Pramerica Life Invest Shield

On survival of the Life Insured till maturity date, the Fund Value including Top-Up fund value, if any, shall be payable and the policy shall terminate.

The policy will acquire surrender value immediately from first policy year. However, no surrender value will be payable during the “lock in period”, which is a period of five consecutive policy years from the date of commencement of the policy.

If the Policyholder opts for surrender within first five policy years, the Fund Value, after deducting the applicable discontinuance charges, shall be credited to the Discontinued Policy Fund and the risk cover and rider cover, if any, shall cease. The proceeds from the Discontinued Policy Fund shall be paid at the end of the lock in period as Sum Assured. Only fund management charge shall be deducted from this fund during this period.

The income earned on this fund shall be at least the minimum rate as prescribed by the IRDAI from time to time. The current prescribed minimum guaranteed rate of interest applicable is 4% percent per annum. The excess income earned in the Discontinued Policy Fund over and above the minimum guaranteed interest will also be accounted to the Discontinued Policy Fund.

If the policyholder opts for surrender after the completion of the fifth policy year, the Fund Value if any will be paid.

Provided all due premiums are paid, Persistency boosters would be allocated as extra units at the end of every fifth policy year, starting from 5th year and thereafter every 5th year. Persistency boosters as a 1.0% of average Fund Value including Top-up Fund Value of preceding 36 monthly policy anniversaries would be allocated to the policyholder’s unit account

Provided all due premiums are paid, Maturity additions in the form of extra unit equals to 15% of Total Premiums Paid in case of Limited Pay and 8% of Total Premiums Paid in case of Regular Pay, allocated to the policyholder’s unit account.

Provided the policy is in force and all due premiums have been paid, starting from the 11th policy year, at the beginning of each policy month, a multiple (50% to 300%) of the mortality charge deducted exactly 120 months earlier will be added back to the Fund Value through the allocation of corresponding units. The applicable multiple for the return of mortality charge varies by policy duration:

1. Policy years 11 to 15: 50%

2. Policy years 16 and 20: 100%

3. Policy years 21 to 25: 150%

4. Policy years 26 and 30: 200%

5. Policy years 31 to 35: 250%

6. Policy years 36 to 40: 300%

Provided the policy is in force and all due premiums have been paid, starting 11th Policy Year, the allocation charge that was deducted exactly 120 months prior to the current policy month will be added back to the Fund Value through the allocation of corresponding units.