ULIP charges…

POSTED BY keshav ON December 5, 2010 4:29 pm ONE COMMENT


I am investing in Kotak Flexi Guarantee Growth Fund From 2005 with a premium of 15,000 yearly. From 2005-10 I find that market has seen the worst and Good but still I am unable to recover my investment yet. 

When I look back it seems a big mistake I have taken but again one learns from mistake.

Yes one can also blame it to be a mis-selling. I was more fascinated by 80C deduction plus investment n then insurance.

My basic question is that:-

1. After servicing the 1-3 years where charges are levied on the customers heavy would it be correct now to quit or should I wait for Break even or till the maturity.

2. If I go for surrender what will be charges. Would it be nil as per the new guidelines of IRDA since I have serviced the lock-in-period.

Please don’t make a copy paste of the charges I have read lot of articles on the charges what IRDA has specified.

But confused whether these apply for products launched after 1 st September’10 or for all.



One reply on this article “ULIP charges…”

  1. The new rules are applicable for products that were sold after it’s effective date viz. Sep 1, 2010 and NOT on previous policies. So, your policy comes under the rule as mentioned in your policy bond. So, check out the surrender charges, and other premium allocation charges from there. If the further charges are nominal, continue with that. But if the further charges are still high, you need to re-think on this product.

    Hope it will help you.

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