WELCOME TO

WORKSHOP OF LIFE
INSURANCE
INTRODUCTION TO
INSURANCE
Insurance is a risk management tool, a
security blanket. It provides you financial
protection against unexpected events. When
you buy an insurance, you effectively transfer
a portion of your risk to your insurer.
 TYPES OF INSURANCE
 LIFE INSURANCE
 NONLIFE INSURANCE
 NON LIFE INSURANCE
 Vehicle Insurance
 Home Insurance
 Medical Insurance
 Accident Insurance
 Travel Insurance
 Baggage Insurance
 ENEMIES OF A SECURE
FUTURE
 Disability:- Accident happen and OPTIONS
people get permanently disabled.
 Living too long:- At this stage
health doesn’t allow you to work Banks:- Interest rates are
while you need adequate money
to take care of your daily needs. falling every day.
 Living too short:- Due to dying Shares:-Up and downs of the
early there are two types of
losses, one is emotional and other stock market are sudden
one is financial losses. You need and very uncertain.
protection for your loved one.
 Sickness:- With complex urban
Company Fixed Deposits:-
lifestyles today health problems The list of defaulting
are increasing medical costs. companies is increasing
 Loss of wealth:-Sometimes due every day.
to unexpected events like fire,
theft, loss of wealth occur. Bonds:- Low rate of interest
and lock in period.
“Life Insurance is not only about
compensation also about meeting
ones desires.”
CONCEPT OF INSURANCE
 No. of houses 100
 Cost of cons./house 1000
 Destroy /year 5
 Total cost of Reconstruction
5000
 Cost/No. of member(Rs)
5000/100
 Cost per member(Rs)
50
 Cost of Comprehensive
insurance for house in
India Rs 90/1Lac
 TERMINOLOGY USED IN LIFE
INSURANCE
 POLICY HOLDER
 PREMIUM
 SUM-ASSURED
 TERM
 PREMIUM PAYING TERM
 SURVIVAL BENEFIT/MATURITY BENEFIT
 DEATH BENIFIT
 TYPES OF LIFE INSURANCE
 Term Plans
 Endowment Plan
 Money Back Plans
 Whole Life Plans
 Unit Linked Insurance Plans
 Pension Plans
 BENEFITS OF INSURANCE
 Protection against risk of untimely death: Insurance secures families
financially against any uncertainty.
 Protection against old age: Insurance helps in enjoying savings to
maintain the same lifestyle as it used to be while earning actively.
 Forced savings: Insurance helps in building savings which can be
utilized at times when they are needed the most.
 Marketability and suitability for borrowing: A life insurance policy is
acceptable as a security for commercial loan.
 Tax Benefits:- Sure way to save money under
sec80c,sec80D,sec10(10)D of income tax act.
 Education: Helps to provide sufficient money for higher education.
 Seed Capital:- Provides your children seed capital to start a new
business venture.
 Legacy:-Provide your family an inheritance.
 RIDERS
 Term Rider
 Critical illness
 Accidental Death Benefit rider
 Accident permanent partial disability rider
 Accidental permanent total disability rider
 Waiver of premium rider
 Hospital cash Benefit
 Family Income Benefit (FIB)
 How Much Is Your Life Worth?
Determine The Amount Of Cover Needed
Monthly Income of the household that pertains to
you x 12 x100 / Rate of Return
Insurance Coverage For non working
spouse
 Income up to Rs. 10,000, Rs. 200,000
 Income between Rs. 10,000-50,000,

Rs. 500,000.
 Income over Rs.50,000, Rs. 10,00,000
 Illustration
 A person has 50,000 per month income ,
He Spend 35000 on household exp, 5000
on his personnel expense, and saves
15000. Now if this person dies due to any
reason his family require at least 35000
to meet their household expenses. To
meet these expenses this person should
be covered with 70 Lakh.
 Different Stages of Our Life
 Young Professional
 Newly Married
 Married with Kids
 Nearing Retirement
 Young Professional/NewlyMarried
NEEDS SOLUTION

Protect loved ones & protection against Term Insurance Plan

liabilities

Saving / Investing for the future Unit Linked Plan

Life Time 1,2/Young Star Plan

Premier Life

Retirement planning HDFC-Unit Linked Pension Plan

Golden Years

Tax Planning All

Life Insurance as well as unit linked plan pl
ans
- Sec 80C
 
 Married with Kids
NEED SOLUTION

Protect loved ones & protection against liabilities Term Insurance Plan

Saving / Investing for the future

Unit Linked Plan
Life Time 1,2/Young Star Plan

Premier Life

Retirement planning Unit Linked Pension Plan

Golden Years

Tax Planning All Life Insurance as well as unit linked plan plans - Sec 80C
 

Child's education Children Plan

Health Concerns Critical Illness Rider

Hospital Cash Benefit

Additional Protection Accident & Disability Benefit Rider

 Nearing Retirement

NEEDS SOLUTION

Protection against liabilities Term Insurance Plan

Retirement planning Unit Linked Pension Plan

 
Golden Year

Tax Planning All Life Insurance & retirement plans -

Sec 80 C
 Term Insurance Plan
 
ICICI Prudential Life Insurance offers Lifeguard - a set of pure protection plans. Choose from amongst three different
product structures to insure your life and provide total security to your family, at a very affordable cost.

  Level Term Assurance with return of premium

 
  On death the entire sum assured will be paid.
 
  On maturity, all the premiums paid will be returned.
 
Level Term Assurance without return of premium
 
 On death the entire sum assured will be paid.
 
  No survival or maturity benefits.
 
You can also enhance the above two policies by adding Accident & Disability Benefit Rider and Waiver of Premium
Rider (WOP).
 
Level Term Assurance - Single premium
 
  On death the entire sum assured will be paid.
 
  No survival or maturity benefits
 
.
 Other Conditions
 Age at entry: 18 years

 Maximum age at entry: 55 years.

 Maximum age at exit : 65

 Minimum term: 5 years

 Maximum term : 30 years( For ICICI Pru LifeGuard Level Term Assurance & ICICI Pru LifeGuard
Level Term Assurance with Return of Premium)

 Maximum term : 15 years(For ICICI Pru LifeGuard Single Premiu

 Minimum premium - Rs. 2400 per annum. ( For ICICI Pru LifeGuard Level Term Assurance &
ICICI Pru LifeGuard Level Term Assurance with Return of Premium)

 Minimum Sum assured : Rs. 2,00,000(For ICICI Pru LifeGuard Single Premium)
 Important Parameter
 Premium Allocation Charges
 Fixed Administration Cost
 Fund Management Charges
 Mortality Charges
 Surrender Value
 Comparison of Charges
Charges HDFC-SLI ICICI-PRU

Fixed 180 Per 720 Per Annum

Administration Annum
Cost
Fund .80% Per 1.50% Per
Management Annum Annum
Charges
Surrender 100% After 3 100% After 4
Value Year Year
Mortality Charges(Rs.Per 1000
S.A)
Age Young Star LifeTime- Premier Life
Plan 1,2
20 .9450 1.31 1.36

25 1.0530 1.41 1.47

35 1.3230 1.71 1.79

THANK YOU