Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver

Product Circular Bajaj Allianz Super Saver

Non- Linked Participating, Regular Premium FOR INTERNAL CIRCULATION ONLY Endowment Plan
UIN: 116N058V01 Bajaj Allianz Super Saver

Product Circular

UIN: 116N058V01 FOR INTERNAL CIRCULATION ONLY

Department: Product Development Launch Date: 5th March 2008 Version: 1.0

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver

TABLE OF CONTENTS

1. PURPOSE AND SCOPE ............................................................................................ 3 2. PRODUCT DESCRIPTION/ FEATURE ................................................................. 3 3. ELIGIBILITY AND LIMITS ..................................................................................... 3 4. BENEFITS PAYABLE ................................................................................................. 3 5. ADDITIONAL RIDER BENEFITS .......................................................................... 4 6.VESTED BONUS ......................................................................................................... 5 7. GUARANTEED ADDITIONS ................................................................................. 5 8. AUTO COVER............................................................................................................. 5 9. SURRENDER VALUE................................................................................................ 6 10. PAID-UP VALUE ..................................................................................................... 6 11. POLICY LOAN .......................................................................................................... 7 12. REVIVAL.7 13. TERMINATION OF POLICY ................................................................................. 7 14. SUICIDE ..................................................................................................................... 7 15. FRAUD ........................................................................................................................ 8 16. FREELOOK PERIOD ............................................................................................... 8 17. ASSIGNMENT AND NOMINATION................................................................. 8 18. COMMISSION.......................................................................................................... 8 19. SM RATING .............................................................................................................. 8

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver

1. PURPOSE AND SCOPE

Bajaj Allianz Super Saver is a Non-Linked, Participating Regular Premium Endowment Plan, which helps the Policyholder to save regular amounts for a safer tomorrow. The Policyholder also gets extra benefits with Guaranteed Additions of 4% of Sum Assured at the end of each Policy Year.

2. PRODUCT DESCRIPTION/ FEATURE

This is a non-linked, participating, Regular Premium endowment plan. The plan comes with an in-built Accidental Death Benefit. The plan offers Guaranteed Additions of amount equal to 4% of Sum Assured at the end of each Policy Year, provided all due premiums have been paid Policy shall remain in-force for full Sum Assured for 2 successive years from the due date of first unpaid premium.

3. ELIGIBILITY AND LIMITS

Sl.No 1. 2. 3. 4 5. 6. 7. Criteria Minimum/Maximum Annual Premium Minimum/Maximum Sum Assured Minimum / Maximum Age at Entry Minimum / Maximum Policy Term Maximum Age at Maturity Riders Available Mode of Premium Payment Eligibility Minimim: Rs. 1,055 Maximum: No Limit Minimum: Rs 20,000 Maximum: No limit Minimum: 18 Years Maximum: 60 Years Minimum: 10 Years Maximum: 30 Years 70 Years

Minimum Rs 50,000 if APT/PDB, FIB is selected

a) Accidental Permanent Total/ Partial Disability Benefit Rider b) Family Income Benefit Rider Annual

4. BENEFITS PAYABLE
a) Death Benefit (i) On death of the Life Assured during the policy term the Company shall be liable to pay the Sum Assured plus Vested Bonus per Section 6 plus Guaranteed Additions, per Section 7. (ii) In addition to above, in case of accidental death an additional amount equal to Sum Assured will also be payable to the Nominee. b) Maturity Benefit On survival till the end of Policy Term the Company shall be liable to pay the Sum Assured plus Vested Bonus per Section 6 plus Guaranteed Additions per Section 7.

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver

5. ADDITIONAL RIDER BENEFITS

The following additional benefits in the form of rider can be availed at the option of the Policyholder but shall be available only to those Policyholders who have taken the Policy for a Sum Assured of Rs.50,000 or above. (i) Accidental Permanent Total / Partial Disability Benefit Rider i. Minimum Sum Assured: Rs.50,000 ii. Maximum Sum Assured: Rs.5,000,000 (for all policies taken together) iii. Minimum Entry Age: 18 Years last birthday iv. Maximum Entry Age: 50 Years last birthday v. Maximum Maturity Age: 65 Years last birthday The amount payable in the event of accidental permanent partial disability as a result of an accident within 180 days from the date of the accident will be the lower one of: a) 50 % of the Sum Assured of the base plan

b) Rs 25,00,000 under all the policies of the Policyholder taken together

i) If the Policyholder did not receive a benefit for accidental permanent partial disability before, the amount payable in the event of accidental permanent total disability will be the lower one of: a) The Sum Assured of the base plan b) Rs 50,00,000 under all the policies of the Policyholder taken together ii) If the Policyholder did receive a benefit for accidental permanent partial disability before and the time passed from the occurrence of the partial disability is less than one Year, the amount payable in the event of accidental permanent total disability will be the lower one of: a) 50 % of the Sum Assured of the base plan b) Rs 25,00,000 under all the polices of the Policyholder taken together iii) If the Policyholder did receive a benefit for accidental permanent partial disability before and the time passed from the occurrence of the partial disability is at least one Year, the amount payable in the event of accidental permanent total disability will be the lower one of: a) The Sum Assured of the base plan b) Rs 50,00,000 under all the polices of the Policyholder taken together The Policyholder has the option to receive the benefit either as a lump sum or as a 10-Year guaranteed annuity, the annual annuity being 11 % of the total amount payable. The payment mode of the annuity is annually in advance. In case the insured person dies within the annuity payment period, the discounted value of the unpaid instalments will be paid as a lump sum to the nominee and the Policy terminates. In the event of accidental permanent total disability the premium for all benefits are waived, the full insurance coverage for all benefits remains. (ii) Family Income Benefit Rider

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver a. b. c. d. e. Minimum Sum Assured: Rs.50,000 Maximum Sum Assured: No limit Minimum Entry Age: 18 Years last birthday Maximum Entry Age: 50 Years last birthday Maximum Maturity Age: 70 Years last birthday (65 Years last birthday due to accidental permanent total disability)

In the event of death or accidental total permanent disability of the Life Assured a Family Income Benefit of 1% of the Sum Assured per month is paid to the Proposer/Life Assured/nominee till the end of the Policy term or for 10 Years whichever is higher subject to the Family Income Benefit not running beyond the calculated age of 70 Years of the Policyholder. Further in the event of accidental total permanent disability all future premiums are waived. However on accidental total permanent disability of the Life Assured after age 65 the Policy will not be eligible for Family Income Benefit arising as a result of accidental total permanent disability. The Family Income Benefit shall be payable only if the Policy is in force for the full Sum Assured.

6.VESTED BONUS
Vested Bonus shall consist of the following: (i) Reversionary Bonus: At the end of each financial year the Company may declare a rate of reversionary bonus expressed as a percentage. This percentage shall be applied to the Sum Assured plus any existing declared reversionary bonuses to determine the amount of reversionary bonus to be added to the Policy at the end of the financial year. Reversionary bonus, once declared, shall vest in the Policy and shall be payable along with and as and when the Sum Assured becomes payable. (ii) Interim Bonus: If the Company receives a valid claim in respect of the Life Assureds death or maturity of the Policy part way during the course of the financial year or before the valuation result is declared, an interim bonus will be payable as per the Appointed Actuarys recommendation. (iii) Terminal Bonus: Furthermore, upon receipt of a valid claim in respect of the Life Assureds death or maturity, the Company may pay terminal bonus if the Policy is in force for full Sum Assured.

7. GUARANTEED ADDITIONS
At the end of each Policy Year, Guaranteed Addition equal to 4% of the Sum Assured shall be added, provided all due Annual Premiums have been paid.

8. AUTO COVER
In case of non-payment of premium from second Policy Year onwards, the Policy shall remain inforce for full Sum Assured for 2 successive years from the due date of first unpaid premium and

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver the Guaranteed Additions accrued and Vested Bonuses till the due date of the first unpaid premium shall remain attached with the Policy. During the Auto-Cover period, the Policy will not accrue any further bonus or Guaranteed Additions. In case of death of the Life Assured during the Auto-Cover Period, the Death Benefit per Section 4a) shall be payable after deducting all due but unpaid Annual Premiums and the Policy will terminate. If Accidental Permanent Total/Partial Disability Benefit rider has been chosen, then in case of disability of the Life Assured during the Auto-Cover Period, the Accidental Permanent Total/Partial Disability Benefit shall be paid after deducting all due but unpaid rider premiums in respect of the Accidental Permanent Total/Partial Disability Benefit till the date of disability. If Family Income Benefit rider has been chose, then in case of death/accidental total permanent disability of the Life Assured during the Auto-Cover Period, the Family Income Benefit shall be paid after deducting all due but unpaid rider premiums in respect of the Family Income Benefit till the date of death/accidental total permanent disability.

9. SURRENDER VALUE
The Policy can be surrendered after completion of three Policy Years provided first three Years premiums have been paid in full. The minimum Guaranteed Surrender Value (GSV) will be equal to: GSV = 30% X (Total premiums paid till date less premium paid in the first Year less any extra premiums and additional rider benefit premiums, if any) The Company may also declare a Special Surrender Value (SSV). SSV will be calculated by multiplying SSV factor to the Paid-Up Value, per Section 10, at the time of surrender. The higher of GSV and SSV will be paid as the Surrender Value.

10. PAID-UP VALUE

(i) In case premiums are not paid for first three years, then on expiry of the Auto-Cover period, the Policy shall lapse and no benefit shall be payable. (ii) The Policy acquires a Paid-Up value in case the premium payment ceases after at least first three years premiums have been paid in full and after expiry of the Auto-Cover period. The Paid-Up value will be equal to the Sum Assured multiplied by a factor equal to the proportion of the number of premiums paid to the total number of premiums payable under the Policy, called as reduced Sum Assured, plus the Guaranteed Additions accrued and the Vested Bonuses till due date of first unpaid premium. A Paid-Up Policy will not accrue any further bonus or Guaranteed Additions. Any additional rider benefits would cease to exist if policy lapses or gets converted to Paid-Up policy.

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver

(iii) In case of death of the Life Assured when the Policy is in Paid-Up state or on survival to maturity, the Paid-Up Value will be paid and the Policy will terminate. No additional Sum Assured per Section 4(a)(ii) shall be payable in case of death due to accident when the policy is Paid-Up. (iv) If Accidental Permanent Total/Partial Disability Benefit Rider has been chosen then in case of disability of the Life Assured during the period when the Policy is in Paid-Up status, no Accidental Permanent Total/Partial Disability Benefit shall be payable. (v) If Family Income Benefit Rider has been chosen, then in case of death/accidental total permanent disability of the Life Assured during the period when the Policy is in Paid-Up status, no Family Income Benefit shall be payable.

11. POLICY LOAN

Loan against the Policy, equal to 90% of the Surrender Value at the time of taking the loan can be availed. Interest would be charged on the Policy loan (at the rate specified by the Company from time to time).

12.REVIVAL
The Policyholder may re-start paying Annual Premium within two years from the due date of first unpaid Annual Premium but before the Maturity Date of the Policy subject to payment of all due Annual Premiums together with interest compounded half-yearly at such rate as decided by the Company from time to time. The current chargeable rate of interest is 10% per annum

13. TERMINATION OF POLICY

This Policy shall automatically terminate on the earlier occurrence of either of the following events: (i) On surrender of the Policy (ii) On death of the Life Assured (iii) On Maturity Date (iv) Expiry of the Auto-Cover Period for a Policy wherein Annual Premiums have not been paid for at least three Policy Years

14. SUICIDE
If the Life Assured commits suicide whether sane or insane, within one year from the Policy Commencement Date, the contract of insurance shall be void whether or not any beneficial interest has been created therein and the Annual Premium paid thereunder excluding any extra premium and any Additional Rider Benefit premiums, shall be refunded. The validity of the contract of insurance will be determined in accordance with the actual date of death of the Life Assured and not the date of intimation of the death.

Strictly Confidential For Internal Circulation Only Bajaj Allianz Super Saver

15. FRAUD
If the Policyholder or anyone acting at its direction or with its knowledge makes or advances any claim under this Policy knowing it to be false or fraudulent in any respect, then this Policy shall be void and any benefit actually paid or potentially payable shall be forfeited.

16. FREELOOK PERIOD

Within 15 days of the receipt of this Policy, the Policyholder may, if dissatisfied with it for any reason, give the Company a written notice of cancellation along with reasons for the same, and return the Policy Document to the Company, subject to which the Company shall send the Policyholder a refund comprising the Annual Premium paid less any extra premium less any Additional Rider Benefit premiums less the proportionate risk premium for the period the Life Assured was on cover and the stamp duty charges.

17. ASSIGNMENT AND NOMINATION

a) No assignment shall be effective unless and until the Company receives a written notice from the Policyholder. b) If the Policyholder and the Life Assured are the same person, the Policyholder may at any time specify in writing a Nominee to receive the Death Benefit. If the Nominee is a minor, the Policyholder shall also appoint an Appointee to receive the benefit during the minority of the Nominee. No nomination shall be effective unless and until evidenced by an endorsement on the Policy. c) Any assignment shall automatically cancel any nomination. d) The Company assumes no responsibility or liability for the validity of any assignment or nomination or in recording the assignment or registering the nomination or change in assignment or nomination. e) Assignment will not be permitted where the Policy is under the Married Womens Property Act 1874.

18. COMMISSION
For Agency Policy Year Commission rate Year 1 25% Year 2 Year 5 5% Year 6 + 3%

Bonus Commission of 40% of First Years Commission will also be payable

19. SM RATING
For Policy Term 10years to 14 years - 60% For Policy Term 15 years and more - 80 %