are as per the prevailing law and are subject to changes 

For detailed description of the product features, benefits, flexibilities and boundaries, kindly refer to the brochure by clicking on the hyperlink below

 

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Canara HSBC Oriental Bank of Commerce Life Pure Term Plan

Through the various stages in your life, you try to protect your loved ones emotionally and financially. But there are times when you ask yourself, what if I am not around to take care of my family? Have I secured my loved ones financially, in case I am not around? Can I plan for the financial security of my family while meeting my current goals?

At Canara HSBC Oriental Bank Of Commerce Life Insurance Company Limited, we understand this, and work tirelessly towards partnering with you in helping you protect your family financially. 

We are proud to present to you a term insurance plan that will protect your family from financial uncertainties and help you secure their future.  

Key Features of Canara HSBC Oriental Bank of Commerce Life Pure Term Plan

• Economical life cover – Sum Assured at affordable cost, across a wide range of coverage ages & Sum Assured
• Wide range of Policy Terms to meet your needs accurately  - choose a term from 5 to 30 years or choose coverage till age 60 years 
• Flexible Premium Paying Options – The plan provides you Regular and Single Premium Paying options
• Rebate on premium rates for female lives
• Save tax while investing under section 80C and get tax-free benefits under section 10 (10 D) under the  Income Tax Act, 1961¹

Eligiblity Criteria

Sum Assured	Minimum – Rs 10 Lakhs for both Single Premium and Regular Premium Payment Options
Entry Age*	Minimum – 18 Years Maximum – 64 Years
Maturity Age*	Maximum - 74 Years
Premium Paying Term	Single/ Policy Term
Policy Term	Choose a term from 5 to 30 Years (Subject to maximum maturity age of 74 years)   Or Coverage till Age* 60 Years – (For entry ages less than or equal to 55 years)
Premium Payment Frequency	Single, Yearly, Half-yearly, Quarterly, Monthly

*Age is based on last birthday 

¹The tax benefits are as per the laws prevailing on the date of issuance of this brochure, and are subject to changes

How Does The Plan Work?

• Choose the amount of protection you need
• Decide on the term of your Policy
• Choose your premium paying option and premium paying mode
• Complete your Application Form and submit it with the required premium and the necessary documents
• We shall be notifying you on the requirement of medical examinations, if required. After assessment of your medical conditions and health standard by the Company on the basis of the information/ documents provided by you and basis which medical tests conducted if any, the Policy will be issued and sent to you
• Your Policy's risk coverage shall commence on a date latter of underwriting acceptance or premium realization.

Benefits under the Plan

Death Benefit:

In case of the unfortunate death of the Life Assured during the policy term, the benefit payable to the nominee is the Sum Assured under the Policy.

Maturity Benefit:

There will be no survival benefits payable under this plan.

Tax Benefit¹:

• Premiums paid under this policy will be eligible for tax benefit under Section 80C and
• Any benefit amount paid to you will be eligible for tax benefits under Section 10(10D), as per prevailing Income Tax laws.

For specific details, please contact your tax consultant.

For detailed description of the product features, benefits, flexibilities & boundaries, kindly refer to the brochure by clicking on the hyperlink.

 

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Canara HSBC Oriental Bank of Commerce Life Unit Linked Child Plan

 

At Canara HSBC Oriental Bank of Commerce Life Insurance Company Limited, we believe that when it comes to your child's future, you should not settle for anything else but the best. Our Unit Linked Child Plan, with its thoughtfully designed features and options is just another way towards ensuring a safe and happy life for your child in the future. This product will not only help you fulfill your promise to your child, but more importantly help you take the first step towards ensuring a secure future for him/her.

Key Features/ Benefits of the Unit Linked Child Plan

• Comprehensive Insurance Benefit: Safeguard the immediate and future needs of your child in
  case of your unfortunate death with the following features:
  * Immediate payment of the Sum Assured
  * Funding of all future premiums, as and when due
  * Payment of the Fund Value at maturity
• Loyalty Additions at milestones in your child's life: Boost your investments through Loyalty Additions, twice during the policy term – at ages 18 and 25 of your child
• Indexation: Protect the real value of your investments and policy benefits against inflation by opting for Indexation at inception, whereby your regular premium and sum assured will increase by 5% p.a.
• Premium Holiday: Avail the option of a premium holiday up to 3 years and enjoy all the policy benefits without having to pay any premium for the holiday duration
• Systematic Partial Withdrawal: Meet the planned needs of your child, such as his/her higher education, through structured payouts in the last 5 policy years. This apart, the Partial Withdrawal option is also available after the completion of 5 policy years for unplanned contingencies
• Investment Funds: Choose from 5 investment funds – Equity, Growth, Balanced, Debt and Liquid, ranging from 0% to 100% equity exposure, to match your appetite towards investment risks and returns
• Maturity Switch Option: Get the upside of high growth through the term of the plan while protecting your savings when your plan is closer to maturity by opting for Maturity Switch Option.
• Tax benefits¹: Enjoy tax benefits under Section 80C and Section 10(10D), as per the Income Tax Act, 1961

Eligibility Criteria

Entry Age (Last birthday)	Life Assured (Parent): 18 – 60 years Beneficiary (Child): 0 – 15 years
Policy term	25 years – entry age of the beneficiary (i.e. 10 – 25 years, subject to maximum maturity age of 75 years)
Annual Premium	Minimum Rs 12,000; No maximum limit
Sum Assured	5 to 15 times Annualized Premium Equivalent for age 18 to 50 years 5 times Annualized Premium Equivalent for age 51 to 60 years
In-built Premium Funding Benefit	Funding of all future premiums, as and when due by the Company in case of the death of the Life Assured during the policy term
Death Benefit	Sum Assured is paid immediately & Inbuilt Premium Funding Benefit gets activated
Maturity Benefit	Fund Value
Fund Options	Equity Fund	Growth Fund	Balanced Fund	Debt Fund	Liquid Fund

How the Plan Works?

• Choose the regular premium as per the amount you would like to invest for your child's future. Also, choose an adequate life cover
• Your policy term will be 25 years minus your child's current age. E.g. if your child's current age is 3 years, the term of the plan will be 25-3=22 years. This is designed so that the policy matures when your child is 25 years old
• You can choose to pay your premiums annually, half yearly, quarterly or monthly. You can opt to pay your premiums through cheque, demand draft, ECS, direct debit or standing instruction to your bank account.
• You need to complete your proposal form and submit it with the initial premium and the necessary documents.
• Once your proposal is accepted as per our underwriting requirements, the policy will be issued and sent to you
• You can avail the flexibilities provided in the plan as per your need, after issuance of your Policy
• You will be required to pay premiums regularly for the entire policy term

No one covers you the way we do!

Providing Customized Solutions for your Child's benefit through this plan! 

♦ Indexation Option

At inception, you can opt for Indexation, wherein your regular premium as well as the sum assured will increase by 5% p.a. of the then existing Premium and Sum Assured at each policy anniversary. Indexation helps you effectively beat inflation eating into the value of your funds and make disciplined increased savings towards it. Also, in case of your unfortunate death, the benefits paid to your child are substantially insulated from inflation erosion.

♦ Partial Withdrawal/ Systematic Partial Withdrawal

In order to meet any sudden financial requirements for your child, you can make partial withdrawals from your policy without having to surrender it. Subject to all due premiums being paid, Partial withdrawals are allowed after the completion of 5 policy years. The first four partial withdrawals in a year are free of charge.
You also have the option of Systematic Partial Withdrawal, wherein 20% of the fund value (as on the beginning of each respective policy year) will be disbursed to you in the 5 policy years immediately preceding policy maturity. This will give you access to your investments, helping you take care of large expenses of your child such as his/her higher education.

♦ Loyalty Additions

Enjoy Loyalty Additions twice during the term of your policy, linked to two key milestone ages of your child i.e. a) when he/she attains age 18, and b) when he/she attains age 25.  The Loyalty Additions are given in the form of free extra allocation of units. The Loyalty Additions are given as a percentage of the total fund value, built-up on regular premiums only as illustrated below:
- Loyalty Addition at the age of 18 = 0.2%* Fund Value* Total number of completed policy years
- Loyalty Additions at the age of 25 = 0.2%* Fund Value* Total number of completed policy years

♦ Premium Holiday

You can avail the Premium Holiday facility; provided the policy is in force and at least the first 8 policy years' premiums have been paid. You can opt not to pay your regular premiums for periods ranging from 1 to 3 years during which the policy will continue with all the benefits. Once the holiday period is over, you can resume premium payment without having to pay the premiums pertaining to the Premium Holiday period. This feature is available multiple times during the policy term and can be availed in case you face any financial constraints during the policy term. We will require a notice of at least 15 days, prior to the premium due date from which you wish to avail the premium holiday.

TAX BENEFIT¹:

• Premiums paid under this policy will be eligible for tax benefit under Section 80C and
• Any benefit amount paid to you will be eligible for tax benefits under Section 10(10D), as per prevailing Income Tax laws.

For specific details, please contact your tax consultant.
¹The tax benefits are as per the law prevailing on the date of issuance of this plan, and are subject to changes
For detailed description of the product features, benefits, flexibilities & boundaries, kindly refer to the brochure by clicking on the hyperlink below

 

Read more...