CASE STUDY : Mr. Gupta is a 45 year old private sector employee. He wants a guaranteed stream of income of Rs.50,000 (approx) annually immediately after he stops paying Premiums and would want to further increase the income by another Rs.50,000 (approx). Mr. Gupta decides to buy Max Life Guaranteed Income Plan with a Policy Term of 6 years and Annualised Premium of Rs.1,00,000. He also decides to make Mrs. Gupta his nominee under the plan.
Following are the two illustrative scenarios under the plan:
Scenario 1 (Survival Benefit): Mr. Gupta pays all the due Policy Premiums and survives till end of the Policy Term. In this case, he will receive the following benefits:
Click here to view Scenario 1.
Instead of Monthly Income, Mr. Gupta also has the option to avail lump sum amount at the end of the Policy Term which will be GMSA
Scenario 2 (Death Benefit): Mr. Gupta dies after paying 2 Premiums. In this case his nominee (Mrs. Gupta) will have option to choose between two Death Benefit options available
Option 1 - Lump sum Death Benefit: In case Mrs. Gupta chooses lump sum Death Benefit, she will get a one time payment of Rs.12,75,000/- (calculated as 12.75 times of one Annualised Premium)
Option 2 - Income Benefit: In case Mrs. Gupta chooses Income Death Benefit option, she will get the monthly income calculated as (165%/12) of one Annualised Premium payable for 10 years, as shown below:
Click here to view Scenario 2.