Generali Central Long Term Income Plan

What is Generali Central Long Term Income Plan?

The Generali Central Long Term Income Plan provided by Generali Central Life Insurance is a savings-oriented life insurance product that secures long-term financial well-being through guaranteed periodic income and extensive life cover. You can customize the investment plan based on your needs by choosing from two primary Plan Options: Option 1 (designed for yourself, where death benefit goes to a nominee) and Option 2 (designed for your loved ones, ensuring the continuity of policy benefits like survival and maturity payouts even after the life assured's death, without future premium liability). Furthermore, policyholders can decide when their income starts by selecting either the Immediate Income option (starting immediately) or the Deferred Income option (starting after 5 years).

Features of Generali Central Long Term Income Plan

• Guaranteed Benefits: Enjoy fully guaranteed benefits on death, survival, and maturity.
• Extended Income Period: Receive guaranteed long-term income for up to 50 years.
• Flexible Income Start Date: Option to start receiving income as early as the next month (Immediate Income) or defer it for 5 years (Deferred Income).
• Increasing Payouts: Benefit from increasing Income Loyalty Additions starting from the 11th policy year until the end of the policy term.
• Legacy Continuity: Under Option 2, ensure the continuity of income and maturity benefits for your family in the event of your death, with all future premiums waived.
• Customizable Life Cover: Choose your life cover amount at inception using different Death Benefit Multiples (5, 7, or 10 times the annualized premium).
• Optional Riders: Enhance coverage tailored to specific needs with two optional accidental benefit riders.

Eligibility Criteria for Generali Central Long Term Income Plan

Benefits of Generali Central Long Term Income Plan

• Survival Benefit: You receive Survival Benefits till the end of the policy term, comprising a Guaranteed Income and an Income Loyalty Addition. The payouts can begin immediately (Immediate Income) or after 5 years (Deferred Income) depending on the option chosen at inception.
• Income Loyalty Additions: Starting from the 11th policy year, an Income Loyalty Addition enhances your Survival Benefit. This addition is defined as a percentage of the Guaranteed Income and increases in blocks of 5 years (e.g., 50% for years 11-15, 100% for years 16-20, up to 400% for years 46-50).
• Maturity Benefit: Upon surviving till the end of the policy term, the policyholder receives the Sum Assured on Maturity alongside a Maturity Loyalty Addition. The Sum Assured on Maturity equals the total Sum Assured, and the Maturity Loyalty Addition equals the Sum Assured on Maturity.
• Death Benefit (Option 1): In case of unfortunate demise, the nominee receives the highest of: Sum Assured on Death, 105% of Total Premiums Paid, 150% of Total Premiums Paid minus Total Survival Benefits already paid, or Surrender Value as on the date of death.
• Death Benefit (Option 2): On the life assured's death, a lump sum equal to the Sum Assured on Death is paid immediately to the nominee. Furthermore, no future premiums need to be paid, and the policy continues to pay all scheduled Survival Benefits and the Maturity Benefit to the family.
• Tax Benefits: You may be eligible for tax benefits on the premiums paid and the benefits received under the provisions of the Income Tax laws, as amended from time to time.

Riders Under Generali Central Long Term Income Plan

• Generali Central Non-Linked Accidental Death Benefit Rider (133B054V01): Provides an additional Rider Sum Assured if the life assured dies due to an accident within 180 days of the incident. It offers a double benefit if the accidental death occurs on commercial public transport, in a certified elevator, during a fire in a public building, or on a commercial passenger airline. A Return of Premium (ROP) option is also available.
• Generali Central Non-Linked Accidental Total & Permanent Disability Rider (133B056V01): Pays the Rider Sum Assured if an accident causes total and permanent disability, defined as the inability to perform at least 3 out of 6 Activities of Daily Living (Washing, Dressing, Transferring, Mobility, Continence, Feeding) without continuous assistance. This rider also features a Return of Premium (ROP) option.
• Note: Under both riders, you have the flexibility to receive the benefit as a lump sum, in regular income installments (over 2 to 10 years), or a combination of both.

Additional Details of Generali Central Long Term Income Plan

• Premium Payment Options: Premiums can be paid Yearly, Half-Yearly (52.0% of annual), Quarterly (26.5% of annual), or Monthly (8.83% of annual).
• Grace Period: A grace period of 30 days is allowed for Yearly, Half-yearly, and Quarterly modes, and 15 days for the Monthly mode to pay missed premiums without loss of risk cover.
• Free-look Period: Policyholders have a 30-day free-look period from the receipt of the Policy Document to return the policy if they disagree with any terms.
• Surrender Rules: The policy can be surrendered for cash at any time after the completion of the first policy year, provided one full year's premium is paid. The payout will be the higher of the Guaranteed Surrender Value (GSV) or the Special Surrender Value (SSV).
• Paid-up Value: If at least one full year's premium is paid and subsequent premiums are unpaid, the policy automatically converts to a reduced paid-up policy. The Death Benefit, Survival Benefit, and Maturity Benefit are reduced proportionally based on the premiums paid versus total premiums payable, and no further Loyalty Additions are accrued.
• Revival Provisions: A lapsed or paid-up policy can be revived within five consecutive years from the due date of the first unpaid premium, subject to continued insurability and payment of overdue premiums with a 9% p.a. simple interest rate (applicable for FY 2024-25).
• Policy Loans: Once a Surrender Value is acquired, policyholders can take a loan up to 85% of the Surrender Value. The minimum loan amount is Rs. 10,000, with an interest rate of 9% p.a. compounded half-yearly for FY 2024-25.
• Nomination and Assignment: Nomination operates strictly under Section 39, and Assignment under Section 38 of the Insurance Act, 1938.

Exclusions Under Generali Central Long Term Income Plan

• Suicide Exclusion: If the life assured passes away due to suicide within 12 months from the policy's risk commencement or revival date, Generali Central Life Insurance will pay the nominee at least 80% of the total premiums paid till the date of death or the available surrender value on the date of death, whichever is higher (provided the policy is in force).
• Rider Exclusions: The accidental riders will not pay out if the accident is caused by intentional self-inflicted injury, attempted suicide, influence of drugs/alcohol (unless prescribed), war, civil commotion, participation in hazardous sports (e.g., diving, martial arts, bungee jumping), aviation (except as a commercial passenger/crew), criminal acts, or nuclear contamination.