Aditya Birla Wealth Smart Plus Plan

What is Aditya Birla Wealth Smart Plus Plan?

Aditya Birla Wealth Smart Plus Plan is a Unit Linked Insurance Plan (ULIP) that allows you to invest in market-linked funds while also providing life insurance coverage. This plan aims to provide you with a wide range of best investment options and financial security for your family in case of any unforeseen events. The ABSLI Wealth Smart Plus Plan also offers you tax savings under Section 80C and 10(10D) of the Income Tax Act.

Features of Aditya Birla Wealth Smart Plus Plan

The key features of the ABSLI Wealth Smart Plus Plan are listed below:

• Two plan options are available: the Smart Life Option, offering coverage up to age 75, and the Whole Life Option, providing coverage up to age 100.

• No premium allocation charges and no policy administration charges are applicable throughout the policy term.

• You can choose from 5 different investment strategies and 19 funds to match your diverse investment goals.

• A systematic withdrawal facility allows you to make regular withdrawals from your fund value during the policy term to meet ongoing financial needs.

• Tax benefits may apply on premiums paid and benefits received, subject to current tax laws.

• Flexibility to make partial withdrawals is available to help with any emergency financial requirements.

Eligibility Criteria of Aditya Birla Wealth Smart Plus Plan

*Maximum amount is subject to Board Approved Underwriting Policy (BAUP).
**Maximum sum assured is subject to Board Approved Underwriting Policy (BAUP).

Benefits of Aditya Birla Wealth Smart Plus Plan

Following are the key benefits offered with the Aditya Birla Wealth Smart Plus Plan:

• Death Benefit: Upon the death of the Life Insured during the policy term, the nominee or legal heir will receive the higher of:

  • The Fund Value as on the date of death notification.

  • The Sum Assured (reduced by any partial withdrawals in the two years before death).

  • 105% of the total premiums paid, minus any partial withdrawals in the two years before death.

• Maturity Benefit: If the Life Insured survives the policy term and all premiums are paid, the Fund Value will be paid in a lump sum or as a structured payout through the Settlement Option.

• Tax Benefits: The ABSLI Wealth Smart Plus Plan offers tax deductions on premiums paid under Section 80C (up to ₹1.5 lakh) and tax exemptions on both maturity and death benefits under Section 10(10D). These benefits help you save on taxes while ensuring financial security for your family.

• Premium Allocation: Under the Self-Managed Option, you allocate your premium across segregated funds with a minimum of 5% per fund, totalling 100%. With the Smart or Life Cycle Option, you choose your risk profile (Conservative, Moderate, Aggressive) and the premium is split between Maximiser (equity) and Income Advantage (debt) funds. In the Systematic Transfer Option, you allocate up to four segregated funds with a minimum of 5% per fund, ensuring a total of 100%.

• Fund Switching: You can switch between funds in the Self-Managed or Systematic Transfer options, with a minimum switch amount of ₹5,000. Unlimited free switches are allowed each year, except during the first five policy years or if the funds are in Liquid Plus.

• Premium Redirection: Under the Self-Managed Option, you can redirect future premiums across 19 fund options, while the Systematic Transfer Option allows redirection across 4 funds, except when invested in Liquid Plus. You can make up to 12 free premium redirections annually.

• Settlement Option: Before maturity, you can opt for a Settlement Option where your funds are managed for up to 5 years post-maturity. You will receive regular payouts (monthly, quarterly, semi-annually, or annually), with equal unit divisions for each payout. Fund management charges and mortality charges will apply, with a risk cover of 105% of total premiums paid.

• Partial Withdrawal: After completing 5 policy years, you can make unlimited partial withdrawals if you are 18 or older, with a minimum withdrawal of ₹5,000 and up to 25% of the Fund Value.

Rider Benefits of Aditya Birla Wealth Smart Plus Plan

• ABSLI Accidental Death Benefit Rider: In case of death due to an accident within 180 days, 100% of the rider sum assured will be paid to the nominee. Additionally, premiums paid after the accident, along with interest, will be refunded.

• ABSLI Waiver of Premium Rider: If the policyholder becomes completely disabled, is diagnosed with a critical illness, or dies (if not the Life Insured), all future premiums will be waived, and benefits will continue.

Note:

• Rider Coverage: Riders will provide independent cover, and multiple rider benefits can be claimed if applicable.

• Rider Limits: Rider premiums for health or critical illness must not exceed the base premium, while other rider premiums combined are capped at 30% of the base premium.

Portfolio Management Strategies of Aditya Birla Wealth Smart Plus Plan

The ABSLI Wealth Smart Plus Plan offers the following 5 portfolio management strategies:

• Systematic Transfer Investment Option: Systematic Transfer Investment Option allows you to gradually transfer your investments from a low-risk fund to an equity fund. It helps reduce market risk while aiming for better returns over time. The option is ideal for those who want to invest without worrying about market timing.

• Return Optimiser Investment Option: The Return Optimiser Investment Option automatically shifts your investments from high-risk to safer funds when the market performs well, protecting your gains while still growing your wealth.  It is perfect for individuals seeking market participation with protection against volatility.

• Self-Managed Investment Option: Self-Managed Investment Option gives you complete control to choose and manage your own investment funds based on your risk appetite and financial goals. It is best for those who prefer full control over their investment decisions.

• Smart Investment Option: Smart Investment Option automatically rebalances your investments between debt and equity funds based on a predetermined strategy, helping you maximize returns with minimal effort. It is designed for people who want their investments to adapt to their changing financial needs with age.

• Life Cycle Investment Option: The Life Cycle Investment Option automatically adjusts your investments as you age, with higher equity exposure when you're younger and a shift to safer funds as you get older, providing a balanced approach throughout life. It is suited for those looking to balance equity and debt based on their age for an optimal portfolio.

Policy Details of Aditya Birla Wealth Smart Plus Plan

• Policy Discontinuance: If you miss a premium payment, you get a 30-day Grace Period (15 days for monthly mode) during which all benefits continue, with charges deducted. If the premium isn’t paid by the end of the grace period, the policy will be handled as follows:

  • During the First 5 Years: If premiums are unpaid after the grace period, the Fund Value minus applicable charges will move to the Discontinued Policy Fund, and risk cover will cease. You’ll have three years to revive the policy.

  • After the First 5 Years: If premiums remain unpaid, the policy converts to a reduced paid-up policy. The Sum Assured reduces proportionally to premiums paid. Charges continue during the revival period, but mortality charges apply to the reduced sum only.

• Policy Termination: Your policy will terminate at the earliest of these events:

  • Full withdrawal under the discontinuance rules

  • Fund Value reaches zero

  • Death Benefit, Surrender Benefit, or Maturity Benefit is paid

  • Free-look cancellation refund is processed

• Force Majeure: In case of unforeseen events like natural disasters, war, pandemics, cyber-attacks, or government regulations, actions outside our control may impact policy operations.

• Grace Period: You will have 30 days (15 days for monthly mode) to pay overdue premiums. During this period, all benefits, including risk cover, continue with charge deductions.

• Free-Look Period: You can return the policy within 30 days of receipt if you disagree with the terms. We will refund the premium after deducting charges for risk cover, medical exams (if any), and stamp duty.

How the Plan Works

The working of the ABSLI Wealth Smart Plus Plan is mentioned in the following three steps;

• Step 1: Choose your plan option from Smart Life Option and Whole Life Option.

• Step 2: Select your Annualized Premium, Premium Payment Term, Policy Term and Premium Payment Mode.

• Step 3: Choose your market-linked funds, investment strategy, and fund allocation.

• Step 4: At the end of the policy term, you receive the accumulated fund value as a maturity benefit. In case of an unfortunate event, the nominee gets the death benefit, ensuring financial security for your loved ones.

Suicide Exclusion Criteria

In case of death due to suicide within 12 months from the policy commencement or revival, the nominee will receive the Fund Value as of the date of death notification. Additionally, any charges (except Fund Management Charges) deducted after the date of death will be refunded to the Fund Value.