Reliance SIP Insure facility is an add on feature of life insurance cover under Group Term Insurance to individual investors opting for SIP in the designated schemes. Reliance SIP Insure provides free life insurance cover to investors at no extra cost. In the unfortunate event of the demise of an investor during the tenure of the SIP, the insurance company will pay for the balance amount towards the remaining unpaid SIP installments.
Reliance SIP Insure- Benefits to the Investor
- The benefit of Long Term Equity Investment
- Equities provide relatively better returns among all asset classes over a longer period of time
- The benefit of Systematic Investment Plan:
- Inculcates Savings Habit
- Rupee Cost Averaging & Eliminates the need to time the market
- Free Life Insurance Cover
- Helps to complete the planned investments
- Maturity Proceeds at NAV based prices
- Flexibility
- Wide choice of eligible schemes
- Convenience
- Auto Debit from 4 banks namely ICICI bank, HDFC bank, AXIS bank & HSBC
- ECS facility across – 65 locations
Designated Schemes in which Reliance SIP Insure will be offered
- Reliance Growth Fund - Retail Plan
- Reliance Vision Fund - Retail Plan
- Reliance Equity Opportunities Fund - Retail Plan
- Reliance Equity Fund - Retail Plan
- Reliance Equity Advantage Fund- Retail Plan
- Reliance Regular Savings Fund – Equity option
- Reliance Regular Savings Fund – Balanced option
- Reliance Banking Fund
- Reliance Pharma Fund
- Reliance Media & Entertainment Fund
- Reliance Diversified Power Sector Fund – Retail Plan
Eligibility
- All individual investors enrolling for investments via SIP & opting for ‘Reliance SIP Insure’
- Only individual investors whose completed age is greater than 20 years and less than 46 years at the time of investment.
- In case of multiple holders in the any scheme, only the first unit holder will be eligible for the insurance cover.
Investment Details
- Minimum Investment per installment: Rs.2000 per month & in multiples of Re 1 thereafter. There is no upper limit
- Minimum Period of Contribution: 3 years and in multiples of 1 year thereafter.
- Maximum Period of Contribution: 15 years OR till attaining 55 years of age, whichever is earlier (e.g., a person can register an SIP of maximum 10 yrs at the age of 45 yrs.) The insurance cover ceases when the investor attains 55 years of age.
- Mode of payment of SIP installments is only through Direct Debit & ECS ( Post Dated Cheques shall not be accepted )
Reliance SIP Insure – How does this work?
- An investor does a monthly SIP of Rs. 10,000 for 5 years in Reliance Growth Fund
- If he dies after a period of 3 yrs, then his Sum Assured= Unpaid SIP installments = 2 yrs (ie 24months) X 10, 000 = Rs 2, 40,000
This amount will be paid by life insurance company to SIP investor’s nominee account* with Reliance Mutual Fund and will be invested in Reliance Growth Fund (in the same scheme in which the deceased has earlier invested)
Load Structure
- The Entry Load under Reliance SIP Insure shall be same as applicable to normal purchase /additional purchase transactions in the respective designated schemes
- However, there will an Exit Load of 2%, if the accumulated units acquired or allotted under Reliance SIP Insure are redeemed or switched out to another scheme before the maturity of SIP tenure as opted in the respective scheme either by the SIP-Insure unitholder or by the nominee*, as the case may be.
Click here to DOWNLOAD Application Form for Reliance SIP Insure
If you want a Life Insurance/ ULIP, Health Insurance or any kind of General Insurance and Mutual Funds, Please CALL/SMS us @ 9830329228 or Contact us. Thanks for visiting!
June, 2008
[...] Mutual Fund has introduced an add-on feature into their 10 schemes ‘Reliance SIP Insure’ to encourage investors to save and invest regularly through Systematic Investment Plan (SIP), to [...]